1600

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1600, queen elizebeth the first gave a group of merchants permission to set up trade in areas east of

Africa, these merchents went on to start the east india company.


1608, the east india company entered into india in surat whilst jehangir was in rule
1612, they were given permission by the governor of Gujrat shah jehan to set up trade
1615, sir Thomas roe set up the first factory in surat

The east india company established major trade centers, factories and presidencies within india. They
had established their own EIC army which also hired local soldiers called sepoys, their influence grew
immensely and their help in international matters was consolidated by the nawabs and rajas inexchange
for trade concessions and more land. Initially, the merchants set up the EIC and came to indiaas they
saw the wealth of its land, they saw profits to be earned as india offered rare and exotic resources such
as spices which weren’t available in Europe at that time. Moreover, competition from other European
powers further encouraged the british to conquer india as it was the largest subcontinent and the
resources within it would help the british to advance leagues ahead of its competition. These powers,
such as the dutch and Portuguese also took control of most trde routs, thus british needed to conquer
india as its warm waters ensured trade routes all year round.

In 1765, Robert clive started a dual government system which split the administration of Bengal into two
parts: diwani and nizamat
Diwani – the right of collection of taxes, given to EIC
Nizamat – the rights of administration, given to nawabs

General welfare of people neglected by nawab and EIC, leading to mass suffering
EIC imposed high rates of revenue and took strict measures to collect the revenue
Collectors were appointed to collect these high rates and people were forced to pay high taxes, this led
to poverty, debt and many people fleeing villages inorder to prevent payment. Infact these government
measures led to the first famine in bengal 1770, thus Robert clive was very shrewd.
The oudhs nawab was given rights to maintain his rule but he had to pay 5billion rupees to Robert clive
yearly and had to enter an alliance with the british, similarly, Shah alam II was given rights to keep the
title emperor of Bengal but was stripped of the right of diwani.
These measures made the EIC immensely wealthy, however, they was widespread corruption and
malpractice leading to the british crown intervening and taking control of the EIC

1756-57, battle of plassey, the nawab of Bengal siraj ud dala allied with the French and attacked the eic
bases at Calcutta leading to the black hole of Calcutta event which sparked anger within british leading
to the battle. The british were led by Robert clive and he bribed the general of siraj ud dala mir jafar to
not participate in the battle and backstab siraj ud dala, this led to his victory.

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