question_answer

Direction: Q. 6 to 10

Read the following case study and answer the given questions.

The restrictive policies of commodity production, trade and tariff pursued by the colonial government adversely affected the structure, composition and volume of India's foreign trade. Consequently, India became an exporter of primary products and an importer of finished consumer and capital goods like light machinery produced in the factories of Britain. The most important characteristic of India's foreign trade throughout the colonial period was the generation of a large export surplus

Due to its quality, Indian Indigo was in great demand in Britain. In 1810, almost 95% of the indigo imported into Britain was from India. Indigo production became a very profitable business and many Britishers became Indigo planters. They advanced loans to peasants at high rate and forced them to cultivate indigo in 25% of their land. They paid a low price for the Indigo. As the Indigo plant had deep roots, it exhausted the soil fertility and the land became unfit for rice cultivation.

What was the treatment given by the Indigo planters to the peasants?

A) They were paid low prices for growing Indigo

B) They were given support measures on how to grow Indigo along with a piece of land

C) Advancement of loans at a lower rate of interest

D) Peasants voluntarily agreed with the Indigo planters to produce Indigo