Why did the british introduce commercial agriculture in india how did the production of opium indigo and sugar shot up the profit margins of the east india company
Answers
Commercial agriculture means that the agricultural crops and goods are produced by the peasants not for their own consumption but for sale in the market. It was mainly taken up to feed the British industries or to fetch cash and commercial gain for the British in the European or American market.
Commercialization of agriculture was beneficial to the British planters, traders and manufacturers. They got an opportunity to make huge profits by buying agricultural products at cheap prices. So the production of opium, indigo and sugar shot up the profit margins of the East India Company.
Answer:The British had come to India as traders. They were looking for profitable trading opportunities. Hence, they introduced the cultivation of cash crops like opium, tea and indigo as they could make large profits by trading these crops.Opium was exported to China in return for tea.The British encouraged the production of commercial crops like jute, sugar, wheat and cotton so as to provide raw material for its industries.