Which of the following correctly describes India’s foreign trade structure at the time of independence?

Correct option is C

Correct Answer: (c) Export of raw materials and import of manufactured goods
Explanation:
· At the time of independence, India’s foreign trade was highly colonial in nature.
· India mainly exported raw materials such as cotton, jute, indigo, spices, and food grains.
· In return, India imported finished manufactured goods from Britain, such as machinery, textiles, and metal products.
· This led to the deindustrialisation of India's handicraft and textile sectors.
Information Booster:
· The structure of India’s foreign trade during the British period followed the classic pattern of a colonial economy.
· Britain enjoyed a monopoly over India’s trade—both exports and imports were controlled to benefit British industries.
· India’s trade lacked diversification, and there was no attempt at industrialisation within India.
Additional Knowledge :
(a) Complete trade isolation
· Incorrect — India was not isolated; it was deeply integrated into British global trade networks.
(b) Balanced trade
· Incorrect — India's trade was imbalanced, favouring British interests.
(d) High exports of finished goods
· Incorrect — India exported raw materials, not finished goods.