The denial of equal opportunities to a part of population in participating in the political, economic and social functioning of the society imposed by majority of society is termed as ‘social exclusion’. In case of India, caste is an important determinant of social exclusion. Caste for an individual is fixed since birth and serves as a vehicle of complex, discriminatory and exclusionary processes. It is argued that all men are born equal but the social reality is that not all men are born equal. Caste along with its practices continues to restrict the means and resources for upward mobility. This paper attempts to study the social exclusion in India on the basis of caste and the strategies for promoting a more inclusive society. Literacy rates among Dalits in India are only about 24 percent. Even though there are constitutional safeguards for SCs and STs these groups face systematic social exclusion in the form of denial to opportunities like access to land, education and employment. Social integration or inclusion is seen as a universal human right. It aims to provide equal opportunities irrespective of caste, gender and disability. Caste superiority norms among the administrative service delivery system is one of the biggest challenges towards inclusion of Dalits. For a more inclusive society, institutional reforms are required. Strategies like social auditing, sensitization, conscientization and mobilization, equitable quality education and use of RTI act can be effective. Formation of commissions like Employment Opportunity Commission to ensure the representation of excluded group can also prove to be helpful. Thus, for the overall development of the nation and creation of an inclusive society, it is important to eradicate social exclusion on the basis of caste. This paper aims to include the factors responsible for caste based social exclusion in India, its impact on the human and societal development and what should be the strategies to promote social inclusion.