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After the 17th Century, production of cotton in India decreased beyond limits. After the East India Company procured its rights in trade and monopoly from the Indian government, the ports of Surat and Hoogly declined. The colonial Rajahs forbid the proto-industrial trade in cotton through merchants in towns and established their authaurities over the country. They appointed officials known as 'gomasthas' who regulated trade, gave out advances to weavers and procured their produce. They eliminated trade with outside merchants and all the cotton of India was concentrated into the hands of the British. Textiles from India, were prohibited from sale in London and other colonies of the British. The export rate fell disastrously. Weavers were left unattended to and fell into the trap of poverty as production declined. The textiles belonging to India were much costlier than the cheap machine made textiles that were now imported to India from Machester, where they were made. During the First World War, these imports fell. Manchester was now required to produce articles for the war. Uniforms, horse saddles, tents and boots. Indian textiles flooded the markets as these were the only option for people now. Gradually, as the war dragged on, Indian factories were called upon to produce for the War. Produce and profits boomed in the country. After the war, though, Manchester could never regain the position that it had posessed earlier in India.

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