Coming of the British & Revenue Settlements
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Coming of the British — Key Facts for BPSC
The British established their foothold in India through trade charters and gradually transformed into political rulers through a series of wars, treaties, and annexations.
Core Facts:
- East India Company (EIC) established by Queen Elizabeth I in 1600 — granted monopoly over trade with the East
- Battle of Plassey (1757): Robert Clive defeated Siraj-ud-daulah with the help of Mir Jafar — marked the beginning of British political power in India
- Battle of Buxar (1764): British defeated the combined forces of Mir Qasim (Awadh), Shah Alam II (Mughal Emperor), and Shuja-ud-daulah — confirmed British control over Bengal
- Regulating Act of 1773: First attempt to regulate EIC governance; appointed Governor-General of Bengal (Warren Hastings)
- Charter Act of 1833: Made India a British colony; gave EIC administrative powers
⚡ Exam tip: The Battle of Plassey and its significance, along with Warren Hastings’ administrative reforms, are BPSC favourites.
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Establishment of British Rule
Early Trading Companies
East India Company (EIC)
- 1600: Granted charter by Queen Elizabeth I — monopoly over trade with the East (including India)
- 1602: First joint-stock company — revolutionary financial instrument
- 1608: Sir William Hawkins arrived at Jahangir’s court seeking trade privileges (failed)
- 1615: Sir Thomas Roe obtained a farman (royal decree) from Jahangir allowing the EIC to establish a factory at Surat
- Factories (trading posts) established at: Surat (1613), Bombay (1668), Calcutta (1690), Madras (1641)
Portuguese and Dutch
- Portuguese were the first European traders in India — established in Goa (1510, Afonso de Albuquerque)
- Dutch East India Company (VOC) — active in spices trade; established at Pulicat, Cochin; but were primarily driven out by the British
The Battle of Plassey (1757)
Background:
- After the death of Mughal Emperor Aurangzeb (1707), the empire fragmented
- Bengal became virtually independent under Alivardi Khan (1740–1756)
- His grandson Siraj-ud-daulah became Nawab in 1756
- EIC (under Robert Clive) and the French (under Dupleix) were competing for influence in Bengal
What Happened:
- Siraj-ud-daulah seized the EIC’s factory at Calcutta (June 1756) — briefly imprisoned 146 British personnel (they died in the Black Hole of Calcutta)
- Robert Clive, with a small force (about 3,000 men, including 500 Indian sepoys), defeated Siraj-ud-daulah’s much larger army (about 50,000)
- Mir Jafar (Commander-in-Chief of Siraj’s army) was bribed to defect — no major battle; Siraj fled
- Robert Clive won without a real fight — it was a political conspiracy, not a military victory
Why It Matters:
- Mir Jafar installed as Nawab — a British puppet
- EIC acquired Diwani rights (right to collect land revenue) in Bengal, Bihar, and Orissa by 1765 Treaty of Allahabad (signed with Mughal Emperor Shah Alam II)
- British now had a regular source of income — the revenue of Bengal funded their expansion
- This is considered the true beginning of British political rule in India
Battle of Buxar (1764)
Background:
- Mir Qasim (installed by the British after Mir Jafar) grew resentful of EIC interference
- He fled to Awadh and formed a triple alliance with Shah Alam II (Mughal Emperor) and Shuja-ud-daulah (Nawab of Awadh)
- British forces under Hector Munro defeated the alliance at Buxar
Treaty of Allahabad (1765):
- Shah Alam II accepted British protection and was given Allahabad and Kora
- Shuja-ud-daulah recognized British control over Rohilkhand
- Diwani rights granted to the EIC in Bengal, Bihar, and Orissa
Warren Hastings (Governor-General of Bengal, 1772–1785)
Warren Hastings was the first Governor-General of Bengal. His major reforms:
Administrative:
- Established the Calcutta Supreme Court (1773) — though it conflicted with the Sadar Diwani Adalat
- Created the Board of Revenue to oversee land revenue
- Charter Act of 1773: Created the post of Governor-General; established a Supreme Court in Calcutta
Revenue Reforms:
- Tried to fix revenue rates at 10% of the produce (the Charter of 1773)
- Eventually led to the Permanent Settlement of 1793
Judicial:
- Established circuit courts for criminal justice
- Reform of the ** Cornwallis** Code later
Controversies:
- Case of Raja Nand Kumar (1775) — the first Indian to be tried and executed for forgery under British law; Hastings was accused of suppressing evidence but was acquitted
- RoopKanwar case — sati prevention; Hastings issued a regulation (but it was weak)
- Chait Singh of Benares — Hastings demanded excessive tribute from the Raja; Raja resisted; Hastings annexed part of his territory
- Treaty of 1784: Pitt’s India Act created a Board of Control to oversee EIC affairs
Cornwallis (Governor-General, 1786–1793)
Cornwallis is known for establishing the Permanent Settlement and civil service reforms.
Permanent Settlement (1793):
- Fixed land revenue permanently (hence “Permanent”)
- Zamindars recognized as landowners (proprietors) — they paid fixed revenue to the government
- Revenue demand could NOT be increased in the future
- This created a class of permanent landlords (Zamindars) loyal to the British
- Disadvantages: Many Zamindars sold their lands or defaulted; farmers (Ryots) got no rights
Revenue Settlements — A Detailed Study
Permanent Settlement (1793) — Lord Cornwallis
- Applied to Bengal, Bihar, Orissa, and parts of Madras
- Zamindars became property owners — Revenue was fixed permanently (in perpetuity)
- Revenue demand: 10/11 of the rental value — extremely high
- Landowners who defaulted lost their lands (Lakhiraj lands excepted)
- Created a class of loyal landlords — the “Taluqdari system”
- Flaw: It did not grant rights to actual cultivators (Ryots); many Ryots became tenants
Ryotwari System — Thomas Munro (1820s)
- Introduced in Madras Presidency (primarily)
- Ryot (cultivator) was the owner of the land — direct settlement between the government and the cultivator
- Revenue was fixed for a period (not permanently)
- Each ryot had a pattadar (title deed) for his land
- Disadvantages: Inadequate records, no credit system, ryots often under debt
Mahalwari System — William Bentinck (1833)
- Introduced in Punjab, Western UP, parts of Central India
- The village (Mahal) was treated as a single unit for revenue assessment
- The village community (Panchayat) was collectively responsible for revenue payment
- Disadvantages: Village headman became powerful; some cultivators lost rights
Comparative Table — All Three Systems
| Feature | Permanent Settlement | Ryotwari | Mahalwari |
|---|---|---|---|
| Area | Bengal, Bihar, Orissa | Madras Presidency | Punjab, Western UP |
| Unit | Zamindar | Individual Ryot | Village (Mahal) |
| Revenue | Fixed permanently | Fixed for period | Fixed per village |
| Owner | Zamindar (proprietor) | Ryot (owner) | Village community |
| Collectivity | Individual | Individual | Collective |
| Created By | Cornwallis | Thomas Munro | William Bentinck |
| Year | 1793 | 1820s | 1833 |
Why the British Conducted Revenue Settlements
- Economic: Need a stable revenue stream to fund the Company’s operations and trade
- Political: Create a class of landlords loyal to the British (Zamindars)
- Administrative: Systematic record-keeping; land ownership became documented
- Legal: Create property rights — land could now be bought, sold, and mortgaged
Impact on Bihar
- Bihar was under the Permanent Settlement (as part of Bengal)
- Many Zamindars in Bihar lost their lands due to high revenue demands
- The Taluqdari system became prominent in South Bihar (shifting from older Zamindari)
- Bihar’s agrarian economy was deeply affected by these revenue settlements
🔴 Extended — Deep Study (3mo+)
Comprehensive coverage for students on a longer study timeline.
Detailed Chronology of British Expansion
| Year | Event | Significance |
|---|---|---|
| 1600 | EIC Charter | Trading monopoly |
| 1608 | Hawkins at Jahangir’s court | First British diplomatic mission |
| 1615 | Thomas Roe’s farman | Trade rights |
| 1757 | Battle of Plassey | Political foothold |
| 1764 | Battle of Buxar | Confirmed British dominance |
| 1765 | Treaty of Allahabad | Diwani rights granted |
| 1773 | Regulating Act | First governance reform |
| 1793 | Permanent Settlement | Fixed revenue system |
| 1813 | Charter Act | End of EIC monopoly (except tea/trade) |
| 1853 | Charter Act | Open competition for civil service |
| 1857 | Revolt | End of EIC; Crown rule |
Robert Clive — Key Facts
- First Governor of Bengal (1757–1760, 1765–1767)
- Known as “Clive of India” — first to combine political power with commercial wealth
- Returned to England a very wealthy man
- Clive’s Dual Government System (1765): After getting Diwani rights, the EIC collected revenue through Indian officials (Zamindars) but took no responsibility for administration — led to chaos
- Committed suicide in 1774 (though some suspect murder)
Warren Hastings — Detailed Contributions
- Governor-General (1772–1785)
- Revenue reforms: Established Board of Revenue; fixed revenue demand
- Judicial reforms: Set up Diwani Adalats (civil courts) at district level, Nizamat Adalats (criminal courts) at province level
- Charter Act of 1773: First Governor-General (Warren Hastings); established Supreme Court in Calcutta
- Pitt’s India Act of 1784: Created Board of Control to supervise EIC
- Relations with Indian states: Signed treaties with various princes; pursued cautious expansion
- Cultural: Promoted the study of Indian languages; translated ancient texts; helped establish the Asiatic Society of Bengal (1784)
Lord Cornwallis — More Details
- Governor-General (1786–1793)
- Permanent Settlement (1793): Fixed land revenue permanently
- Created the Indian Civil Service (ICS): Entry through competitive examination (though initially limited to Britain)
- Separated revenue administration from judicial functions: Previously,Collectors oversaw both revenue and justice
- Police reforms: Established a systematic police force; each district had a District Superintendent
- Built Writer’s Building in Calcutta (Bengal’s administrative complex)
Charter Acts — Evolution of British Governance
Charter Act of 1813
- Renewed EIC’s charter for 20 years
- End of EIC monopoly on trade (except tea and opium with China)
- Allowed missionaries to set up missions in India
- Indian goods faced high tariffs in Britain (protecting British manufacturers)
Charter Act of 1833
- Made India a British colony
- EIC lost all commercial privileges; became purely administrative
- Governor-General of Bengal became Governor-General of India
- First mention of law commission: Appointed a law member to codify Indian law
- ** Macaulay** was the first Law Member (1834); wrote the Macaulay’s Minutes on education (1835)
Charter Act of 1853
- Separated the Governor-General’s legislative power from executive
- Created a legislative council (central and provincial) separate from the executive
- Opened civil service to competitive examination (but only in Britain — Indians still excluded)
Impact of Revenue Settlements on Indian Society
Positive:
- Systematic record-keeping of land ownership
- Certainty in revenue demand (under Permanent Settlement)
- Creation of a landlord class loyal to the British
- Development of a land market — land could be bought and sold
Negative:
- Farmers (Ryots) got no rights — they were at the mercy of Zamindars
- Many Zamindars defaulted on revenue and lost their lands
- Fragmentation of holdings due to inheritance laws
- Rural indebtedness increased — moneylenders took over land
- Created a landed aristocracy that became parasitic — disconnected from agriculture
BPSC Previous Year Question Pattern
- Battle of Plassey — causes, significance, Mir Jafar’s role
- Revenue settlements — differences between all three
- Warren Hastings’s reforms
- Permanent Settlement — features and impact on Bengal
- Charter Acts and their significance in governance evolution
- Bihar and British revenue system
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