Trade to Territory Class 8 History Chapter 2 Notes are available here. These notes will help you understand this chapter more clearly. They have been created by the subject experts of our website to assist you in performing well in your exams.
Trade to Territory Class 8 History Chapter 2 Notes
Introduction
- Aurangzeb: Aurangzeb was a powerful king who ruled over a big part of what is now India. He was the last important ruler of the Mughal Empire.
- After Aurangzeb: When Aurangzeb died in 1707, the people who worked for the Mughal Empire, like governors and landlords, started to become more independent and create their own kingdoms in different areas.
- Decline of Delhi: Because these new kingdoms became strong, Delhi became less important as the main place of power. The Mughal Empire became weaker, and Delhi lost its effectiveness.
- British gaining power: Around the late 1700s, the British began to get more control and influence in India. They became more powerful and started to have control over different regions.
- British as a trading company: At first, the British were a small company that traded with India. They were mainly interested in buying and selling goods and didn’t plan to take over land or control politics at that time.
East India Company Comes East
- East India Company’s Charter: In 1600, the East India Company received a special paper from the Queen of England that gave them the exclusive right to trade with the East. This meant no other English trading groups could compete with them.
- Exclusive Trading Rights: With this special permission, the East India Company had the only chance to explore new places and buy things at low prices. Then, they could sell these things in Europe at higher prices and make more money. They didn’t have to worry about other English traders trying to do the same.
- Mercantile Trading: At that time, trading companies made money by getting rid of competition. Since the East India Company had the exclusive rights, they could buy things for less and sell them for more, making the most profit.
- Other European Powers: The East India Company’s permission didn’t stop other European countries from trading in the East too. The Portuguese were already in western India, and the Dutch and French were also looking for trading opportunities in the Indian Ocean.
- Competition and Conflict: European companies, including the East India Company, all wanted to buy the same things from India, so the prices went up. To get rid of their rivals and make sure they made money, these companies fought battles, sank each other’s ships, blocked each other’s trade, and caused problems with supplies.
- Trade and Politics: Trading was done with armed forces, and the places where they traded were protected. But trying to make the most money from trading often caused fights with local rulers. The East India Company had a hard time keeping their trading separate from politics because they needed to protect what they were doing.
East India Company begins trade in Bengal
- First English Factory: In 1651, the East India Company set up its first trading post, called a factory, on the banks of the river Hugli (Hooghly) in India. It was a place where the Company’s traders worked.
- Warehouse and Offices: The factory had a storage place for goods called a warehouse and offices where Company officials managed trade.
- Settlement and Growth: As trade increased, the East India Company encouraged merchants and traders to settle near the factory, and a community grew around it.
- Fort for Protection: By 1696, a fort was built around the settlement to keep it safe from potential dangers.
- Obtaining Zamindari Rights: The Company used bribery to gain control over three villages, including Kalikata, which later became the city of Calcutta (Kolkata).
- Royal Decree for Duty-Free Trade: The East India Company convinced the Mughal emperor Aurangzeb to issue a special order called a farman, which allowed the Company to trade without paying taxes or duties.
- Seeking Additional Concessions: The Company always wanted more privileges and advantages. They used their influence to manipulate the ones they already had.
- Private Trade and Loss of Revenue: Even though they were allowed duty-free trade, Company officials engaged in personal trading while neglecting to pay duties. This caused a significant loss of money for Bengal.
- Protest by the Nawab of Bengal: The Nawab of Bengal at that time, Murshid Quli Khan, had a reason to complain about this unfair situation because the Company’s actions were hurting the region’s finances.
How trade led to battles
- Growing Conflict: In the early 18th century, the East India Company and the rulers of Bengal, called nawabs, had increasing tensions between them.
- Asserting Power: After Aurangzeb died, the nawabs of Bengal, like other regional powers, wanted to show their authority and independence.
- Strong Nawabs: Murshid Quli Khan, followed by Alivardi Khan and Sirajuddaulah, were powerful nawabs of Bengal.
- Denying Concessions: The nawabs refused to give special privileges to the East India Company. They demanded large payments for the Company’s right to trade, stopped it from making its own coins, and limited its ability to build forts.
- Accusations and Disputes: The nawabs accused the Company of being dishonest. They said the Company was taking money that should go to the Bengal government, disrespecting the nawab, and trying to embarrass his officials.
- Company’s Perspective: In response, the Company said that the nawabs’ unreasonable demands were hurting their trade. They believed that trade would do well only if taxes were removed, they could expand their settlements, get control of villages, and rebuild forts.
- Battle of Plassey: All these conflicts and disagreements led to fights, and the most famous one was the Battle of Plassey.
The Battle of Plassey
- Sirajuddaulah Becomes Nawab: After Alivardi Khan died, Sirajuddaulah became the ruler of Bengal in 1756.
- East India Company’s Concern: The East India Company was worried about Sirajuddaulah’s power and wanted a ruler they could control to get trade advantages.
- Interference in Succession: The Company tried to support someone else to become the nawab instead of Sirajuddaulah, but they were not successful.
- Sirajuddaulah’s Actions: Sirajuddaulah got angry with the Company for interfering and demanded they stop meddling, pay their dues, and stop building forts.
- Sirajuddaulah’s Attack: When negotiations failed, Sirajuddaulah attacked the English factory, captured officials, blocked their ships, and took control of their fort in Calcutta.
- Company’s Response: The Company sent troops led by Robert Clive and ships from Madras when they heard about the attack on Calcutta.
- Battle of Plassey: In 1757, Robert Clive fought against Sirajuddaulah in the Battle of Plassey. Mir Jafar, one of Sirajuddaulah’s commanders, helped Clive instead. The Company won the battle and gained a big victory.
- Mir Jafar Becomes Nawab: After the Battle of Plassey, Sirajuddaulah was killed, and Mir Jafar became the new nawab chosen by the Company.
- Puppet Nawabs and Challenges: The Company preferred to have friendly rulers they could control, but it wasn’t always easy to make them do what they wanted.
- Mir Qasim’s Defeat: Mir Qasim, who followed Mir Jafar, was defeated in the Battle of Buxar in 1764 and expelled from Bengal.
- Mir Jafar’s Reinstatement: After Mir Qasim’s defeat, Mir Jafar was brought back as the nawab by the Company.
- Company’s Changing Attitude: The Company wanted more land and money and realized working with puppet nawabs had its challenges.
- Diwani Grant: In 1765, the Mughal emperor gave the East India Company control over Bengal’s revenue resources.
- Financial Benefits: The Company didn’t need to import gold and silver anymore because Bengal’s revenue became a source of money for them.
- Utilizing Funds: The money from Bengal’s revenue was used to buy textiles, support Company troops, and build forts and offices in Calcutta.
Company officials become “nabobs”
- Increased Power: Becoming nawabs made the East India Company more powerful and important in India.
- Desiring Wealth: Company employees started dreaming of living like nawabs, wanting the riches and lifestyle that came with the position.
- Gifts to Officials: After the Battle of Plassey, the actual nawabs of Bengal were forced to give land and large amounts of money as personal gifts to Company employees.
- Robert Clive’s Wealth: Robert Clive, a key person in the Company, became extremely rich in India. When he left India in 1767, his wealth was worth £401,102.
- Suspicions of Corruption: Clive’s enormous wealth made people suspicious, and he was questioned by the British Parliament in 1772. However, he was found not guilty.
- Clive’s Tragic End: Despite the verdict, Clive sadly took his own life in 1774.
- Varying Financial Success: Not all Company employees became as wealthy as Robert Clive. Many faced challenges like sickness and wars, which led to early deaths in India.
- Not All Employees Corrupt: It’s unfair to say that all employees were dishonest. Many came from modest backgrounds and wanted to earn enough in India to live comfortably in Britain.
- Lives of Wealthy Employees: Employees who returned with wealth lived lavish lives and proudly showed off their riches.
- The Term “Nabobs”: They were called “nabobs,” taken from the Indian word “nawab,” which described their newfound wealth and status.
- Social Perception: In British society, nabobs were often seen as social climbers and newcomers, mocked and made fun of in plays and cartoons.
Company Rule Expands
- Non-Military Expansion: The East India Company used political, economic, and diplomatic methods instead of direct military force to take control of Indian states from 1757 to 1857.
- Gradual Influence: Rather than immediately taking over, the Company slowly gained influence and control in an area before officially annexing it.
- Appointment of Residents: After the Battle of Buxar in 1764, the Company appointed Residents as agents in Indian states to represent its interests.
- Interference in Affairs: Through the Residents, Company officials started meddling in the internal affairs of Indian states, influencing decisions about leadership and administration.
- Subsidiary Alliance: The Company imposed a “subsidiary alliance” on certain states, which meant the Indian rulers couldn’t maintain their own armies.
- Protection and Payment: In the subsidiary alliance, the Company promised protection but required the rulers to pay for the maintenance of subsidiary forces.
- Consequences of Non-Payment: If the rulers didn’t make the payments, they could face penalties such as losing territory. For example, the Nawab of Awadh lost more than half of his land in 1801 for failing to pay for the subsidiary forces.
- Territory Cessions: Hyderabad also had to give up territories to the Company because they couldn’t make the required payments.
Tipu Sultan – The “Tiger of Mysore”
- Military Confrontation: The East India Company used direct military force when its political or economic interests were in danger.
- Mysore: Mysore was a powerful state in southern India ruled by leaders like Haidar Ali and Tipu Sultan.
- Control of Trade Routes: Mysore controlled important trade routes, such as the Malabar coast, where the Company bought spices.
- Trade Restrictions: In 1785, Tipu Sultan stopped selling sandalwood, pepper, and cardamom to the Company and formed alliances with the French.
- Perceived Threat: The British saw Haidar Ali and Tipu Sultan as ambitious and dangerous rulers who needed to be controlled.
- Four Wars: The East India Company fought four wars against Mysore between 1767 and 1799.
- Victory in the Last War: The Company won the final war, called the Battle of Seringapatam.
- Control and Subsidiary Alliance: After the battle, Tipu Sultan was killed, and Mysore came under the control of the Wodeyar dynasty. The Company imposed a subsidiary alliance on Mysore, which meant the state had to rely on the Company’s protection and pay for its forces.
War with the Marathas
- Weakening the Marathas: The East India Company wanted to weaken and eventually eliminate the power of the Marathas in the late 18th century.
- Defeat at Panipat: The Marathas suffered a major loss in the Third Battle of Panipat in 1761, which dashed their hopes of ruling from Delhi.
- Maratha Confederacy: The Marathas were divided into different states led by chiefs like Sindhia, Holkar, Gaikwad, and Bhonsle.
- Peshwa and Chiefs: These chiefs were part of a confederacy under a Peshwa, who served as the military and administrative head based in Pune.
- Notable Figures: Mahadji Sindhia and Nana Phadnis were important Maratha soldiers and statesmen during this time.
- Wars and Treaties: The Marathas were gradually subdued through a series of wars. The First Anglo-Maratha War ended in 1782 with the Treaty of Salbai, but no clear winner emerged. The Second Anglo-Maratha War (1803-1805) resulted in the British gaining territories like Orissa, Agra, and Delhi.
- Crushing Maratha Power: The Third Anglo-Maratha War (1817-1819) completely crushed Maratha power. The Peshwa was removed from power and sent to Bithur near Kanpur with a pension.
The claim to paramountcy
- Aggressive Territorial Expansion: The East India Company aggressively expanded its territories in India during the 19th century.
- Policy of Paramountcy: The Company, under Lord Hastings, introduced a policy called “paramountcy” that asserted its supreme authority over Indian states, allowing it to annex or threaten to annex any kingdom to protect its interests.
- Resistance by Rani Channamma and Rayanna: Rani Channamma of Kitoor and Rayanna of Sangoli resisted British annexation in their respective regions. Rani Channamma led an anti-British movement but was arrested and died in prison. Rayanna continued the resistance, destroying British camps and records until he was captured and hanged.
- Concerns about Russian Expansion: The East India Company worried about potential Russian expansion into India from the northwest in the late 1830s.
- Wars and Annexation: To secure control over the northwest, the British fought a war with Afghanistan (1838-1842) and gained indirect Company rule there. They also took over Sind in 1843. Although the Company desired to annex Punjab, the presence of Maharaja Ranjit Singh prevented immediate action.
- Wars with the Sikh Kingdom: After Maharaja Ranjit Singh’s death in 1839, the British engaged in two prolonged wars with the Sikh kingdom before finally annexing Punjab in 1849.
The Doctrine of Lapse
- Lord Dalhousie and the Doctrine of Lapse: Lord Dalhousie was the Governor-General of India from 1848 to 1856. He introduced the Doctrine of Lapse policy.
- Doctrine of Lapse: The Doctrine of Lapse stated that if an Indian ruler died without a male heir, their kingdom would be taken over by the East India Company. This allowed the Company to annex kingdoms that lacked a direct male successor.
- Annexation of Kingdoms: The East India Company annexed several kingdoms under the Doctrine of Lapse. This included Satara in 1848, Sambalpur in 1850, Udaipur in 1852, Nagpur in 1853, and Jhansi in 1854.
- Annexation of Awadh: In 1856, the East India Company also annexed the kingdom of Awadh, claiming it was to rescue the people from the misgovernment of the Nawab.
- Resentment and the Indian Rebellion of 1857: The annexation of Awadh caused widespread resentment among the people. This, along with other factors, led to the outbreak of the Indian Rebellion of 1857, a significant uprising against British rule in India. It is also known as the Great Revolt or the First War of Independence.
Setting up a New Administration
- Warren Hastings and Company Power: Warren Hastings was the Governor-General of India from 1773 to 1785. He played a crucial role in expanding the power of the East India Company.
- Administrative Units: The East India Company controlled Bengal, Bombay, and Madras, which were divided into administrative units called Presidencies. Each Presidency had its own Governor, with the Governor-General as the supreme head.
- Administrative Reforms: Warren Hastings introduced reforms, including a new system of justice. Separate criminal and civil courts were established in each district.
- Interpretation of Indian Laws: Indian laws were interpreted by Islamic scholars and Hindu priests for European district collectors who presided over the civil courts. This allowed for understanding and applying local customs and laws.
- Compilation of Laws: Digests of Hindu and Muslim laws were compiled for uniformity and translated into English. These compilations helped in the administration and application of legal principles.
- Regulating Act of 1773: The Regulating Act of 1773 brought significant changes to the judicial system. It established a new Supreme Court and a court of appeal called the Sadar Nizamat Adalat in Calcutta, aiming to provide a structured legal system.
- Role of the Collector: The Collector held a prominent position in an Indian district. Their responsibilities included collecting revenue, maintaining law and order, and exercising authority on behalf of the Company.
The Company army
- Military Strength in Colonial Rule: Colonial rule in India heavily relied on military power to establish and maintain control.
- Mughal Army: The Mughal army, existing before colonial rule, consisted mainly of cavalry and infantry, with cavalry being dominant.
- Recruiting Peasants as Soldiers: Mughal successor states like Awadh and Benaras recruited peasants and trained them as professional soldiers to strengthen their armies.
- Sepoy Army: The East India Company formed its own army called the sepoy army, consisting of Indian soldiers serving under the Company.
- Changing Warfare Technology: With evolving warfare technology, the Company’s army shifted focus from cavalry to infantry, using firearms and modern weapons.
- European-Style Training and Discipline: The British introduced European-style training, drill, and discipline for the sepoys, creating a uniform military culture with standardized practices.
- Challenges of Uniformity: While aiming for efficiency, the emphasis on uniformity sometimes disregarded caste and community identities, causing tensions within the ranks.
- The Revolt of 1857: The Revolt of 1857, also known as the Indian Rebellion or First War of Independence, was a major uprising against British colonial rule. The sepoys’ feelings and reactions to changes played a significant role in the revolt.
Conclusion
- Transition to Colonial Power: The East India Company shifted from being a trading company to having political and administrative control as a colonial power.
- Steam Technology: The introduction of steamships in the 19th century made travel to India faster and more efficient than traditional sailing ships.
- Reduced Travel Time: Steamships reduced the time it took to travel from Britain to India, attracting more British individuals and families seeking opportunities or employment.
- Direct Governance: By 1857, the East India Company directly governed a large portion of the Indian subcontinent, controlling territory and the majority of the population.
- Indirect Influence: Besides direct rule, the Company also exerted influence through alliances, treaties, and indirect control over regions through intermediaries.
- Complete Control: By the mid-19th century, the East India Company had almost complete control over India through direct governance, indirect influence, and economic and military power.