British in SEA

1. Reasons

2. British Occupation of Penang, 1786

3. Founding of Singapore, 1819

4. Anglo-Dutch Treaty, 1824

5. Formation of Straits Settlements & transfer of SS to Colonial Office in London

British in SEA

• Participate in the lucrative spice trade of the East Indies

- Ternate : spice-producing island,

established trade, treaty signed with

Sultan, brought cargo of cloves to

England

- Burma, Siam, Malacca : favourable

reports of profitability of trade in East

British in SEA

• Imperial rivalry : England’s rivalry with Spain

- England & Spain : enemies over control

of the sea and trade

- England determined to destroy Spanish

power & influence

- 1591, England sent 1st voyage to East

Indies via Cape of Good Hope

British in SEA• Formation of East India Company - London merchants set up EIC in 1600 - obtained royal charter to monopolise trade in countries between Africa & America - British attempted to get share of spice trade in Spice Islands (Moluccas) but failed as Dutch kept them at bay - British withdrew their factories in East Indies, est only base in Bencoolen

British Occupation of Penang, 1786• Strategic Reason - Anglo-French rivalry for supremacy in India - French naval bases strategically located for

defence (eg Madras) but British had only Bombay - damages & losses to British shipping

→ convinced EIC of need to establish naval base to east of Bay of Bengal

British Occupation of Penang, 1876• Commercial Reason

1. increasing importance of China Trade

- tea, silk, porcelain, huge profits reaped

2. Port of Call between India & China

- harbour, refit, refill

3. collecting centre for Straits produce

- correct unfavourable balance of China trade : Straits products to be exchanged for tea

Founding of Singapore• Increasing importance of China Trade - tea in great demand - make trade more lucrative : opium & Malay Archipelago trade - British merchants sold opium in exchange for Chinese tea → made large profit in Chinese silver - Straits produce : tin, gold dust, iron, ivory, tortoise shell, gambier, sandalwood → port needed to control this trade

Founding of Singapore • Need to check Dutch power

- Dutch control of East Indies & trade routes to the East → discriminated against British

> Singapore strategically located to control trade route to East and Malay Archipelago trade

Asia

Anglo-Dutch Treaty 1824

Transfer of SS to Colonial Office in London

• Administration - shortage of staff : insufficient knowledge of local Malay conditions as focus was India - lack of representation in Indian govt • Official policies of Indian Govt - non-intervention in Malay States as profit was of utmost importance - political instability in Malay states : threat to trading interests & investments - dumping of convicts : affect SS reputation

Transfer of SS to Colonial Office in London

• Interference in trade

- impose trade & port duties : detrimental to

free trade status

- Currency Act : Indian rupee made legal

tender in the SS

Straits merchants petitioned for transfer

1867 : SS became a Crown Colony