What do you understand by liberalization, privatization and globalization? How have they helped industrial development in India?

The new Industrial Policy was announced in 1991. The major objectives of this policy were to build on the gains already made, correct the distortions or weaknesses that have crept in, maintain a sustained growth in productivity and gainful employment and attain international competitiveness.
Privatisation means to convert the public sector industries into private sector. It has reduced the importance of public sector industries.
Globalisation means integrating the economy of the country with the world economy.

In the new industrial policy, Foreign Direct Investment (FDI) has been seen as a supplement to the domestic investment for achieving a higher level of economic development. FDI benefits the domestic industry as well as the consumers by providing technological upgradation, access to global managerial skills and practices, optimum use of natural and human resources, etc.

In Indian context, globalisation implies:
(1) opening of the economy to foreign direct investment by providing facilities to foreign companies to invest in different fields of economies activity in India;
(2) removing restrictions and obstacles to the entry of multinational companies in India;

(3) allowing Indian companies to enter into foreign collaboration in India and also encouraging them to set up joint ventures abroad.