The Decline of Indian Handicraft in British Period

Abstract

Before British colonial rule, India was a global hub of luxury craftsmanship, sustained by strong patronage from Indian rulers. The Maratha Empire, especially under the Peshwas, actively supported artisans through state-funded workshops (Karkhanas), tax exemptions, and royal patronage, turning cities like Pune, Jhansi, Kashi, Maheshwar, Chanderi, and Baroda into centers of textile, jewelry, and craft excellence. This patronage model was mirrored by other Indian dynasties, creating a self-sustaining economy where wealth stayed within the region. After the British East India Company's decisive victory in 1818, this system collapsed. Colonial policies dismantled royal courts, ended artisan patronage, imposed one-way free trade favoring British goods, levied heavy internal duties on Indian products, and built railways designed to extract raw materials while flooding villages with factory-made imports. This led to the destruction of India's handicraft industry, mass deurbanization, artisan unemployment, and increased pressure on agriculture, deepening rural poverty. The paper argues that colonial economic policy, not lack of skill, caused this decline, a memory later revived through the Charkha during India's freedom movement.