Q.Explain the general character of the Indian economy during British rule.
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The Indian economy under British colonial rule had a consistent overall character: it functioned as a feeder economy for Britain, meaning its main role was to supply raw materials to British industry and to serve as a market for British manufactured goods. This basic relationship shaped almost every part of the economy.
In agriculture, despite being the occupation of the vast majority of the population, productivity remained persistently low due to backward technology, minimal investment, and exploitative land-revenue systems such as the Zamindari system. At the same time, colonial policy pushed cultivators toward commercial cash crops like indigo, cotton and jute, needed as raw material by British industry, often at the expense of food-crop cultivation and to the disadvantage of the farmers growing them.
In industry, India's traditional handicraft sector — especially handloom textile weaving — declined sharply due to competition from cheaper machine-made British imports and a tariff policy that favoured British goods, a process known as de-industrialisation. This was not offset by balanced modern industrial growth: only a few modern industries (cotton and jute textiles, later iron and steel) developed, concentrated in a few regions and largely serving colonial commercial interests rather than broad-based Indian development. …
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