The committee that recommended the abolition of reservation of items for the small scale sector in the industry is the Abid Hussain Committee.

The Abid Hussain Committee, also known as the High Powered Committee on Balance of Payments, was constituted in 1991 to suggest measures for economic reforms in India. One of the recommendations made by this committee was the abolition of the reservation of items exclusively for the small scale sector in the industry.

The committee argued that the reservation policy, which mandated that certain items can only be produced by small-scale industries, was creating inefficiencies and hindering the growth and competitiveness of the Indian industry. The reservation policy was seen as a barrier to the entry of larger firms and foreign investment, which could bring in advanced technology and boost industrial productivity.

Based on the recommendations of the Abid Hussain Committee, the reservation of items for the small scale sector was gradually phased out, allowing for greater competition and modernization in the Indian industry.

Therefore, the Abid Hussain Committee recommended the abolition of reservation of items for the small scale sector in the industry.