Explain the impact of First World War on Indian industries. Why did the Indian industrial growth suddenly shot up in the years after the First World War ? Describe three reasons of its effects on Britain.
(a) The industrial production in India increased during the First World War due to the following factors : As the British mills were busy with war production to meet the needs of the army, Manchester (British goods) imports into India declined. Indian mills got a vast home market to supply. As the war prolonged, Indian factories were called upon to supply war needs i.e., jute bags, tents, leather goods etc. New factories were set up to meet above needs. Multiple shifts were run in the factories. New workers were employed and they were asked to work for extra-hours. The above factors led to increase in industrial production during the First World War. (b) Effects : In Britain cotton production collapsed and export of cotton cloth fell dramatically. As Britain was unable to modernise and compete with the US, Germany and Japan, British economy crumbled. Within the colonies, local industrialists had gradually consolidated their position substituting foreign manufacturers and capturing the home markets.