In the context of eighteenth century India, what was ‘Dastak’?

In the context of eighteenth century India, what was ‘Dastak’?

[amp_mcq option1=”Signature” option2=”Land document” option3=”Trade permit” option4=”Tax on textiles” correct=”option3″]

This question was previously asked in
UPSC CDS-1 – 2023
In the context of 18th-century India, ‘Dastak’ referred to a trade permit or pass. These passes were granted to the English East India Company by Mughal emperors, particularly after the grant of *diwani* rights in Bengal (1765), allowing the Company and its officials to trade goods without paying inland customs duties (tolls). The misuse of these *dastaks* by Company servants for private trade without paying duties became a major source of conflict with the local nawabs, notably leading up to the Battle of Plassey.
– ‘Dastak’ was a permit for trade.
– It exempted the holder from paying customs duties.
– Primarily associated with the English East India Company’s trade in Bengal in the 18th century.
– The misuse of *dastaks* undermined the revenue base of the Bengal Nawab and gave the English Company an unfair advantage over other traders (Indian and European).
– This was one of the factors contributing to the decline of the Mughal Empire’s authority and the rise of the English East India Company’s political power.