Indicate the volume and direction of trade at the time of independence.
At the time of independence, the restrictive policies of the colonial government adversely affected the volume of foreign trade. India became an exporter of primary products such as raw silk, cotton, wool, sugar, indigo, and jute, and an importer of finished consumer goods like cotton, silk and woollen clothes and capital goods like light machinery from Britain.
Regarding the direction of trade, Britain maintained a monopoly control over India's exports and imports. More than half of India's foreign trade was restricted to Britain, while the remaining trade was allowed with a few other countries like China, Ceylon (Sri Lanka) and Persia (Iran). The opening of the Suez Canal further intensified British control over India's foreign trade.
Explanation
The answer draws directly from Section 1.5 FOREIGN TRADE in the textbook. The volume aspect covers how colonial policies adversely affected trade structure and composition, making India an exporter of primary goods and importer of finished goods. The direction aspect highlights Britain's monopoly control, with over half of trade restricted to Britain and limited trade with China, Ceylon, and Persia. The Suez Canal reference shows how British control was further strengthened.