The French East India Company (french: Compagnie française pour le commerce des Indes orientales) was a colonial commercial enterprise, founded on 1 September 1664 to compete with the

English English usually refers to: * English language * English people English may also refer to: Peoples, culture, and language * ''English'', an adjective for something of, from, or related to England ** English national ide ...

(later British) and

Dutch Dutch commonly refers to: * Something of, from, or related to the Netherlands * Dutch people () * Dutch language () Dutch may also refer to: Places * Dutch, West Virginia, a community in the United States * Pennsylvania Dutch Country People E ...

trading companies in the

East Indies The East Indies (or simply the Indies), is a term used in historical narratives of the Age of Discovery. The Indies refers to various lands in the East or the Eastern hemisphere, particularly the islands and mainlands found in and around t ...

. Planned by

Jean-Baptiste Colbert Jean-Baptiste Colbert (; 29 August 1619 – 6 September 1683) was a French statesman who served as First Minister of State from 1661 until his death in 1683 under the rule of King Louis XIV. His lasting impact on the organization of the countr ...

, it was chartered by King

Louis XIV , house = Bourbon , father = Louis XIII , mother = Anne of Austria , birth_date = , birth_place = Château de Saint-Germain-en-Laye, Saint-Germain-en-Laye, France , death_date = , death_place = Palace of Vers ...

for the purpose of trading in the

Eastern Hemisphere The Eastern Hemisphere is the half of the planet Earth which is east of the prime meridian (which crosses Greenwich, London, United Kingdom) and west of the antimeridian (which crosses the Pacific Ocean and relatively little land from pole to pol ...

. It resulted from the fusion of three earlier companies, the 1660

Compagnie de Chine The Compagnie de Chine was a French trading company established in 1660 by the Catholic society Compagnie du Saint-Sacrement, in order to dispatch missionaries to Asia (initially Bishops François Pallu, Pierre Lambert de la Motte and Ignace Cotole ...

, the Compagnie d'Orient and Compagnie de Madagascar. The first Director General for the Company was François de la Faye, who was adjoined by two Directors belonging to the two most successful trading organizations at that time:

François Caron François Caron (1600–1673) was a French Huguenot refugee to the Netherlands who served the Dutch East India Company (''Vereenigde Oost-Indische Compagnie'' or VOC) for 30 years, rising from cook's mate to the director-general at Batavia (Jak ...

, who had spent 30 years working for the

Dutch East India Company The United East India Company ( nl, Verenigde Oostindische Compagnie, the VOC) was a chartered company established on the 20th March 1602 by the States General of the Netherlands amalgamating existing companies into the first joint-stock ...

, including more than 20 years in

Japan Japan ( ja, 日本, or , and formally , ''Nihonkoku'') is an island country in East Asia. It is situated in the northwest Pacific Ocean, and is bordered on the west by the Sea of Japan, while extending from the Sea of Okhotsk in the north ...

, and Marcara Avanchintz, an

Armenian Armenian may refer to: * Something of, from, or related to Armenia, a country in the South Caucasus region of Eurasia * Armenians, the national people of Armenia, or people of Armenian descent ** Armenian Diaspora, Armenian communities across the ...

trader from

Isfahan Isfahan ( fa, اصفهان, Esfahân ), from its Achaemenid empire, ancient designation ''Aspadana'' and, later, ''Spahan'' in Sassanian Empire, middle Persian, rendered in English as ''Ispahan'', is a major city in the Greater Isfahan Regio ...

Persia Iran, officially the Islamic Republic of Iran, and also called Persia, is a country located in Western Asia. It is bordered by Iraq and Turkey to the west, by Azerbaijan and Armenia to the northwest, by the Caspian Sea and Turkmeni ...

History

In 1604, French king Henry IV authorized the first ''Compagnie des Indes Orientales'', granting the firm a 15-year monopoly of the Indies trade. This precursor to Colbert's later ''Compagnie des Indes Orientales'', however, was not a joint-stock corporation, and was funded by the Crown. The seventeenth century was littered with failed French efforts to settle and trade in the

. They were influenced by the successful trading of the Dutch in Asia. During the time between 1630s and early 1660s, French efforts were smaller in scale, but they enjoyed success. French vessels traversed the

Persian Gulf The Persian Gulf ( fa, خلیج فارس, translit=xalij-e fârs, lit=Gulf of Persis, Fars, ), sometimes called the ( ar, اَلْخَلِيْجُ ٱلْعَرَبِيُّ, Al-Khalīj al-ˁArabī), is a Mediterranean sea (oceanography), me ...

Red Sea The Red Sea ( ar, البحر الأحمر - بحر القلزم, translit=Modern: al-Baḥr al-ʾAḥmar, Medieval: Baḥr al-Qulzum; or ; Coptic: ⲫⲓⲟⲙ ⲛ̀ϩⲁϩ ''Phiom Enhah'' or ⲫⲓⲟⲙ ⲛ̀ϣⲁⲣⲓ ''Phiom ǹšari''; T ...

, and northwestern coast of the

Indian subcontinent The Indian subcontinent is a list of the physiographic regions of the world, physiographical region in United Nations geoscheme for Asia#Southern Asia, Southern Asia. It is situated on the Indian Plate, projecting southwards into the Indian O ...

. These accomplishments paled France in comparison with

England England is a country that is part of the United Kingdom. It shares land borders with Wales to its west and Scotland to its north. The Irish Sea lies northwest and the Celtic Sea to the southwest. It is separated from continental Europe b ...

and

Dutch Republic The United Provinces of the Netherlands, also known as the (Seven) United Provinces, officially as the Republic of the Seven United Netherlands (Dutch: ''Republiek der Zeven Verenigde Nederlanden''), and commonly referred to in historiography ...

. France's Atlantic ports pursued to compete and amalgamate with each other. The commercial and capital expertise was disbursed around the coastal regions of

Brittany Brittany (; french: link=no, Bretagne ; br, Breizh, or ; Gallo language, Gallo: ''Bertaèyn'' ) is a peninsula, Historical region, historical country and cultural area in the west of modern France, covering the western part of what was known ...

and

Normandy Normandy (; french: link=no, Normandie ; nrf, Normaundie, Nouormandie ; from Old French , plural of ''Normant'', originally from the word for "northman" in several Scandinavian languages) is a geographical and cultural region in Northwestern ...

. The initial capital of the revamped ''Compagnie des Indes Orientales'' was 15 million livres, divided into shares of 1000 livres apiece.

funded the first 3 million livres of investment, against which losses in the first 10 years were to be charged. The initial stock offering quickly sold out, as courtiers of Louis XIV recognized that it was in their interests to support the King's overseas initiative. The ''Compagnie des Indes Orientales'' was granted a 50-year monopoly on French trade in the Indian and Pacific Oceans, a region stretching from the

Cape of Good Hope The Cape of Good Hope ( af, Kaap die Goeie Hoop ) ;''Kaap'' in isolation: pt, Cabo da Boa Esperança is a rocky headland on the Atlantic coast of the Cape Peninsula in South Africa. A common misconception is that the Cape of Good Hope is t ...

to the

Straits of Magellan The Strait of Magellan (), also called the Straits of Magellan, is a navigable sea route in southern Chile separating mainland South America to the north and Tierra del Fuego to the south. The strait is considered the most important natural pass ...

. The French monarch also granted the Company a concession in perpetuity for the island of Madagascar, as well as any other territories it could conquer. The company possessed greater resources and better political banking than France's previous ventures in the

Indian Ocean The Indian Ocean is the third-largest of the world's five oceanic divisions, covering or ~19.8% of the water on Earth's surface. It is bounded by Asia to the north, Africa to the west and Australia to the east. To the south it is bounded by th ...

. Colbert's obsession with

VOC VOC, VoC or voc may refer to: Science and technology * Open-circuit voltage (VOC), the voltage between two terminals when there is no external load connected * Variant of concern, a category used during the assessment of a new variant of a virus ...

led to series of early letdowns. One of France's main aims was to establish a French entrepôt in Madagascar to rival the Dutch colony of Batavia. By the 1680s, the company went insolvent and they had little choice but to rent out its monopoly to a group of merchants. The Indian trade remained under the company for approximately thirty years. In 1716, Scottish financier John Law arrived at the French court. The French court were in deep misery and were impotent to cover their debts caused due to

War of Spanish Succession The War of the Spanish Succession was a European great power conflict that took place from 1701 to 1714. The death of childless Charles II of Spain in November 1700 led to a struggle for control of the Spanish Empire between his heirs, Phil ...

. Law approached the Crown with a scheme to construct a national bank and introduce paper currency, which would facilitate France's shift to credit economy. The Company failed to found a successful

colony In modern parlance, a colony is a territory subject to a form of foreign rule. Though dominated by the foreign colonizers, colonies remain separate from the administration of the original country of the colonizers, the ''metropole, metropolit ...

Madagascar Madagascar (; mg, Madagasikara, ), officially the Republic of Madagascar ( mg, Repoblikan'i Madagasikara, links=no, ; french: République de Madagascar), is an island country in the Indian Ocean, approximately off the coast of East Africa ...

, but was able to establish ports on the nearby islands of Bourbon and Île-de-France (today's

Réunion Réunion (; french: La Réunion, ; previously ''Île Bourbon''; rcf, label= Reunionese Creole, La Rényon) is an island in the Indian Ocean that is an overseas department and region of France. It is located approximately east of the island ...

and

Mauritius Mauritius ( ; french: Maurice, link=no ; mfe, label=Mauritian Creole, Moris ), officially the Republic of Mauritius, is an island nation in the Indian Ocean about off the southeast coast of the African continent, east of Madagascar. It incl ...

). By 1719, it had established itself in

India India, officially the Republic of India (Hindi: ), is a country in South Asia. It is the seventh-largest country by area, the second-most populous country, and the most populous democracy in the world. Bounded by the Indian Ocean on the so ...

, but the firm was near

bankruptcy Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the debtor ...

. In the same year the ''Compagnie des Indes Orientales'' was combined under the direction of

John Law John Law may refer to: Arts and entertainment * John Law (artist) (born 1958), American artist * John Law (comics), comic-book character created by Will Eisner * John Law (film director), Hong Kong film director * John Law (musician) (born 1961) ...

with other French trading companies to form the '' Compagnie Perpétuelle des Indes''. The French economy crashed drastically in 1721 due to Law's reforms. Following this event, the company again started trading and settling in India. The reorganized corporation resumed its operating independence in 1723. The company's interest in the

Mughal Empire The Mughal Empire was an early-modern empire that controlled much of South Asia between the 16th and 19th centuries. Quote: "Although the first two Timurid emperors and many of their noblemen were recent migrants to the subcontinent, the d ...

was to prove no easier. The French arrived at the Indian subcontinent decades after the English,

Portuguese Portuguese may refer to: * anything of, from, or related to the country and nation of Portugal ** Portuguese cuisine, traditional foods ** Portuguese language, a Romance language *** Portuguese dialects, variants of the Portuguese language ** Portu ...

and Dutch in establishing trade in India. On 4 September 1666, the French secured a royal mandate from Emperor

Aurangzeb Muhi al-Din Muhammad (; – 3 March 1707), commonly known as ( fa, , lit=Ornament of the Throne) and by his regnal title Alamgir ( fa, , translit=ʿĀlamgīr, lit=Conqueror of the World), was the sixth emperor of the Mughal Empire, ruling ...

that granted them to trade on the port of

Surat Surat is a city in the western Indian state of Gujarat. The word Surat literally means ''face'' in Gujarati and Hindi. Located on the banks of the river Tapti near its confluence with the Arabian Sea, it used to be a large seaport. It is now ...

. By 1683, the French had directed their attention toward the prominent site of Pondicherry, however the shift did little to offset the Company's chronic shortage of capital. With the decline of the Mughal Empire, the French decided to intervene in Indian political affairs to protect their interests, notably by forging alliances with local rulers in south India. From 1741 the French under

Joseph François Dupleix Joseph Marquis Dupleix (23 January 1697 – 10 November 1763) was Governor-General of French India and rival of Robert Clive. Biography Dupleix was born in Landrecies, on January 23, 1697. His father, François Dupleix, a wealthy ''fermier gé ...

pursued an aggressive policy against both the Indians and the British until they ultimately were defeated by

Robert Clive Robert Clive, 1st Baron Clive, (29 September 1725 – 22 November 1774), also known as Clive of India, was the first British Governor of the Bengal Presidency. Clive has been widely credited for laying the foundation of the British ...

. Several Indian trading ports, including Pondichéry and

Chandernagore Chandannagar french: Chandernagor ), also known by its former name Chandernagore and French name Chandernagor, is a city in the Hooghly district in the Indian state of West Bengal. It is headquarter of the Chandannagore subdivision and is part ...

, remained under French control until 1954. French East Indies Cannon de 4 bronze 1755 Douai 84mm 237cm 545kg iron ball 2kg

France's main rivalry came from the

British British may refer to: Peoples, culture, and language * British people, nationals or natives of the United Kingdom, British Overseas Territories, and Crown Dependencies. ** Britishness, the British identity and common culture * British English, ...

. As a result of constant wars in Europe, notably the

War of the Austrian Succession The War of the Austrian Succession () was a European conflict that took place between 1740 and 1748. Fought primarily in Central Europe, the Austrian Netherlands, Italy, the Atlantic and Mediterranean, related conflicts included King George's W ...

and the

Seven Years' War The Seven Years' War (1756–1763) was a global conflict that involved most of the European Great Powers, and was fought primarily in Europe, the Americas, and Asia-Pacific. Other concurrent conflicts include the French and Indian War (1754� ...

the British were able to exert control over French territories in India. With the

Treaty of Paris Treaty of Paris may refer to one of many treaties signed in Paris, France: Treaties 1200s and 1300s * Treaty of Paris (1229), which ended the Albigensian Crusade * Treaty of Paris (1259), between Henry III of England and Louis IX of France * Trea ...

in 1763, the territories were returned to France. The Company was not able to maintain itself financially, and it was abolished in 1769. King

Louis XV Louis XV (15 February 1710 – 10 May 1774), known as Louis the Beloved (french: le Bien-Aimé), was King of France from 1 September 1715 until his death in 1774. He succeeded his great-grandfather Louis XIV at the age of five. Until he reache ...

issued a 1769 edict that required the Company to transfer to the state all its properties, assets and rights, which were valued at 30 million livres. The King agreed to pay all of the Company's debts and obligations, though holders of Company stock and notes received only an estimated 15 percent of the face value of their investments by the end of corporate liquidation in 1790. The company was reconstituted in 1785Soboul, p.192. and issued 40,000 shares of stock, priced at 1,000 livres apiece. It was given monopoly on all trade with countries beyond the Cape of Good Hope for an agreed period of seven years. The agreement, however, did not anticipate the

French Revolution The French Revolution ( ) was a period of radical political and societal change in France that began with the Estates General of 1789 and ended with the formation of the French Consulate in November 1799. Many of its ideas are considere ...

, and on 3 April 1790 the monopoly was abolished by an act of the new French Assembly which enthusiastically declared that the lucrative Far Eastern trade would henceforth be "thrown open to all Frenchmen". The company, accustomed neither to competition nor official disfavor, fell into steady decline and was finally liquidated in 1794.

Map gallery

File:Bellin Indoustan 1770.jpg, Carte de L'Indoustan. Bellin, 1770. Image:European settlements in India 1501-1739.png, French and other European settlements in India. Image:French India 1741-1754.png, Acme of French influence, 1741–1754.

Liquidation scandal

Even as the company was headed consciously toward extinction, it became embroiled in its most infamous scandal. The

Committee of Public Safety The Committee of Public Safety (french: link=no, Comité de salut public) was a committee of the National Convention which formed the provisional government and war cabinet during the Reign of Terror, a violent phase of the French Revolution. S ...

had banned all joint-stock companies on 24 August 1793, and specifically seized the assets and papers of the East India Company.Soboul, pp.360–363. While its liquidation proceedings were being set up, directors of the company bribed various senior state officials to allow the company to carry out its own liquidation, rather than be supervised by the government. When this became known the following year, the resulting scandal led to the execution of key Montagnard deputies like

Fabre d'Églantine Philippe François Nazaire Fabre d'Églantine (, 28 July 1750 – 5 April 1794), commonly known as Fabre d'Églantine, was a French actor, dramatist, poet, and politician of the French Revolution. He is best known for having invented the names of ...

and

Joseph Delaunay Joseph Delaunay (24 December 1752, Angers – 5 April 1794, Paris) was a French deputy. He was national commissar at the Tribunal of Angers and, in 1791, he was elected as a deputy to the Legislative Assembly by the département of Maine-et-Lo ...

, among others. The infighting sparked by the episode also brought down

Georges Danton Georges Jacques Danton (; 26 October 1759 – 5 April 1794) was a French lawyer and a leading figure in the French Revolution. He became a deputy to the Paris Commune, presided in the Cordeliers district, and visited the Jacobin club. In Augus ...

Doyle, pp. 273–274. and can be said to have led to the downfall of the Montagnards as a whole.

Coins

File:French issued copper coin cast in Pondicherry for internal Indian trade.jpg, French-issued copper coin, minted in Pondichéry, used for internal Indian trade. File:French issued gold Pagoda for Southern India trade cast in Pondicherry 1705 1780.jpg, French-issued " Gold Pagoda" for

Southern India South India, also known as Dakshina Bharata or Peninsular India, consists of the peninsular southern part of India. It encompasses the States and union territories of India, Indian states of Andhra Pradesh, Karnataka, Kerala, Tamil Nadu, and T ...

trade, cast in Pondichéry 1705–1780. File:French issued rupee in the name of Mohammed Sha 1719 1758 for Northern India trade cast in Pondicherry.jpg, French-issued

rupee Rupee is the common name for the currencies of India, Mauritius, Nepal, Pakistan, Seychelles, and Sri Lanka, and of former currencies of Afghanistan, Bahrain, Kuwait, Oman, the United Arab Emirates (as the Gulf rupee), British East Africa, B ...

in the name of Mohammed Shah (1719–1748) for Northern India trade, cast in Pondichéry.

Notes

External links

Museum of the French East India Company at Lorient

History of the last French East India Company on the site dedicated to its business lawyer Jean-Jacques Regis of Cambaceres.
French East Indies Company nowadaysFrenchbooksonindia.com, an open access multilingual discovery tool with book data from 1531 to 2020, full-text ebooks from 1531 to 1937 and in-text search from c. 1830 to c. 1920
{{Authority control Yanam Colonial Indian companies 1664 establishments in France Companies established in 1664 1769 disestablishments in France Companies disestablished in 1769 Trading companies of France 1785 establishments in France 1794 disestablishments in France 1794 disestablishments in French India French companies established in 1785