Essay on corruption in india 150 words

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Essay on corruption in india 150 words

Reproduction of a map of the city of Batavia c. Investment in these expeditions was a very high-risk venture, not only because of the usual dangers of piracy, disease and shipwreck, but also because the interplay of inelastic demand and relatively elastic supply [67] of spices could make prices tumble at just the wrong moment, thereby ruining prospects of profitability.

To manage such risk the forming of a cartel to control supply would seem logical. The English had been the first to adopt this approach, by bundling their resources into a monopoly enterprise, the English East India Company inthereby threatening their Dutch competitors with ruin.

For a time in the seventeenth century, they were able to monopolize the trade in nutmeg, mace, and cloves and to sell these spices in Europe and India at fourteen to seventeen times the price they paid in Indonesia; [69] while Dutch profits soared, the local economy of the Spice Islands was destroyed.

With a capital of 6, guilders[70] the charter of the new company empowered it to build forts, maintain armies, and conclude treaties with Asian rulers.

It provided for a venture that would continue for 21 years, with a financial accounting only at the end of each decade. The Governor General effectively became the main administrator of the VOC's activities in Asia, although the Heeren XVII, a body of 17 shareholders representing different chambers, continued to officially have overall control.

Although it was at the centre of the spice production areas, it was far from the Asian trade routes and other VOC areas of activity ranging from Africa to India to Japan. The Straits of Malacca were strategic but had become dangerous following the Portuguese conquest, and the first permanent VOC settlement in Banten was controlled by a powerful local ruler and subject to stiff competition from Chinese and English traders.

Graves of Dutch dignitaries in the ruined St. He saw the possibility of the VOC becoming an Asian power, both political and economic.

Essay on corruption in india 150 words

On 30 MayCoen, backed by a force of nineteen ships, stormed Jayakarta, driving out the Banten forces; and from the ashes established Batavia as the VOC headquarters.

In the s almost the entire native population of the Banda Islands was driven away, starved to death, or killed in an attempt to replace them with Dutch plantations. Coen hoped to settle large numbers of Dutch colonists in the East Indies, but implementation of this policy never materialised, mainly because very few Dutch were willing to emigrate to Asia.

A major problem in the European trade with Asia at the time was that the Europeans could offer few goods that Asian consumers wanted, except silver and gold. European traders therefore had to pay for spices with the precious metals, which were in short supply in Europe, except for Spain and Portugal.

The Dutch and English had to obtain it by creating a trade surplus with other European countries. Coen discovered the obvious solution for the problem: In the long run this obviated the need for exports of precious metals from Europe, though at first it required the formation of a large trading-capital fund in the Indies.

The VOC reinvested a large share of its profits to this end in the period up to Silver and copper from Japan were used to trade with India and China for silk, cotton, porcelain, and textiles. These products were either traded within Asia for the coveted spices or brought back to Europe.

The Company supported Christian missionaries and traded modern technology with China and Japan. A more peaceful VOC trade post on Dejimaan artificial island off the coast of Nagasakiwas for more than two hundred years the only place where Europeans were permitted to trade with Japan.

InGerard Pietersz. Bythe Portuguese had been expelled from the coastal regions, which were then occupied by the VOC, securing for it the monopoly over cinnamon.

To prevent the Portuguese or the English from ever recapturing Sri Lanka, the VOC went on to conquer the entire Malabar Coast from the Portuguese, almost entirely driving them from the west coast of India. When news of a peace agreement between Portugal and the Netherlands reached Asia inGoa was the only remaining Portuguese city on the west coast.

This post later became a full-fledged colony, the Cape Colonywhen more Dutch and other Europeans started to settle there. Direct access to mainland China came in when a factory was established in Canton. The treaty allowed the VOC to build a trading post in the area and eventually to monopolise the trade there, especially the gold trade.

Essay on corruption in india 150 words

VOC ships in Chittagong or Arakan. City hall of Batavia in CE. Aroundtwo events caused the growth of VOC trade to stall. In the first place, the highly profitable trade with Japan started to decline.

The loss of the outpost on Formosa to Koxinga in the Siege of Fort Zeelandia and related internal turmoil in China where the Ming dynasty was being replaced with the Qing dynasty brought an end to the silk trade after The shogunate enacted a number of measures to limit the export of these precious metals, in the process limiting VOC opportunities for trade, and severely worsening the terms of trade.The Business of War.

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