Notes on the British East India Company and its Role in India
Introduction
In 1686, the British East India Company (EIC) declared war on the Mughals under Aurangzeb.
The EIC was defeated due to its inferior army compared to the Mughal forces.
Despite this early defeat, the EIC eventually established control over the Indian subcontinent.
Formation of the East India Company
Founded in 1600 by merchants as a Joint Stock Company with initial capital of £70,000.
Initially aimed to trade in spices in Southeast Asia; made its first voyage in 1601.
Shift to India
Realizing competition from the Dutch was insurmountable, the EIC sought operations in India due to abundant resources.
In 1608, EIC merchants arrived in Surat but faced refusal from Mughal Emperor Jahangir to trade due to Portuguese presence.
Early Settlements in India
In 1611, the EIC established its first factory in Machlipatnam, Andhra Pradesh.
Gained power after defeating the Portuguese in the Battle of Swally (1612).
In 1615, Sir Thomas Roe was sent to negotiate trading rights, successfully securing permission for factories in Surat.
Growth and Expansion
Post-Jahangir's permission, the EIC expanded to Madras, Ahmedabad, Bombay, Agra, and Patna.
Diversified into cotton, indigo, silk, opium, and tea trading.
Established a monopoly and fortified bases across the region.
Political Power Acquisition
In 1670, King Charles II granted the EIC rights to acquire territories, mint money, and raise armies.
In 1682, the EIC sought better trading conditions in Bengal from Aurangzeb but was rejected.
Josiah Child, the Governor, declared war on the Mughals in 1686, resulting in defeat and a subsequent fine.
Decline of the Mughal Empire
After Aurangzeb's death in 1707, the Mughal Empire weakened, leading to regional power struggles.
EIC capitalized by strengthening its military and establishing factories in Bengal.
In 1717, Farrukhsiyar granted tax-free trading rights in Bengal which led to a revenue loss for the Mughal Empire.
Rivalry with the French and the Carnatic Wars
The French emerged as competitors in India, leading to the Carnatic Wars (1746-1763) where the British triumphed.
Local Indian rulers allied with European powers, diminishing their autonomy.
Siraj-ud-Daulah and the Battle of Plassey
In 1756, Siraj-ud-Daulah attacked British positions in Calcutta, leading to the Black Hole Tragedy.
The British, under Robert Clive, deposed Siraj-ud-Daulah in the Battle of Plassey (1757) and installed Mir Jafar as a puppet Nawab.
Consolidation of Power
The EIC's strategies included removing incompetent rulers and manipulating local politics to its advantage.
The Treaty of Allahabad (1765) granted the EIC control over Bengal's revenue.
Techniques of Control
Residents: British officials who advised local rulers, interfering in politics.
Subsidiary Alliances: Local rulers paid the EIC to maintain a British army, effectively disarming them.
Brute Force: Military occupations of uncooperative regions.
Expansion and the Doctrine of Lapse
By 1818, the EIC controlled two-thirds of India.
The Doctrine of Lapse (1847) allowed the EIC to annex kingdoms without male heirs.
The End of the EIC and the British Raj
The Revolt of 1857 marked the First War of Independence. After this, the British government took control from the EIC via the Government of India Act (1858).
The EIC was dissolved in 1874, marking the end of its rule and the beginning of the British Raj.
Conclusion
The story of the EIC highlights the rise and fall of one of the most powerful corporations in history, impacting India significantly.