Economic Conditions in 18th Century

In the 18th century, India faced economic, social, and cultural stagnation, failing to progress at a pace that could avert collapse. The state’s increasing revenue demands, oppression by officials, and the greed of nobles, revenue-farmers, and zamindars created a dismal existence for the people.

Deteriorating Conditions

Rival armies’ movements, depredations by adventurers, and a general lack of stability contributed to despicable living conditions. Extreme poverty coexisted with opulence, where wealthy nobles enjoyed luxury while peasants endured oppression and impoverishment.

Contrasts and Injustices

India was a land of contrasts, with rich and powerful nobles alongside oppressed and impoverished peasants. The stark inequalities and injustices in society were evident, with the powerful living in comfort while the masses struggled at the bare subsistence level.

Comparison with British Rule

Despite the challenges of the 18th century, the life of the Indian masses during this period was arguably better than it would become after over 100 years of British rule by the end of the 19th century.

Read Also: Indigo Revolt in Bengal

Agriculture

Stagnation in 18th Century Indian Agriculture

Technological Stagnation: Indian agriculture in the 18th century remained technically backward and stagnant, with production techniques unchanged for centuries.

Peasant Hardship: Despite their hard work compensating for technological limitations, peasants faced inadequate rewards. They achieved remarkable production feats, but their labor seldom translated into commensurate benefits.

Enduring Challenges: The peasants, crucial for supporting society, rarely reaped the full benefits of their efforts. Although land shortage wasn’t a widespread issue, the economic disparities persisted, leaving the agricultural sector underappreciated and underrewarded.

Trade

1. Despite the self-sufficiency of Indian villages and limited external imports, the Mughals facilitated extensive trade within India and with Asian and European countries, despite the backward means of communication.

2. India imported −

pearls, raw silk, wool, dates, dried fruits, and rose water from the Persian Gulf region
coffee, gold, drugs, and honey from Arabia
tea, sugar, porcelain, and silk from China
gold, musk and woolen cloth from Tibet
tin from Singapore
spices, perfumes, attack, and sugar from the Indonesian islands
ivory and drugs from Africa
woolen cloth, metals such as copper, iron, and lead, and paper from Europe.

3. India’s primary export, renowned worldwide, was cotton textiles. Bombay port facilitated the export of various goods, including raw silk, silk fabrics, hardware, indigo, saltpeter, opium, rice, wheat, sugar, pepper, spices, precious stones, and drugs.

4. However, constant warfare and disorder disrupted both internal and foreign trade. Many trading centers faced looting by both Indian and foreign invaders, while organized bands of robbers infested trade routes, regularly plundering traders and caravans. The road between Delhi and Agra became unsafe due to marauders.

Read Also : South Indian States in 18th Century

5. With the rise of autonomous provincial regimes, the number of custom houses increased significantly. Rulers attempted to boost their income by imposing heavy customs duties on goods passing through their territories. The impoverishment of nobles, major consumers of luxury products, further harmed internal trade. Additionally, prosperous cities and industrial hubs were sacked and devastated during this period.

Delhi was plundered by Nadir Shah;
Lahore, Delhi, and Mathura by Ahmad Shah Abdali;
Agra by the Jats;
Surat and other cities of Gujarat and the Deccan by Maratha chiefs;
Sarhind by the Sikhs, and so on.

6. The downturn in both domestic and international trade adversely affected industries in certain regions of the country. However, in other parts, industries flourished due to increased trade with Europe facilitated by the actions of European trading companies.

7. The important centers of textile industry were −