English East India Company and Coromandel Coast Merchants
By S. Babu
Summary
The arrival of European trading companies, particularly the English East India Company, on the Coromandel Coast in the seventeenth century transformed regional commerce through interactions with indigenous merchants. Facing challenges like market complexity, language barriers, and competition, the English relied heavily on local middlemen, primarily Hindu merchants from the Vaishya caste, known as Chettis. These merchants, especially Telugu-speaking Komati Chettis, served as interpreters, brokers, and procurement agents, facilitating trade by navigating local systems, languages, and networks. They provided critical support in sourcing textiles, indigo, and saltpeter, and in bartering goods for spices in Southeast Asia. The English established trading posts at Masulipatnam (1611), Pulicat (1621), and Chennapattinam (1639), with Fort St. George becoming the Eastern Presidency’s seat by 1652. Indigenous merchants streamlined procurement through spot purchases and advance payment systems (*dadani*), ensuring regular supply by financially supporting artisans. Their roles expanded as trade grew, with specialized groups like Beri Chettis and Balijiwaru Chettis managing diverse functions, from retail to banking. The study highlights how these merchants accumulated significant wealth, wielded socio-economic influence, and became indispensable intermediaries, bridging the English Company and local producers while adapting to evolving commercial demands.
Conclusion
This study highlights the critical role of indigenous merchants in facilitating the English East India Company's commercial activities on the Coromandel Coast during the seventeenth century. By leveraging local knowledge, language skills, and established networks, these merchants—primarily Hindu *Chettis*—served as interpreters, brokers, and procurement agents, overcoming significant barriers such as linguistic differences, complex market systems, and logistical challenges. Their intermediation enabled the Company to navigate local trade dynamics, secure textiles and other goods, and establish a stable supply chain. The *Chettis* accumulated substantial wealth and social influence, transitioning into merchant capitalists while maintaining their traditional roles. This collaboration underscores how European commercial expansion in India relied heavily on indigenous mercantile structures, shaping early colonial trade practices and economic interactions. The study emphasizes the symbiotic relationship between foreign traders and local merchants, which was pivotal to the Company's success in integrating into regional trade networks.