Write True or False against the statement: The American Civil War resulted in the reduction of cotton exports from India.
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Solution
The American Civil War resulted in the reduction of cotton exports from India.
Answer: False
On the Contrary, the civil war in America resulted in an increase of cotton exports from India to Britain.
Due to the civil war in America, cotton supplies from the US to Britain were disrupted.
Hence Britain turned to India to meet the cotton supplies for its industry.
The price of raw cotton shot up in India, as the raw cotton exports from India to Britain increased during this period.
Cotton weavers in India did not have sufficient supply of raw cotton due to increased exports from India. Cotton Weavers in India had to pay exorbitant prices for buying raw cotton.