Question

How did the restrictive policies of commodity production trade and tariff pursued by the colonial govt adversely affect the structure composition and volume
of Indian foreign trade explain​

Answer 1

The restrictive policies had an overall negative impact and a condition of monopoly.

• India has always been a major trade nation. However, British government's restrictive policies on commodities production, trade, and tariffs had a negative impact on India's international commerce.

• It effected them as -

1. During independence, United Kingdom was India's most significant supplier, accounting for almost 31% of total imports. Food grains were ordinary import, and by 1947, food grain imports had reached 3M tonnes.
2. UK enjoyed a monopoly on foreign trade. Suez Canal, provided a direct route for ships sailing between India and Uk. It offered a direct route for ships between various nations.
3. It lowered shipping costs and made it simpler to enter the Indian market. Hence, it then became simpler to take advantage of the Indian market.