No this ain't called Industrialization, it's called Investment led Growth. Which doesn't have to be particularly directed to industries only. Here the Government incentivises the Production as well as the consumption in order to maximize growth.
What the Government of lndia has followed for long is Demand led Growth, primarily because of fiscal constraints. Here the Government mostly incentivises consumption, with the hopes of increase in total output in the long run.
But with the availability of cheap Chinese products in the market, that output has been taken up by the Chinese Economy. With the systematic de-industrialization of several countries, that follows the policy of Laissez-faire.
India was much more self realiant industrially in several sector before the LPG reforms of 1991. It was the absence of private enterprises that pay sufficient taxes & an export market for our products, combinationed with the high fuel prices due to Gulf war, that led to the reform.
So no, it's not just "industrialization", Japan, USA & many other countries has gone through a systematic de-industrialization over the years, to make way for China, even though they got richer GDP wise.
World Steel production >
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The current government is trying to take back that lost ground through the PLI scheme & blocking Chinese imports (automotive & IT hardware)