What is Zollverein? Why was it formed?



In 1834, a customs union of Zollverein was formed at the initiative of Prussia and was joined by most of the German states.

(i) The union abolished tariff barriers and reduced the number of currencies from over thirty to two.

(ii) The creation of a network of railways further stimulated mobility, harnessing economic interests to national unification.

(iii) A wave of economic nationalism strengthened the wider nationalist sentiments growing at the time.

(iv) Varied currencies and weights and measures were obstacles to economic growth, so the creation of a unified economic territory allowing the unhindered movement of goods, people and capita was needed.

So Zollverein was formed.