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Who were the country traders involved in the British opium trade?
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opium trade
The clipper ship Le-Rye-Moon, built for the opium trade, 19th-century wood engraving from the Illustrated London News.
In the context of the British opium trade with China, "country traders" were private merchants licensed by the British East India Company to conduct trade between India and China.12
Because the East India Company did not transport the opium itself—partly due to the Chinese ban on the drug—it farmed the trade out to these private individuals. The process functioned as follows:1
- Licensing and Auction: The East India Company held a monopoly on opium cultivation in India and sold the drug at auction to these private traders.13
- Transportation and Smuggling: The country traders transported the opium from India to the Chinese coast, where they sold it to smugglers.1
- Financial Role: The gold and silver acquired by the traders from these illicit sales were turned over to the East India Company. The company then used these funds to purchase Chinese goods, such as tea, for export to Europe.13
Following the revocation of the East India Company’s monopoly in 1834, an influx of private traders continued to operate in China, increasingly focusing on the illegal importation of opium.23