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CHAPTER SEVENTH.
(1) Trade Relations of Hindu and other traders of Bahrein with
Katif, and their disabilities.
(2) Proposed appointment of a Consular officer at Katif.
273. If there is ono fact more than another to prove the advantages India
lias derived from the British connection
Jlittory of the trade.
with the Persian Gulf, it is the blossing of
free and unrestricted commerce, which Indian merchants have enjoyed with Katif
for nearly half a century, to ho interrupted only by the extension of Turkish
influence to that quarter. Their' business
•Seo Mr. Gaskin's report, dated 2nd August 1903—
Proceeding No. 4 m External a., Jauuary mot, relations with Katif wore first established
Nos. 3-4.
in the year 180 L by a wealthy Kutchi,
named Kalungi, who carried on a general trade for twelve years on his own
behalf as well as other Hindu trading houses. In 18G6 another enterprising
Hindu named Tolandas Khubchand with a staff of six assistants established a
house of business, and two years later he took a partner named Sandal bin Kisu
into the business. This firm appears to have carried on a largo trade till 1876,
when it had to withdraw from Katif owing to the incurrenco of lioavy losses
through the bankruptcy of many of their leading native clients brought about
by the total failure of the Indian pearl market. The large firm of Assanmul
Aoadrnm & Co. opened a branch office at Katif also in 1SG6 and con
tinued to do business tliore for about 18 years, first the agency of Mulchaud
Jairamdas and latterly under that of Sandal bin Kisu. Messrs. Gangaram
Tikamdas & Co. in 1SS0 sent three brothers named Tarachand, Darsingii,
and Toko hand Dwarkndas to conduct business for them, and another capitalist
named Daraanmal Lalo.hand established himself there till his death 3 years later.
The former firm, however, kept up its trade there till 1895 when Tckohand
was mutilated by the notorious pirate Ahmed bin Selman on the high
sea. Besidos the big firms mentioned, a number of petty Hindu traders
visited Katif periodically and at one time it is said they numbered about sixty
persons.
274. It has not been possible to ascertain definitely the aggregate amount
of capital employed by the Hindu firms in the Katif trade, but at one time it
must have been considerable owing to the fact that, prior to the Turkish occupa
tion of the port and for a few years subsequent to that event, they controlled
the greater portion of the trade which was principally in rico, cotton goods,
sugar, coffoo, spices, metals, and hardware imported from India via Bahrein,
and pearls, dates and hides exported to the same country. During the five
years ending in 1895 their trade with Katif, when about a third of the former
number of traders of their community shared iu it, the value of the merchandise
bought and sold by them was between seven and eight lacs of rupeos
annually, and judging from these figures, the volume of trade carried on
by them when thoir piospcots were hotter may be considered to have been
about fifteen lacs of rupeos annually without risks of over-estimation.
275. The causes which led to the withdrawal of the Hiudus from Katif date
from about three or four years after the establishment of a Turkish Custom
Houso in the port wi«h a system of farming the revenues, which obtains to the
present day. The farmers of the Customs to meet the exactions of the Turkish
officials gradually and illegally increased the duty from 1 per cent, to G per
cent, on the Hindu merchandise, which placed them at a great disadvantage
in competing with tho more fortunate nativo traders whose local influence
obtained for them bettor treatment. The unprotected condition of the
Hindus exposed thorn to tho avarice of tho petty Turkish officials, who at the
instigation of wealthy Katif merchants in most instances put such obstacles in
their way, as tho delay of woighment of datos for purposes of ascertaining the
amount of duty payablo, tho prohibition of donkoys transporting the merchant-
disc to the boats for shipment, detaining Indiau sailing craft in quarantine for
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