Coming of the Europeans -
Reasons for Founding of SG
factors leading to European "discovery" of "new lands"
GOLD (economic)
necessity for oriental goods, esp. spices -
main source was Moluccas Islands
GOD (religion)
religious zeal inspired kings like
Philip II to send navigators to
spread Christian fiath
GLORY (prestige)
increase trade and build
profitable empires -
glory and prestige
reasons for founding of SG
ECONOMIC/COMMERCIAL
REASONS
China trade
when British EIC organised trade
between Britain and the East for private
traders who were interested in obtaining
goods not available in Britain or Europe
(mainly silk, porcelain, tea from China)
by 18th C - tea became most impt
trading commodity of China trade
because of gvt's huge reduction in
import tax from over 100% to 12.5%
more affordable product - gained
mass appeal - new mass consumer
market - more traders attracted to
tea trade
Britain wanted to sell her
manufactures to China in exchange
for tea - ideal trade
BUT: trade imbalance because there was little China wanted
from Britain - no suitable exchange commodity - had to
make up in actual silver currency
PROBLEM SOLVED: Britain found an exchange
commodity in the form of opium - grown in India
cheaply - addictive - guaranteed and constant demand
needed a convenient stopover mid-way through
journey between China, London and India
SG - port-of-call in Malay archipelago for
ships to harbour, refit and refill / wait for
monsoon winds
Malay Archipelago trade
regional trading network that supported British India-China trade
goods from M.A --> exchanged with Britain's goods --> exchanged with China's tea
Anotações:
Straits Produce necessary to supplement/augment British goods for the Chinese market --> further support China trade as British goods not sought after by Chinese
1813: EIC lost monopoly of India trade which had regulated supply of
British imports to safeguard against an oversupply of British
imports to ensure price remains high
other private traders entered China trade - British huge loss of profits
new port needed to capture potential new markets for
increased flow in British goods - founding of SG
POLITICAL REASONS
Anglo-Dutch Rivalry
British: EIC
benefitted and
took situation
to advantage
Dutch: VOC
gained upper hand in M.A - commanded
Sunda Straits and Straits of Malacca -
virtual monopoly of profitable spice trade
Napoleonic Wars (1799-1815) - Dutch
fortunes changed - transfer Dutch
possessions to British's temporary care - Kew Letters
(Cape of Good Hope; India; Sumatra;
Java; Malaca)
lower tariffs on British goods using formerly Dutch controlled ports that were temporarily under British control
BUT end of Napoleonic Wars (1815) - returning of Dutch possessions to Holland
stricter trading rules - tighter trading control of 2 main trade routes
created urgency for British to break Dutch monopoly
establish new trading
settlement
STRATEGIC REASONS
need for 3rd port as Bencoolen and Penang were
ineffective - too far away from centre of trade
and no timber for ship-building and
ship-repairing
need to check Dutch power (e.g.
Raffles, Lord Hastings)