Question

Discuss about the system of trade before the company became the diwan of Bengal​

Answer 1

➠ AnSwer :-

• A trading company had also to ensure that it could buy the products it needed and sell what it wanted.
• Before 1865, the Company had purchased goods in India by importing gold and silver from Britain.
• Now the revenue collected in Bengal could finance the purchase of goods for export.

Answer 2

Answer:

• The Company Becomes the Diwan
• On 12 August 1765, Robert Clive, on behalf of East India Company, accepted the Diwani of Bengal from the then Mughal ruler.
• The Company became the chief financial administrator of the territory under its control, and so the company had to think and plan the organisation of Bengal in a such a way that it could earn maximum profit out of the territory, profits that could be used to finance their businesses and wars.
• As a foreign power, the Company realised that it needed to manage the local rulers in India's villages, because they were respected by the locals and removing them might anger the common people.