Summary
Did you know that British colonial rule in India, which lasted over two centuries, left behind far more than political change? During this time, the British extracted massive wealth from India, leaving behind scars that shaped the nation’s economy and society. From famines to the deindustrialization of India, the consequences of the British Raj are still felt today, influencing inequality and underdevelopment in modern India. This story is one of exploitation, oppression, and an enduring legacy that continues to shape the country’s path.
From Abundance to Abject Poverty
In the 1700s, India was an economic powerhouse, holding 27% of the world’s economy—more than all of Europe combined! But after 250 years of British dominance, India’s share plummeted to less than 3%. This devastating fall tells a grim tale of colonial exploitation.
“In 1700, India’s share of the world economy was 27%, more than all of Europe combined—by the end of British rule, it had fallen to just 3%”
Historical Records
Impact of British Rule
Before British rule, India was a hub of trade and commerce, with flourishing industries like agriculture, textiles, and manufacturing. But after the death of Mughal Emperor Aurangzeb in 1707, the British seized control, exploiting India for its resources. By the time India gained independence in 1947, the country’s once-thriving industries had collapsed, its economy crippled, and its people divided.
Ancient Indian Industries
India was a far greater industrial and manufacturing nation than any in Europe or Asia. Its textile goods, exquisite jewelry, precious stones, pottery, porcelains, fine metalwork were renowned worldwide.From the writings of JT Sunderland
Textile Industry
India was once a textile superpower, holding a 25–30% share of the global textile trade. But under British rule, India’s vibrant textile industry was crushed by monopolies and disrupted trade links.
Shipbuilding Industry
Indian vessels were known for their elegance, utility, and durability, outlasting English ships by far.
Historical Records
India’s shipbuilding industry was another victim of British exploitation. Indian vessels, known for their durability and elegance, outlasted British ships by decades. But the British East India Company’s dominance led to the downfall of the Bengali merchant fleet, robbing India of a vital source of revenue.
Bengali ships were much more durable than English ships. Bengali ships had an average lifespan of over 20 years, while English ships were not known to last more than 12.
Merchant contracts from that time period
Steel Industry
Indian made Steel was popularized as Damascus steel which came from the Indian Steel Industry which was the first in the world to provide steel to the world from before the 6th century CE
Historical records
India pioneered the production of crucible steel, also known as Damascus steel, as early as the 6th century CE. This industry, too, was crippled under British rule, leading to a loss of global reputation.
Exploitation by Taxation
Beyond industries, the British imposed harsh taxes on Indian farmers, often forcing them into debt and starvation. This system of exploitation created millions of landless farmers and fueled cycles of poverty.
The Impact of the British Raj
By the late 19th century, India had become Britain’s largest source of revenue. Indian taxes funded British soldiers and civil servants, but the cost to India was catastrophic.
“India is to be bled of money; the Lancet should be directed to those parts where the blood is congested”
Marquess of Salisbury, UK Prime Minister
It’s estimated that the British extracted a jaw-dropping $43 trillion from India during their rule. The construction of railways, often hailed as a British “gift” to India, was primarily for British economic interests, with each mile costing Indians exorbitantly more than what similar infrastructure cost in the U.S.
The total amount of wealth extracted from India by the British amounts to a jaw-dropping $43 trillion.
Modern economists estimation
Railways of India
Every mile of Indian rail cost an inflated £18,000 to construct, compared to only £2,000 for the same distance in the United States.
Historical Records
The British-built railways were used to exploit India’s resources, transporting agricultural goods out of the country—even during famines, which resulted in the deaths of 35 million people.
The Legacy of British Colonialism
“Under British rule, an estimated 35 million preventable deaths occurred due to famines”
Contemporary Records
The story of India’s decline under British rule is a harsh reminder of the destruction wrought by colonialism. Fortunately, since gaining independence, India hasn’t experienced a large-scale famine, and the country is on a path of self-reliance and recovery. While the economic scars run deep, the resilience of India continues to shine.
Conclusion
The story of India’s journey from abundance to abject poverty under British rule stands as a poignant reminder of the price paid for colonialism’s pursuit of wealth and power.