What "medieval India" means

The Banjaras were the itinerant carrying and trading community of medieval India, moving in large caravans known as tandas with pack bullocks numbering in the thousands, and carrying bulk goods, above all foodgrain and salt, over long distances between producing regions, markets and armies on campaign. Contemporary observers including Peter Mundy remarked on the scale of their caravans, and Mughal military logistics depended heavily on them for grain supply. Hence (d).

• Option (a) is wrong because the community was defined by mobility rather than by cultivation, though sections settled to agriculture in later centuries.
• Option (b) is wrong: they served armies as suppliers, not as combatants, and their commercial neutrality was precisely what allowed them to trade with opposing forces.
• Option (c) is wrong: weaving in medieval India was the occupation of distinct artisanal castes such as the julahas, koris and salis. The organising principle is that medieval Indian trade divided broadly between the sedentary financing and wholesale merchants and the itinerant carrying communities, and the Banjaras are the paradigm of the second.

• Statement 1 is incorrect and states the opposite of feudalism. The Indian feudalism thesis associated with R. S. Sharma turns on the fragmentation of central authority: from the Gupta period land grants to brahmanas and to officials, made tax free and with administrative and judicial rights surrendered, transferred the state's revenue and coercive powers to intermediaries, producing a strong local and a weak central authority together with the decline of trade, of coinage and of towns.
• Statement 2 is correct: the defining institutional feature is an administrative structure resting on control over and possession of land rather than on a salaried bureaucracy paid in cash, service being remunerated by assignment of land revenue.
• Statement 3 is correct: the graded chain of subordination between a lord and his overlord, with obligations of military service and tribute running upward and protection running downward, is the relationship that gives feudalism its shape, mirrored in the samanta hierarchy of early medieval India. The official answer (b) follows. Elimination route: statement 1 is transparently contrary to the whole concept, and rejecting it removes options (a) and (d), after which the choice between (b) and (c) turns on statement 2, which is the least controversial proposition in the set.