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Charter of Queen Elizabeth I & the East India Company

 

Charter of Queen Elizabeth I & the East India Company

 

Background

  • Francis Drake’s Voyage (1580): First Englishman to sail around the world, inspiring exploration.
  • Defeat of Spanish Armada (1588): England’s naval victory boosted confidence to challenge Spain/Portugal in global trade.
  • Portuguese & Dutch Profits: Europeans made huge money from Asian spices, textiles, and goods → England wanted a share!

Formation of the East India Company

  1. 1599: Group of English merchants (Merchant Adventurers) formed a company to trade in Asia.
  2. 31 December 1600Queen Elizabeth I granted them a Royal Charter, giving:
    • Exclusive Rights: Only this company could trade east of Africa (monopoly).
    • Name: “Governor and Company of Merchants of London trading into the East Indies” (later called East India Company).
  3. 1609: Monopoly extended indefinitely (no end date).

Why India?

  • Dutch Dominance: The Dutch controlled the East Indies (Indonesia) for spices.
  • India’s Opportunities: English shifted focus to India for cotton, silk, indigo, and spices to sell in Europe.

Impact

  • Trade Power: The Company became England’s tool to dominate Indian trade.
  • Foundation for Empire: Later, this trading company turned into a political force, leading to British rule in India.

Fun Fact: The East India Company’s flag had a red-and-white striped background with a St. George’s cross – similar to England’s flag! 🚩

Summary:

  • Queen Elizabeth’s charter gave one company a monopoly on Asian trade.
  • Dutch control of Indonesia pushed the English to focus on India.
  • This set the stage for British colonial rule in India.

 

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