Question

During first world War why industrial production was decrease what were impact on indian economy

Answer 1

(i) While British mills busy with war production to meet the needs of the army Manchester imports into India declined.

(ii) With the decline of imports suddenly, Indian mills had a vast home market to supply.

(iii) As the war prolonged, Indian factories were called upon to supply war needs also, such as Jute bags, cloth for uniforms of soldiers, tents, leather boots, etc and lots of other items.

(iv) New factories were set up and old ones organized multiple shifts; during the war years Indian industries boomed.

(v) Overall, the First World War gave a boost to Indian industries.

Answer 2

During First World War, most of the expenses were spent on the warfare. Less importance was given to other problems, and therefore there was a decrease in the industrial production and the Indian economy also began to decrease.