To benefit British industry, British rule pursued a policy of free trade in India. The nationalists were generally concerned about the lack of public investment in agriculture and argued that the British were trying to turn India into a valuable source of raw materials and a consumer of British-manufactured goods to make India an extension of the British economy.

(Source: History of Modern India by Bipin Chandra.)

Discuss how the British empire deindustrialised India.

The British empire de-industrialized India through the following policies:

1. Destruction of Indian Handicrafts — British policies led to the decline of India’s flourishing handicraft industries. Heavy duties were imposed on Indian goods exported to Britain, while British goods entered India either duty-free or with minimal taxes. This made Indian products uncompetitive in both domestic and international markets.

2. Flooding of British Goods — With the advent of industrialization in Britain, machine-made goods were produced cheaply and in large quantities. These were dumped in the Indian market, which ruined Indian artisans and craftsmen who could not compete with the low prices.

3. Lack of Government Support — The British Government in India did not invest in modernizing Indian industries. Instead of promoting industrial development, it focused on making India a supplier of raw materials and a market for British finished products.

4. Shift in Occupational Pattern — Many artisans, weavers, and craftsmen who lost their livelihood due to British policies were forced to take up agriculture, increasing the pressure on the rural economy and leading to impoverishment.

5. Commercialization of Agriculture — The British encouraged farmers to grow cash crops like indigo, cotton, and opium instead of food grains, mainly to meet the raw material needs of British industries. This further reinforced India's role as a raw material supplier and led to food insecurity.