Question

How was the trading policy of British caused for the decline of the Indian Industries?

Answer 1

1. All the policies implemented by the British government in India had a deep impact on India’s indigenous industries.
2. Free trade policy followed by the East India Company compelled the Indian traders to sell their goods below the market prices.
3. This forced many craftsmen to abandon their ancestral handicraft talents.
4. East India company’s aim was to buy the maximum quantity of Indian manufactured goods at the cheapest price and sell them to other European countries for a huge profit.
5. This affected the traditional Indian industry.
6. The British followed the policy of protective tariffs that was much against the trading interests of India.
7. Heavy duties were charged on Indian goods in Britain, but at the same time, the English goods entering India were charged only nominal duties.