To what extent did British economic policies in India contribute to the deindustrialization of the subcontinent, and what were the long-term implications?
British economic strategies in India played a pivotal role in the deindustrialization process by prioritizing the export of raw materials and hindering local manufacturing through the implementation of tariffs and infrastructure projects that were geared towards extraction rather than industrial expRead more
British economic strategies in India played a pivotal role in the deindustrialization process by prioritizing the export of raw materials and hindering local manufacturing through the implementation of tariffs and infrastructure projects that were geared towards extraction rather than industrial expansion. Consequently, this resulted in the decline of India’s once-thriving textile and handicraft sectors, displacing skilled craftsmen and fostering a reliance on Britain for economic sustenance. The long-lasting effects of these policies included a diminished industrial foundation in India following independence, which impeded efforts towards economic diversification and technological advancement.
Socially, the policies disrupted traditional means of livelihood and exacerbated poverty, setting the stage for future economic hardships. Ultimately, British policies solidified India’s role as a supplier of raw materials and a consumer of British products, shaping its economic landscape for years to come and leaving behind a legacy of industrial stagnation and reliance.
See less
With far reaching and long term effects on the deindustrialization of the subcontinent, this has been the working role of British economic policies in India. Major Policies Leading to Deindustrialization Bias Toward British Commodities: -British manufactured commodities were supported by Free TradeRead more
With far reaching and long term effects on the deindustrialization of the subcontinent, this has been the working role of British economic policies in India.
Major Policies Leading to Deindustrialization
Bias Toward British Commodities:
-British manufactured commodities were supported by Free Trade Policies of the British East India Company and the Crown. Indian industries, and in particular the textile, were most poorly and even inadequately protected from cheaper imported British commodities flooding into the Indian market.
Indian products were less competitive in global markets since they were high tariffed as they entered the British market.
-Exportation of raw materials:
To this end, India was developed into an industrial supplying nation of raw materials for industrial production in Britain, since it was the source of such raw materials as cotton, indigo, jute, etc. India as a home to manufacture was discouraged by these raw material productivities.
-Destruction of Traditional Industries:
Through their direct and indirect policies, British destroyed traditional Indian industries – textiles, handicrafts and shipbuilding in the east. This included:
Undercutting of Indian markets by cheaper British goods: This is what has been discussed above.
The British disrupted traditional supply chains – cast iron instead of glass, lead and steel replaced precious metals like silver and gold, artisans and craftsmen’s livelihoods were disrupted.
-There was absolutely no help or support from the British for the growth of Indian industries.
-Long-Term Implications:
Deindustrialization was extremely associated with India’s economic backwardness post independence. As a result, the economy failed because of a lack a strong industrial base which impeded growth and development.
-High dependence on Agriculture: Large part of the population was dependent on agriculture, so that the economy was vulnerable to droughts and other shocks of the agriculture.
Deindustrialization had some social and political consequences. Social unrest was produced and served as a fire for the nationalist movement against the British rule.
See less