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Foreign goods were boycotted was one of the effect of the non-cooperation movement on the economic front dramatic.

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Detailed Solution

The above statement is correct.
In January 1921, the Non-Cooperation-Khilafat Movement officially started. This movement comprised members from various social groups with the call of Swaraj, but all had varied meanings of the concept. On the economic front, the consequences of Non-cooperation were more severe. Foreign goods were avoided, liquor stores were picketed, and foreign clothing was set ablaze in massive fires. Between 1921 and 1922, the amount of foreign clothing imported fell by half, from Rs 102 crore to Rs 57 crore. In many regions, traders and merchants declined to finance or trade foreign goods. Indian textile factories and handloom manufacturing increased as the boycott campaign gained momentum, and more people started wearing only Indian clothing instead of foreign clothes.

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