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The export of Indian yarn to China declined in 1906. Why?
- a)The Chinese started producing better yarn themselves
- b)Indians started using their own yarn at home
- c)Produce from the Chinese and Japanese mills flooded the Chinese market
- d)Indians started making cloth instead of exporting yarn
Correct answer is option 'C'. Can you explain this answer?
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Verified Answer
The export of Indian yarn to China declined in 1906. Why?a)The Chinese...
(i) When Indian businessmen began setting up industries; they avoided competing with Manchester goods in the Indian market.
(ii) Since yarn was not imported by British in India, early cotton mills in India started producing coarse cotton yarn rather than fabric.
(iii) The yarn produced in Indian spinning mills was used by handloom weavers in India or exported to China.
(iv) As the Swadeshi Movement began, nationalists told people to boycott foreign cloth.
(v) Industrial groups organized themselves to protect their collective interests.
(vi) From 1906, the export of Indian yarn to China declined since produce from the Chinese and Japanese mills flooded the markets.
(vii) So industrialists in India began shifting from yarn to cloth production.
(viii) Cotton piece goods production in India almost doubled between 1900 and 1912.
Most Upvoted Answer
The export of Indian yarn to China declined in 1906. Why?a)The Chinese...
Explanation:
The export of Indian yarn to China declined in 1906 due to the following reasons:
1. Produce from the Chinese and Japanese mills flooded the Chinese market:
The Chinese and Japanese mills were able to produce yarn at a lower cost and in larger quantities compared to Indian mills. This led to a flood of cheap yarn in the Chinese market, making it more economical for Chinese consumers to buy locally produced yarn rather than importing it from India.
2. Increased competition:
With the entry of Chinese and Japanese mills into the market, Indian yarn faced stiff competition. These mills were able to produce better quality yarn, often using advanced technology and machinery. This made Indian yarn less attractive to Chinese buyers, leading to a decline in exports.
3. Rising protectionism:
During this period, China implemented various protectionist measures to support its domestic industries. These measures included imposing higher tariffs on imported goods, including Indian yarn. The increase in import duties made Indian yarn more expensive compared to locally produced yarn, discouraging its import and further contributing to the decline in exports.
4. Domestic consumption:
As the Indian textile industry developed, there was a growing demand for yarn within India itself. This led to a shift in focus from exporting yarn to meeting the domestic demand for cloth. Indian mills started using their own yarn to produce cloth, reducing the surplus available for export to China.
Overall, the decline in the export of Indian yarn to China in 1906 can be attributed to a combination of factors such as increased competition from Chinese and Japanese mills, rising protectionism, and the shift in focus towards meeting the domestic demand for cloth.
The export of Indian yarn to China declined in 1906 due to the following reasons:
1. Produce from the Chinese and Japanese mills flooded the Chinese market:
The Chinese and Japanese mills were able to produce yarn at a lower cost and in larger quantities compared to Indian mills. This led to a flood of cheap yarn in the Chinese market, making it more economical for Chinese consumers to buy locally produced yarn rather than importing it from India.
2. Increased competition:
With the entry of Chinese and Japanese mills into the market, Indian yarn faced stiff competition. These mills were able to produce better quality yarn, often using advanced technology and machinery. This made Indian yarn less attractive to Chinese buyers, leading to a decline in exports.
3. Rising protectionism:
During this period, China implemented various protectionist measures to support its domestic industries. These measures included imposing higher tariffs on imported goods, including Indian yarn. The increase in import duties made Indian yarn more expensive compared to locally produced yarn, discouraging its import and further contributing to the decline in exports.
4. Domestic consumption:
As the Indian textile industry developed, there was a growing demand for yarn within India itself. This led to a shift in focus from exporting yarn to meeting the domestic demand for cloth. Indian mills started using their own yarn to produce cloth, reducing the surplus available for export to China.
Overall, the decline in the export of Indian yarn to China in 1906 can be attributed to a combination of factors such as increased competition from Chinese and Japanese mills, rising protectionism, and the shift in focus towards meeting the domestic demand for cloth.
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The export of Indian yarn to China declined in 1906. Why?a)The Chinese...
C
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The export of Indian yarn to China declined in 1906. Why?a)The Chinese started producing better yarn themselvesb)Indians started using their own yarn at homec)Produce from the Chinese and Japanese mills flooded the Chinese marketd)Indians started making cloth instead of exporting yarnCorrect answer is option 'C'. Can you explain this answer?
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