The Dutch Vereenigde Oost-Indische Compagnie, also known as the Dutch East India Company or United East India Company, is a trading firm that was established in the Dutch Republic (modern-day Netherlands) in 1602 to safeguard that state’s trade in the Indian Ocean and to support the Dutch war of independence from Spain. As a tool of the strong Dutch economic empire in the East Indies, the firm flourished during the majority of the 17th century (present-day Indonesia). In 1799, it was disbanded.
The company received a trade monopoly from the Dutch government in the waters between the Straits of Magellan and the Cape of Good Hope at the southern tip of Africa. This included the right to negotiate treaties with local princes, construct forts, maintain armed forces, and carry out administrative duties through officials sworn to serve the Dutch government. The company beat the British navy and generally drove out the Portuguese in the East Indies under the leadership of tough governors general, most notably Jan Pieterszoon Coen (1618–23) and Anthony van Diemen (1636–45).
The corporation gave Jakarta (then known as Jacatra Batavia) a new name in 1619 and used it as a base to conquer Java and the surrounding islands. The company’s might as a commercial and maritime power had diminished by the late 17th century, and it was increasingly involved in Javan politics. The corporation had evolved by the 18th century from a for-profit shipping concern to a loose territorial structure with a keen interest in the agricultural products of the Indonesian archipelago. The organization had major debt problems and corruption around the end of the 18th century. The Dutch government ultimately canceled the company’s charter, which also seized its assets and debts in 1799.
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