The Growth of Intra-Southeast Asian Trade in the First Half of the Nineteenth Century: The Role of Middlemen in Singapore

Abstract

The purpose of this paper is to study the growth of Southeast Asian trade in the first half of the nineteenth century through a focus on intra-regional trade . According to the estimates of this study, the volume of intra-regional trade centred on the British and Dutch colonies grew from 1828 to 1852, with the main focus of trade shifting from Java to Singapore. Catalysing the growth of intra-regional trade was the gradual reduction, due to British diplomatic protests, of the Dutch protectionist tariffs imposed on imports of British cotton goods from Singapore until the late 1830s. The growth of trade was also facilitated by the rise of Chinese middlemen in Singapore. These Chinese middlemen , who purchased cotton goods from European merchants on credit, formed long-term relationships with Chinese traders through recurring transactions, while at the same time engaging in on the spot market transactions with local Malay and Bugis traders . The resulting multilateral trade relationships facilitated the distribution of European cotton goods throughout the region, thereby further stimulating Singapore’s intra-regional trade .

This chapter is originally published in Shakai Keizai Shigaku (Socio-Economic History) Vol. 78, No. 3 (2012) pp. 421–443 as a Japanese-language article entitled “19 seiki zenhan ni okeru Tōnan Asia ikinai koueki no seichō: Singapore nakagai syōnin no yakuwari”.