India is not termed as an underdeveloped country because of her

Underdevelopment is characterized by specific economic indicators such as a high dependence on agriculture [c1][t3], rapid population growth [t5][t6], and slow industrial progress coupled with backward technology [t1][t4]. These factors are inherent traits of an underdeveloped economy. In contrast, the 'need for planning' is not a symptom of underdevelopment but rather a proactive developmental strategy. India adopted economic planning post-independence to deliberately shed its stagnation and move toward prosperity [t2]. While India exhibits several features of an underdeveloped nation—such as low per capita income and high inequality [c1][t1]—the act of planning itself is a tool for transition into a 'developing' status. Therefore, the necessity of planning is a response to economic conditions rather than a defining characteristic that classifies a country as underdeveloped.

Sources

1. [1] Indian Economy, Nitin Singhania .(ed 2nd 2021-22) > Chapter 2: Economic Growth versus Economic Development > UNDERDEVELOPMENT > p. 23
2. [2] http://www.lscollege.ac.in/sites/default/files/3%20B%20A%20PART%203%20ECONOMICS.pdf
3. [3] https://gacbe.ac.in/pdf/ematerial/18BCO15A-U1.pdf