The Indus Valley Civilization boasted an advanced economy that relied on extensive cultivation, efficient irrigation systems, and a flourishing trade network.
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Agriculture and Irrigation Systems
- Extensive Cultivation: Agriculture was the backbone of the Indus Valley Civilization. The Harappans practiced extensive cultivation, possessing knowledge of various crops except sugarcane. They employed sophisticated agricultural techniques to ensure abundant food production.
- Irrigation and Tank Systems: The Indus Valley Civilization was renowned for its advanced irrigation systems, particularly tank irrigation. By skillfully harnessing the waters of the Indus River, they controlled the annual floods that both fertilized the land and posed a threat of destruction. This allowed the civilization to utilize the spacious and fertile Indus River valley effectively.
- Agricultural Surpluses and Granaries: With a well-nourished and growing population, the civilization focused on storing foodgrains to ensure sustenance during emergencies. Huge granaries were constructed in important cities such as Harappa, Mohenjodaro, and possibly Kalibangan. Cereals served as taxes from peasants and were also used as wages and during times of crises.
Trade and Commerce
- Domestic Trade: The Harappans engaged in significant commercial activities within the Indus region. They traded in various commodities, including stone, metal, and seals. Most of these exchanges were based on a barter economy, where goods were traded directly without the involvement of a standardized currency.
- External Trade: The Indus Valley Civilization had a well-established external trade network that stretched to distant regions. They practiced navigation along the coast of the Arabian Sea and set up a trading colony in Afghanistan, facilitating trade with Central Asia.
- Trade Routes and Key Ports: The discovery of Harappan seals in Mesopotamia indicates commercial contacts with regions around the Tigris and Euphrates rivers. Lapis lazuli, a valuable blue stone, was traded over long distances. Gold was imported from southern India or Afghanistan, while silver and copper were sourced from Afghanistan or northwestern India. The Khetri mines in Rajasthan provided copper for the entire Indus Valley Civilization.
- Important Ports: The Harappans had strategic ports that facilitated their external trade. Lothal, Balakot, and Sutkagendor were among the crucial ports that connected the Indus Valley Civilization with trade partners across the Arabian Sea.
- Table: Key Commodities and Trade Routes
| Commodities | Sources |
| Stone, metal | Within the Indus region |
| Seals | Within the Indus region |
| Lapis lazuli | Central Asia |
| Gold | Southern India, Afghanistan |
| Silver, copper | Afghanistan, Northwestern India |
| Copper (mines) | Khetri mines, Rajasthan |
| Key Ports | Lothal, Balakot, Sutkagendor |
In summary, economy of the Indus Valley Civilization was characterized by its advanced agricultural practices, efficient irrigation systems, and a thriving trade network. The civilization’s ability to harness the fertile lands of the Indus River Valley while controlling the annual floods contributed to their agricultural surplus. Additionally, their commercial activities, both domestic and international, played a vital role in their economic prosperity. The Indus Valley Civilization left behind a rich legacy in terms of economic practices and trade connections, paving the way for future civilizations in the Indian subcontinent.