Question

Why did the market for Indian goods suffer in India and England?

• A. The British charged nominal duties on Indian goods entering Britain and British goods entering India were also charged nominal duties.
• B. The British charged heavy duties on Indian goods entering Britain and British goods entering India were also charged heavy duties.
• C. The British charged heavy duties on Indian goods entering Britain while British goods entering India were charged only nominal duties.
• D. The British charged nominal duties on Indian goods entering Britain while British goods entering India were charged with heavy duties.

Answer 1

The correct option is C The British charged heavy duties on Indian goods entering Britain while British goods entering India were charged only nominal duties.

East India Company’s aim was to buy the maximum quantity of Indian manufactured goods at the cheapest price and sell them to other European countries for a huge profit. The British followed the policy of protective tariffs that was much against the trading interests of India. Heavy duties were charged on Indian goods in Britain, but at the same time, the English goods entering India were charged only nominal duties.