Rethinking the Origins of British India: State Formation and Military-fiscal Undertakings in an Eighteenth Century World Region

The Company alone managed to raise its revenue while continuing the war effort.

“The Company alone managed to raise its revenue while continuing the war effort.”

Total revenue flowing to Indian states declined during the eighteenth century.

“And the revenue flows to all Indian states together fell in the eighteenth century (Table 2).”

Across Indian states in the second half of the eighteenth century, military spending made up a high share of total expenditure.

“The proportion of the military in total expenditure was universally high in the second half of the century (Table 1).”

Revenue did not rise sharply immediately after the Company took over Bengal's fiscal administration.

“There was no dramatic increase in revenue immediately after the takeover of fiscal administration in Bengal.”

In the Peshwa's territory in the 1760s, debt service consumed about one third of net state income.

“In Peshwa's territory, debt service in the 1760s took away about a third of the net income of the state.”

Because of this flexibility, Maratha infantry salaries rarely followed the stated regulations.

“Flexibility in this respect meant that the salaries of the Maratha infantry rarely followed the stated regulations.”

The East India Company alone achieved mutually reinforcing growth in wealth and power in eighteenth-century India.

“To sum up, numbers suggest that the Company alone managed to achieve mutually reinforcing growth in wealth and power in eighteenth”

Bengal revenues increased from about £2 million in the last days of the Nawab to over £5 million 25 years after Company takeover.

“Bengal revenues increased from a figure nearer £2 million in the last days of the Nawab to over £5 million 25 years after Company takeover.”

Long before the Company became active in north Indian politics, it was preoccupied with defending Fort William in Calcutta.

“Long before the Company became active in north Indian politics, its obsession with the defences of the Fort William in Calcutta made a Dutch observer remark, 'if they ever lose their power here, their fall will, in all probability, proceed from the heavy expences, which they sustain, in keeping up so important a military establishment…'foot_8”

• cites foot_8Not matched

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The retirement scheme achieved the goal of peaceful disbandment.

“The retirement scheme attained this goal.41”

• cites [41]Not matched

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Peshwa revenues fell from £4 million in 1765 to £2.1 million in 1813 and £1.6 million before the British takeover.

“The Peshwa's revenues declined from £ 4 million in 1765 to 2.1 million in 1813 and 1.6 before British takeover.30”

• cites [30]Not matched

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During the second and third Anglo-Maratha wars, Maratha states raised money by mortgaging the right to grant land.

“In the second and the third Anglo-Maratha wars, the Maratha states raised money by mortgaging the right to give land grants.36”

• cites [36]Not matched

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Only a small part of the Company's income can be explained by tribute from dependent regimes.

“Only a small part of this income can be explained by tributes from dependent regimes.”

In Rohilkhand, the end of Rohilla power caused a significant fall in revenues flowing to Awadh.

“Other instances of decline include Rohilkhand, where the end of Rohilla power led to a significant fall in revenues flowing into the Awadh state.32”

• cites [32]Not matched

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The English East India Company was the sole exception to the general eighteenth-century fall in revenue flows to Indian states.

“There was only one exception to the second proposition, and that was the Company.”

Possibly one quarter of aggregate Maratha revenues in 1763-5 came from loans.

“Possibly a quarter of the aggregate Maratha revenues in 1763-5 came from loans.”

The Mysore territory returned to the Wodeyar king produced estimated revenue of £0.4 million.

“The territory of Mysore returned to the Wodeyar king produced estimated revenue of 0.4 million (Table 3).”

Revenue growth accelerated after the Company consolidated its land administration.

“However, there was acceleration thereafter as the Company consolidated its land administration.”

A contrast was emerging in how employment contracts were implemented.

“There was, however, an emerging contrast in the implementation of any employment contract.”

The Company's internally generated revenue per square mile was higher than the Peshwa's, so far as can be measured.

“And this internally generated stream was higher per square mile of territory controlled by the Company, so far as we can measure (Table 2).”

The commander-ruled states in the Deccan expanded territorially not so much by outright conquest as by sending military missions to demand protection money.

“The commander-ruled states in the Deccan displayed a propensity towards territorial expansion not so much by outright conquest as sending military missions to demand protection money.”

Some of these officers emerged into the mainstream and became landlords.

“Some of these officers emerged into the mainstream and became landlords in turn.”

Access to increasing sums of money allowed the Company to expand its standing army between Plassey and the Sikh wars.

“The access to increasing sums of money allowed the Company to expand its standing army between Plassey and the Sikh wars (Table 4).”

In Punjab, Ranjit Singh, who came to power in 1799, succeeded in uniting the majority of clans and their chiefs into a viable alliance.

“A final example of the formation of a state out of military command was Punjab, where Ranjit Singh, who came to power in 1799, succeeded, like Shivaji, in uniting the majority of the clans and their chiefs into a viable alliance.”

The Company could not pay for its wars out of its ordinary income.

“The Company could not finance wars from its income.”

In revenue per unit of land, however, there was a significant difference among Indian regions.

“However, in terms of revenue per unit of land, there was a significant difference.”

Table 4 suggests that Indian regions were quite similar in revenue per capita.

“Table 4 suggests that in terms of revenue per capita, Indian regions were quite similarly placed.”

The territory divided after Tipu's fall by the Company, Nizam, and Marathas produced £1.4 million in revenue.

“The territory carved up by the alliance between the Company, Nizam, and the Marathas after the fall of Tipu produced revenue of £1.4 million.”

The increase in Bengal revenues was achieved not by increasing land productivity but wholly by extracting more from landlords.

“The increase was achieved not by making land produce more, but wholly by wresting more from the landlords.”

Revenue per unit of area or population did not increase enough to compensate for territorial losses.

“The revenue per unit of area or population did not rise to offset territorial losses.”

In British India during the decade of the third Anglo-Maratha wars, debt service as a share of revenue fell from near 20 per cent to 12 per cent.

“In British India, in the decade of the third Anglo-Maratha wars, debt service as a percentage of revenue fell from nearer 20 per cent to 12 per cent.35”

• cites [35] sourceNot checked — no full text of the source

The Bengal famine of 1770 wiped out some of the early revenue gains.

“The 1770 Bengal famine even destroyed some of the initial gains.”

The tributary domain was considerably smaller than the area from which the Peshwa had received income in 1780.

“The tributary domain was considerably smaller than the area from which the Peshwa had received income in 1780.”

In the 1764 Buxar campaign, the Awadh Nawab Shujauddaula paid Rs. 300-1000 per month to his European commanders.

“In the 1764 Buxar campaign the Awadh Nawab Shujauddaula paid Rs. 300-1000 per month to his European commanders.”

• cites Bartholomew Burges, A Series of Indostan Letters, New York, 1790, p. xxii.Not matched

  Couldn’t be matched to a paper in Crossref, so it can’t be checked.

The salaries of European mercenaries and Indian commanders and musketeers immediately before a battle bore little relation to the regular pay and allowances of foot soldiers.

“The salaries of European mercenaries as well as Indian commanders and musketeers immediately before a battle bore little relation with the regular pay and allowances of foot soldiers.”

The kazzaks or predatory cavalry irregulars formed the largest body of Tipu Sultan's cavalry.

“The last formed the largest body.”

In 1792, the potential size comprising all jagirs was 13,400 cavalry.

“1792, potential size comprising of all jagirs, cavalry 13,400.”

• cites Letters, Political, Military and Commercial on the Present State and Government on the Province of Oudh and itsNot matched

  Couldn’t be matched to a paper in Crossref, so it can’t be checked.

In 1789, total inflow of tribute to the Peshwa state from subahs in Hindustan and Gujarat amounted to Rs. 21 million.

“in 1789, total inflow of tribute to the Peshwa state from subahs in Hindustan and Gujarat amounted to Rs. 21 million”

• cites V.S. Kadam, Maratha Confederacy, Delhi: Munshiram Manoharlal, 1993, pp.74-5Not matched

  Couldn’t be matched to a paper in Crossref, so it can’t be checked.

At the end of the final Anglo-Maratha wars, the northern armies relied mainly on the pindaries.

“At the end of the final Anglo-Maratha wars, the northern armies relied mainly on the pindaries.”

The Company's success cannot be explained as a transplantation of European practices into India.

“The Company's strategies, however, cannot be understood as a transplantation of European practices into India.”

• Also stated in: § Introduction · plain

  “Second, the Company's success in this respect cannot be understood as a transplantation of European practices into India.”

The proposition that Europeans fielded larger armies in the most consequential battles is possibly wrong.

“The proposition that the Europeans fielded larger armies in the most consequential battles is possibly wrong.”

• AssumptionRests on an assumption: The proportion of regular soldiers was significantly higher in the Company army than in Indian armies.

The coasts and floodplains made military-fiscalism more promising than the rocky landscape where Tipu Sultan designed his statist reforms.

“In short, the coasts and flood-plains made military-fiscalism more promising than in the rocky landscape where Tipu Sultan designed his statist reforms.”

Geography alone does not explain conquest, because Europeans shared the fertile Gangetic floodplains with other regimes.

“Geography alone does not explain conquest, for the Europeans shared the fertile Gangetic floodplains with other regimes.”

In the arid Deccan plateau and forested central India, it was harder for kings to shed dependence on local bosses with knowledge of land and means to coerce peasant headmen.

“In the arid Deccan plateau and forested central India, devoid of good roads, much commerce, and large towns, it was considerably harder for the kings to shed their dependence on local bosses possessing adequate knowledge of the land and the means to coerce peasant headmen.”

The most consequential example of the second pathway was the Maratha domain in the second half of the seventeenth century.

“The most consequential example of the second pathway was the Maratha domain in the second half of the seventeenth century.”

The contest for power in eighteenth-century India ended with the hegemony of the Company.

“The contest ended with the hegemony of the Company.”

In the eighteenth century, European states were moving towards sovereign control of fiscal and military apparatus, away from dependence on mercenaries, creditors, and contractors.

“The European states in the eighteenth century had been moving towards sovereign control of the fiscal and the military apparatus, away from dependence on mercenaries, creditors, and contractors.4”

• cites [4] sourceNot checked — no full text of the source

The outcome of political contest in eighteenth-century India was collective disempowerment and collapse of states, not collective empowerment as in Western Europe.

“And yet, the outcome of that contest was not collective empowerment of the states after the pattern of Western Europe, but something quite the opposite, a collective disempowerment and collapse.”

• AssumptionRests on an assumption: In India, the dominant trend in the eighteenth century was increasing contest between regimes that succeeded the Mughal Empire.

The position of strength of the Marathas was the culmination of service under the Deccan sultanates, during which hill forts came to be garrisoned by the Marathas.

“The position of strength in which these people found themselves was the culmination of service under the Deccan sultanates, during which hill forts came to be garrisoned by the Marathas.28”

• cites [28]Not matched

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Wealth and power did not always join together in early eighteenth-century India.

“Wealth and power did not always join together in early eighteenth century India.”

The Company recast the relationship between the state and the intermediate order of taxation agents by offering marketable property rights to landlords in exchange for compliance with the new military-fiscal order.

“The Company on the other hand recast the relationship between the state and the intermediate order of agents engaged in taxation, by making use of an unprecedented instrument, offer of marketable property rights to the landlords in exchange for compliance to the new militaryfiscal order.”

In the middle of the eighteenth century, the political game played by the Company was quite similar to that played by its principal rivals.

“In the middle of the eighteenth century, the political game being played by the Company was quite similar to that being played by its principal rivals.”

Competition in this scenario was a market for protection among militarily weaker states, involving negotiation on tribute in exchange for alliance against worse predators.

“If there was competition in this scenario, it was competition in a market for protection among the militarily weaker states, involving negotiation on the tribute to be paid in exchange for alliance against worse predators.”

Local factors such as opportunism and access to the natural resources of the eastern Gangetic were important in the Company's rise.

“Local factors, such as opportunism and access to the natural resources of the eastern Gangetic were important.”

Indian states had a path dependence of shared sovereignty with communities and individuals who supplied military services.

“The Indian states had a path dependence to live with, namely, shared sovereignty with communities and individuals who supplied useful services, principally military services.”

Geography mattered in the divergence between the Company and Indian states.

“Third, geography mattered.”

In land warfare, Europeans brought into India some useful knowledge relating to infantry formation, command structure, professionalized officer corps, flintlock guns, cast-iron cannons, and mobile artillery.

“In land warfare, the Europeans brought into India, if not a decisive advantage, some useful knowledge relating to infantry formation, command structure, professionalized officer corps, flintlock guns, cannons of cast iron, and mobile artillery.11”

• cites [11]Not matched

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The formation of successor states after the Mughal Empire followed broadly two pathways: rule by noblemen and rule by commanders.

“In this backdrop, the formation of the successor states followed broadly two pathways, towards what I call rule by noblemen and rule by commanders.”

• AssumptionRests on an assumption: Between 1690 and 1720, the equation between king, commander, landlord, and peasant was beginning to change almost everywhere.

Higher revenue per area reduced the costs of territorial administration and policing potential rebels in Company territories.

“The higher revenue per area reduced the costs of territorial administration and policing potential rebels in the Company territories.”

Much negotiation and violence in eighteenth-century India were responses by militarily strong regimes from resource-poor regions to stake claims on revenue of former imperial provinces and richer states.

“Much negotiation and violence were a response to attempts by the militarily strong regimes hailing from resource-poor regions, regimes that I call commander-ruled, to stake a claim upon the revenue of the virtually stateless former imperial provinces, as well as that of the richer states that were controlled by the remnants of the imperial administration.”

Using the ethnicity of the ruler to make sense of state formation is likely to fail because it blurs similarities and convergent tendencies between Indians and Europeans, and important distinctness amongst Indian regimes.

“To sum up the critique with a broader point, using the ethnicity of the ruler to make sense of state formation is likely to fail, for such an approach blurs similarities and convergent tendencies between the Indians and the Europeans, just as it blurs important points of distinctness amongst the Indian regimes.”

The Company came from a world that had been adapting to constant wars through centralization of finances and conscriptions, making it readier than any Indian state to consolidate sovereignty.

“The fact that it came from a world which had been adapting to constant wars by means of centralization of finances and conscriptions, made it readier than any Indian state of the time to try to consolidate sovereignty.”

Conflicts led Indian states to give away more powers.

“Conflicts, therefore, led them to give away more powers.”

The Company was fortunate in taking control of Bengal and Awadh, the two richest regions of India.

“The Company was fortunate in taking control of Bengal and Awadh, the two richest regions of India.”

If merchant companies are excepted, the pathway to state formation in these examples involved assertion of independence by commanders and landlords at the expense of the nobility.

“If the merchant companies are excepted, the pathway to state formation in these examples involved assertion of independence by the two intermediate orders -commanders and landlords -at the expense of the nobility.”

The two events of 1761 and 1765 did not introduce any immediate or fundamental break.

“The two events did not introduce any immediate or fundamental break, especially since the mutinous Afghan army had to leave Delhi.”

Mercantilism did not easily translate into imperial expansionism in India.

“Mercantilism did not easily translate into imperial expansionism in India.20”

• cites [20] sourceNot checked — no full text of the source

Until the end of the eighteenth century, major Indian powers tried to combine statism and militarism.

“Until the very end of the century, major Indian powers tried to combine strategies.”

There was convergence in military knowledge between Europeans and Indians even as battlefield outcomes diverged.

“The proposition that the Europeans possessed superior military knowledge lives uneasily with the fact that there was convergence in knowledge even as there was divergence in battlefield outcomes.21”

• cites [21]Not matched

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The emergence of new militarily strong regimes in the backdrop of a market for protection gave rise to two parallel modes of governance: statism and militarism.

“The emergence of new militarily strong regimes in the backdrop of a market for protection gave rise to two parallel modes of governance, 'statism' or attempts to control military and land revenue administration jointly, and 'militarism' or the superimposition of a centralized military outpost over a decentralized land revenue administration.26”

• cites [26] sourceNot checked — no full text of the source

The English East India Company was the one large exception to the pattern of fiscal crisis and state shrinkage.

“There was one large exception to this picture, and that was the English East India Company.”

The contrast came from the feasibility of changing the proportion of regular and irregular troops.

“The source of the contrast was the feasibility of altering the proportion of regular and irregular categories.”

Overall, the Gangetic plains had much greater revenue-generating potential than the Deccan and central India, because of differences in land productivity, forests and wastes, transport difficulty, trade costs, and access to maritime commerce.

“Overall, the revenue generation potentials of the Gangetic plains were much higher than in the Deccan and central India, because of vast differences in the productivity of land, and the larger extent of forests and wastes, the difficulty of transportation, high trade costs, and poor access to maritime commerce, in the latter.”

Simple comparisons of salaries are misleading because pay practices depended on the composition of the army.

“A simple comparison of salaries will be misleading, because pay practices depended on the composition of the army.”

The two principles were generalized in the Permanent Settlement of 1793.

“These two principles were generalized in the Permanent Settlement of 1793.”

The means of judicious predation and militarism were unsustainable when conflicts became long-term.

“These means were unsustainable when conflicts became long-term.”

The Company changed the equation between the state and the groups in command of local power.

“It changed the equation between the state and the groups in command of local power.”

The Company subdued local power groups by a new instrument, the land market.

“It relied on their loyalty to a lesser extent than did the others, and subdued them by a new instrument, the land market.”

The flow of subsidy was kept in place by a collection of self-financing military outposts at the exterior.

“The flow was kept in place by a collection of self-financing military outposts at the exterior.”

The Company's growing financial capacity allowed it to offer forward-looking employment contracts.

“The increasing financial capacity allowed the Company to make forward-looking employment contracts.”

There is reason to think Panipat had a lasting effect on sovereign debt.

“There is reason to believe that Panipat left a permanent effect upon sovereign debt.”

The fiscal crisis arose from states losing their grip on revenue assignees and officers.

“The crisis owed to a weakening hold of the state upon its revenue assignees and officers.”

The Company's base in resource-rich Bengal and a tributary-cum-predatory relationship with Awadh were enabling factors in its favour.

“An enabling factor working in their favour was a base in resource-rich Bengal and a tributary-cum-predatory relationship with the second richest land, Awadh.”

The Company's decision to expand its army was driven more by immediate anxieties about Indian powers than by long-term planning.

“The decision to do so was motivated less by long-term planning, and rather more by immediate anxieties regarding the Indian powers.”

Persistence with shared sovereignty weakened Indian states in the face of sustained conflict.

“At the same time, persistence with shared sovereignty weakened the Indian states in the face of sustained conflict.”

The suggestion that regional resources mattered to fiscal effort can be confirmed from later, more uniform data on Company-state financial transactions.

“The hint that regional resources played a part in the fiscal effort can be confirmed from a more uniform set of data that became available somewhat later in a pamphlet on financial transactions between the Company and the states (Table 5).”

In the second quarter of the nineteenth century, the Company's military command faced the problem of peacefully disbanding large numbers of soldiers.

“The challenging task before the Company's military command in the second quarter of the nineteenth century was how to disband large number of soldiers in a peaceful manner.”

The jagirdars and the state relied on Brahmin and other state officers for conducting the businesses of state.

“In turn, the jagirdars as well as the state relied on Brahmin and other state officers for conducting the businesses of state.”

The figures indicate that a state's sustainable borrowing capacity varied with its taxable capacity.

“These figures suggest that sustainable capacity to borrow varied according to taxable capacity.36”

• cites [36]Not matched

  Couldn’t be matched to a paper in Crossref, so it can’t be checked.

In zones of conquest, landlords who had served the Mughal provincial state continued to function under the Marathas, who used a credible threat to make them comply.

“In zones of conquest, on the other hand, the landlords who had served the Mughal provincial state continued to function under the Marathas, who employed a credible threat upon the landlords to make them comply.”

The Company relied less on the loyalty of local power groups than other states did.

“It relied on their loyalty to a lesser extent than did the others, and subdued them by a new instrument, the land market.”

As long as tribute came from zones of conquest to subsidize zones of origin, the whole could sustain its military enterprise.

“As long as tribute came in from zones of conquest to subsidize the zones of origin, the whole could sustain its military enterprise.”

The improvement in central finances enabled Ranjit Singh to strengthen and modernize the army.

“The resultant improvement in central finances enabled him to strengthen and modernize the army.”

Credit was also essential to Indian states other than the Company.

“Credit was also critical to the other states.”

In the eighteenth century, the two pathways of state formation became entangled.

“The core political process in the eighteenth century saw the two pathways of state formation become entangled.”

All major rival states in the late eighteenth century competed for money in the same credit market.

“In other words, all major rival states in the late-eighteenth century competed for money in the same money market.”

Land grants were made to military chiefs to provide sustenance for troops under their pay, creating a modified jagirdari system.

“land grants were made to military chiefs to provide sustenance for the troops under their pay, creating a modified jagirdari system.”

The Maratha revenue estimate of Rs.50 million is not improbable.

“But the amount, Rs.50 million, is not improbable, since official accounts show that in 1789, total inflow of tribute to the Peshwa state from subahs in Hindustan and Gujarat amounted to Rs. 21 million”

• cites V.S. Kadam, Maratha Confederacy, Delhi: Munshiram Manoharlal, 1993, pp.74-5Not matched

  Couldn’t be matched to a paper in Crossref, so it can’t be checked.

Statism would be impossible to attain without the capacity to perform militarism.

“These were not exclusive alternatives, in fact, statism would be impossible to attain without the capacity to perform militarism.”

At Assaye in 1803, the size of the reserve army is estimated to be much larger than the number mustered.

“Assaye, 1803.The size of the reserve army, like aggregate revenue (see Table3), is estimated to be much larger.”

In no single major battle could more than a third of such numbers be mustered.

“But in no single major battle, more than a third of such numbers could be mustered.”

As military conflicts intensified and states' territorial control shrank, dependence on irregulars became greater.

“As military conflicts intensified, and states found their territorial control shrink, the dependence on irregulars became greater.”

Numbers for Panipat are unreliable because of the preponderance of irregulars and camp-followers on both sides, numbering several hundred thousands.

“They produce similar numbers, but also suggest that numbers for Panipat are unreliable, because of the preponderance of irregulars and camp-followers on both sides, numbering several hundred thousands.”

• cites 'An Account of the Battle of Panipat', Asiatic Researches, 3, 1799, pp.91-140Not matched

  Couldn’t be matched to a paper in Crossref, so it can’t be checked.

• cites Seir Mutaqharin of Ghulam Husain Khan, Calcutta: R. Cambray, vol. 3 of 3, pp.385-9Not matched

  Couldn’t be matched to a paper in Crossref, so it can’t be checked.

Mercenary units that enlisted such people provided significant support for the new armies raised.

“Mercenary units that enlisted such people performed a significant column of support for the new armies raised.”