Concept

Company rule in India

Summary
Company rule in India (sometimes Company Raj, from rāj) was the rule of the British East India Company on the Indian subcontinent. This is variously taken to have commenced in 1757, after the Battle of Plassey, when the Nawab of Bengal Siraj ud-Daulah was defeated and replaced with Mir Jafar, who had the support of the East India Company; or in 1765, when the Company was granted the diwani, or the right to collect revenue, in Bengal and Bihar; or in 1773, when the Company abolished local rule (Nizamat) in Bengal and established a capital in Calcutta, appointed its first Governor-General, Warren Hastings, and became directly involved in governance. The Company ruled until 1858, when, after the Indian Rebellion of 1857 and the Government of India Act 1858, the India Office of the British government assumed the task of directly administering India in the new British Raj. The English East India Company ("the Company") was founded in 1600, as The Company of Merchants of London Trading into the East Indies. It gained a foothold in India with the establishment of a factory in Masulipatnam on the Eastern coast of India in 1611 and the grant of the rights to establish a factory in Surat in 1612 by the Mughal Emperor Jahangir. In 1640, after receiving similar permission from the Vijayanagara ruler farther south, a second factory was established in Madras on the southeastern coast. Bombay island, not far from Surat, a former Portuguese outpost gifted to England as dowry in the marriage of Catherine of Braganza to Charles II, was leased by the Company in 1668. Following the Anglo-Mughal War, the Company was allowed by Emperor Aurangzeb to establish a presence on the eastern coast as well; far up that coast, in the Ganges Delta, a factory was set up in Calcutta. Since, during this time other companies—established by the Portuguese, Dutch, French, and Danish—were similarly expanding in the region, the English Company's unremarkable beginnings on coastal India offered no clues to what would become a lengthy presence on the Indian subcontinent.
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