(i) The early industrialists avoided a direct competition with the British factories.
(ii) The cotton mills started to produce coarse cotton yarn and this was exported to China.
(iii) As Swadeshi Movement gathered momentum, industrialist pressurized the government to increase tariff protection.
(iv) Exports to China declined and domestic markets were taken over by China.
(v) During the First World War, the British Government called upon the Indian mills to produce goods such as jute bags, boots, etc., for the British Army.
(vi) As the war prolonged, England could not capture the Indian markets.
