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Q73 (IAS/2020) History & Culture › Modern India (Pre-1857) › Colonial economic impact Official Key

Which of the following statements correctly explains the impact of Industrial Revolution on India during the first half of the nineteenth century ?

Result
Your answer: —  ·  Correct: A
Explanation

The correct answer is Option 1. During the first half of the nineteenth century, the Industrial Revolution in Britain transformed India into a primary resource supplier and a consumer of finished goods.

The primary impact was the de-industrialization of India. British machine-made textiles, which were cheaper and produced in bulk, flooded Indian markets. Unable to compete with these low-cost imports, the traditional Indian handicraft industry was ruined, leading to widespread unemployment among weavers and artisans.

  • Option 2 is incorrect because large-scale mechanization of the Indian textile industry only began in the 1850s (second half of the century).
  • Option 3 is incorrect as the first railway line was laid in 1853, placing the expansion primarily in the later half of the century.
  • Option 4 is incorrect because the British followed a policy of one-way free trade, imposing heavy duties on Indian exports while allowing British imports almost duty-free.
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Q. Which of the following statements correctly explains the impact of Industrial Revolution on India during the first half of the nineteenth…
At a glance
Origin: Books + Current Affairs Fairness: Low / Borderline fairness Books / CA: 2.5/10 · 2.5/10
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Statement 1
Did the Industrial Revolution's impact on India during the first half of the nineteenth century (1800–1850) cause the ruination of Indian handicrafts?
Origin: Direct from books Fairness: Straightforward Book-answerable
From standard books
Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 6: Indian Economy [1947 – 2014] > 6.1 Impact of British Rule on Indian Economy > p. 202
Presence: 5/5
“• 2. During the 19th century, there was a quick collapse of the Indian handicraft and artisanal industries largely because of two reasons: First, the competition from the cheaper imported manufacturers of Britain together with the policy of free trade imposed on India. And secondly, Britain and other European countries imposed high import duties on Indian goods. This led to the virtual closing of European markets to Indian manufacturers after 1820. The ruined artisans failed to find alternative employment and crowed into agriculture as tenants, share croppers and agricultural labourers which were followed by an extreme subdivision of land into small holdings and fragmentation.• 3.”
Why this source?
  • Explicitly states a quick collapse of Indian handicraft and artisanal industries during the 19th century due to competition from cheaper British manufactured imports and imposition of free‑trade policies.
  • Identifies high import duties on Indian goods and the closing of European markets after 1820 as causal mechanisms.
  • Notes ruined artisans were displaced and forced into agriculture, showing socioeconomic consequences of the collapse.
Modern India ,Bipin Chandra, History class XII (NCERT 1982 ed.)[Old NCERT] > Chapter 11: Economic Impact of the British Rule > Ruin of Artisans and Craftsmen > p. 182
Presence: 5/5
“There was a sudden and quick collapse of the urban handicrafts which had for centuries made India's name a byword in the markets of the entire civilised world. This collapse was caused largely by competition with the cheaper imported machine-goods from Britain. As we have seen earlier. the British imposed a policy of one-way free trade on India after 1813”
Why this source?
  • Directly attributes the sudden collapse of urban handicrafts to competition from cheaper machine‑made British goods.
  • Links the collapse to the one‑way free trade policy imposed on India after 1813, providing policy context for the decline.
India and the Contemporary World – II. History-Class X . NCERT(Revised ed 2025) > Chapter 4: The Age of Industrialisation > 3.3 Manchester Comes to India > p. 92
Presence: 5/5
“In 1772, Henry Patullo, a Company official, had ventured to say that the demand for Indian textiles could never reduce, since no other nation produced goods of the same quality. Yet by the beginning of the nineteenth century we see the beginning of a long decline of textile exports from India. In 1811-12 piece-goods accounted for 33 per cent of India's exports; by 1850-51 it was no more than 3 per cent. Why did this happen? What were its implications? As cotton industries developed in England, industrial groups began worrying about imports from other countries. They pressurised the government to impose import duties on cotton textiles so that Manchester goods could sell in Britain without facing any competition from outside.”
Why this source?
  • Provides quantitative evidence of textile export decline (piece‑goods from 33% in 1811–12 to 3% by 1850–51), illustrating the scale of displacement.
  • Explains that British industrial protectionism and Manchester manufactures pushed out Indian textiles from British markets.
Statement analysis

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Statement analysis

This statement analysis shows book citations, web sources and indirect clues. The first statement (S1) is open for preview.

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Statement analysis

This statement analysis shows book citations, web sources and indirect clues. The first statement (S1) is open for preview.

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SIMILAR QUESTIONS

CAPF · 2012 · Q48 Relevance score: 4.23

Statement I : The economy of India in the 19th century came to a state of ruin under the English East India Company. Statement I : The English East India Company’s acquisition of Diwani right led to the miseries of the peasants and those associated with the traditional handicrafts industry of India.

CDS-II · 2013 · Q7 Relevance score: 4.10

Statement I : The economy of India in the 19th century came to a state of ruin under English East India Company. Statement II : English East India Company’s acquisition of Dtwani right led to the miseries of the peasants and those associated with the traditional handicrafts industry of India.

CDS-II · 2014 · Q81 Relevance score: 3.39

Under the forceful thrust of British rule, a rapid transformation of the Indian economy took place. In this context, which of the following statements is /are correct ? i 1. Indian economy was transformed into a colonial economy in the 19th century whose- structure was deter- mined by Britain’s fast developing industrial economy. 2. The influx of cheap Indian products into England gave a great blow to English textile industries. 3. The 19th century saw the collapse of the traditional Indian village economy and fresh economic alignment along commercial lines. Select the correct answer using the code given below:

NDA-II · 2013 · Q33 Relevance score: 1.94

Statement I: In the 19th century, India was the largest British colony. Statement I : India became a big market for British manufactured goods and a field of investment for foreign capital in the 19th century.

CDS-I · 2024 · Q67 Relevance score: 1.88

Which of the following statements regarding the Industrial Revolution is/are correct? 1. It was a change of a society from a rural and agricultural lifestyle to one in which most people earned their living in the industrial or secondary sector of the economy. 2. The first Industrial Revolution began in Germany in the early eighteenth century. 3. During Industrial Revolution, technological advances in iron smelting, and later steel production, were accompanied by the invention of steam engine. Select the correct answer using the code given below.