This chapter studies the reasons behind Gandhi’s resignation from the Congress in 1934 and his founding of the All-India Village Industries Association (AIVIA) in Wardha. A critical analysis of Gandhi’s motivations in advocating village industries is presented. The focus on Gandhi provides the context for Kumarappa’s life work and the Mahatma’s crucial role in it. Additionally, this chapter provides the first substantial scholarly study of Gandhi’s motivations in founding the AIVIA. Gandhi’s new definition of swadeshi is also elucidated
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