In the early 19th century, the industrial landscape was markedly different from what we know today. Factories, which were the powerhouses of production, heavily relied on natural sources for their energy needs. This article explores the historical context of industry in Germany, focusing on the challenges and developments during that period.
Industrial Power Sources and Factory Locations
During the early stages of industrialization, water was the primary source of power for factories. This reliance on hydro power necessitated the placement of factories in mountainous areas where streams could provide the necessary energy to turn large mechanical wheels. The geography of a region, therefore, played a crucial role in determining the location of industrial activity.
The Emergence of Steam Power in Germany
By the 1840s, steam power had begun to revolutionize industry in other parts of the world, but its adoption in Germany was slow. There were only 22 steam-driven spinning mills throughout the country, with several established by the Prussian government. To set up these mills, Germany imported both machinery and skilled workers from Britain, acknowledging the superior technology and expertise available there.
Challenges in Traditional Sectors and Internal Markets
Traditional sectors such as linen production and metal crafts in Germany faced stiff competition internationally and struggled to maintain their market presence. However, there was potential for these industries to expand domestically. The key obstacle to this expansion was the political fragmentation within the German territories, which created economic barriers that hindered trade and commerce.
Political Division and Economic Barriers in Prussia
After the reorganization of European boundaries in 1815, Prussia found itself in a particularly difficult position. Its territories now included the resource-rich Rhineland provinces, but these were separated from Prussia’s eastern lands by a number of smaller states. Each of these states imposed their own tolls and customs duties, complicating and increasing the cost of trade for Prussian merchants when moving goods across the internal borders.
Growth of Manufacturing and Population in Germany
Despite political and economic hurdles, the 19th century saw a significant rise in manufacturing activities in Germany, which coincided with a booming population. From 1815 to 1865, the population of Germany surged by 60 percent, reaching over 36 million people. This burgeoning population represented a vast internal market that could potentially rival that of France in size.
The Zollverein: Prussia’s Strategy for Economic Unity
To overcome the challenges posed by political fragmentation and to harness the potential of the internal market, Prussia spearheaded the creation of the Zollverein in 1834. This was a customs union that involved a series of alliances with smaller German states. The Zollverein aimed to create a unified trading zone by abolishing internal tariffs and creating a common external tariff against non-member states. This economic strategy was pivotal in fostering a sense of unity among the German states and laying the groundwork for what would eventually become a unified Germany.
Questions for UPSC
1. How did the geographical features of a region influence the industrial development in 19th century Germany?
2. What were the main economic challenges faced by Prussian merchants due to the political fragmentation of the German territories?
3. In what ways did the Zollverein contribute to the eventual unification of Germany?