Reason the decline of the indigenous handicraft industry
India during the 18th century was self-sufficient in handicrafts and agricultural products, in fact besides agriculture, the traditional handicrafts industries was one of the key features of India’s village economy. However, the Indian handicraft industry had begun to decline by the beginning of the 19th century due to exploitative policies by the British.
Factors for the Decline of the Handicraft Industries
Discriminatory Policies: The policies followed by the English East India Company by imposing heavy tariffs on Indian goods proved to ed to be highly detrimental to the Indian handicraft industry.
Dumping of British Goods: The Indian market was flooded with cheap finished goods from Britain. It resulted in a steep decline in the sale of Indian products both within and outside of the country.
Imposing Various Restrictions: The Company encouraged the cultivation of raw silk in Bengal while imposing service restrictions on the sale of its finished products.
Fall in Demand: With the disappearance of the traditional dynasties, their nobility also passed into oblivion. This led to a sharp decline in the demand for traditional luxury goods.
Impact of Industrial Revolution: The Industrial revolution led to the invention of new machinery in Europe. Power looms replaced handlooms.
Introduction of Railways: The introduction of the railways increased the domestic market for British goods in India. Consequently, the market for Indian goods began to contract. It led to the fall of handicraft goods.
Thus, the Indian handicrafts that had once made the country self-reliant, collapsed under the colonial rule due to the British policies and lack of regional patronage and eventually pushed the village economy into the vicious cycle of poverty.