The Unmaking of India: How the British Impoverished the World’s Richest Country

in the year 1700 India's share in the world's economy was an astounding 27 percent more than all of Europe combined 250 years later India's share had dropped to Less Than 3 percent and its people were left impoverished what happened strapping adventurers we're about to dive into a dark and messy history welcome to 18th century India in 1707 CE the death of Mogul Emperor auring sends the empire into a decades-long spiral in his wake an endless parade of weak princelings forced themselves upon the Peacock Throne with the Mogul Empire teetering on the brink of collapse Regional

Powers jostle for Supremacy land grabs and Title claims infighting and betrayal India is vulnerable the situation is so precarious that in 1739 Persian Emperor Nader Shah invades North India and sacks Delhi during this period of disorder the British sensed opportunity leveraging their unique advantages as a foreign power they bribed and blasted their way into a dominant position in the subcontinent India was no stranger to dealing with foreign aggression but the British were not like those who had come before they were not like not their Shah who looted and simply left nor were they like the

Huns who while shedding Gupta blood became Indian themselves yes the British were different for they saw India as an inexhaustible Gold Mine whose resources were to be forever extracted by the time India won its independence in 1947 its native institutions had been demolished its economy de-industrialized its trade networks severed and its people more deeply divided by caste and Creed in just 200 years of colonial rule the India that once inspired the world was unmade the Halcyon Days of India are over she has been drained of all the wealth she once possessed and her energies have

been cramped by a sordid system of misrule the deliberate bleeding of India by the British was so extreme that famed American Scholar will Durant referred to it as the greatest crime in all of history so let's pull back the curtain and see what India was like before colonialism in the 19th century the American JT Sunderland wrote about the India that the British found when they arrived India was a far greater industrial and Manufacturing Nation than any in Europe or Asia her textile goods were famous all over the Civilized world so was her exquisite jewelry and

her precious stones so was her Pottery her porcelains and Ceramics so were her fine Works in metal iron steel silver and gold she had great architecture equal and Beauty to any in the world she had great Merchants businessmen bankers and financiers she was not only a great shipbuilding Nation but had Commerce and trade which extended to all civilized countries that may seem like heavy-handed praise but the record does show that pre-colonial India was a dominant manufacturing economy let's take a closer look at the textile shipbuilding and metal working Industries India was a textile superpower for

most of its long history there were many textile centers in the subcontinent Coastal Andhra was a block printing hub for example while Gujarat and Bengal were known for their high-end woven products there was Global demand for these items in fact India enjoyed a mind-blowing 25 share of the global textile trade by the mid-18th century this thriving textile trade had knock-on effects for the entire economy for example the popularity of Indian textiles led to the creation of stable International distribution networks by piggybacking on these networks other Indian Artisans could sell their goods worldwide at a reduced

cost as a result many different Industries flourished alongside the Indian textile industry we know that international trade was conducted primarily along Maritime routes and so the Indian shipbuilding industry had developed into a behemoth too a significant number of Indian ports were engaged in the shipbuilding industry Dhaka maslapatnam Surat kalakut Quillon and many many others entire rural communities were involved in the production and processing of materials used to construct ships quality was Paramount consider the Bengali Merchant Fleet in the early 17th century the fleet consisted of nearly 5 000 ships each capable of carrying up to

500 tons of goods these ships were constructed in Bengali ports by native Artisans who had the skills to craft elaborate wood iron and brass fittings according to one British Maritime Observer Indian vessels combine elegance and utility and are models of fine workmanship Merchant contracts indicate that Bengali ships were much more durable than English ships Bengali ships had an average lifespan exceeding 20 years while English ships were not known to last more than 12. quite a difference India was a longtime Pioneer in the global steel industry as early as the 6th Century CE Crucible formed steel

which came to be known as woots or Damascus steel in the west was being produced for export by Indian blacksmiths particularly along the Malabar coast and in the Deccan Arab and European officers regularly imported blades from India while these blades were purchased as wartime implements they were so robust and beautifully crafted that they also served as a mark of high status in times of Peace though we've barely scratched the surface it should already be clear that India was a manufacturing Juggernaut a thriving exporter of high quality Goods to markets throughout the world how did the

British manage to unmake all of that the fundamental principle of the British has been to make the whole Indian Nation subservient to the interests and benefits of themselves and so once the British took power they changed the entire Dynamic of the Indian economy to suit their own interests the first step dismantling all Native industry to start they established a legal Monopoly over Indian textile and cut off the export Market which immediately disrupted long-standing trade links having now made themselves The Exclusive buyers of Indian textiles the British then changed the way that they paid for those

goods instead of using foreign currency they paid using the tax revenues extracted from India the Indian economy stagnated and prices collapsed skilled Artisans who once fueled the vibrant Indian economic engine were now significantly poorer and more restricted than ever before and it didn't stop there soon enough British manufacturers lobbied their government to completely eliminate the competition from the Indian textile industry see despite the restrictions imposed on Indian industry British manufacturers were still finding it difficult to compete with Indian Products Company soldiers were sent to smash Indian looms according to several different accounts they even went

around breaking the thumbs of Weavers so that they could no longer apply their trade but that's not all to ensure that the Indian textile industry could not recover adapt or innovate itself back into relevance the British imposed an absurdly harsh 80 tariff this had an immediate Catch-22 trap effect exporting goods from India to the UK was now economically unviable but remember Indians were restricted from selling to anyone else similar restrictions were imposed on nearly every branch of manufacturing in India India was reduced to being a mere exporter of raw materials like cotton and metal ore

so that the British could sell finished products back to Indians at a premium we conquered India as an outlet for the goods of Britain I'm not such a hypocrite to say that we hold India for the Indians the colonial de-industrialization process was so complete that by 1947 only 0.7 percent of India was employed in any form of manufacturing but skilled workers had to go somewhere do something the British Monopoly on industrial production drove Indian Artisans Merchants Builders and others into Agriculture and mass in the words of Dr Charles Hall India's population has been thrown back

upon the soil because Britain's discriminating duties have ruined every branch of native manufacture rural wages crater to historical lows and in fact the land itself could not sustain the influx of newly disenfranchised workers poor seasonal harvests and droughts gave way to catastrophic famines and mass poverty with most Indians now converted into peasant cultivators the British sought to exploit them further they began to tax cultivators as the primary revenue source for the administration taxes were extreme pegged at 50 to 80 percent of gross income and calculated before the Harvest the result Indian cultivators often owed more

in taxes than they earned as income the British knew how harsh this really was they openly conceded that they were imposing the highest tax rates in the world and their taxes were more than three times higher than they had ever been under Indian rulers to add insult to injury the British even bragged about it in Parliament Indians have been taxed to the utmost limit every province has been made a field for higher exaction and it has always been our boast how greatly we have raised the revenue above that which the native rulers were able to

extort Colonial taxes were so burdensome that two-thirds of the population in directly ruled British areas fled to the Hinterlands where Native Indian Lords could at least minimally protect them from Financial depredation the millions who stayed behind could hardly afford to pay taxes and the situation was worsened by the fact that the British did not negotiate tax payments Horrors were perpetrated under the guise of sinless mathematical neutrality tax defaulters were confined in cages and exposed to the burning Sun fathers sold their children to meet the rising rates vulnerable peasants were physically tortured to pay up and

when they didn't have the means to pay the British confiscated their farmland for themselves tens of millions of landless peasants were created for the first time in Indian history by the end of the 19th century India was Britain's largest source of Revenue by far its largest purchaser of exports and a source of highly paid employment for both British civil servants and soldiers and they were all paid for by Indian taxes many British officials freely acknowledged the exploitative nature of the colonial Enterprise in fact a prime minister of the UK the Marquez of Salisbury himself admitted

as India is to be bled of money the Lancet should be directed to those parts where the blood is congested and just like that India and its people were bled dry the fundamental issue of British Overlord was the fact that the British had no intention to become one with the land or to rule it as their own British saw India as innately and eternally foreign and this Justified their creation and maintenance of what Scholars have referred to as an extractive Colony for comparison's sake consider the turkic peoples who invaded India and eventually formed the Delhi

sultanate in the Mughal Empire look the Moguls were no Heroes they impose unequal taxes engage in religious discrimination plundered local treasuries visited great violence upon their enemies and exhibited a persianized racial arrogance but one thing is clear India's wealth was preserved at a foundational level after nearly two centuries of Mogul rule India was still a dominant economic power responsible for 27 percent of global trade there's a simple reason for that see the Moguls had a foreign place of origin for Ghana but they did not repatriate India's resources to their original Homeland India may not have

been for Ghana but it had become their new home and so their loyalties and energies were owed solely to India meanwhile the British ruled India as disconnected tyrants the bulk of the revenue from India wasn't reinvested in India no no no it was extracted and repatriated to their distant foggy Homeland how much modern economists have estimated that the total amount of wealth that the British extracted from India is in the ballpark of 43 trillion dollars yes 43 trillion dollars when taxes are not spent in the country from which they are raised they constitute an absolute

loss and extinction of the whole amount withdrawn from the tax country the money might as well be thrown into the sea such as the nature of the tribute we have so long exacted from India apologists for Colonial rule often point to the railways as some sort of extravagant counter to the argument of extraction and divestment but as modern Scholars have pointed out the railways serve as evidence for how exploitative and inefficient British investment in India really was first there's the Bold assumption that Indians would not have built Railways like the Japanese or others either by

importing to technology or by developing their own India had been far too advanced in Cutting Edge of civilization to not keep up had it been given the opportunity to do so when the British came to India the country was the leader of Asiatic civilization Japan was nowhere now in 50 years Japan has revolutionized her history with the aid of Modern Arts of progress in India burdened by 150 years of English rule is condemned to tutelage but let's ignore that for now initially the Indian railways were positioned as a grand investment scheme for British shareholders the

government guaranteed substantial returns of at least five percent per year and when the revenues were not enough to pay out these returns Indian taxpayers covered all the losses because of these taxpayer-backed guarantees construction of the railways was extremely inefficient here's a fun stat every mile of Indian rail cost 18 000 pounds to construct as compared to two thousand pounds for the same mile built in the United States all the elements of Railway construction steel wagons gears engines and more were produced by British manufacturers Indians weren't even given an opportunity to produce their own manufactured Alternatives

because the British government imposed restrictions that prevented Indians from competing worse still the essential purpose of the railways was to assist the British Enterprise in the exploitation of the natural resources of India in fact the railways made it possible for the British to export enormous amounts of grain and other agricultural products which sparked an exacerbated famines over the course of British rule in India an estimated 35 million preventable deaths were caused by famines that's Millions more than those killed under Stalin or Mao and that's five times more than the Holocaust the British were directly responsible

for this they Mass exported Indian foodstuffs to Britain and other countries in Europe even during drought periods food in India became too expensive for peasants to afford according to Dr Charles Hall India starves so that its annual tax revenue to England may not be diminished by a dollar there is plenty of grain in India the trouble is that the people have been ground down until they are too poor to buy it the British had no interest in provisioning for Indian lives famine non-intervention was official government policy how ironic given that heavy-handed British intervention and Market

manipulation is what sparked the famines in the first place and when good people Indians and foreigners work together to help famine affected peasants the British government made efforts to stop them they were Furious that the government's own failures were being highlighted don't believe me listen to this British officer in his own words scores of corpses were tumbled into Old Wells because the deaths were too numerous for the relatives to perform funeral rights mothers sold their children for a single meal husbands flung their wives into ponds to escape the torment of seeing them perish from Hunger

but amid these scenes of death the British government in India was unmoved newspapers were persuaded into silence orders were given to civilians do not acknowledge that civilians are dying of hunger and if you think that Indians would have done a worse job consider this there hasn't been a single large-scale Indian famine in the 70 plus years since British rule ended not one Independent India has its flaws but it has been overwhelmingly better at providing for the care safety and prosperity of its own people and now you know