Consider the following statements:
During the 18th Century,
Statement-I:
The Company’s servants used passes for duty-free movement on their private trade.
Statement-II:
The Company persuaded the Mughal emperor Auragzeb to issue a farman granting
the Company the right to trade duty free.

Which one of the following is correct with respect to the above statements?
(a) Both Statement-I and Statement-II are correct, and Statement-II is the correct explanation for Statement-I
(b) Both Statement-I and Statement-II are correct, and Statement-II is not the correct explanation for Statement-I
(c) Statement-I is correct, but Statement-II is incorrect
(d) Statement-I is incorrect, but Statement-II is correct

Question

Consider the following statements:
During the 18th Century,
Statement-I:
The Company&rsquo;s servants used passes for duty-free movement on their private trade.
Statement-II:
The Company persuaded the Mughal emperor Auragzeb to issue a farman granting
the Company the right to trade duty free.

Which one of the following is correct with respect to the above statements?
(a) Both Statement-I and Statement-II are correct, and Statement-II is the correct explanation for Statement-I
(b) Both Statement-I and Statement-II are correct, and Statement-II is not the correct explanation for Statement-I
(c) Statement-I is correct, but Statement-II is incorrect
(d) Statement-I is incorrect, but Statement-II is correct

ONLiNE UPSC · Accepted Answer

Statement-I is correct. The servants of the British East India Company misused dastaks (duty-free passes meant for the Company's official trade) to transport their private goods without paying customs duties. This was a major source of conflict with local authorities and merchants in Bengal during the 18th century.

Statement-II is correct. Mughal Emperor Aurangzeb issued a farman that granted the Company duty-free trading rights in Bengal. However, this privilege applied only to the Company's goods, not the private trade of its servants.
While both statements are correct, Statement-II does not directly explain Statement-I

Colonialism in India

British East India Company's Trade Policies

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M Question 1	⏱ 0
Consider the following statements: During the 18th Century, Statement-I: The Company’s servants used passes for duty-free movement on their private trade. Statement-II: The Company persuaded the Mughal emperor Auragzeb to issue a farman granting the Company the right to trade duty free. Which one of the following is correct with respect to the above statements? (a) Both Statement-I and Statement-II are correct, and Statement-II is the correct explanation for Statement-I (b) Both Statement-I and Statement-II are correct, and Statement-II is not the correct explanation for Statement-I (c) Statement-I is correct, but Statement-II is incorrect (d) Statement-I is incorrect, but Statement-II is correct