The First World War was fought in Europe between 1914 and 1918. It was fought between two major powers of the time- the Allies comprising of Britain, France and the Central Powers comprising of Germany, Austria-Hungary and Ottoman Turkey. The First World War was the first war of its own kind.
The commencement of the war created a new situation and new possibilities. The European industries were restricted for the production of wartime commodities. With the British mills involved with the production of war goods, their imports into India declined. Thus, suddenly the Indian mills had an immense home market to supply goods. Thus the production and sales of Indian goods in the domestic market increased.
With the war continuing, the Indian factories and industries were required to supply war needs: jute bags, cloth for army uniforms, tents, leather boots, horse and mule saddles and many other items. New factories were set up and old ones ran multiple shifts. The employment increased and the existing workers were required to multiple shifts and sometimes, overtime. Over the war years, industrial production raised in the country.
But even after the war, Britain was not able to recapture its old place in the Indian market. The economy of Britain was disintegrating after the war. This reduced the production and export of their commodities to the colonies. Within the colonies, the local industrialists were gradually involved in consolidated their position by substituting foreign commodities with their local goods and gradually capturing the home market
