Earn with hundred hands,donate with thousand ...Economic thought in ancient and medieval India

SEABORNE TRADE AND TRADE ROUTES

While inland trade moves mainly along roads and rivers, foreign trade was carried across the seas. Evidences of bold sea-voyages come from the earliest literary references of the Rgveda. The early smrti worus while laying these under severe strictures for Brahmanas only show the futile attempt to arrest a practice which had come to stay. Baudhayana prescribes loss of caste to transgressors and manu exludes them from entertainment at the sraddhas. But the former admits” Now the customs peculiar to the North are, to deal in wool, to drink rum to sell animals that have teeth in the upper and in the lower jaws. To follow the trade of arms, to go to sea a clear evidence of the commercial activities of the people of Sind and the Punjab across the Indian Ocean. Expert voyagers (Samudrayanakusalah) are recognized in Manu’s code ad respectable enough to be authorized to fix the rate of interest on money lent on bottom apparently no stigma attaching to them. In the Ramayana a boat in mid-sea loaded with heavy cargo is an aptmetaphor Surgariva gives instructions to his emissaries sent in search of sita to include islands, mountains and seaports in the quest. In a verse of the Digha merchants are known to have crossed the ocean drear, making a solid path across the pools. In the Anuguttara voyages lasting for six months are well-known facts (Presumably with haltings) made in ships which could be drawn up on shore in winter. The Jataka verse is sufficiently familiar with a ship full-rigged for distant seas to use it as a metaphor.

To meet the demands of sailors, ship-building had to be cultivated as a separate industry. Qualities of wood were investigated, technicalities of construction were perfected and the art was studied as a separate branch of science. The yakatakalpataru, Sanskrit work on certain industrial products of India makes as elaborate classification of ships of different size and shape giving technical names to each and their parts and quotes from a lost earlier work of Bhoja on the various qualities of wood used. In the Ramayana Guha’s boats are fited with massive bells ans banners well-piloted and well-knit quite for to meet the killows and the blasts. During Alexander’s invasion, the zthroi ran huge dockyards and supplied to the invader galleys of 30 oars and transport vessels.

The Vessels were sufficiently big and strong to carry a heavy cargo. Guha’s flotilla carried besides men, chariots, horses, bulls and carts although elephants had to be swam across. The fleet supplied to Alexander by the ship-builders on the Hydaspes whose strength is computed differently by the Greek writers between 800 and 2000 accommodate 8000 troops, several thousand horses and vast quantities of supplies. The ship which took prince Vijaya to Celyon had 800 passengers according to the Mahavamso. The fresco presentation at Ajanta of his landing shows horses and elephants carried in these boats. In the Katakas the tonnage is given at 500. In the Samkha Jataka a rescue vessel at sea measures 8 usabhax 4 usabha x 20 yattlula. According to Pliny the tonnage is 3000 anaphora (cub. Ft. of water) or 75 tons.

There were big ship-owners who kept their vessels at parts and took merchants with their wares to their destination charging freight for the transit. Manu lays down the freight charges along rivers but says that there is no settled rate for the seas showing that here also free bargain regined supreme and that regulation was futile sometimes there were joint owners resembling a shipping agency, and Manu lays a law that they are collectively responsible for the damage caused by their fault to passenger goods. In the Arthasastra as well which provides for the hiring out of state vessels to merchants and to fishers of pearls and conch-shells, there is a similar law that hire charges are to remitted and losses made good if the ship foundered from their own defct.

There were expert professional pilots who lent themselves for hire to shippers or to merchants. In the great seaport towns were organised guilds or srenis under a shipper (niyyamakajetthaka) who took charge of vessels at the requisition of sea-going traders and pliec their calling from father to son. It is not known whether the ancient pilots were acquainted with the mariners’ compass. The Pali word maccha-yantra has been supposed to be for that instrument and a round device at the prow of a ship in Borobdur sculpture has been identified to it. For ascertaining directions the mariners observed the stars at night. They took direction- giving crows (disakaka) on board and like the ancient Phonicians and Babylonians let them off when they lost sight of land. The coast was found in the direction taken by the bird.

Ships set sail from the Pattana or Pattanagama generally sea-port but sometimes also a river port having direct access to sea. The Malabar and the Coromondal coasts were dotted with such sea-port catalogued with their busy traffic in the Periplus. In the north, the most flourshing sea-port was Bharukaccha.” In the kingdomd of Bharu on the estuary of the Narmada. A little south of it was suparaka formed by the ocean the south. At kashapas command to accomodiate parasurama after he had exterminated the kastriyas. A third north western sea-port figures large in the periplus named Barbaricum at the mouth of the Indus. More ancient than these was Roruka, the capital of Savira Its exact location is not known but must have been somewhere on the Gulf of Cutch. The Jatakas mention another western port named karambiya about which no further information is available. What Bharukaccha was in the west, Tamralipti was in the east. It commanded the mouth of the Ganges and from there the eastern seaborne trade of the rich janapadas on the valleys of the Ganges and Jumna. There must have been other prosperous sea-ports on the delta of the Ganges and the Mahanadi serving as the outlets for the specialized industries of Bengal and Orissa. But the overseas trade beyond Tamralipti both to the East and to the South is a sealed book to us.

About the beginning of the Christian era Indian shipping was sufficiently expanded to reach all the known ranges of the commercial world. The periplus is an eloquently testimony to the fareaching western trae, china and its silk begins to be prominent in Indian literature from this time and the milindpanha, a contemporary work, overs that the ship-port embraks, in the high seas and asails to Bengal, Malay, China, Gujarat, Kathiawad, Alexandria, koromandel coast and the East Indies or to any other place where the ships congregate.

The earliest trade communication in the west was with Mesopotamia Kennedy makes out the case for Babylonian commerce from Bharukaccha and suparaka at the latest before the century B.C.

Indo-mesopotamian commerce had three routes a searoute along the coasts of sind , Gedrosia and Iran, another a mixed water and land- route from Gandhara and Bactria along the cxus and across the caspian and the Black seas and a third overland route from Sind through Iran. Iran was thus highway of Indo-Babylonian trade- the sea route passing through its territorial waters, the land route through its soil. It figures in India’s commercial horizon from much earlier times than the 7th century B.C. A route across the high sea between India and its coasts is supposed to have existed in the days of Buddha from the Chinese legand embodied in the Dipavamsa relating the founding of a colony from Ceylon on the presian gulf. Through the eatern compaigns of dcyrus (558-30 B.C.) the medo-persian kingdom was brought into more or less direct contact with India. Probably the Indus valley had a favourable balance of a trade in the 5th century B.C, with Persia and other countries so as to enable it to pay Darius every year 360 Euboic talents of gold dust working out to 9 tons and 5 cwts.

In the days of the Periplus coastal voyagae from Broach to Euphrates was a regular affair of merchants. To the parts of the Persian Gulf Viz, Apologus and Ommana large vessels are regularly sent from Barygaza loaded with copper and sandlewood and timbers of teakwood and logs of blackwood and ebony. From these parts there are exported to Barygaza and also to Arabia, many pearls, but inferior to those of India purple, clothing after the fashion of the place, wine a great quantity of dates gold and slaves. The trace which at present centres at Bahrein has almost the same list of imports and exports.

As the approach to the Euphrates lay through persian waters, so the way to the Nile and the mediterranean led through the Arabian Agatharicides (177 B.C.) quaoted by Greek writers, describes sataca (Yemen) as holding the monopoly of the Indian trade. From the great marts of Muza (Mokha), Cana (BirAli) and moscha (2 mi east of taka) on the southern coast Arab ship-owners and sea-farers traded with the somali coasts and with baryagaza “sending their own ship there” in competition with the Egyptian Greeks (Peri 21, 27) They brought from Damirica and Barygaza cloth, wheat and sesame oil and if the season was late they wintered at the harbour of moscha exchanging those all over the Sakhalitic country. An important halting place between India and Arabia was dioscording or socotra, the island of all races and the centre of international trade not far from the time of Abraham. Egyptians, Africans, Arabians and Inclians from the gulfs of cutch and combay met here to exchange their cargo and settle colonies so that at the time of the periplus the inhabitants were a mixture of Arabs and Indians and Greeks, The voyagers from Damirica and Barygaza bring in rice and wheat and Indian cloth, and a few female slaves, and they take for their exhange cargos a great quantity of tortoise-shell.

Beyond Socotra and Arabia, the mediterranean route passed along the somail and Berber coasts. In the periplus malao (the Berber country) is described as a great intermediary mart between India and Egypt

From the district of Ariaca across the sea, there are imported Indian iron and steel and Indian cotton cloth; the broad cloth called monakhe and that called sagmatogene and girdles and coats of skin and mallow-coloured cloth. And a few muslins and coloured lac. Other imports were Indian copal and the places across this sea, from aricaca and Barygaza, bringing to these far-side market-towns the products sesame oil, cotton cloth and girdles, and honey from the reed called sakkhari. Some make the voyage especially to these market towns, and others exchange their cargoes while sailing along the coast.

The important thing to be noted here is that these agricultural products, were regularly shipped, in Indian vessels, from the gulf of combay; that these vessels exhanged their cargoes at cape Guardafui and proceeded along the coasts, some southward, but most westward, and that according to 25, ocelis at the entrance to the Red sea was their terminus, the Arats for bidding them to trade beyond. Between India and cape Guardafui they appearently enjoyed the bulk of trade, shared to some extent by Arabian shipping and quite recently by Greek ships from Egypt, on the Somali coast they shared the trade in an incidental way and they receive their return cargoes at Ocelis way; and they received their return cargoes at ocelis and shared none of the Red Sea trade, which in former times the Arabs of Yemen had monopolised, but in the days of ptolemles the Egyptians had largely taken over.

Indo-Egyptian Trade

After Zanzibar the next objective was Egypt. Straboquotes the story of posidonios how a certain Indian alone in a ship picked up by the coast guard of the Arabian Gulf, related that he had started from the coast of India but lost his course and reached Egypt alone all the companions having perished with hunger. Thereafter he headed a trading mission sent by the Egyption prince Euergetes II to India. With a good supply of presents and brought back with him in exchange aromiatcs and precious stones, some of which the Indians collect from amongst the pebbles of the river, others they dig out of the earth, where they have been formed  by the moisture, as crystals are formed with us. On the return journey of a second voyage he was again carried away by the winds above Ethiopia and thrown in unknown regions (II iii 4)

It appears that a voyage between India and Egypt was a risky affair and very rarely undertaken. In strabos day Rome had explored the world of Arabian and Indian commerce The entrance of a Roman army into Aratia Felix under the command of my friend and companion Aelins Gallus and th traffic of the Alexandrian merchants whose vessels pass up the nile and the Arabian gulf to India have rendered us much better acquainted with these countries than our predecessors were I found that about 12c ships sail from myos hormos to Inoia, although in the time of the ptolemies scarcely any one would venture on this voyage and the commerce with the Indies (II v.12) The route of the Alexandrian commerce in his day is also given. It (merchandise) is brought down from Arabia and India to Myos Horsmos it is then conveyed on camels to coptus of the Thebuis, situated on a canal of the Nile and dto Alexandria” ( XVI iv d24)

Combining the testimony of strabo and the periplus the Indo-Egyption route appears to be from Alexandria along the nile up to coptus thence by camel to myos hormos, the cluster of islands now Jifatin From myos hormos or Berenice the ships sailed down to the Red sea to mouza an dthence to the watering place of okelis at the straits. They made a coastal voyage as far as cana leaving behind eudaimon or Aden. From cana some ships sailed to Barbaricum or to Barygaza sometimes halting at the island of Dioscordia or socotra others sailed direct for the parts limyrike (malalbar coast) From Aromata or cape guardful another route led straight to malabar. Pliny describes through the love of gain so that at the present day voyages are made to India every year. (VI.23) The last and the most important of the series was the discovery of the monsoon ascribed to hippalus (peri. 57)

The discovery of hippalus gave a rude shock to the Arabs control over the Indian trade. They therefore, tried to obstruct in every way the Roman vessels for India. But before long they were put down and Arbia Eduaemon was destroyed by the Roman army. The service rendered by the Imperial army to the cause of Indo-Egyption trade has beend recorded by strabo in the following words, The entrance of a Roman army into Arabia felix under the command of my friend and companion Aelius Gellaus, and the traffic of the Alexandrian merchants whose vessels pass up to the Nile and Arabian gulf to India have rendered us much better acquainted with these countries than our predecessors were. I was with gallus at the time he was perfect of egypt, and accompanied him as far as syene and the frontiers of Ethiopia and I found that about 120 ships sail from myos-hormos (modern cluster of islands called Jibatin) to India although in the time of the ptolemies scarcely anyone would venture on this voyage and the commerce with the indians.

The Arabs control over the entrance of the Red Sea being effectively curbed, the Indians also were free to make direct voyage to the egyption ports. The growing intimacy between India and the Roman Empire is emphasised by the trade missions sent under the veil of good will missions, to different Roamn emperors by several Indian states. Strabo on the authourity of nicoloas Damaskenos refers to an Indian embassy sent to Augustus Caesar. The embassy was accompanied by a man who sacrificed himself in scared pyre. On his tomb was this inscription Zarmanochegas (Sramanacharya) an Indian from Bargosa (Barygaza) having immortalised himself according to the custom of his country lies here. It is significant that the king who had sent the embassy, offered Augustus a free passage through his dominions, and agreed to co-operate with him in anything his dominions that was honourable a sentiment which suggests the effusive adumbration of a trade agreement. This was however not the only embassy received by Augustus. In his monumental record at Ankara Caesar declares that Indian missions came to him frequently. During the regin of Trojan (98-117 A.D) another Indian embassy was entertained regally and its member given senators seats at the theatre. There are also specific references to envoys from the Bactrian kings visiting the court of Hadrian (117-138 A.D.) and to Indian Bactrian and Hyracnian embassies entertained by Antonius pius (138-161-A.D.) Bardesanes, the babylonian, who wrote an account of the Indian Gymnosophists, gathered his information from one sandanes (Sandales, dandamis or dhamadamis) an Indian who came with an embassy to Syria to welcome the emperor elagabalus to the throne in 218 A.D.  Rawlinson thinks that sadnes probably came from the Deccan.

In the train of these political embassies came numerous Indian merchants to flood the Roman markets with spices and other luxury-goods. In the Indian literature, the names, of the egyption parts began to appear as ultimate destinations of sea-going merchants we have already noticed that the mahaniddesa and milindapanha include yona and paramayona (Hellenistic countries) along with allasanda marukantara (unidentified) among places beyond the ocean visited by the ships. The latter work shows acquaintance with ocean-going ships frieghted with hundreds of thousands of packages and others carrying numerous passangers and proficed with masts anchors, straps, sails and ropes. Dion Chrysostom (C 117 A.D.) refers to persons who came from India in pursuit of trade. The same writer witnessed Indians among the population of Alexandria. Thus he says in the midst of you )Alexandrians) care not only Greeks italians syrians lybians  cicilians ethiopians, arabians, but even bactgrians and scythians and persians and some indians who view the spectacles with you on all occasions Ptolemy also noticed the peresence of Indians. In Alexandria the Indians visiting Egypt were treated with much hospitality and we hear that the Brahmanas who went to Alexandria in 470 A.D. were the guests of counsw Severus

Though for earning more profit and for satisfying their curiosity many Indians went as far as salexandria the average seamen stopped at Dioscorida (Socotra) and unattractive but convenient island off cape gardafui during the 1st century A.D. It had a considerable Indian colony. The periplus noticed that the inhabitants of the island were a mixture of Arabs, Indian and  Greeks. The antiquity of Indian contact with the island is suggested by the name of the place itself which is a corruption from the Sanskrit dvipa sukhatara the most pleasant island agatharchiesw refers to it as stopping place for the voyages between India and Arabia. From the Egyoptian records it appears that Socotra was an important centre of international trade nor far from the itme of Abraham. Here the occasional navies of Egypt met the peoples of Arabia and Africa and the traders of India from the gulf of combay and perhaps in greater nuimber from the active ports in that ruined sea of past agea the Runn of Cutch. As a trading port Socotra continued its imprtance as late as the time of Marco Polo who found a great deal of trade there for many ships came from all quarters with goods to sell to the natives. A multitude corsair (Called Bawari from cutch and Gujarat) frequent the island.

In the Sangam literaure there are constant references to the Yavana ships coming to the malabar coase bringing in gold in their well-rigged ships to pay in exchange for the spices which they carried from there we find in a census-list of the time of Vespasian (69-79 A.D.) that an Egyptian is registered as being absent in Iundia Pausanias refers to merchants visiting india and tells of the parrots and marvellous creatures they bring back. Trojan during Euphrates and, seeing the ships spreading their sails for India, exclaimed. Above all things would I have passed over to india were I still young grenfell and hunt at oxayrhynchys in egypt probably contains reference to some such voyages occasionally unertaken by the Roman subjects. The next a farce is concerned with a Greek lady named charition who has been stranoed on the coast of a counbtry bordering the Indian ocean which is appearently india as the king of that country addresses his retinue by the words chiefs of the indians. Hultzsch has recognised the trace of kannada language in the dialogue of the local people and concluded that the site of charition’s adventure is one of the numerous small parts on the western coast of India between karwar and mangalore.

The epiagraphic notices regarding the presence of the yavansa sin th cis=vindhyan region are further evidences about the close Indo – Roman contact many of them referred to in the inscriptions, of their forbears no doubt had come from cities in the former Indo-greek kingdom further north, but the fact that a considerable section of them came directly from the west in pursuance of trade and established factories in the important trading centres of S India cannot be denied. The silppadikaram speaks of the foreigh merchants who had left their native homes and settled in the sea-port town of south India.  The same work also refers to the abodes of the yavanas whose prosperity never waned in the  harbour of puhar ptolemy appearently got his information of the geography of India from persons who had resided in India. Dadin speaks of the yavana merchant khanati who was clealing in percious stones. The discovery of a western trading centre at arikamedu within a few hundered yards of the bay of bengal and two miles south of pondicherry confirms the literary evidence. Several inscriptions at karle by way of recording the gifts of the yavana residents fo Dhenukakata sugget that beside puhar or arikamedu in the far south a graeco Roman colony was also established at Dhanyakataka.

The growing interest of the mediterranean merchats in Indian trade resulted in the production of the periplus maris erythrael a plain and painstaking log of a greek in egypt a roman subject who steered his vessal into the waters of the great ocean and brought back the first detailed record of the imports and exports of its markets, and of the conditions and alliance of its peoples. It is the only record for centuries that speaks with authority on this trade in its entirety, and the gloom which it briefly lighted was not lifted until the wider activities of islam broke the time honoured custom of arab secrecy in trading and by grafting modern geography. Not of knowledge they gathered together can equal in human interest this unknown merchant who wrote merely of the things he dealt in and the peoples he met

With great care, the periplus catalogues the parttowns on the redsea and the persian gulf, which were centres of Indian trade It records now ships loaded with local products from Africa and Baryhgaza made voyage to the market towns on the somalu coast and others exchange their cargoes while sailing along the coast . The ports on the arabian coast, crowded with arab shipowners, and sea-faring men were also great centres of Indian commerce. From these ports merchants are said to have carried on a trade with the far-side coast and with barygaza sending their own ships there. We are further informed that ports on the persian gulf viz apologys and ommana were also visited regularly by ships from Barygaza.))

Guilds

It is well known that the word sresthin in later literature denoted the ‘headman of a guild’. Dr. Macdonell1 remarks that the word may have that sense in the vedic literature.2 Roth points out that the word ‘gana’ is used in the sense of a ‘guild’ in vedic literature.3

It can be said that with same amount of confidence, that corporate activity in economic life was a factor in Indian society, probably from the later early vedic, and in any case certainly from the later vedic period. The first stages of its development are found 800 B.C.

The nature, organization and importance of guilds. This corporate activity seems to be quite a common feature in the ecomonic system of post vedic India. Men following similar means of livelihood usually formed themselves into a corporation with definite rules to guide themselves. Thus we find it stated in the Dharma-sutra of Gautama4 that the additional (occupations) of a Vaisya are, agriculture, trade, tending cattle and lending money at interest. He says that ‘cultivators traders, herdsmen, money-lenders and artisans (have authority to lay down rules) for their respective classes. Having learned the (state of) affairs from those who in each case have authority (to speak, he shall give) the legal decision’.5 This means that practically all the different branches of occupation mentioned above had some sort of definite organization.

The particular term used to denote the corporation of tradesmen or mechanics in sreni. This is defined as a corporation of people, beloning to the same or different caste, but following the same trade and industry.

Ancient literature, both Buddhist and Brahmanical, as well as ancient inscriptions, contain frequent references to guilds and this corroborates the interence we have deduced from the Gautama Dharmasutra that nearly all the important branches of industry formed themselves into guilds. The number of these guilds must have differed considerably, not only in different periods but also in different localities. In the Muga-pakkha Jataka,6 the king, while going out in full splendour of state, is said to have assembled the four castes, the eighteen guilds, and his whole army. This indicates that the conventional number of different kinds of guilds in a state was set down as eighteen.7 It is not possible to determine what these conventional 18 guilds were, but we get a considerably larger number by collecting together all scattered references in literature and inscriptions. The following list compiled in this way shows at once the wide-spread nature of the organization.

1. Workers in wood (carpenters, including cabinet-makers, wheel-wrights, builders of houses, builders of ships and builders of vehicles of all sorts.8

2. Workers in metal, including gold and silver.9

3. Leather workers.10

4. Workers in stone.

5. Ivory workers.

6. Workers fabricating hydraulic engines (odayantrika).11

7. Bamboo workers (vasakara).12

8. Braziers (kasakara).13

9. Jewellers.

10. Weavers.14

11. Potters.15

12. Oilmillers (Tilapisaka).16

13. Rush workers and basket makers.

14. Dyers.

15. Painters.17

16. Corn-dealers (Dhamnika).18

17. Cultivators.19

18. Fisher folk.

19. Butchers.

20. Barbers and shampooers.

21. Garland makers and flower sellers.20

22. Mariners.21

23. Herdsmen.22

24. Traders, including caravan traders.23

25. Robbers and free boaters.24

26. Forest police who guarded the caravans.25

27. Money-lenders.26

28. Rope and mat-makers.27

29. Toddy-drawers.28

30. Tailors.29

31. Flour-makers.30

Although the actual number of guilds must have always for exceeded even this number, it is interesting to note that the idea of the conventional 18 guilds persisted down to modern times in India. cf. an inscription of 17th century. E.I.xx, p.90, f.n.2.

Guilds in the Jataka period.

Dr. Richard Fick31 observes that there was a clear difference, so far as, guild was concerned, between the traders and merchants on one side, and the artisans on the other. The hereditary families pursuing certain branches of trade, formed themselves into a corporation with a Jetthaka (Alderman) as its head. The localization of industry was another important factor. Streets and particular quarters in a town and even whole villages were inhabited by one and the same class of artisans.32(1) These villages, sometimes quite large; the Mahavaddhakigamo, for instance, consisted of 1000 families of dealers in wood, and the Kammaragamo, the same number of smiths’ huts.

These three circumstances, viz; the heredity of profession, the localization of the different brances of industry and the institution of Jetthaka (Alderman) appear to Dr. Richard Fick to be conclusive evidence for the existence of an organization that may be compared with guilds.

Some of the Jataka stories throw interesting sidelight upon the organization. Samudda-Vanija Jataka33 mentions that there stood near Varanasai a great town of carpenters, containing a thousand families. But among these thousand families there were two master women, each as the head of five hundred of them. On one occasion they left the town and settled with their families in an island. The story shows the mobility of the guilds. It also proves that there was sometimes more than one organisation of the same class of craftsmen in the same locality.

It appears that sometimes the office of the Alderman was hereditary, for we are told that when a master mariner died, his son became the head of the mariners.34 The importance of these guild - organisatins is conspicuously proved by the fact that the heads of guilds sometimes held high posts in the state and were favourites of the king, rich and of great substance.35 One of the Jataka stories refers to a state officer, the Bhandagarika (Treasurer or Superintendent of stores) whose office carried with it the judgeship of all the merchant guilds.36 We are expressly told that no such office had existed before, but that there was this office everafter.

Guilds in early Dharmasutra period (5th C.B.C to 3rd C.B.C). Verse 21 of the 11th chapter of the Gautama Dharmasutra authorises the “cultivators, traders, herdsmen, money-lenders and artisans” to lay down rules for their respective classes, and we are further told that the king shall give the legal decision after “having learned the (state of) affairs from those who (in each class) have authority (to speak).”37

This presents a further stage in the development of the guild - organisations. The corporations of traders and artisans are now recognised by the constitution as an important factor in the state, and invested with the highly important power of making laws for themselves. Their spokesman, corresponding probably to the Jetthaka of the Jatakas, is an important personage, having the right to represent his class in the royal court.

Kautilyan time - Kautilya’s Arthasastra,38(2/23) throws much interesting light upon the guild organization of this time. “Superintendent of Accounts” had to regularly enter, in prescribed registers, the history of customs, professions and transactions of the corporations,39 and three Commissioners, or three Ministers enjoying the confidence of the guilds, were appointed to receive their deposits which could be taken back in times of distress.40 Special concessions were made regarding the lawsuits between trade guilds,41 and special privileges were accorded to a merchant belonging to a trade-guild.42 The importance of the guilds in those days is further indicated by the fact, that, in an ideal shceme of a city, places are reserved for the residence of workmen of the guilds and corporations.43 The village guilds were protected by the regulations that no guilds of any kind other than local “co-operative guilds”44 shall find entrance into the village.

Kautilya lays down certain specific rules45 regarding the guilds of labourers or day-workers. They are to be granted certain special privileges; for example, a grace of seven nights over and above the period agreed upon for fulfilling their engagement. The total earnings are to be equally divided among all the members of the guild unless its usage dictated otherwise. A person leaving the guild after the work has commenced, is to be punished with fines. Any person neglecting his proper share of work is to be excused for the first time, but if he persists in his bad conduct he is to be thrown out of the guild. Agian, if any member is guilty of an offence he is to be treated as a condemned criminal.

The guilds in those days were also great military powers.46 Thus in Book IX, Chapter II; Kautilya includes “Srenivala” among the various classes of troops which the king might possess.47 Again in Book V, Chapter III, dealing with “Srenimukhyas (chief of guilds) is set down as equal to that of the chiefs of elephants, horses and chariots. Further in Book VII, Chapter XVI, Kautilya mentions the ways by which hostile party is to be kept down, that a ‘Sreniwala is to be furnished with a piece of land that is constantly under troubles from an enemy, evidently for keeping them too busy to interfere in the affairs of state. In Book VII, Chapter 1, ‘the sreni’ is classed along with soldiers as means to repel the invasion of enemy.

Kautilya also refers to a class of Ksatriya guilds which lived upon both trade and war. “Kamboja-saurastra-Ksatriya-srenyadayo Vartta-sastropajivinah.”48

Kinds of Corporations - In the age of Kautilya, numerous industrial organizations functioned. e.g. -

1. Organizations of weavers - i.e.

a. Weavers of cotton cloth.

b. Wool-weavers and blanket-makers

c. Silk-weavers

2. Organizations of miners, who were employed in extracting minerals.

3. Organizations of metal-manufacturers, gold and silver-smiths, braziers etc.

4. Organizations of carpenters.

5. Workers in stone or masonry

6. Doctors

7. Musicians, dancers, actors etc.

8. Menials of various grades eg. bath-servants, shampooers, barbers, washermen, scavengers, servants of various grades, village-servants etc.

9. Lower artisans, like potters, dyers, basket-makers, confectioners etc.

10. Sellers and makers of cheap articles eg. sellers of meat, vegetables or cooked food.

11. Members of various kinds of service eg. lower officers, clerks etc.49

From the point of view of modern economic theory, these guilds samghas or srenis can be divided into five categories.

1. Guilds which had the character of joint commercial undertaking (though not often permanent) with capital of their own and designated by the name samgha-masons or house-builders may be cited as examples.

2. Guilds of skilled workmen who were supplied materials by capitalists and who turned the raw materials into the fabrics required and were paid according to their out-turn.

3. Guilds of lower class artisans, who could work independent of capitalistic connection and depended solely on cheap natural products and on their labour or skill. eg. we may cite potters, garland-makers and basket-makers.

4. Various grades of menials and low class workmen like servants, scavengers, charioteers, grooms, barbers, washermen, cooks, agricultural labourers etc.

5. Men of various professions and occupations like physicians, nurses, musicians, scribes etc.50

All these industrial as well as other samghas (corporations) added to the growth of the national economy by their work.

Early Dharmasastra Period - A further stage of development in the organization of guilds is observed in the period represented by the early Dharma-sastras (2nd Century B.C. to 3rd Century A.D.). Manu-samhita refers to sreni-dharma or usages of the guilds as having the force of law.51 It further lays down that - “If a man belonging to a corporation inhabiting a village or a district (grama-desa-samgha), after swearing to an agreement breaks it through avarice, (the king) shall banish him from his realm.”52

The Yajnavalkya-samhita also prescribes that if a man steals the property of a guild or breas any agreement with it, he shall be banished from the realm and all his property, confiscated.53

Similar injunction also occurs in the Visnu-smrti.54 Shortly after the Christian Era, the Guild organization had developed into a highly important factor in state politics.

Honesty of the Guilds

Inscriptions refer to guilds and their activities:-

1) An inscription in a cave at Nasik, dated in the year 42 (=120 A.D.), records the donation of 3000 Karshapanas by Ushavadata, son-in-law of Saka Chief Nahapana. The gift was intended for the benefit of the Buddhist monks dwelling in the cave, and the entire sum was invested in the guilds dwelling at Govardhana in the following manner.

“2000 in a weavers’ guild, the rate of interest being one percent per month :

“1000 in another weavers’ guild at the rate of 75 percent per month.” It is clearly stated that these kahapanas are not to be repaid, their interest only to be enjoyed. The object of the gift is also laid down as follows:

‘The 2000 kahapanas at 1 percent per month are the cloth money; out of them is to be supplied, to every one of the twenty monks who keep the vassa or retreat in the cave, a cloth money of 12 kahapanas out of the other thousand is to be supplied the money for kusana a term the precise significance of which is uncertain.’

In conclusion, we are told that all this has been “proclaimed (and) registered at the town hall, at the record office, according to custom.”55

II. Another inscription at Nasik56 dated in the 9th year King of Isvarasena, who ruled in the 3rd C.A.D, records the investment of a similar perpetual endowment with the guilds dwelling at Govardhana, as follows: “In the hands of the guild of Kularikas (probably potters) one thousand Karsapanas of the guild of Odantrikas (probably workers fabricating hydraulic engines, water clocks or others) two thousand.” The last portion of the inscription is mutilated, but enough remains to show that an amount was also invested with the guild of oil-millers and the sum of 500 kahapanas with another guild. The object of this endowment was to provide medicines for the sick of the samgha of monks dwelling in the monastery on mount Trirasmi.

3. An inscription at Junnar records the investment of the income of two fields with the guilds at konacika for planting karanja trees and banyan trees.57

4. Another inscription at Junnar58 records investment of money with the guild of bamboo-workers and the guild of braziers.

5. A third inscription at Junnar59 records the gift of a cave and a cistern by the guild of corndealers.

6. An inscription at Nagarjuinakonda, dated 333 A.D refers to a permanent endowment created by a person for the maintencace of the religious establishments made by him. The endowment consisted of deposit of 70 dinaras in one guild and 10 each in three other guilds, out of the interest of which specific acts had to be done. Only names of two guilds are legible, namely those of Panika and Pavaka.60

Besides depicting the multifarious functions of guilds in the economic, social and religious life of the people, these inscriptions shed interesting light on the way they used to serve the purpose of modern banks to the public. It is clear from the inscriptions that the guilds received deposits of public money and paid regular interest on it. Without a well-established reputation and long standing honesty, the public would not have deposited such large sums of money for perpetual endowment with the guilds. The registration of endowments at the town-hall reveals that the guilds responsibility was fully recognized by the town corporation.

The Constitution of Industrial Corporations

The strongest factor which bound the constituents as a close homogeneous unit was the operation of the independent laws of guilds. The evolution of such laws can be traced back to the age of Gautama (cir.600B.C.) already referred to. like Gautama, Manu recognises the laws of guilds as being on an equal footing with those of castes and localities. He holds that a king should give a decision only after a careful examination of the laws of castes, districts, guilds and families.61 Yajnavalkya establishes the same law in somewhat stronger words and recommending the king to punish offenders says :

“If the families, castes, srenis and the Janapadas deviate from their duty, the king after chastising them, should establish them on the right path.”62

Narada also seems to be supporting the same views when he lays down that ‘among heretics, followers of the veda, guilds, corporations, troops, assemblages and other associations, the king must maintain the usages settled among them, both in fortified towns and in the open country.63 Brhaspati goes a step further when he ordains that whatever decision-cruel or kind - the guilds take regarding the disputes of their members, the king must approve of it as they are declared to be the masters of their own affairs.64

Brhaspati, by following the three ways;

1. The first was kosa which refers to the ordeal by sacred libation described in detail by Yajnavalkya and Narada. According to it, the person to be examined was made “to drink three mouthfuls of water in which the image of the deity whom he holds sacred has been bathed and worshipped. If he should meet any calamity within a week or fortnight of the ordeal, it should be regarded as proof of his guild.66 Otherwise, he was considered as being worthy of becoming a member of the guild.

2. The second was lekhakriya which refer to the written agreement in accordance with which the new member had to observe all the rules and regulations prescribed for the guild.

 

 

 

3. The third was the madhyastha which probably refers to an arbitrator who could attest to his faithfulness and good behaviour in his relationships with the organization.67 Besides these members, there were some executive officers, (Karyacintakah) probably elected by the members of the guild themselves. These officers had to meet certain requirements. These are mentioned as follows:

‘They should be versed in the lore of the Vedas, pure in monetary affairs, and should be the advisers of the associations in regard to their transactions. The opinion of them which is sound shall be followed by all members.”68

“Honest persons acquainted with the Vedas, and with duty, able, self-controlled, sprung from noble families and skilled in every business shall be appointed as heads of an association.”69

Persons not deserving these posts are also mentioned as follows:

‘Enemies, dissolute, bashful indolent, timid, avaricious, over-aged or very young persons must not be choosen as officers of affairs.”70

The number of these advisory officers of the corporations was sometimes, two, at times three or five. The members of various guilds took advice from them,71 and their advice was binding on them. Any man who acted contrary to their advice was punished by the king with the first amercement.72

These executive officers, though vested with considerable authority could hardly misuse it. They had to act according to the laws of the corporations. In case of violation of rules on their part or any other dissension betwen the personnel, the king had to step in and make the parties conform to the established rules of the guilds. According to Mitamisra, it was the assembly of guilds which could punish the offending executive officers.73

The same surety of justice from the executive officers of guilds is further ensured by Brhaspati, who ordains that if the officers, actuated by hatred for certain member of the guild, injured him, it was the duty of the king to restrain them and punish them if they persisted in their conduct.74

The passage clearly reveals that in spite of the fact that the kings granted a due recognition to the authority of the executive officers of the guilds and their assemblies, their decision was not always final. The individuals victimised by the officers because of personal grudges had every right to appeal to the king to get their grievances removed.

The Judicial Power of the Guilds - Besides the executive and judicial authority enjoyed by the chiefs of the guilds, it is said by Brhaspati that the srenis had established their own courts of law, where they decided disputes in accordance with their specific rules.75 It is also referred to that the rulers had to honour such traditional courts as otherwise, there was every possibility of rebellion from them. Warning the rulers for such negligence Brhaspati enjoins:

“The time honoured institutions of each country, caste and family should be preserved intact, otherwise, the people will rise in rebellion; the subjects will become disaffected with their rulers and the army and the treasure will be destroyed.”76

“It was in these courts that the guilds of artisans, artists, money-lenders, traders, dancers etc. decided their disputes in accordance with the specific laws chalked out for their respective bodies.”77

The importance of the judicial authority of the guilds is further evidenced by the fact that besides exercising their authority in their own affairs in their autonomous courts, they are referred to as indispensible members of the common tribunal constituted by the king for the common people. The following references from Brhaspati shed abundant light on the point - ‘Relatives, companies (of artisans), assemblies (of co-habitants) and other persons duly authorised by the king should decide law suits among men, excepting causes concerning violent crimes (sahasa).”78

“(Meetings of) kindred, companies (of artisans), assemblies (of co-habitants) and chief judges, are declared to be resorts to whom he, whose cause has been previously tried, may appeal in succession against the passing of a sentence.”

“When a cause has not been (duly) investigated by (meetings of) kindred, it should  be decided after due deliberation by companies (of artisans); when it has not been (duly) examined by companies (of artisans) it should be decided by assemblies (of co-habitants); and when it has not been (sufficiently) made out by such assemblies, it should be tried by appointed judges.”79

We can safely infer from the above passages that out of the four ordinary courts mentioned by brhaspati80, the chiefs of the guilds were members of the second courts of justice.81 From each of the court, an appeal could be made successively to the next higher one. The chapter in which these passages occur deals with the affairs of the common people and has nothing to do with the specific laws of srenis. Brhaspati has devoted a separate chapter for the discussion of the sreni laws. The remark that these ordinary courts could deal only with case not concerned with crimes of violent nature further proves our contention that the guilds certainly wielded their authority in the general administration of justice. Besides, two verses of Yajnavalkya and Narada expressly suggest that the guilds were authorised by the king to look into the judicial affairs of their people.82 The term  ‘adhikrtah’ is interpreted by Mitramisra as a person appointed by the king to look into the judicial affairs of the public or of their own organizations.82

Democratic constitution - Among the various functions performed by the guilds was the construction of an assembly hall. It is clear from a verse in Narada that these corporations had chalked out their own rules and regulations and they were approved by the king.84 It is alluded to that a drum was beaten to inform the members to assemble in the corporation hall for the transaction of business.85 References in the various sources indicate that at the time of the proceedings of the guild assembly, every member was accorded the liberty of speech. Any member of the guild who opposed a reasonable remark of the speaker, or who gave no chance to the speaker to express his independent view or spoke something unparliamentary was punished.86

Likewise, we find an element of democracy even in the ordinary regulations of the guilds. Whatever was gained by one member of the corporation belonged to the whole unit. Whether it was obtained six months or one month back, it was divided in due proportion amongst all of them.87 Similarly whatever was obtained or preserved by members of the fellowship or spent on behalf of the society or acquired through the king’s favour, was the common property of all the members of the organization.88

When some person (probably the head of the guild) was deputed for business with a king in the interest of the corporation, whatever he obtained from the king had to be distributed amongst all. If he failed to do so, he was compelled by the king to pay eleven times more than what was given to him.89 The idea behind it was that the honour shown to one person was itself the honour for all. If spokesmen of an association borrowed some money for the purpose of the whole unit, and then misappropriated it or used it for their individual purposes, they had to pay back the whole amount to the association.90 For, it was rule that those who had become regular members of the corporations were equally entitled to property and consequently were liable to the previously incurred debts of the units. A regular member was similarly entitled to the share of other things viz; food, grain etc.91

The rule regarding the punishment of offending chiefs of guilds injected a democratic element into the guild system. Generally, ordinary cases were decided by the guild assemblies of which the heads were prominent members. But in case a dispute between the chiefs and the associations arose, it was the king who decided the case and brought both the parties back to the right path.92 The king was not supposed to tolerate anything which was injurious to the interests of the state. Mixed assemblies, unlawful wearing of arms, mutual attacks amongst themselves, are referred to as acts not to be tolerated by the king.93

Similar were the rules regarding the agreement between the parties. Such an agreement had to be observed by all the parties. He who, though in a position to fulfil the agreement, failed to do so, was punished by confiscation of his entire property and by banishment from the town.94 The heads of srenis in such cases were authorised to expel such persons from the association.95

Functions of Guilds - Besides following their professional occupations, the industrial organizations had to perform various other public utility functions. Discussing the functions of the srenis, Mitramisra states that they constructed assembly halls for their own purpose, built watersheds for the supply of drinking water to travellers, raised temples for common worship, dug pools and maintained gardens for the public at larged. Likewise, sacred buildings which were damaged were repaired by them. The corporations who assisted the helpless and the poor to perform the Samskaras i.e. initiation, sacrifical and cremation ceremonies. If there was famine in the country, they supported the people till it was over. The term ‘kulayanam nirodhah’ according to mitaksara refers to ‘the damming of water courses’ by guilds to help the famine - stricken people.96

Profit and Loss - When the members of any organizations of labourers transacted any business jointly, the profit and the loss was either shared according to the contribution of each member or according to the stipulated agreement.97 ‘Each partner was responsible for what was lost by want of his care, or in consequence of his acting against the instructions of, or without authorization from, all the other co-partners.’98 When the joint property was endangered by fate, robbers or the king, members of the association who exerted to save it were entitled to a tenth part of it.99 Generally whatever loss or diminution occured was supposed to be borne by all the partners in proportion to their respective shares.100 It was an established rule of the industrial organization that to be binding on the rest, and in the case of some doubtful transaction, all the members were entitled to stand as arbitrators and witnesses for one another.101

When the smiths, weavers, carpenters, stone-cutters and leather workers transacted any industrial business jointly, their share in the profit depended upon the nature of their work in art and industry.

According to Brhaspati ;

“The headman in a unit, or workmen jointly building a house or temple, or digging a pool, or making articles or leather were entitled to double the share of the profit.”102

As the success of the joint-stock undertakings rested upon the efficiency of the partners, Brhaspati has laid down certain qualifications for the membership of such bodies. According to him such joint undertakings should not be carried on by prudent men with incompetent or lazy persons or with such as are afflicted by an illness, or are ill-fated or destitute. Only those persons should be made partners in co-operative transactions who are of noble parentage, clever, active, intelligent, familiar with coins, skilled in revenue and expenditure, and are honest and enterprising.103

The efficient members thus selected were expected to be very sincere and honest in their dealings. If they acted otherwise, they were punished. If a partner was found practising deceit in purchasing or selling goods, he had to expiate for it by an oath or ordeal.104 If any partner acted against the wishes of his other partners, or did something against their express instructions thereby injuring the joint property through his negligence, he had to give a compensation to all of them.105

But at the same time, the virtues of a member were not overlooked by the corporation. It has already been said that a member who saved the corporation’s property from danger was entitled to a tenth part of it. When a partner died, his share went to his heirs.106 According to them: “Should any one among the partners die, his sons or other heirs shall take his share. Failing heirs, it shall belong to any other partner who is able to officiate for him. Or, if all are able to officiate for him, they shall take it together.”107

The detailed rules and regulations regarding the membership, agreement, profit and loss etc. concerning the industrial corporations along with others expressly indicate that such bodies had made substantial progress.

The kinds of Industrial and other Organizations

According to the traditional list, the number of guilds was only eighteen. But during this age, owing to the growth of crafts and professions, their number had immensely increased. On the basis of the texts, a gifted historian has compiled a list of such organizations as follows:

I. Musicians (Gandharvika); 1. those, who make public proclamations by striking a gong (chakrika), 2. court-bards (vaitalika), 3. actors (nata), 4. dancers (nartaka), 5. athletes (jhallka), 6. wrestlers (malla) 7. tambourine-players or clappers (panisvarika), 8. clowns (saubhika), 9. tumblers (langhaka), 12. those who speak with two voices (dvistavala), 13. reciters (bhanaka), 14. those, who exhibit tricks with five boys (pancavatuka), 15. singers (gayanaka), 16. dancers of the tandava variety of dance, associated with siva (tandava), 17. comedians (hasyakaraka), 18. performers of the drum, trumpet, tabor, kettledrum, cymbal, flute, the guitar and the lute (tunavapanava-venu-vallak-ekadasi, vina-vadaka), 19. acrobats (gunavarta), 20. those, who guess the feelings of others, (cetayika) 21. courtesans (ganika)

II. Guildsmen: 1. goldsmith (sauvarnika), 2. Shroffs or bankers (hairanyika), 3. Clock-sellers (pravarika), 4. Workers in gems (maniprastaraka), 5. jewellers (prustanika), 6. gem-cutters (manikara), 7. conch-workers (sanikhika), 8. Ivory-carvers (dantakaraka), 9. Perfumers (gandhika), 10. Silk weavers (kosavika), 11. Oilmen (tailika), 12. Dealers in clarified butter in pots (ghrtakundika), 13. Dealers in rum or sugar factors (gaulika or gaudika), 14. vendors of water (varika), 15. Factors of cotton (karpasika), 16. Factors of curds (dadhyika), 17. Bakers (pupika), 18. Makers of dried treacle (khandakaraka), 19. Confectioners (modakakaraka), 20. Dealers in the sweets called kandu (kanduka) or cane-workers (kandaka), 21. Grinders of wheatflour (samitakaraka), 22. Grinders of barley-flour or those who grind fried-grain (saktukaraka), 23. dealers in fruits (phalavanij), 24. Dealers in roots (mulavanij), 25. Pulverisers (curnakutta), 26. Manufacturers of perfumed oils (gandhatailika), 27. Sellers of flour or boiled rice (attavanij), 28. speculators (agrivanij), 29. Drillers (avidhaka), 30. cooks or makers of treacle (audapacaka), 31. Makers of sugar-candies (khandapacaka), 32. dealers in dry ginger (sunthika), 33. Makers of rum (sidhukaraka), 34. wine-bibers (madhukaraka), 35. Sugar-dealers (sarkara-vanij) and such other businessmen (Vyavaharika).

III. Artisans and craftsmen: (silpayatana): 1. blacksmiths (lohakaraka), 2. Braziers (tamrakutta), 3. Goldsmith (suvarnakara), 4. Makers of wooden bowls (taddhukara), 5. Blowers of pipes for keeping alive furnace fires in factories (pradhvapaka or pradhmapaka), 6. Testers of precious metals by rubbing them on touchstones (rosina or rosanya), 7. Tinsmiths (trapukaraka), 8. Makers of lead sheets (sisa-piccatakara), 9. Machine-workers (jantrakaraka or yantrakaraka), 10. Garland-makers (malakara), 11. Vegetable growers (parnika, which makes better reading than the obscure purimakaraka), 12. Potters (kumbhakara), 13. Tanners (carmakara), 14. Oven-makers (kandukara), 15. Weavers of wool (urnavayaka), 16. Makers of mail armour (varuthatantravayaka), 17. Makers of cloth of idols (devata-tantravaya), 18. Dyers (rakta-rajaka), 19. Laundrymen (caildhovaka), 20. Cleaners (rajaka), 21. Embroiderers (sucika), 22. Weavers (tantravaya), 23. Cotton-weavers (tulavaya), 24. Painters (citrakara), 25. Carpenters and image-carvers (vardhakirupakaraka), 26. Carvers (kalapattrika), 27. Basket-makers (pelalaka), 28. Modellers in clay (pustakaraka), 29. Plasterers (pustakarmakaraka), 30. Barbers (napita), 31. hair-dressers or toilet-makers (kalpika), 32. Wood or grass cutters (chedaka), 33. Furnishers or decorators (lepaka), 34. Architects and masons (sthapatisutradha ra), 35. Barn-makers (uptakostha-karaka), 36. Miners or well-diggers (kupakhanaka), 37. Labourers, who carry mud (mrttikavahaka), 38. Labourers, who carry wood (kasthavahaka), 39. Merchants of straw (trnavanij), 40. merchants of barks (valkalavanij), 41. Merchants of grass and shrubs (stambavanij), 42. Merchants of bamboos (vamsavanij), 43. Sailors (navika), 44. Raftsmen (odumpika), 45. Workers, who obtain gold dust by washing off the dirt (suvarnadhovaka), 46. Tricksters (mausthikas) and such other people.108

The whole account reviewed above makes it abundantly clear that the guilds made a great contribution to the social, economic and political development of the country through the corporate spirit inherent in them.