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the various reason for decline are as follows
-reduced local demand due to change in taste of general indian population and royal households.
-discriminatory tariff
-reduction in supply of raw material as indian farmers were forced to grow crops according to imperial demand such as indigo ,sugarcane, etc.
-the prices of british factory goods was far less than handmade goods.
-the combination of these condition lead to decline of Indian handicraft industry.
hope this helps!
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