But soon a new tempest burst forth, more terrible than any of those which had before shaken the soil of the East. In 1453, Mahomed II. seized Constantinople, and twenty years later all the Genoese colonies fell one after another into the power of the Ottomans. It was in vain the Venetians strove to appropriate the commerce of the Black Sea and the East; their efforts were fruitless, and the closing of the Dardanelles was peremptorily declared. The old communications between Europe and Asia were thus severed, and for many years the precious commodities of the East ceased to find their way towards Europe. But as they were in great demand, and were very costly, merchants contrived to find a new passage for them, and Smyrna became their entrepôt. The situation of that town, however, was far from compensating for the disadvantage of a long, perilous, and expensive land carriage. Hence the Indian trade remained in a languid state, until Vasco de Gama's discovery opened a new route for the people of the West.

Smyrna retained the monopoly of the Eastern trade for more than 250 years; and until the middle of the seventeenth century, Persia was the first entrepôt for Indian productions, which arrived there by way of the Persian Gulf, Afghanistan, and Beloochistan. They were partly consumed in the country, and the rest was conveyed either to Smyrna by Erzeroum and Bagdad, or into Russia by the Caspian Sea and Georgia. In consequence of this great commercial revolution, the regions now constituting the south-eastern provinces of Russia, lost all their importance with regard to the traffic between Europe and Asia. The great entrepôts of Caffa and Tana having fallen into decay, all the routes leading to them were forsaken. The great caravans of the Volga and the Kouban disappeared, the navigation of the Caspian was almost annihilated, and Astrakhan was reduced exclusively to local commerce with the adjoining districts of Russia.

A hundred years after the taking of Constantinople, Ivan the Terrible planted his victorious banner on the shores of the Caspian, and the old city of the Tatars of the Golden Horde fell under the Muscovite sway. Ever since that event, historians have had to record but a long series of disasters, mistakes, and decadence. It appears, however, that under the reign of Ivan the Terrible and his next successors, Astrakhan still continued to supply Russia with the productions of Persia, and with some of those of Central Asia. An English company even attempted, about the year 1560, to open up a commercial intercourse with Persia and Turcomania by way of the Caspian, but failed completely; and subsequently the appearance of the Dutch and British flags in the Persian Gulf, and the immense development of the maritime commerce with India, for ever extinguished, for Astrakhan, the hope of recovering its former position. The navigation of the Caspian was completely abandoned, and the few Asiatic goods which Russia could not dispense with were conveyed to that country by expensive and perilous overland routes. Accordingly, when Alexis Michaelovitz ascended the throne about the middle of the seventeenth century, how to arrive at Persia by sea was almost become an unsolved problem. To this prince belongs, however, the honour of the first effort made by Russia to re-establish the commerce of the Caspian. A maritime expedition was undertaken from Astrakhan in 1660, under the direction of Dutch seamen; but it failed completely, in consequence of the revolt of the Cossacks, and the successes achieved by their leader, Stenko Razin. After this ineffectual attempt, things reverted to their old state, and the commercial history of this part of the empire presents nothing remarkable until the accession of Peter the Great.

The trade with Asia was not forgotten under that illustrious regenerator of the Muscovite nation, who bent all the force of his genius upon the affairs of the East. Filled with the grand design of making the merchandise of Asia pass through his dominions, he repaired in person to Astrakhan, inspected the mouths of the Volga, selected a site for a quarantine establishment, and set Dutchmen to work to turn the shores of the Caspian to profitable account, until such time as political circumstances should enable him to found establishments by force of arms on the Russian coast. But the brilliant expeditions beyond the Caucasus subsequently made by Russia led to no commercial result. Central Asia continued as of old to communicate with Europe by way of Smyrna and the Indian Ocean; and after Peter's death Russia gave up all her pretensions to the southern shores of the Caspian, over which she had entertained strong hopes of establishing her dominion.

Eventually the extension of the Russian possessions southward to the Kouban and the Terek, and eastward to the Ural, was not without its fruits. The safety secured to travellers caused the trade with Persia by way of Georgia to revive in some degree. Astrakhan was again visited by Persian and Hindu merchants, and by caravans from Khiva and Bokhara; the western and eastern shores of the Caspian were again frequented by vessels, and the numerous nomade hordes, of Asiatic habits, that then occupied the steppes of the Volga and the Kouma, contributed not a little to give animation to the commercial interchange between Russia and the Transcaucasian regions.[21]

In the reign of Catherine II. the Russians reappeared once more beyond the Caucasus on the Caspian shores; but it was not until Alexander's time that their sway was definitively established in those Asiatic regions. Once mistress of a vast country conterminous with Persia and Turkey, and washed both by the Caspian and the Black Sea, Russia evidently commanded every possible means for developing to her own advantage a trade between Europe and most of the western regions of Asia. By way of the Caspian and the Volga she could supply all her central provinces with Persian silks and cottons, dye-stuffs, and drugs; besides which she could monopolise the profit on the transit of goods to the fairs of Germany and down the Danube.

At first the Russian government seemed disposed to favour the establishment of all these great mercantile relations; but it did not long persist in its liberal course. It soon began to practise restrictive measures, thus paving the way for the grand system of proscription which it afterwards adopted. In the beginning of Alexander's reign the old trade with Persia still subsisted, and the Russians continued to buy cottons of excellent quality, at very low prices, in Mazanderan, a province situated on the Caspian.[22] The merchants used then to make their payments in ducats, that gold coinage being a sine quâ non in all bargains. But the exportation of ducats was prohibited in 1812 and 1813, and thenceforth the Persians refused to trade, not choosing to accept silver coin. The English merchants, always prompt to seize advantageous opportunities, immediately entered the markets of Mazanderan, the cottons of which, purchased by them at low prices, reached Europe by way of the Persian Gulf. At first they paid in ducats; but England soon substituted for specie cloths, and all other kinds of goods suitable to the inhabitants of that part of Persia. It was especially during the war of 1813 that the English led the Persians to adopt their various manufactures. The stop put to the Russian trade opened the eyes of the ministry, who soon revoked the measure concerning ducats, but the mischief was done; commerce had already run into a new channel. Severe as was this lesson it produced no lasting effect. In order to favour a single Moscow manufacture, a duty equivalent to a prohibition was imposed on foreign velvets in transitu for Persia, and thenceforth an article for which there was so important a demand, ceased to be an item in the Russian traffic with Persia.

In 1821, the Russian government seemed to be disposed to wiser views, and allowed European goods free entrance into the ports of Georgia. Thereupon, a great transit trade rapidly sprang up between Turkey, Persia, and the great German fairs, by way of Radzivilov, Odessa, Redout Kaleh, and Tiflis. This new and very promising line of communication had but a brief duration, for ten years afterwards, Russia, in her infatuation, destroyed all these magnificent commercial elements, as we have already shown. She closed the Transcaucasian provinces against European goods, and thus gave an immediate impulse to the prosperity of her formidable competitors in Trebisond, which soon surpassed the establishments on the Persian Gulf, and became the principal port in Persia and the point of destination for English goods, to the annual value at present of more than two millions sterling.

The Trebisond route having been once adopted, the trade in drugs and dye-stuffs was likewise lost for Russia.

It is scarcely conceivable with what perverse obstinacy the Russian government has persisted in its course, in defiance of all warning; and whilst the people of Persia and Turkey in Asia, were forsaking their old commercial routes for new markets, Russia has gone on making her prohibitive system more and more stringent, even to the extent of excluding the common pottery, an immense quantity of which was formerly sent from Khiva and Bokhara to Astrakhan, for the use of the Tatars and Kalmucks.