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THE DUTCH EAST INDIA COMPANY (Oostind...

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Originally appearing in Volume V08, Page 717 of the 1911 Encyclopedia Britannica.
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THE DUTCH See also:

EAST See also:INDIA See also:COMPANY (Oostindische Vereenigde Maalschappij)  , a See also:body founded by a See also:charter from the Nether-lands states-See also:general on the zoth of See also:March 16oz . It had a See also:double purpose: first to regulate and protect the already considerable See also:trade carried on by the Dutch in the See also:Indian Ocean, and then to help in prosecuting the See also:long See also:war of See also:independence against See also:Spain and See also:Portugal . Before the See also:union between Portugal and Spain in 158o-81, the Dutch had been the See also:chief See also:carriers of eastern produce from See also:Lisbon to See also:northern See also:Europe . When they were shut out from the Portuguese trade by the See also:Spanish See also:king they were driven to See also:sail to the See also:East in See also:order to make See also:good their loss . Unsuccessful attempts were made to find a route to the East by the See also:north of Europe arid See also:Asia, which would have been See also:free from interference from the Spaniards and Portuguese . It was only when these failed that the Dutch decided to intrude on the already well-known route by the Cape of Good See also:Hope, and to fight their way to the Spice Islands of the See also:Malay See also:Archipelago . A first expedition, commanded by See also:Cornelius Houtman, a See also:merchant long See also:resident at Lisbon, sailed on the and of See also:April 1595 . It was provided with an itinerary or See also:book of sailing instructions See also:drawn up by See also:Jan Huyghen See also:van Linschoten,' a Dutchman who had visited See also:Goa . The voyage was marked by many disasters and losses, but the survivors who reached the Texel on their return on the zoth of See also:August 1597 brought back some valuable See also:cargo, and a treaty made with the See also:sultan of See also:Bantam in See also:Java . These results were sufficient to encourage a See also:great outburst of commercial See also:adventure . Companies described as "Van Ferne "—that is, of the distant seas—were formed, and by 1602 from sixty to seventy Dutch vessels had sailed to Hindustan and the Indian Archipelago . On those distant seas the traders could neither be controlled nor protected by their native See also:government .

They fought among themselves as well as with the natives and the Portuguese, and their competition sent up prices in the eastern markets and brought them down at See also:

home . Largely at the See also:suggestion of Jan van See also:Oldenbarneveldt, and in full accordance with the economic principles of the See also:time, the states-general decided to combine the existing See also:separate companies into one See also:united Dutch East See also:India See also:Company, which could See also:discharge the functions of a government in those remote seas, prosecute the war with Spain and Portugal, and regulate the trade . A See also:capital estimated variously at a little above and a little under 6,5oo,000 florins, was raised by See also:national subscription in shares of 3000 florins . The independence of the states which constituted the United See also:Netherlands was recognized by the creation of See also:local boards at See also:Amsterdam, in See also:Zealand, at See also:Delft and See also:Rotterdam, See also:Hoorn and See also:Enkhuizen . The boards directed the trade of their own districts, and were responsible to one another, but not for one another as towards the public . A general directorate of 6o members was chosen by the local boards . Amsterdam was represented by 20 See also:directors, Zealand by 12, Delft and Rotterdam by 14, and Hoorn and Enkhuizen also by 14 . The real governing authority was the " Collegium," or See also:board of See also:control of 17 members, of whom 16 were chosen from the general directorate in proportion to the See also:share which each local See also:branch had contributed to the capital or See also:joint stock . Amsterdam, which sub-scribed a See also:half, had eight representatives; Zealand, which found a See also:quarter, had four; Delft and Rotterdam, Hoorn and Enkhuizen had two respectively, since each of the pairs had subscribed an eighth . The seventeenth member was nominated in See also:succession by the other members of the United Netherlands . A See also:committee Linschoten was See also:born at See also:Haarlem in or about 1563 . He started his travels at the See also:age of sixteen and, after some years in Spain, went with the Portuguese East India See also:fleet to Goa, where he arrived in See also:September 1583, returning in 1589 .

In 1594 and 1595 he took See also:

part in the Dutch See also:Arctic voyages, and in 1598 settled at Enkhuizen, where he died on the 8th of See also:February 1611 . His Navigatio ac See also:itinerarium (1595–1596) is a compilation based partly on his own experiences, partly on those of other travellers with whom he came in contact . It was translated into See also:English and See also:German in 1598; two Latin versions appeared in 1599 and a See also:French See also:translation in 1610 . The famous English version was reprinted for the See also:Hakluyt Society in 1885 . Large selections, with an Introduction, are published in C . See also:Raymond Beazley's Voyages and Travels, vol. ii . (English Garner, See also:London, 1903).of ten was established at the See also:Hague to transact the business of the company with the states-general . The " collegium " of seven-teen nominated the See also:governors-general who were appointed after 16o8 . The charter, which was granted for twenty-one years, conferred great See also:powers on the company . It was endowed with a See also:monopoly of the trade with the East Indies, was allowed to import free from all See also:custom dues, though required to pay 3% on exports, and charged with a See also:rent to the states . It was authorized to maintain armed forces by See also:sea and See also:land, to erect forts and plant colonies, to make war or See also:peace, to arrange See also:treaties in the name of the See also:stadtholder, since eastern potentates could not be expected to understand what was meant by the states-general, and to See also:coin See also:money . It had full administrative, judicial and legislative authority over the whole of the See also:sphere of operations, which extended from the See also:west of the Straits of See also:Magellan westward to the Cape of Good Hope .

Phoenix-squares

The See also:

history of the Dutch East India Company from its formation in 16oz until its See also:dissolution in 1798 is filled, until the See also:close of the 17th See also:century, with See also:wars and See also:diplomatic relations . Its headquarters were See also:early fixed at See also:Batavia in Java . But it extended its operations far and wide . It had to See also:deal diplomatic-ally with See also:China and See also:Japan; to conquer its footing in the Malay Archipelago and in See also:Ceylon; to engage in rivalry with Portuguese and English; to establish posts and factories at the Cape, in the See also:Persian Gulf, on the coasts of See also:Malabar and Coromandel and in See also:Bengal . Only the See also:main See also:dates of its progress can be mentioned here . By 1619 it had founded its capital in Batavia in Java on the ruins of the native See also:town of Jacatra . It expelled the Portuguese from Ceylon between 1638 and 1658, and from Malacca in 1641 . Its See also:establishment at the Cape of Good Hope, which was its only See also:colony in the strict sense, began in 1652 . A treaty with the native princes established its See also:power in See also:Sumatra in 1667 . The flourishing age of the company dates from 1605 and lasted till the closing years of the century . When at the See also:summit of its prosperity in 1669 it possessed 150 trading See also:ships, 40 ships of war, ro,000 soldiers, and paid a See also:dividend of 40% . In the last years of the 17th century its fortunes began to decline .

Its decadence was due to a variety of causes . The rigid monopoly it enforced wherever it had the power provoked the anger of rivals . When Pieter Both, the first See also:

governor-general, was sent out in 1608, his instructions from the Board of Control were to see that See also:Holland had the entire monopoly of the trade with the East Indies, and that no other nation had any share whatever . The pursuit of this policy led the company into violent hostility with the English, who were also opening a trade with the East . Between 1613 and 1632 the Dutch drove the English from the Spice Islands and the Malay Archipelago almost entirely . The English were reduced to a See also:precarious footing at Bantam in Java . One incident of this conflict, the See also:torture and judicial See also:murder of the English factors at See also:Amboyna in 1623, caused See also:bitter hostility in See also:England . The success of the company in the Malay Archipelago was counterbalanced by losses elsewhere . It had in all eight governments: Amboyna, See also:Banda, See also:Ternate, See also:Macassar, Malacca, Ceylon, Cape of Good Hope and Java . Commissioners were placed in See also:charge of its factories or trading posts in Bengal, on the Coromandel See also:coast, at See also:Surat, and at Gambroon (or Bunder Abbas) in the Persian Gulf, and in See also:Siam . Its trade was divided into the " See also:grand trade " between Europe and the East, which was conducted in convoys sailing from and returning to Amsterdam; and the " Indies to Indies " or See also:coasting trade between its possessions and native ports . The rivalry and the hostilities of French and English gradually drove the Dutch from the mainland of Asia and from Ceylon .

The company suffered severely in the War of See also:

American Independence . But it extended and strengthened its hold on the great islands of the Malay Archipelago . The increase of its See also:political and military burdens destroyed its profits . In the early 18th century it was already embarrassed, and was bankrupt when it was dissolved in 1798, though its See also:credit remained unshaken, largely, if its enemies are to be believed, because it concealed the truth and published false accounts . In the later stages of its history its See also:revenue was no longer derived from trade, but from forced contributions levied on its subjects . At home, the directors, who were accused of nepotism and corruption, became unpopular at an early date . The company was subject to increasing demands and ever more severe regulation on the successive renewals of its charters at intervals of twenty-one years . The immediate causes of its destruction were the See also:conquest of Holland by the French revolutionary armies, the fall of the government of the stadtholder, and the establishment of the Batavian See also:Republic in 1798 .

End of Article: THE DUTCH EAST INDIA COMPANY (Oostindische Vereenigde Maalschappij)
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