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the demand for indigo increased in late nineteenth centurybritain because of what?

By the end of the eighteenth century, the demand for Indian indigo grew further. Britain began to industrialise, and its cotton production expanded dramatically, creating an enormous new demand for cloth dyes. While the demand for indigo increased, its existing supplies from the West Indies and America collapsed for a variety of reasons. Between 1783 and 1789 the production of indigo in the world fell by half. Cloth dyers in Britain now desperately looked for new sources of indigo supply.

Faced with the rising demand for indigo in Europe, the Company in India looked for ways to expand the area under indigo cultivation.

From the last decades of the eighteenth century indigo cultivation in Bengal expanded rapidly and Bengal indigo came to dominate the world market. In 1788 only about 30 per cent of the indigo imported into Britain was from India. By 1810, the proportion had gone up to 95 per cent.

As the indigo trade grew, commercial agents and officials of the Company began investing in indigo production. Over the years many Company officials left their jobs to look after their indigo business. Attracted by the prospect of high profits, numerous Scotsmen and Englishmen came to India and became planters. Those who had no money to produce indigo could get loans from the Company and the banks that were coming up at the time.


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