[Answered] Examine the major factors that shaped the British land-revenue policy in India. How did it affect Indian society?
Red Book
Red Book

Demand of the question
Introduction. Contextual Introduction.
Body. Factors behind British land revenue policy in India. It’s impact.
Conclusion. Contextual conclusion.

British introduced different types of land revenue policies in India during their rule like permanent settlement, ryotwari system. Although several major factors were responsible in shaping the British Land Revenue Policy in India, it was mainly guided by maximising revenue.

Major factors behind British land-revenue policies in India:

  1. Economic factors: The permanent settlement and other settlements was seen as a fixed and stable income for the state. Further, it saved the Government the expenses that had to be spent in making collections. It was thought that the soil under cultivation would be improved for revenue generation. The British needed the land revenue to:
    • pay for purchase of Indian handicrafts and raw material,
    • meet the cost of conquest of whole of India,
    • pay for employment of thousands of Englishmen in superior administrative services and
  2. To create a Class of loyal zamindars: The another major consideration was that the Permanent Settlement would create a class of loyal zamindars who would be prepared to defend the company at all costs because their rights were guaranteed by the British.
  3. Agricultural Indian society: Indian society was predominantly agricultural. The revenue demand has to be fulfilled from agriculture. Other sectors such as industries sector was not fully developed. Thus British land revenue policies was guided by this, therefore maximising profit through agriculture and land.
  4. India as market: The British government viewed India as a market for its finished products and a source for raw material. This was fulfilled by having zero import and export duty. This was done on the expense of revenue gathered from agriculture.
  5. Burden of war and administration: The main burden of providing money for the trade and profits of the company, the cost of administration and the wars of British Expansion in India was borne through land revenue.

Impact of British land revenue policies:

  1. Pauperisation of the rural economy: The rural economy as a whole was affected. All the classes from zamindars to peasants were affected. Many lost their livelihoods due to loss of land and right to cultivate.
  2. Shifting from food crops to cash crops: In order to meet the high revenue demand the farmers had to shift from food to cash corps like indigo, cotton, which led them to buy food grains at higher prices and sell the cash crops at low prices.
  3. Food scarcity and famines: The shifting to cash crops and decreasing productivity of land badly affected the society in the form of famines. This led to many famines in India, causing death of millions.
  4. Increase in money-lending: The land settlements introduced a market economy with cash payments of revenue. This led to an increase in money-lending activities, which put Indian peasants under debt, which were exploited by money lenders.
  5. Led to inequalities: The Land tenure system led to increase in social inequalities. While rich defended their properties, the poor didn’t have any resources to do so. Further due to illiteracy they were exploited by money lenders for interests.
  6. Handicrafts and industries affected: It impacted circular economy. The peasants and zamindars earlier had purchasing power to buy handicrafts. Loss of income of peasants affected the handicrafts industry too. Handicrafts men resorted to agriculture that further put pressure on land. The industries were affected due to lack of raw materials.
  7. Impact on local administration: It deprived village panchayats of their two main functions: land settlements and judicial and executive functions. Thus the old politico-economic-social framework of village communities broke down.

The overall impact of the all this was stagnation and deterioration of agriculture. It led to series of famines in 19th century. The unsustainable system led to series of peasant revolts. The miseries of the peasant was one of the important cause for the revolt.

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