5.

Economy and Livelihood

Economy: It is a social system of production, distribution and

consumption.

Livelihood: The field in which a person works or works in different

periods of life is called his livelihood or profession or employment.

Industrialization: Industrialization is a process in which production is

done by machines in factories.

due to industrialization

● necessity is the mother of invention

● Invention of new machines
● abundance of coal and iron
● introduction of factory system
● availability of cheap labor
● vast colonial state

In 1969 , Richard Arkwright invented a machine called Spinning

Frame for spinning yarn which ran on water power. In 1770 , James
Hargreaves, a resident of Standhill, created a different machine for
spinning yarn, the 'Spinning Jenny' . In 1773 , John Kay of Lancashire
invented the 'Flying Shuttle' , due to which weavers started working
faster and the demand for thread increased. In 1779 , Samuel
Compton invented the 'Spinning Mule' , which could spin fine yarn. In
1785 , Edmund Cartwright developed a steam-poweredPrepared loom
named 'Powerloom' . In 1769 , James Watt invented the steam engine .
In 1815 , Humphrey Davy invented a 'safety lamp' for working in mines
.

livelihood of workers

Industrialization exploited the laborers. Women and children were

also made to work for 18-18 hours. , The factories made the laborers
unemployed. Industrialization had destroyed the livelihood of the
laborers in such a way that they did not have money to buy articles of
daily consumption. Therefore, the workers turned to the movement.
The first 'Factory Act' was passed in 1881 to improve the condition of
laborers in India. By this, children below the age of 7 were banned
from working in factories, the working hours of children below the
age of 12 were fixed and the working hours and wages of women were
also fixed.

impact of industrialization

1. Development of cities.

2. Decline of cottage industries.

3. Growth of Imperialism.

4. Class division in the society and rise of the bourgeoisie.

5. Birth of the factory working class.

6. Introduction of slum system.

Livelihood of workers after independence

● After attaining independence, keeping in mind the livelihood

of laborers and their rights, the government passed the
Minimum Wages Act in 1948 , by which
● Wage rates were fixed in some industries. In 1962 , the
Central Government set up the National Labor Commission
to improve the condition of the laborers.
● installed. Through this, employment was provided to the
laborers and efforts were made to improve their wages. In
this way, after attaining independence, the Government of
India has taken several steps to improve the economic
condition of the laborers engaged in the industry, as they
were exploited by the capitalists during the period of
industrialization.
● Industrialization gave birth to colonialism.

Establishment of factories in India

● Cottage industries were closed in India due to industrial

production, but big factories were opened for the textile
industry by investing domestic and foreign capital.
● The foundation of the first cotton cloth mill was laid in
Bombay in 1851 AD. Thirty factories were built from 1854 to
1880 . By 1895 , the number of cotton cloth mills had
increased to forty-nine. , By 1914 it had increased to 144.

Establishment of factories in India

● In 1917 , Hukum Chand established the country's first jute

mill in Calcutta.
● In 1907 , Jamshedji Tata established Tata Iron and Steel at a
place called Sakchi in Bihar.
● Coal industry started in India in 1814 .
Importance and utility of cottage industry

Although the process of industrialization caused a lot of damage to

the cottage industry of India, and affected the livelihood of the
laborers, even in this odd and adverse situation, this industry
continued to flourish and flourish in the villages and towns and
continued to benefit the common people. This industry played a
leading role in the National Movement, especially during the Swadeshi
Movement. Therefore its importance cannot be denied. Mahatma
Gandhi had said that small scale and cottage industries are suited to
the Indian social condition. They play a very important role in the
national economy. Cottage industries ensure consumer goods,
employment to a large number and a more equitable distribution of
national income. In the process of rapid industrialization, small scale
industries have proved that they are beneficial in many ways.

The upper class people in Britain gave more preference to hand

made items in India. Hand-crafted fine thread fabrics, Tasar silk,
Banarasi and Balucherry sarees and sarees with woven borders and
the famous Lugis of Madras were in high demand among the upper
classes of Britain. It could not be copied by machines and the special
thing was that it was not affected by famine and unemployment
because it was expensive and was used only by the upper class in
foreign countries.

After the attainment of independence in 1947 AD, there was a change

in the policies of the Government of India for the utility and
development of the cottage industry . Small and cottage industries
were encouraged by the industrial policy of 6 April 1948 . In the year
1952-53 AD , five boards were formed namely Handloom, Silk, Khadi.
Coir coir and were for rural industry. Their promotion was talked
about in the industrial policies of 1956 and 1977 . Later, on 23 July
1980, the Industrial Policy Manifesto was issued, in which agro-based
industries were talked about and the limit of small scale industries
was also increased.

In this way, we see that after the attainment of independence, where

on one hand the Government of India promoted the cottage industry,
on the other hand the process of industrialization also started moving
forward. Industrialization, which began as an economic process,
paved the way for political and social change in India. After 1950 ,
Britain, which was considered the leading industrial power in the
whole world, lost its first place and countries like America and
Germany went far ahead in terms of industrial development .