The first cotton mill in India was set up as a spinning mill in Bombay in 1854. By 1900, over 84 mills started operating in Bombay. Mills were set up in other cities too. The first mill in Ahmedabad was started in 1861. A year later a mill was established in Kanpur, in the United Provinces. The growth of cotton mills led to a demand for labour. As a result, thousands of poor peasants, artisans, and agricultural labourers moved to cities to work in the mills.