UPSC Prelims 2012 Q82: Ancient History – Trade & Economy
With reference to the guilds (Shreni) of ancient India that played a very important role in the
country's economy, which of the following statements is/are correct?
1. Every guild was registered with the central authority of the State and the king was the chief
administrative authority on them.
2. The wages, rules of work, standards and prices were fixed by the guild.
3. The guild had judicial powers over its own members.
Select the correct answer using the codes given below :
- (a) 1 and 2 only
- (b) 3 only
- (c) 2 and 3 only
- (d) 1, 2 and 3
Answer: (c) 2 and 3 only
Explanation
Guilds (Shreni) of ancient India
A shreni was an association of craftsmen or merchants of the same trade.
| Statement | Verdict | Reason |
|---|---|---|
| 1. Every guild was registered with the central authority of the State and the king was the chief administrative authority on them | Incorrect | Guilds were self-governing; the king respected their customs and did not run them |
| 2. The wages, rules of work, standards and prices were fixed by the guild | Correct | The guild regulated its own trade |
| 3. The guild had judicial powers over its own members | Correct | It could try and punish members under its own rules (shreni-dharma) |
More on guilds:
| Point | Detail |
|---|---|
| Head | Jetthaka or Sreshthi |
| Banking role | Took deposits and paid interest; funded temples |
| Evidence | Mandasor inscription of the silk-weavers' guild; Nasik cave inscriptions |
| Own identity | Guilds had their own seals and sometimes militia |
Answer: (c) 2 and 3 only.
Why each option is right or wrong
- (a) Incorrect. Statement 1 is false; guilds were not run by the king or a central authority.
- (b) Incorrect. Statement 2 is also true; the guild fixed wages, standards and prices.
- (c) CORRECT. Guilds fixed their own rules and had judicial powers over members.
- (d) Incorrect. Statement 1 is false; the king was not their chief administrative authority.
Key point
Shreni: self-governing guild; fixed wages, prices and standards; tried its own members (shreni-dharma); acted as bank; head called jetthaka; Mandasor silk-weavers' inscription.
Remember
Guilds: own rules, own courts, also banks.
Common mistakes
- Imagining a modern system of registration with the State in ancient India.
- Forgetting that guilds also worked as banks.
- Thinking the king made guild rules; he was expected to uphold them.
Exam tip
Words like 'every' and 'central authority' rarely fit ancient institutions. Guilds ran themselves.
Sources
- R.S. Sharma — India's Ancient Past, Ch on Crafts, Trade and Towns in the Post-Maurya Age
- Upinder Singh — A History of Ancient and Early Medieval India, Ch 8 (Interaction and Innovation)