"And did they start trade in India at once?" asked Jack. "I suppose they had rows with the Portuguese and Dutch from the very commencement."
"You seem to think that I am a mine of information," grumbled the Major pleasantly. "I think that the first expedition left Woolwich in 1601, and touched the island of Sumatra, where we have so recently been. In the neighbourhood a Portuguese ship was captured, filled with eastern goods which were sufficient to load all the ships of the expedition, which numbered four. Thus the success of the venture was assured, and after sailing for Java—where agents were left, the very first trading[Pg 132] representatives of the Company—the expedition returned home.
"That was the beginning, and for many years the progress of the affair was but small. Certain privileges were obtained for trade from the Mogul Emperor, and before 1612 the ships of the Company had each made eight voyages to the East, realising fine profits. Still, their possessions were nil. See what they are now! Compare the condition of the Company then with its opulence at this moment. However, to continue, a factory was built at Surat, while an ambassador was sent to the court of the powerful Mogul Emperor of India at Delhi. At this period the Portuguese and Dutch were very prosperous, and exceedingly antagonistic to England and to each other. But a fortunate chance increased the holding of the Company. A certain Dr. Boughton had performed a service for some native ruler, who as a reward gave permission for a settlement on the Hooghly, while a fort was built at Madras, named Fort St. George, the land being obtained from some native prince. Thus you will see that the Company was making headway. But during the great Civil War in England its fortunes declined, till Cromwell reconfirmed its privileges. An agreement was come to with Bengal for the purposes of trade, and finally the island of Bombay was acquired, and thither the Company removed its quarters from Surat. And about these trading posts, for they were little else in those days, the natives gathered with their merchandise, making trading an easy matter.
"But circumstances occurred from time to time to disorganise the affairs of the Company, for there were always native wars, very often fomented by the scheming of the Portuguese and Dutch. In fact, the Company was so often in danger that at length, from being a purely trading concern, it became a body with some military power, and its peaceful policy was changed. It began to look for more land and more factories from which to conduct its business. And it was well that it did make preparations, for the Mogul Emperor was on a tottering throne, and the French were soon to come into the field. But steady, my lads. A cup of tea, if you please. Much talking makes one thirsty."
[CHAPTER IX]
John Company
Major Alexander was not the man to be hurried, and moreover, though a soldier, he was a studious gentleman, and having accepted the task of enlightening his two young protégés, he was not the one to do it in a half-hearted manner. He sipped his tea with deliberation, and afterwards lay back in his chair, apparently more concerned with the rings of smoke which he blew from his lips than with India, the affairs of the Company, whose servant he was, and the war which he had intimated was about to take place. Then he yawned, sat up briskly, and gazed at Owen.
"That's what happened," he said. "This peaceful trading Company became pugnacious, not of its own freewill perhaps, but because it was for ever being harassed by others, and was for ever made to feel the effect of unfair competition on the part of the Portuguese and the Dutch. Moreover, its properties had increased, and military and sea power were necessary to protect not only the trading ports but the vessels and their cargoes as they went to England. Had they confined their energies to protection they would have done well, but they commenced[Pg 135] upon the unwise policy of attacking the Mogul Emperor, and were badly worsted, Surat being wrested from them. However, it is stated that the treasury of the Emperor was low, and the combatants came to friendly relations again, so that Surat was restored to the Company. Meanwhile, however, the French had secured a footing, and had obtained a strip of land at Pondicherry, where they fortified themselves. This, as you may imagine, was a blow to the Company, and it became more than ever necessary to consolidate their power and prepare for eventualities. They obtained another concession, and some few years later built Fort William, here in Calcutta, and set up their trading post. Indeed, Calcutta was made the presidency of all the Company's possessions, and rapidly rose in importance. At this stage, if you have followed me carefully, you find the traders, whose servants we are, in possession of posts in Bengal, Madras, and Bombay.
"And now I have brought the Company to a point in its history when matters became very critical for it," went on the Major, after he had paused for breath. "Their successes, the profits they had made, and the noise which their condition caused in England, led others to venture into the same region, bent on trading enterprises, and we find that a second company was formed, and then a third. This was a blow indeed to the old Corporation, but in the end the three bodies were united, and in 1708 they became 'The United Company of Merchants of England trading to the East Indies.' As you may imagine, such a settlement resulted in an[Pg 136] enormous increase in the power and opulence of the Company, and, in fact, it is from this period that we find it really beginning to control the affairs of a portion of India. Its fortunes were consolidated, its military power increasing, and its sea power no small item when compared with former years. In fact, we can turn from it for a moment to consider the affairs of India itself, and thereby lead up to the war in which I trust we shall all three win honour and promotion."