According to Jawaharlal Nehru, what were the two main ways in which Great Britain exploited the Indian economy?

History · High School · Mon Jan 18 2021

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According to Jawaharlal Nehru, the two main ways in which Great Britain exploited the Indian economy were:

1. Drain of Wealth: Nehru and several other Indian leaders held that Britain was involved in the systematic transfer of wealth from India to Britain during colonial times. This was done through various means, such as high taxation, monopolizing trade, and taking raw materials from India at low costs and selling finished goods back to the Indian market at high prices. Britain used India as a source of cheap raw materials for their industries and a market for their finished goods, profiting from the colony while undermining India's indigenous industries.

2. Destruction of Traditional (Indigenous) Indian Industries: The British colonial policy was detrimental to Indian crafts and industries. Before colonization, India was renowned for its hand-woven textiles and other artisan products, but British policies led to the decline of these traditional industries. The industrial revolution in Britain introduced machine-made goods, which were cheaper and produced on a larger scale than handmade Indian products. The British imposed policies that favored the import of British goods and obstructed the development of Indian industries. This economic strategy destroyed local manufacturing units and compelled India to become a market for British goods, hindering India's own industrial growth and leading to large-scale unemployment.