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Q49 (IAS/2022) History & Culture › Modern India (Pre-1857) › European trading companies Official Key

With reference to Indian history, consider the following statements: 1. The Dutch established their factories/warehouses on the east coast on lands granted to them by Gajapati rulers. 2. Alfonso de Albuquerque captured Goa from the Bijapur Sultanate. 3. The English East India Company established a factory at Madras on a plot of land leased from a representative of the Vijayanagara empire. Which of the statements given above are correct?

Result
Your answer: —  ·  Correct: B
Explanation

The correct answer is Option 2 (2 and 3 only). Below is the comprehensive explanation:

  • Statement 1 is incorrect: The Gajapati dynasty ruled Odisha and parts of the East Coast until the mid-16th century (falling around 1541). The Dutch established their first factory in Masulipatnam only in 1605, followed by Pulicat in 1610. By then, the Gajapati rulers had long been superseded by the Golconda Sultanate and other regional powers.
  • Statement 2 is correct: In 1510, the Portuguese Governor Alfonso de Albuquerque captured Goa from Ismail Adil Shah, the Sultan of Bijapur. This was a landmark event as it established the first bit of Indian territory under European direct rule since the Alexanderian era.
  • Statement 3 is correct: In 1639, Francis Day of the English East India Company obtained a lease for Madras (Fort St. George) from Damarla Venkatadri Nayaka, a local chieftain and representative of the Aravidu Dynasty (the last dynasty of the Vijayanagara Empire), then ruling from Chandragiri.

Thus, statements 2 and 3 accurately reflect historical facts, while statement 1 is chronologically impossible.

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Don’t just practise – reverse-engineer the question. This panel shows where this PYQ came from (books / web), how the examiner broke it into hidden statements, and which nearby micro-concepts you were supposed to learn from it. Treat it like an autopsy of the question: what might have triggered it, which exact lines in the book matter, and what linked ideas you should carry forward to future questions.
Q. With reference to Indian history, consider the following statements: 1. The Dutch established their factories/warehouses on the east coa…
At a glance
Origin: Mixed / unclear origin Fairness: Moderate fairness Books / CA: 6.7/10 · 0/10

A classic '2+1' structure: Statements 2 and 3 are direct lifts from standard sources like Spectrum or TN Board (Class XI). Statement 1 is the 'Eliminator'—it doesn't require a specific book source but demands 'Chronological Sense' (Gajapatis declined before the Dutch arrived). If you rely only on rote memorization without timeline mapping, this becomes a trap.

How this question is built

This question can be broken into the following sub-statements. Tap a statement sentence to jump into its detailed analysis.

Statement 1
In Indian history, did the Dutch establish their factories and warehouses on the east coast on lands granted to them by the Gajapati rulers?
Origin: Weak / unclear Fairness: Borderline / guessy
Indirect textbook clues
Rajiv Ahir. A Brief History of Modern India (2019 ed.). SPECTRUM. > Chapter 3: Advent of the Europeans in India > The Dutch > p. 36
Strength: 4/5
“became a threat to the Portuguese. They captured Nagapatam near Madras (Chennai) from the Portuguese and made it their main stronghold in South India. The Dutch established factories on the Coromandel coast, in Gujarat, Uttar Pradesh, Bengal and Bihar. In 1609, they opened a factory in Pulicat, north of Madras. Their other principal factories in India were at Surat (1616), Bimlipatam (1641), Karaikal (1645), Chinsura (1653), Baranagar, Kasimbazar (near Murshidabad), Balasore, Patna, Nagapatam (1658) and Cochin (1663). Participating in the redistributive or carrying trade, they took to the islands of the Far East various articles and merchandise from India. They carried indigo manufactured in the Yamuna valley and Central India, textiles and silk from Bengal, Gujarat and the Coromandel, saltpetre from Bihar and opium and rice from the Ganga valley.”
Why relevant

Lists several Dutch factories on the Coromandel/east coast (Pulicat, Nagapatam, Balasore, Bimlipatam/Masulipatam), showing a clear pattern of east‑coast establishments.

How to extend

A student could map these east‑coast sites against regions historically controlled by the Gajapati dynasty to see geographic overlap that would make grants plausible.

History , class XI (Tamilnadu state board 2024 ed.) > Chapter 14: The Mughal Empire > European Factories/Settlements during Mughal Rule > p. 209
Strength: 4/5
“Portuguese: In 1510, Albuquerque captured Goa from the ruler of Bijapur and made it the capital of the Portuguese Empire in the East. Subsequently Daman, Salsette and Bombay on the west coast and at Santhome near Madras and Hugli in Bengal on the east coast had become Portuguese settlements. Dutch: The Dutch set up factories at Masulipatam (1605), Pulicat (1610), Surat (1616), Bimilipatam (1641), Karaikal (1645), Chinsura (1653), Kasimbazar, Baranagore, Patna, Balasore, Nagapattinam (all in 1658) and Cochin (1663). Danes: Denmark also established trade settlements in India and their settlements were at Tranquebar in Tamilnadu (1620) and Serampore, their headquarters in Bengal.”
Why relevant

Provides a dated list of Dutch factories on the east coast (Masulipatam, Pulicat, Nagapattinam, Karaikal, Balasore), reinforcing the pattern of Dutch presence on the Coromandel and adjacent areas.

How to extend

Compare the foundation dates of these factories with the period of Gajapati political influence in the relevant coastal areas to judge the likelihood of land grants.

History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > 1600-1650: South India after Vijayanagar > p. 245
Strength: 5/5
“authority of the Vijayanagar emperor. In addition to the larger Nayak kingdoms, several local chiefs also controlled some parts of the region. The most notable of them was probably the Setupati of Ramanathapuram, who was also keen to assert his independence. Between 1590 and 1649 the region witnessed several military conflicts arising out of these unsettled political conditions. Madurai and Thanjavur fought several times to establish their superiority. The Dutch and the English were able to acquire territorial rights on the east coast during these years. They realized that they needed a base on the Coromandel coast to access the piece goods needed for trading with the spice-producing islands of Indonesia.”
Why relevant

States that the Dutch and English 'were able to acquire territorial rights on the east coast' during the period, indicating Europeans obtained local permissions or rights from Indian authorities.

How to extend

Use this general rule (Europeans acquired territorial rights from local rulers) plus knowledge of which local polities (such as Gajapatis) controlled specific districts to test if Gajapati grants were a plausible mechanism.

Modern India ,Bipin Chandra, History class XII (NCERT 1982 ed.)[Old NCERT] > Chapter 3: The Beginnings of European Settlements > The Beginnings of European Settlements > p. 51
Strength: 4/5
“With Spain, they made them look for alternative sources of spices. In 1595, four Dutch ships sailed to India via the Cape of Good Hope. In 1602, the Dutch East India Company was formed and the Dutch States General -the Dutch parliament-gave it a Charter empowering it to make war, conclude treaties, acquire territories, and build fortresses. The main interest of the Dutch lay not in India but in the Indonesian Islands of Java, Sumatra, and the Spice Islands where spices were produced. They soon turned out the Portuguese from the Malay Straits and the Indonesian Islands and, in 1623, defeated English attempts to establish themselves there.”
Why relevant

Notes the Dutch East India Company had a charter to 'conclude treaties, acquire territories, and build fortresses', indicating they sought formal agreements and territorial rights rather than purely informal occupation.

How to extend

Combine this institutional capacity with local political maps to infer that the Dutch would have negotiated with whichever rulers (potentially the Gajapatis where they held sway) to obtain lands.

History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > Dutch in Tamil Nadu > p. 251
Strength: 3/5
“Dutch Cemetery, Pulicat Pulicat served as the Coromandel headquarters of the Dutch East India Company. Diamonds were exported from Pulicat to the western countries. Nutmeg, cloves, and mace too were sent from here to Europe. A gun powder factory was also set up by the Dutch to augment their military power. One less known fact about the Dutch is they were involved in slave trade. People from Bengal and from settlements such as Tengapattinam and Karaikal were brought to Pulicat. The Dutch employed brokers at Madras for catching and shipping slaves. Famines, droughts and war that resulted in food shortage led to the flourishing of the slave trade.”
Why relevant

Describes Pulicat as the Dutch Coromandel headquarters with substantial infrastructure (gun‑powder factory, slave trade operations), implying the Dutch established semi‑permanent bases that likely required local authorization.

How to extend

Match Pulicat and other permanent bases to the jurisdictional control of regional rulers (including whether the Gajapatis exercised authority there) to evaluate the probability of land grants.

Statement 2
In Indian history, did Afonso de Albuquerque capture Goa from the Bijapur Sultanate?
Origin: Direct from books Fairness: Straightforward Book-answerable
From standard books
Rajiv Ahir. A Brief History of Modern India (2019 ed.). SPECTRUM. > Chapter 3: Advent of the Europeans in India > Alfonso de Albuquerque > p. 26
Presence: 5/5
“Albuquerque acquired Goa from the Sultan of Bijapur in 1510 with ease; the principal port of the Sultan of Bijapur became "the first bit of Indian territory to be under the Europeans since the time of Alexander the Great". An interesting feature of his rule was the abolition of sati.”
Why this source?
  • Explicitly says Albuquerque acquired Goa from the Sultan of Bijapur in 1510.
  • Names the transfer of the port from Bijapur to Portuguese control, marking European territorial presence.
History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > Consolidation of the Portuguese Trade > p. 249
Presence: 5/5
“by the Sultan of Egypt. He befriended the ruler of Cochin and built fortresses at Cochin, Kannur and other places on the Malabar coast. Albuquerque (1509-1515), the successor of Almeida, was the real founder of the Portuguese empire in India. He defeated Yusuf Adil Khan, the ruler of Bijapur, in 1510 and captured Goa. He developed Goa into a centre of commerce by making all the ships sail on that route. He encouraged people of all faiths to settle in Goa. He was in favour of Europeans marrying Indian women and settling down in Portuguese controlled territories. His conquest of Malacca (in Malaysia), held by the Muslims who commanded the trade route between India-China and Mecca and Cairo, extended the empire.”
Why this source?
  • Specifies Albuquerque defeated Yusuf Adil Khan (ruler of Bijapur) in 1510 and captured Goa.
  • Links the military defeat of Bijapur's ruler directly to the Portuguese seizure of Goa.
History , class XI (Tamilnadu state board 2024 ed.) > Chapter 14: The Mughal Empire > European Factories/Settlements during Mughal Rule > p. 209
Presence: 5/5
“Portuguese: In 1510, Albuquerque captured Goa from the ruler of Bijapur and made it the capital of the Portuguese Empire in the East. Subsequently Daman, Salsette and Bombay on the west coast and at Santhome near Madras and Hugli in Bengal on the east coast had become Portuguese settlements. Dutch: The Dutch set up factories at Masulipatam (1605), Pulicat (1610), Surat (1616), Bimilipatam (1641), Karaikal (1645), Chinsura (1653), Kasimbazar, Baranagore, Patna, Balasore, Nagapattinam (all in 1658) and Cochin (1663). Danes: Denmark also established trade settlements in India and their settlements were at Tranquebar in Tamilnadu (1620) and Serampore, their headquarters in Bengal.”
Why this source?
  • Records that in 1510 Albuquerque captured Goa from the ruler of Bijapur and made it a Portuguese capital.
  • Confirms both date and the Bijapur origin of Goa's prior rulership.
Statement 3
In Indian history, did the English East India Company establish a factory at Madras on a plot of land leased from a representative of the Vijayanagara Empire?
Origin: Direct from books Fairness: Straightforward Book-answerable
From standard books
Rajiv Ahir. A Brief History of Modern India (2019 ed.). SPECTRUM. > Chapter 3: Advent of the Europeans in India > Charter of Queen Elizabeth I > p. 39
Presence: 5/5
“The English company's position was improved by the 'Golden Farman' issued to them by the Sultan of Golconda in 1632. On a payment of 500 pagodas a year, they earned the privilege of trading freely in the ports of Golconda. A member of the Masulipatnam council, the British merchant Francis Day in 1639 received from the ruler of Chandragiri permission to build a fortified factory at Madras which later became the Fort St. George and replaced Masulipatnam as the headquarters of the English settlements in south India. Thereafter, the English extended their trading activities to the east and started factories at Hariharpur in the Mahanadi delta and at Balasore (in Odisha) in 1633.”
Why this source?
  • Records Francis Day (1639) received permission from the ruler of Chandragiri to build a fortified factory at Madras.
  • Directly links the Company's establishment at Madras to a grant from a local ruler (ruler of Chandragiri).
History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > The English East India Company > p. 253
Presence: 5/5
“A group of wealthy merchants of Leadenhall Street in London secured a royal charter from Queen Elizabeth I to have a share in the lucrative spice trade with the East. The Company, headed by a governor, was managed by a court of 24 Directors. In 1611, King James I obtained from Mughal Emperor Jahangir through William Hawkins, permission for regular trade. The English obtained some trading privileges in Surat. The Viceroy of Gujarat, Prince Khurram granted trading privileges, but the British could not operate freely because the Portuguese exercised a powerful influence in the region. Madras was ceded to the East India Company in 1639 by the Raja of Chandragiri with permission to build a fortified factory which was named Fort St.”
Why this source?
  • States Madras was ceded to the East India Company in 1639 by the Raja of Chandragiri.
  • Specifies the grant included permission to build a fortified factory (Fort St. George).
Modern India ,Bipin Chandra, History class XII (NCERT 1982 ed.)[Old NCERT] > Chapter 3: The Beginnings of European Settlements > The Growth of the East India Company's Trade and Influence, 1600-1744 > p. 54
Presence: 4/5
“The place, to administer it, and to coin money on condition of payment to him of half of the customs revenue of the port. Here the English built a small fort around their factory called Fort St. George. By the end of the 17th century, the English Company was claiming full sovereignty over Madras and was ready to fight in defence of the claim. Interestingly enough, from the very beginning this profit-seeking Company was also determined to make Indians pay for the conquest of their own country. For example, the Court of Directors of the Company wrote to the Madras authorities in 1683: ...... we would have you to strengthen and fortify our Fort and Town (Madras) by degrees, that it may be terrible against the assault of any Indian Prince and the Dutch power of India ....”
Why this source?
  • Describes the Company building a fort around their factory called Fort St. George at Madras.
  • Notes administrative and revenue conditions tied to the grant, supporting that the land/rights were obtained from a local authority.
Pattern takeaway: UPSC is moving beyond 'Who founded what?' to 'Who allowed them to found it?'. They are testing the political legitimacy and interaction between fading Indian empires (Vijayanagara/Gajapati) and rising European mercantile powers.
How you should have studied
  1. [THE VERDICT]: Smart Sitter. Statements 2 & 3 are foundational facts found in every standard text (Spectrum Ch-3). Statement 1 is a chronological trap.
  2. [THE CONCEPTUAL TRIGGER]: The intersection of 'Advent of Europeans' with 'Regional Indian Polities' (Who ruled where when Europeans landed?).
  3. [THE HORIZONTAL EXPANSION]: Map the First Factories & Grantors: English (Surat/Jahangir, Madras/Chandragiri Raja, Calcutta/Azim-us-Shan); French (Surat/Frankois Caron, Pondicherry/Sher Khan Lodi); Dutch (Masulipatnam/Golconda rulers).
  4. [THE STRATEGIC METACOGNITION]: Stop memorizing European entry in isolation. Always overlay the 'European Timeline' (1498–1700) on the 'Indian Dynastic Timeline'. You would instantly see that the Gajapati dynasty (Odisha, ended ~1540s) could not grant land to the Dutch (arrived ~1605).
Concept hooks from this question
📌 Adjacent topic to master
S1
👉 Dutch factories on the Coromandel (east) coast
💡 The insight

The Dutch established multiple trading posts on the Coromandel coast such as Masulipatnam, Pulicat and Nagapattinam.

High-yield for map-based and polity-interaction questions: explains where Dutch commercial activity concentrated and helps link European trade networks with regional Indian ports and economies. Useful for questions on maritime trade routes and regional economic impact.

📚 Reading List :
  • Rajiv Ahir. A Brief History of Modern India (2019 ed.). SPECTRUM. > Chapter 3: Advent of the Europeans in India > The Dutch > p. 36
  • History , class XI (Tamilnadu state board 2024 ed.) > Chapter 14: The Mughal Empire > European Factories/Settlements during Mughal Rule > p. 209
🔗 Anchor: "In Indian history, did the Dutch establish their factories and warehouses on the..."
📌 Adjacent topic to master
S1
👉 European acquisition of territorial rights on the east coast
💡 The insight

European companies, including the Dutch and the English, acquired territorial rights on the east coast to secure bases for trade.

Important for understanding the transition from mere trading settlements to territorial footholds that enabled political influence and later colonial expansion. Connects to themes of company-state authority, fortification, and diplomacy with regional rulers.

📚 Reading List :
  • History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > 1600-1650: South India after Vijayanagar > p. 245
🔗 Anchor: "In Indian history, did the Dutch establish their factories and warehouses on the..."
📌 Adjacent topic to master
S1
👉 Pulicat as the Dutch Coromandel headquarters
💡 The insight

Pulicat functioned as the Coromandel headquarters for the Dutch East India Company and hosted commercial and auxiliary enterprises.

Helps answer questions on administrative hubs, types of economic activity (trade, manufacturing, slave trade) and the operational structure of European companies in India. Links to institutional study of the Dutch VOC and regional consequences of its presence.

📚 Reading List :
  • History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > Dutch in Tamil Nadu > p. 251
  • Rajiv Ahir. A Brief History of Modern India (2019 ed.). SPECTRUM. > Chapter 3: Advent of the Europeans in India > The Dutch > p. 36
🔗 Anchor: "In Indian history, did the Dutch establish their factories and warehouses on the..."
📌 Adjacent topic to master
S2
👉 Capture of Goa (1510) and transfer from Bijapur
💡 The insight

The event is the central fact: Goa was taken by Albuquerque from the Bijapur Sultanate in 1510.

High-yield for questions on early European expansion in India, maritime imperialism, and the origin of Portuguese territorial bases; links to topics on trade control, colonial capitals, and subsequent shifts in regional power.

📚 Reading List :
  • Rajiv Ahir. A Brief History of Modern India (2019 ed.). SPECTRUM. > Chapter 3: Advent of the Europeans in India > Alfonso de Albuquerque > p. 26
  • History , class XI (Tamilnadu state board 2024 ed.) > Chapter 14: The Mughal Empire > European Factories/Settlements during Mughal Rule > p. 209
  • History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > Consolidation of the Portuguese Trade > p. 249
🔗 Anchor: "In Indian history, did Afonso de Albuquerque capture Goa from the Bijapur Sultan..."
📌 Adjacent topic to master
S2
👉 Albuquerque as architect of Portuguese power in India
💡 The insight

Albuquerque's campaigns and policies established Portuguese dominance on the west coast and founded their eastern empire.

Important for answering questions on leadership, colonial policy (fortification, trade monopolies, social policies), and continuity between early voyages and settled colonies; connects to broader themes of European state-building overseas.

📚 Reading List :
  • History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > Consolidation of the Portuguese Trade > p. 249
  • Rajiv Ahir. A Brief History of Modern India (2019 ed.). SPECTRUM. > Chapter 3: Advent of the Europeans in India > The Portuguese > p. 56
🔗 Anchor: "In Indian history, did Afonso de Albuquerque capture Goa from the Bijapur Sultan..."
📌 Adjacent topic to master
S2
👉 Bijapur Sultanate and Deccan political context
💡 The insight

Bijapur was the regional polity that lost Goa to the Portuguese, illustrating Deccan Sultanate interactions with Europeans.

Useful for situating European conquests within Deccan politics, understanding fragmentation after the Bahmani breakup, and tracing how local powers influenced colonial footholds and later conflicts (Marathas, Mughals).

📚 Reading List :
  • History , class XI (Tamilnadu state board 2024 ed.) > Chapter 12: Bahmani and Vijayanagar Kingdoms > Decline of the Bahmani Kingdom > p. 179
  • History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > Consolidation of the Portuguese Trade > p. 249
🔗 Anchor: "In Indian history, did Afonso de Albuquerque capture Goa from the Bijapur Sultan..."
📌 Adjacent topic to master
S3
👉 Local royal grants enabled European factory foundations
💡 The insight

The English established their Madras factory after receiving land/permission from the Raja of Chandragiri.

High-yield for questions on how Europeans expanded in India: explains the legal/political mechanism (royal grants/ceding) that enabled establishments like Fort St. George. Links to topics on colonial footholds, diplomatic relations with Indian rulers, and the legal basis for territorial claims.

📚 Reading List :
  • Rajiv Ahir. A Brief History of Modern India (2019 ed.). SPECTRUM. > Chapter 3: Advent of the Europeans in India > Charter of Queen Elizabeth I > p. 39
  • History , class XI (Tamilnadu state board 2024 ed.) > Chapter 16: The Coming of the Europeans > The English East India Company > p. 253
🔗 Anchor: "In Indian history, did the English East India Company establish a factory at Mad..."
🌑 The Hidden Trap

The 'Golden Farman' (1632). While the Madras grant (1639) is tested here, the Golden Farman issued by the Sultan of Golconda to the English is the immediate chronological sibling. It gave them free trade in Golconda ports for 500 pagodas/year.

⚡ Elimination Cheat Code

The 'Anachronism Hack'. The Gajapati Kingdom (Odisha) collapsed around 1541 (replaced by Bhoi dynasty/Mughals). The Dutch East India Company was formed in 1602. A dead dynasty cannot grant land. Therefore, Statement 1 is chronologically impossible. Eliminate options A, C, and D. Answer is B.

🔗 Mains Connection

Mains Theme: 'Corporate Sovereignty vs State Sovereignty'. The fortified factories (like Fort St. George) with rights to coin money and administer justice were essentially 'States within a State'—a precursor to modern SEZs (Special Economic Zones) but with military power, leading to the erosion of Indian sovereignty.

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SIMILAR QUESTIONS

CDS-I · 2006 · Q92 Relevance score: 1.68

Consider the following statements: 1. Dutch opened a factory at Pulicat in 1609. 2. English built a factory at Masulipatam in1611. Which of the statements given above is/ are correct ?

CDS-II · 2012 · Q65 Relevance score: 0.44

Consider the following statements about the European travelers to India : 1. Sir Thomas Roe, the representative of the East India Company, was granted the permission by Jahangir to open a factory at Surat. 2. Captain Hawkins was driven out from Agra by the Mughals at the instigation of the Portuguese. 3. Father Monserrate traveled with Akbar on his journey to Kashmir. Which of the statements given above is/are correct?

IAS · 2003 · Q80 Relevance score: 0.21

With reference to the entry of European powers into India, which one of the following statements is not correct?

IAS · 2003 · Q17 Relevance score: -0.01

In India, among the following locations, the Dutch established their earliest factory at

IAS · 2011 · Q42 Relevance score: -0.14

With reference to “Look East Policy” of India, consider the following statements : 1. India wants to establish itself as an important regional player in the East Asian affairs. 2. India wants to plug the vacuum created by the termination of Cold war. 3. India wants to restore the historical and cultural ties with its neighbors in Southeast and East Asia. Which of the statements given above is/ correct?