Nehru Era (1947–64)
Planned economy, Non-Alignment, Panchsheel and the architecture of modern India — every examiner-tested date and fact.
India at Independence: The Nehru Inheritance
Jawaharlal Nehru (born 14 November 1889, Allahabad) served as India's first Prime Minister from 15 August 1947 until his death on 27 May 1964 — the longest tenure of any Indian PM. He inherited a partitioned, poverty-stricken subcontinent with 350 million people, near-zero industrial infrastructure and a political tradition rooted in mass agitation rather than governance.
Nehru's vision rested on four pillars: democratic socialism (state-led industrialisation), secularism, scientific temper, and non-alignment in foreign policy. These shaped the Indian republic more durably than any other single leader's choices.
D-S-S-N: Democratic Socialism · Secularism · Scientific temper · Non-alignment. Every UPSC question about "Nehru's ideology" can be answered with these four.
Planning Commission & Five-Year Plans
The Planning Commission was established by a Cabinet Resolution on 15 March 1950. Nehru served as its ex-officio Chairman; the first Deputy Chairman was Gulzarilal Nanda. The Commission was replaced by NITI Aayog on 1 January 2015.
| Plan | Period | Focus | Growth Rate | Key Model |
|---|---|---|---|---|
| First | 1951–56 | Agriculture, irrigation, dams | 3.6% (target 2.1%) | Harrod-Domar |
| Second | 1956–61 | Heavy industry, PSUs | 4.3% (target 4.5%) | P.C. Mahalanobis |
| Third | 1961–66 | Self-sufficiency, education | 2.7% (target 5.6%) — failed due to wars + drought | Mahalanobis-Feldman |
The Second Five-Year Plan (1956–61) is based on the Mahalanobis Model (P.C. Mahalanobis, ISI Calcutta). It prioritised heavy industry and capital goods — NOT the First Plan. The First Plan followed the Harrod-Domar model and focused on agriculture. Many students confuse these two.
The Second Plan was India's decisive turn towards Soviet-style heavy industrialisation. It led to the creation of the Bhilai Steel Plant (USSR collaboration, 1959), Rourkela Steel Plant (West Germany, 1959) and Durgapur Steel Plant (UK, 1962). The Industrial Policy Resolution of 1956 created Schedule A (state monopoly), Schedule B (mixed) and Schedule C (private sector).
India had TWO Industrial Policy Resolutions: 1948 (first, during Nehru era — 4 categories) and 1956 (socialist orientation, Schedule A/B/C). UPSC often asks which one introduced the "three-category" A/B/C framework — it is 1956, NOT 1948.
Q: The Mahalanobis model, which influenced India's Second Five-Year Plan, laid emphasis on which of the following? (a) Agricultural growth (b) Heavy industrialisation (c) Export promotion (d) Rural employment
Answer: (b) — The Mahalanobis model (1953) recommended emphasis on capital goods and heavy industry to build a self-reliant economy.
Non-Alignment Movement
Nehru was the chief architect of Non-Alignment — the policy of refusing to join either the US-led NATO bloc or the Soviet Warsaw Pact bloc during the Cold War. The key milestones:
| Event | Date | Significance |
|---|---|---|
| Bandung Conference | April 1955 | 29 Asian-African nations; Nehru, Nasser, Sukarno; precursor to NAM |
| Panchsheel Agreement | 29 April 1954 | India-China; first official statement of Five Principles |
| Belgrade Summit (NAM-1) | September 1961 | Formal founding of NAM; 25 founding members; Nehru, Nasser, Tito |
| Cairo Summit (NAM-2) | October 1964 | After Nehru's death (May 1964); India represented by Shastri |
The Bandung Conference (April 1955) was NOT the founding of NAM. It was an Asian-African solidarity conference. NAM was formally founded at the Belgrade Summit in September 1961. Many answers incorrectly say NAM was founded in 1955.
Nehru's foreign policy also included active support for decolonisation worldwide, opposition to apartheid South Africa (India moved the first resolution against South Africa in the UN General Assembly in 1946, even before independence), and a leading role in the Korean War ceasefire negotiations (India's V.K. Krishna Menon played a key role in the 1953 armistice).
Panchsheel and the China Relationship
The Panchsheel Agreement (formally the "Agreement on Trade and Intercourse between Tibet Region of China and India") was signed in Beijing on 29 April 1954. It contained the Five Principles of Peaceful Coexistence:
- Mutual respect for each other's territorial integrity and sovereignty
- Mutual non-aggression
- Mutual non-interference in each other's internal affairs
- Equality and mutual benefit
- Peaceful coexistence
Panchsheel was an India-China bilateral treaty (1954) — NOT a NAM founding document. NAM was not even formally established until 1961. The five principles were later incorporated into NAM philosophy but originated in a bilateral India-China agreement about Tibet. This distinction is tested repeatedly.
The slogan "Hindi-Chini Bhai Bhai" (Indians and Chinese are brothers) captured the optimistic mood of the mid-1950s. However, boundary disputes festered. The Forward Policy (1961–62) under Nehru and Defence Minister Krishna Menon pushed Indian posts into disputed territory. China launched a massive attack in October 1962, resulting in a humiliating Indian defeat — the subject of Article 94.
Q: The Panchsheel Agreement of 1954 was signed between India and which country? (a) Pakistan (b) Sri Lanka (c) China (d) Myanmar
Answer: (c) — The Agreement on Trade and Intercourse between Tibet Region of China and India, signed 29 April 1954 in Beijing, enunciated the Five Principles (Panchsheel).
Public Sector Undertakings and the Mixed Economy
Nehru built India's "temples of modern India" — his phrase for the large dams, steel plants and research institutions. Key PSUs and infrastructure created 1947–64:
| Institution/Project | Year | Significance |
|---|---|---|
| Damodar Valley Corporation | 1948 | First river valley project; modelled on Tennessee Valley Authority |
| CSIR (Council of Scientific & Industrial Research) | 1942/expanded 1947 | National research umbrella |
| Atomic Energy Commission | 1948 | Homi Bhabha; Atomic Energy Act 1948 |
| Bhakra-Nangal Dam | 1954–63 | "Temple of modern India" — Nehru's phrase; Sutlej river, Punjab |
| Bhilai Steel Plant | 1955 (agreement), 1959 (commissioned) | USSR collaboration; Second Plan flagship |
| IITs (Indian Institutes of Technology) | Kharagpur 1951 (first) | Technical education; Sarkar Committee 1945 |
| TIFR (Tata Institute of Fundamental Research) | 1945 (Mumbai) | Homi Bhabha; nuclear and scientific research |
| SBI (State Bank of India) | 1955 | Nationalised Imperial Bank of India |
| LIC (Life Insurance Corporation) | 1956 | Nationalised 245 insurance companies |
| AIR (All India Radio) expanded | 1947 onward | National broadcaster; renamed from Indian Broadcasting Service 1936 |
Nehru called dams "the temples of modern India" — this phrase is specifically associated with the Bhakra-Nangal Dam inauguration. Some questions try to attribute this to Ambedkar or Gandhi — it is Nehru's phrase about infrastructure projects, especially dams.
Nehru's Legacy: Achievements and Criticisms
Nehru's 17-year tenure established democratic institutions, laid industrial foundations and kept India together through the trauma of Partition. But the 1962 China War — which shattered the Panchsheel optimism — damaged his legacy irreparably. Nehru fell ill shortly after and died on 27 May 1964 in New Delhi, the first Indian PM to die in office.
He was succeeded by Lal Bahadur Shastri (elected by Congress Parliamentary Party; not Deputy PM — Gulzarilal Nanda served as interim PM twice). Shastri led India through the 1965 war with Pakistan and signed the Tashkent Declaration (10 January 1966), dying the next day.
Lal Bahadur Shastri succeeded Nehru (June 1964 – January 1966). Gulzarilal Nanda served as interim PM for 13 days after Nehru's death while Shastri was being elected. Nanda also served as interim PM after Shastri's death. Nanda was never a "full" PM despite serving twice.
Social Policy Under Nehru
Nehru's government enacted several landmark social reforms:
Sukumar Sen was India's first Chief Election Commissioner (1950–58). He conducted the first two general elections (1951–52 and 1957). Remember: "Sukumar = Sukumar Sen = first CEC".