class-3
- Find out what the basic requirements are for setting up any modern industry? Why TISCO in Jamshedpur ?
What The Basic Requirements Are For Setting Up Any Modern Industry?
- AVAILABILITY OF THE RAW MATERIALS,
- LABOR,
- WATER SUPPLY,
- ELECTRICITY SUPPLY,
- TRANSPORT SYSTEM,
- EFFECTIVE COMMUNICATION SYSTEM,
- MARKET
- CAPITAL
- SITE
- CLIMATE
- BANKING FACILITIES
- GOVERNMENT POLICIES
Reasons for the setting up of the Tata Iron and Steel Company at Jamshedpur:
- Close to the iron ore, coal and manganese deposits as well as to Kolkata, which provided a large market
- Gets coal from Jharia coalfields, and iron ore, limestone, dolomite and manganese from Orissa & Chhattisgarh.
- Near the confluence of the rivers Subarnarekha and Kharkai.
- 32 km away from Kalimati station on the Bengal-Nagpur railway line.
- Government initiatives.
- FOREIGN TRADE
- Since Ancient India was important trading nation but Restrictive policies (commodity production, trade & tariff) by Britishers changed the structure, composition and volume of India’s foreign trade.
- India converted as exporter of primary products (raw silk, cotton, wool, sugar, indigo, jute) & an importer of finished consumer goods (cotton, silk, woolen clothes) and capital goods (light machinery produced for British companies)
- Britain established monopoly on exports & imports;
- Trade with Britain (50 %+ alone), China, Ceylon, Persia (Iran) etc but when Suez canal opened Britain’s control intensified.
- India’s foreign trade was export surplus (export>import) but it used in payments for employees, Expenses on war, import of invisible items. (It was drain of Indian wealth) so India’s economy couldn’t benefited.
- Even domestic market faced scarcity of essential commodities (food grains, clothes, kerosene) but flow of gold/silver into India could not increased.
- FOREIGN TRADE
- Since Ancient India was important trading nation but Restrictive policies (commodity production, trade & tariff) by Britishers changed the structure, composition and volume of India’s foreign trade.
- India converted as exporter of primary products (raw silk, cotton, wool, sugar, indigo, jute) & an importer of finished consumer goods (cotton, silk, woolen clothes) and capital goods (light machinery produced for British companies)
- Britain established monopoly on exports & imports;
- Trade with Britain (50 %+ alone), China, Ceylon, Persia (Iran) etc but when Suez canal opened Britain’s control intensified.
- India’s foreign trade was export surplus (export>import) but it used in payments for employees, Expenses on war, import of invisible items. (It was drain of Indian wealth) so India’s economy couldn’t benefited.
- Even domestic market faced scarcity of essential commodities (food grains, clothes, kerosene) but flow of gold/silver into India could not increased.
- Artificial waterway running across the Isthmus of Suez in north-eastern Egypt.
- connects Port Said with Gulf of Suez.
- Current issue: Cargo ship ‘Ever Given’ got stuck near the southern end of the Suez Canal; huge jam of vessels.
- About:
The Suez Canal: separates-African continent from Asia
- carrying over 12% of world trade
- nearly 19,000 ships, or an average of 51.5 ships per day
- major source of income for Egypt’s economy
- In 2015, Egypt announced plans to expand by 2023
- History:
- opened for navigation in November 1869.
- was controlled by British and French.
- Nationalized(1956) by Egypt after Suez Crisis(1956)
- DEMOGRAPHIC CONDITION
- First time census by Viceroy Lord Mayo in 1872.
- Firstcomplete census- 1881 Lord Ripon : Had certain limitations but revealed the unevenness in India’s population growth.
- After 1881, every 10 year census done. In 2021; will be 16th.
- The Five Distinctive Stages of Indian Demographic History
Stage 1: This is a state of high birth and death rates culminating in low population growth overall.
Stage 2: With a consistently high birth rate and decreasing death rate, population growth surges.
Stage 3: As the birth rate falls and the death rate remains low, the population continues to increase.
Stage 4: (India) Traditionally considered to be the final stage, this is one of demographic stabilization, in which both birth and death rates are low. This means that the overall population stays fairly low.
Stage 5: This final, contested stage may predict higher or lower fertility levels depending on which theorist you ask.
- Social development indicators: also not good.
- literacy level: < 16% (Female-7%)
- Health facilities: For less people, also inadequate. water+air borne diseases were rampant.
- mortality rate: Very high
- infant mortality rate: 218/1000 (Presently-33/1000)
- Life expectancy: very low; 44 years (presently-69 years)
- Poverty: No reliable data but was extensive.
- OCCUPATIONAL STRUCTURE
- Showed little sign of change else constant:
- Agricultural sector- 70-75 % workforce (largest share)
- Manufecturing-10%,
- Services-15-20%.
- Growing regional variation:
- workforce shifted from agricultural to manufacturing/services: Parts of Madras Presidency, Bombay, Bengal.
- workforce increased in agricultural: Orissa, Rajasthan and Punjab.
- INFRASTRUCTURE
- Roads: Britishers Built because:
- Prior roads were not fit for modern transport in British rule; shortage of all weather roads, in rainy season- chock
- primarily served the purposes of mobilising the army within India.
- drawing out raw materials from countryside to railway station or port.
- Railways: Introduced(1950) as most important contribution: ?
- Affected the structure of the Indian economy: 3 ways:
- Braked geographical & cultural barriers: People could travel long distance. (Social benefits<economic losses)
- foster commercialization of Indian agriculture; & affected the self-sufficiency of the village economies in India.
- Expanded volume of India’s exports but Indian people couldn’t benefited.
With roads & railway, Britishers also developed inland trade and sea lanes but were far from satisfactory.
- Ports: Port city – Calcutta, Bombay and Madras developed but….
- Water transport: uneconomical as Coast Canal on the Orissa coast (built through govt. fund but failed) couldn’t compete railway.
- Posts: For serve useful public purpose but inadequate.
- Telegraphs: expensive system of electric telegraph served the purpose of maintaining law and order.
- Real motive behind this development was not to provide basic amenities to the people but to serve various colonial interests.
- CONCLUSION
- Colonial rule (approx. 200 year) impacted all aspects of the indian economy.
- Agriculture sector: already saddled with surplus labour and extremely low productivity.
- Industrial sector: requirement of modernisation, diversification, capacity building and increased public investment.
- Foreign trade came but it feuded britain.
- Infrastructure facilities needed upgradation, expansion and public orientation.
- Poverty and unemployment required welfare orientation of public economic policy.
- Social and economic challenges before the country were enormous.
CHAPTER 1: Indian Economy on the Eve of Independence
[4 Marks each]
- Explain the condition of agriculture at time of independence?
- What was the two fold motive of the colonial government behind the policy of systematically deindustrializing India?
- What do you mean by capital goods industry?
- Explain the following briefly:
- Competition from machine
- New pattern of Demands
- Discriminatory Tariff policy
- Explain the condition of foreign trade at the time of independence?
- What was the focus of the economic policies persuaded by the colonial government in India? What were the impacts of these policies?
- Explain the occupational structure of India during colonial period?
- What objectives did British intend to achieve through their policies of infrastructure development of India?
- Indicate the volume and direction of trade at the time of independence.
- Were there any positive contributions made by the British in India? Discuss.