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Thursday Nov 07, 2024
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By Jayasri Priyalal
Plantation economy and the British East India Company were the two iconic economic models of the colonial British Empire.
The East India Company was something similar to current giant multinational corporations, those who are economically and politically powerful than many nation states where ever they operated. Her Majesty’s Government in Britain then had completely delegated the administration of the colonies to East India Company until its collapse in 1857. Hence, one can interpret East India Company as a state-owned company as well.
As usual, they were only concerned with profits, luxury living plundered wealth from the rulers in the countries they were colonising. East India Company (EIC) engaged in commerce in all aspects, levied taxes on the subjects and did not pay taxes to her majesties government, but profit sharing was the key understanding. By this way, EIC generated enough wealth for the commonwealth. Finally, when the East India Company went bankrupt, the British taxpayers had to rescue them.
The readers may be able to sense the current trends taking shape in the global economy as the saying goes; history repeats. The other question that needs an answer is, whose wealth is considered commonwealth?
Tea trade
EIC was operating from its HQ in Calcutta, yet in Ceylon, they started the coffee and tea plantations to complement the spices and other commodities where EIC had the sole monopoly to trade.
It is worth mentioning that tea was invented by Chinese as a beverage with a natural stimulant, but commercialised by British. As there was a huge demand for tea in Britain, and to buy tea from China they had to spend silver coins. The other valuable Chinese inventions are gun powder, mercury, the navigational compass, porcelain, paper and block printing technology.
In the name of free trade the British Empire waged the opium war to sell opium to the Chinese as they saw huge opportunity to make profits by growing opium in India and selling it to China and buying teas from the revenues of opium. The Chinese Emperor’s (Qing Dynasty) far-sighted vision enabled him to enter into a long-term lease to give Hong Kong Island to British to save the Chinese population from opium addiction and death.
Planting people
Planting people to promote Victorian culture – values, English language, Christianity – civil services in alignment with a specific model to run the colonial administration have helped the subjects in colonies to achieve a better quality of living and integrated with the colonial commerce.
Although the EIC was keen on making profits, there were many kind-hearted white Europeans who lived in the colonies with social concerns. Some of them did extraordinary things for benefit of mankind standing out of imperialistic goals – education, health care, fighting for independence, elimination of poverty, etc. Many of our historical artifacts were unearthed by the British civil servants, and they taught us how to preserve them for the future. If not for them; this writer would not be able to put these thoughts across through print media in a universal language, English.
Addictive commodities
Coffee, opium, cane sugar, tea and tobacco were the cash crops that were planted in entire British colonies, clearing rain forests and all arable land. The best classification on these commodities one could give is, they are all addictive – meaning, once you get the habit of consuming them, there will be a steady demand growth. Ideal commodities to generate tax revenues while exporting and importing.
Ceylon Tea packed in boxes infused the American independence struggle in Boston as freedom fighters refused to pay taxes on tea imposed by the rulers in Britain. Thanks for coffee and tea, addiction towards hard liquor and beer declined in cooler climates in Europe and North America. Coffee shops restaurants became popular and they became centres for opinion-making as well.
Scotsman James Taylor is known as the first planter who planted tea in Ceylon. I wonder whether he was a teetotaller. If not Scotch Whiskey too would have come along with him.
Except for tea and coffee, the social costs towards maintaining the healthy citizenry from preventable diseases due to over usage of the addictive includes refined wheat flour. If one does a cost-benefit analysis, I am sure the tax generated through this form is not worth it. Even in the 20th century, a price of a loaf of bread was the determining factor in choosing to democratically elect a government in Sri Lanka (Rs. 3.50).
When all revenues generated to manage the economy in India was insufficient, the imperial administration introduced the tax on the other addictive, salt. That was the beginning of the end of British Empire. The Indian independence movement was triggered on the salt tax. Mahatma Gandhi’s historic salt march in Gujarat inspired the freedom fight in India. He cleverly rubbed a pinch of salt on the pestered colonial wound.
This is a lesson for current policymakers as well. There is a limitation for revenue generation through taxes, including the fines to discipline errant drivers on the roads. Even at present, the highest form of government revenue comes from excise duty on Liquor and Tobacco. Expenditure on public health, social costs on lung cancer, diabetes, and cirrhosis, has anyone done the calculations?
Some fine planters
Taking the footpath of James Taylor, Ceylon (Sri Lanka) produced some fine planters. To name a few – PaniIllangakoon, Ken Balendran, late Minister Ranjan Wijerathne, and the recently brutally-murdered planter of Noori Estate late Nihal Perera. They all demonstrated their exemplary leadership in many other fields as well.
In fact, this writer was motivated to pen this article titled ‘Planters and Uprooters’ as a mark of a tribute to late Nihal Perera who sacrificed his life at the age of 70. He was tortured by an elected Pradeshiaya Saba President, a criminal. The only consolation for peace-loving citizens is that justice has been served on the criminals, thanks to the new political culture which strengthened judicial independence in Sri Lanka.
Who are the uprooters?
Now who are those uprooters? The colonial masters planted people to institutionalised Victorian culture. But in the post-colonial era in Sri Lanka, some uncivilised people’s representatives in the name of devolution of power have uprooted everything in value to add economic value to the pockets of few, by destroying all social values.
In the name of democracy, these guys have been empowered with devolved muscle power instead of the political power at the centre. Should Sri Lankans support an election system, where criminals get elected to high positions? These provincial and local government positions are the seed beds for budding politicians aiming at national level positions confused between value and values.
The final question before the citizens who are concerned with common good is, should Sri Lanka continue with the current parallel administration system with a colossal waste of money? At a time the State is grappling with an acute financial deficit. In the first place, who wanted to devolve power by setting up of provincial councils in Sri Lanka? When the patient is suffering from the terminal illness and bleeding, it is better to end the life soon rather than nursing for some time and killing later.
Coffee, opium, cane sugar, tea and tobacco were the cash crops that were planted in entire British colonies, clearing rain forests and all arable land