Question

why trending centres were called factories​

Answer 1

Answer:

The trading centres set up by the European companies were known as factories. There were called factories not because anything was manufactured there but because the officials of the companies were called factors

Answer 2

They established their trading centres in different parts of the country, especially in the coastal areas. These centres were called 'factories'. It was so because the officials of the company were called 'factors'. Factories were base of company traders known at that time as factors operated.

                                                    OR

The trading centres set up by the European companies were known as factories. There were called factories not because anything was manufactured there but because the officials of the companies were called factors