Part 5
To properly demonstrate the true value and importance of this Indian dominion to Britain, would demand a volume; we have, in the first part, presented a slight sketch of it; here therefore we shall offer only one or two remarks respecting its importance to our finances; and though we do not offer these remarks as the result of exact calculation, yet will they serve to throw a light on this subject. Ever since the last war Britain hath paid annually to foreign creditors, in interest, about 1,500,000 l. and this is paid, not in paper, but all in hard money; or, otherwise, in what is equivalent, the stoppage of so much hard money as is reckoned to come into Britain by the balance of her trade. On the other hand, the net specie balance of trade with all the world, (exclusive of that part which strictly and properly may be termed the produce of Indian dominion,) after deducting the imperceptible and enormous drain of specie made by smuggling, doth not at this day perhaps amount to 800,000 l. The difference then betwixt her numerical specie disbursement and receipt in balance of trade, must needs have been made good from some other fund than the circulating stock of specie, otherwise circulation must in that number of years have totally ceased. And this fund we need not mention to have been the dominion in India. Ever since 1757, the private fortunes acquired there in consequence of dominion or conquest, having been remitted either in bills on foreign Indian companies, or in diamonds, have created an annual influx of specie, (or what is equivalent,) to the amount of at least 700,000 l.[1] The Company too received since that period, and previous to the Dewanny, though by virtue of dominion or conquest, sundry large sums of money; which she invested in merchandize; and, thereby, saved to Britain so much specie as she would, otherwise, have transmitted for the purchase of such merchandize; and it doth not require demonstration to prove, that all such saving is, in every respect, the same as the influx of an equal sum. And ever from 1765, till some time in 1770, the Company paid for all her cargoes, not only in India but in China, with the surplus revenue of Bengal: and of course this surplus revenue hath, for that space, saved, (which is the same as gained) annually to Britain, the whole sums which the Company used to transmit for the purchase of her cargoes in India and China; and which, on an average, may be reckoned 500,000 l. _per annum_: but these cargoes were, from 1765, encreased to an enormous degree; and if we add only 200,000 l. for such encrease, we shall find that the surplus revenue of Bengal hath, by the return of trade, created an annual influx to Britain of at least 700,000 l. in specie: and this, added to the private fortunes, makes 1,400,000 l. received yearly by Britain, from Indian dominion.
But, for these two years past, the ruinous situation of those countries, and the consequent deficiency of revenue, hath obliged the Company to either transmit money from Europe, or otherwise to borrow money abroad, on bill or bond, for the purchase of all her cargoes in India as well as China: and the Company, by thus borrowing, for the purchase of cargoes, and even the expence of her government, hath absorbed the private fortunes, which, till then, had been transmitted to Britain, by bills on foreign companies. We must therefore perceive, without descending to tedious investigation, that the ruined state of those countries, having cut off surplus revenue, hath, for these two years past, diminished the annual influx to Britain from Indian dominion, at least one half, or 700,000 l. And this diminution of influx, whilst our drain continues the same, we already begin to feel in our circulation: though this felt effect is not yet traced up to its cause. Of what mighty importance then must this Indian dominion have been, to the circulation of Britain: when this circulation feels severely, from only two years partial deprivation of the benefit formerly derived from that dominion? And what effect must a total deprivation of that benefit operate, in a few years, on this circulation; whilst, we are continuing to pay to our foreign creditors about 1,500,000 l. _per annum_ in numerical specie; exclusive of other less noted drains, which, it is most probable mount it up much higher? And yet it is evident, that Britain must, unavoidably, be deprived of this whole benefit, so soon as she shall lose her dominion in India; whether that loss shall be caused by enemies, or by the ruin of the countries subjected. Nay, by losing the dominion of Bengal singly, she must not only incur a deprivation of almost the whole dominion benefit; but she must likewise lose by far the most valuable part of that commerce, which was carried on by the Company with those countries, previous to dominion. For the commerce with Bengal, alone, is of much greater value, than that with all the rest of India: and, as to the trade with China, it is the most pernicious and losing trade to the nation; however convenient it may be to government.
And if we shall then advert to the benefit and support which the finances of Britain have received from this Indian dominion, for so many years past, though under the most preposterous management; but, still more, if we shall advert to the nature and degree of benefit that, under proper management, might have been derived _in perpetuum_ from this Indian dominion, in not only the article of finance, but in other weighty respects: and, if we shall, yet farther, look forward to the dismal consequences that must unavoidably ensue to Britain in these several respects, from a deprivation of this Indian dominion and its benefits; can we tamely surrender our reason to the _ipse dixit_ of men who are hardy enough to tell us, that Indian dominion is of no value nor utility to Britain.
Nor do these men less abuse our understanding, by holding forth the difficulty of maintaining and defending this dominion: seeing that, of all nations in the world, Britain is, by a variety of circumstances, the best qualified to maintain and defend maritime or commercial dominion in India. For, as she exceeds all the world in naval force, she is, through that circumstance alone, the most capable of defending such dominion, against the assault of European enemies: and had Britain availed herself of evident advantages, had she established her naval and land defence upon the plan that shall be explained, British dominion in India might, at this day, have been secured from even the attempt of European rivals: they might have admired and envied, but they would not have dared to attack. And these European rivals are the only dangerous enemies to British dominion in India: for as to the neighbouring native powers, they would, from fear as well as inclination, have been amicable to Britain; provided her government in those countries had acted with common honesty, and common decorum, or prudence; and not as common robbers. And, as to the unhappy native subjects themselves, their loyalty hath been sufficiently proved, by so many years patient submission to the most intolerable of all possible governments. Wherein then consists the difficulty of maintaining and defending British dominion in India?
And with regard to the so much talked of expence or drain of native strength, we may surely, with good reason, say that this objection militated much stronger against maintaining that dominion under the Company, than under national government: tho’ the nature and extent of even that drain under the Company, is most grossly misrepresented. For I am well informed that the Company’s annual recruit, since the time she completed her dominion force, hath never exceeded 1200 men; and I am afraid it hath in general fallen short of 1000; notwithstanding she laboured under many disadvantages, from which national government would be exempted: such as being obliged to put up with very indifferent and unhealthy recruits, for want of better; too little attention paid to the manner of transporting them; and still less to their health and manner of living in the country: whilst her governors expended numbers of them on unnecessary predatory wars. And even this recruit we are not to reckon a drain of real strength from Britain: seeing that, the Company’s recruits have been mostly fellows of the most desperate circumstances, who had no means of subsisting at home; and who therefore would, if the Company had not taken them off, have been taken off by the gallows, or otherwise would have emigrated to America or some other country, in search of bread; and would thus have been equally lost to Britain. So that, upon rationally considering this matter, we shall find that, for the maintenance of dominion in India, the Company hath not drained this country, of 100 men annually, that could, in any sense, be termed useful, or a real strength to it. But, setting aside the precedent of the Company, it is certain that, to maintain and defend the mighty dominion of Bengal, demands an European force very little superior in number to the garrison of that barren fortress Gibraltar: and to maintain and defend the whole territorial possessions, together with the commerce of Britain in India, requires a force very little exceeding the aforesaid garrison with that of its filler fortress in Minorca. And the annual recruit, necessary to keep up this force, after allowing largely for climate, and every other circumstance, would, on a complete plan of defence, not exceed 900 or at most 1000 men: and, of this recruit, at least 200, would be wanted annually to maintain commerce, if there was no dominion. Nay, if this is judged too great a drain for Britain, one fourth part of that number may be reduced, by recruiting that proportion of foreign protestants: such being easily procured; and, in such a low proportion, they can in no respect be dangerous. And can Britain, regard 6 or 700 men annually as too great a drain, for the maintenance of that important dominion and commerce, which is as one of the capital limbs of her body; and at same time bestow a nearly equal share of her strength on maintaining these two barren, and I had almost said useless, fortresses; the pecuniary charge of which she pays out of her proper finance, never to return; whilst Indian dominion defrays its own charge.
The only remaining objection then to Indian dominion is, the difficulty of properly governing it. But this difficulty doth not arise, like that in America, from the indomitably obstinate spirit of the subjects; on the contrary, it arises from their over passive or submissive disposition, and incapacity of resisting the power of government: and this, instead of being an objection, is the most valuable qualification of a dependent dominion. To remove this difficulty demands no exterior aids, no exertion of powers or force; it depends entirely on the will of the sovereign; and a very little art, a very little care, with a little honesty, would serve to completely remedy it; as we doubt not to evince.
In fine, Bengal, being one of the richest commercial countries is, to Britain as a commercial nation, the noblest and most truly valuable acquisition that providence could possibly bestow on her: by the mild disposition of its inhabitants it is the most facilely governed and maintained; and, by the nature of its situation, it is the most defensible foreign dominion on this globe; particularly to Britain which excels in naval force. And one may almost venture to say that providence, by throwing Bengal into the arms of Britain, seems to have intended that this, the richest commercial state in Asia, which, through the effeminacy of its inhabitants, is incapable of maintaining its own independance, should be subjected to Britain, as being the fittest, through similarity of commercial disposition, interest, and modes, to properly govern it; and, through her superiority in naval force, the best qualified to defend and protect it from all enemies.
In what light then must posterity regard the policy of Britain, during the third quarter of the eighteenth century: when it shall find her, in the East, slighting and giving up that glorious field, which annually yielded a golden crop, to be rutted up and trodden down by hogs and viler beasts: whilst, in the West, she was tugging with all her might, exerting her utmost study, care and attention, much strength, and more money, on cultivating the sea sands; straining to subdue nature; and forcing the horse to drink in spite of inclination? Will it not be said, that she would have acted a far wiser part, if she had left nature and time to slowly operate in America, the effects which they will unavoidably produce, in spite of all her efforts; and had converted her care and attention, to properly govern, and maintain, that noble, rich, and grateful dependent dominion in India; which, upon such terms, would have poured, into her publick treasury, resources, that would have served to alleviate her burden of taxes; and, consequently, to reduce the price of necessaries, of labour, and of manufactures; which, again, would have preserved her commerce, not only with America, but with other countries; and would at same time have preserved to her thousands of industrious and useful subjects, who, through want of employment, were forced to emigrate from her to America. And, by the same care and attention to the government and revenue of that Indian dominion, she would have prevented the inundation of eastern profusion and extravagance; which chiefly contributed to convert this formerly graniferous island, into a pasture for horses of parade and stately pride; insomuch that, instead of supplying her neighbours as formerly, with some hundred thousand pounds worth of grain annually, she could not feed the greatly reduced number of her own inhabitants; nor furnish the means of living to the industrious agricultor, and peasant; who, in search of livelihood, fled from her to America; thereby debilitating her own best source of strength, and prematurely accelerating the manhood of those otherwise infant colonies.
Nevertheless there still remains a possibility of retrieving this error in policy; or at least of preventing a farther encrease of the evils that have arisen from it; provided that, in the first place, this Indian dominion shall still be in our possession: and, in the second place, that national government shall, by taking upon itself the charge of administring the government thereof, remedy that first and radical cause of evil and abuse which hath existed under the Company’s government: and shall, at same time, with honest and sincere intention, spirit and activity, apply a proper remedy to that which hath been assigned as the second cause of evil, and the nature of which remedy shall be explained in the sequel. For, upon such terms, there is no doubt that a regular system of government may be established in that dependent dominion; under which it may be restored to its pristine prosperity, nay, it may be elevated to a state still more flourishing than it ever knew; and, in consequence, to a capacity of yielding a still superior degree of benefit to Britain; and in a manner widely different, and truely salutary to her.
But I must again repeat, that it is vain to expect this reform of evils from the management of the Company; loaded as she is with so many natural defects, which it is out of the power of art to remedy, otherwise than by conferring upon her the sovereign government of Britain, along with that of this dependent dominion. For the execution of these two sovereign governments is, by the nature of things, inseparable: it being morally impossible, that any power can execute the sovereign government of those Indian countries, as a dominion dependent upon Britain, unless that power shall possess the sovereign execution of government in Britain.
However, it would be still more vain to look for any good from that extravagant fancy of joining the Company, with government, in this sovereign charge. What quota of powers, proper to her and wanting to government, can the Company contribute, to render her a necessary or useful associate with government, in this sovereign charge? I doubt not that the proposer’s intentions were good and honest: but his scheme would be so far from promoting his or any one good purpose, that it would produce the very opposite effects. For, instead of checking and contrasting, it would serve, in the first place, to furnish, in the Directors and their governors, a convenient cloke of excuse to ministry and its governors, with the nation; whilst ministry and its governors would serve the Directors and their governors a like good turn with the proprietors: they would mutually vouch for and screen each other; neither would be responsible, and neither would act; and thus, between stools, &c. in the second place, commercial despotism which, by separating the Company from the powers of government and the consequent jealousy of privilege, must have been completely suppressed, would, under this double-headed monster, flourish with redoubled vigour: the national governors would, by their connection with the Company’s, become merchants as well as tyrants; and the Company’s governors would, by their power in the government, continue tyrants as well as merchants: and thus the candle would burn at both ends. In the third place, the Company which, by being excluded from the powers of government, would have contributed so essentially in the nature of a middle state to the establishment of a regular political system in those countries, must, by being joined in the execution of government, entirely lose that virtue: instead of supporting liberty, she would join in promoting tyranny; and would still continue a ruinous pest to those countries. Indeed that strange partnership of Nation and Co. in this sovereignty business, is a cure infinitely worse than the disease.
In short, there is no alternative: if Britain means to preserve the possession of that mighty benefit derived from dominion and commerce in India; if she means to prevent the absolute ruin of the Company, and her creditors; if she hath any regard to the loud cry of oppression sent forth to her for a series of years, by her numerous wretched subjects in those countries; and means to save them from final destruction, she must furnish their government with a sovereign, or head, properly qualified to administer it: for this is the foundation, as well as the crowning of all good government; it is the center upon which the machine revolves, from which every line issues, and in which every line terminates; it is _sine qua non_, for without it no regular government can exist. And what proper sovereign can Britain furnish to that dependent dominion, unless it be her own sovereign government?
We have shown that the nation and her supreme government are perfectly equal to the charge: to them there is not the smallest difficulty in supporting it. Neither is there the smallest difficulty to her executive government or ministry, provided it shall possess an ordinary share of spirit, activity, or enterprize; and shall proceed with sincere and upright intention. For, a regular form of government being once established abroad, and a properly digested office or department formed at home, the business would go on with great smoothness and facility to ministry.
Nevertheless, as I have assumed the liberty of prescribing in this important and almost desperate case, I am sorry, that a sincere regard to the welfare of the patient should compel me to add, (by way of concluding on this head,) that, unless ministry shall act upon a principle, and with a spirit, extremely different from that which it hath hitherto discovered in this business, it would be much more adviseable to continue the charge in the hands of the Company: for it can be but ruined under her. However, in strong hopes of a melioration in these respects, which depends altogether on the will of government, I shall proceed to disclose that plan, which, in the hands of a properly qualified sovereign, would, I doubt not, serve to establish a regular system of government in India.
Footnote 1:
As it is impossible to exactly ascertain the annual amount of this private remittance made through various channels, it will no doubt be alledged, that we have exaggerated this article; and yet we have certain ground to affirm, that it is greatly underrated. Sure I am, if we can suppose that the amount of such remittance made from 1757 to 1770 hath been in any degree equal to that of the two following years, (which is ascertained,) and we have no reason to suppose that there hath been any considerable difference, the sum assigned by us will be greatly under mark. For no sooner did the English Company, in 1770, open her treasury, to receive money for remittance to Britain, than there was poured in at her three capital settlements above 1,400,000 l. for which bills were granted, presented, and accepted by the Company, and nearly two thirds of this sum was borrowed in Bengal. And in 1771 she hath borrowed in Bengal alone, under the promise of remittance, a sum perhaps exceeding the whole loan of the former year; though the bills have been postponed by her agents in Bengal, on account of the Company’s inability to answer them. Such was the remittance of British private fortunes for these two years, through the channel of the English Company alone: and we have good reason to suppose, that there may have been some made through other channels. And these enormous sums, borrowed by the Company, as sovereign, for the expence of Bengal, in these two years, will serve to show the mighty alteration of affairs in that country since 1765.
A PLAN, FOR ESTABLISHING A REGULAR SYSTEM OF POLITICAL GOVERNMENT IN INDIA.