In the initial stages, which was the main problem faced by the East India Company in India?

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Competition with other European countries

High cost of raw materials

Irregular supplies of cotton and silk

All of the above

answer is D.

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Detailed Solution

In the initial stages, the main problems faced by the East India Company(EIC) in India were: competition with other European countries, high cost of raw materials and irregular supplies of cotton and silk.
When the EIC began to expand its trade zone, certain challenges emerged along with its expansion plan. The Dutch and the French presented the greatest threats among all the issues. They were viewed as the Company's fiercest competitors. Every time one of its competitors waged war against it, the Company would experience severe financial losses. It progressively lost its commercial monopoly and political sway, and in 1858 the British government nationalised its Indian holdings. By importing money and silver from Britain, the East India Company initially purchased cotton and silk at a discount; but soon, the price of the raw goods doubled, leading to irregular supplies of cotton and silk.

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