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Question 13.
Underscore some of India’s most crucial economic challenges at the time of independence.
At the time of independence in 1947, India inherited an economy that had been severely weakened by nearly two centuries of colonial rule. The country faced several deep-rooted economic challenges that required urgent attention.
One of the most serious challenges was widespread poverty and low per capita income. A large proportion of the population lived below subsistence level due to low productivity, stagnant growth, and lack of employment opportunities.
Another major problem was the overdependence on agriculture. About 70% of the workforce was engaged in agriculture, which was characterised by low productivity, outdated technology, and heavy pressure on land. This resulted in disguised unemployment and low incomes in rural areas.
India also faced the challenge of industrial backwardness. The industrial base was narrow, limited mainly to consumer goods such as cotton and jute. Heavy and capital goods industries were almost absent, making the country dependent on imports for machinery and technology.
The poor state of infrastructure further aggravated the situation. Transport, power, and communication facilities were inadequate and regionally imbalanced, as they had been developed mainly to serve colonial interests.
Another crucial challenge was unemployment and underemployment, especially among rural populations and displaced artisans affected by deindustrialisation.
In addition, India suffered from low levels of human development. Literacy rates were extremely low, especially among women, and health indicators such as life expectancy and infant mortality reflected poor living conditions.
Conclusion
In sum, at independence India faced poverty, agricultural stagnation, industrial backwardness, unemployment, inadequate infrastructure, and low human capital, making planned and balanced economic development an urgent necessity.