Commercial Policy of British in India
Commercial policy of the British (1757-1857)
1. The Coming of the Europeans into India (1600-1757) – The lure for trade and profit brought many trading companies to India. The trade –cum-political corporation called the English East India Company came to India and gave an expansive touch to India’s national commerce. It opened new markets for Indian goods in Europe and thereby increases the export of Indian manufacturers and encourage their production. This is the reason why the rulers tolerated and even encouraged the establishment of the Company’s factories in India. 2. British Protectionism Against Indian Imports— The increase volume of import of India textiles products into the British markets alarmed the British textiles manufacturers and created large scale unemployment among the working men of the weaving trade. Thus heavy duties were imposed on the import of Indian cloth. By 1720, laws have been passed forbidding the use of Indian cloth even when printed or dyed in England. Indian silk and cotton however still held its own position in European markets up to the middle of the 18th century when the English textiles industry began to develop on the basis of new technology. 3. English East India Company acquired monopolistic control (1757-1813) — After the battle of Plassey in 1757 the pattern of the Company’s commercial relations with India underwent a great change. The company used its political control over Bengal to acquire monopolistic control over Indian trade and production. Moreover it utilized the revenues of Bengal to finance its export of India goods. The company used its political power to dictate Texas to the weavers of Bengal. They were compelled to work for the company for the low wages and were forbidden to work for Indian merchants. The company at the same time monopolized the sale of raw cotton and made the Bengal weaver pay exorbitant prices for it. Indian textiles also had to pay heavy duties on entering England. The British
1. The Coming of the Europeans into India (1600-1757) – The lure for trade and profit brought many trading companies to India. The trade –cum-political corporation called the English East India Company came to India and gave an expansive touch to India’s national commerce. It opened new markets for Indian goods in Europe and thereby increases the export of Indian manufacturers and encourage their production. This is the reason why the rulers tolerated and even encouraged the establishment of the Company’s factories in India. 2. British Protectionism Against Indian Imports— The increase volume of import of India textiles products into the British markets alarmed the British textiles manufacturers and created large scale unemployment among the working men of the weaving trade. Thus heavy duties were imposed on the import of Indian cloth. By 1720, laws have been passed forbidding the use of Indian cloth even when printed or dyed in England. Indian silk and cotton however still held its own position in European markets up to the middle of the 18th century when the English textiles industry began to develop on the basis of new technology. 3. English East India Company acquired monopolistic control (1757-1813) — After the battle of Plassey in 1757 the pattern of the Company’s commercial relations with India underwent a great change. The company used its political control over Bengal to acquire monopolistic control over Indian trade and production. Moreover it utilized the revenues of Bengal to finance its export of India goods. The company used its political power to dictate Texas to the weavers of Bengal. They were compelled to work for the company for the low wages and were forbidden to work for Indian merchants. The company at the same time monopolized the sale of raw cotton and made the Bengal weaver pay exorbitant prices for it. Indian textiles also had to pay heavy duties on entering England. The British