Disbandment of VOC

1799

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Caption Bahasa Indonesia

Logo of the Dutch East India Company (Vereenigde Oost-Indische Compagnie or VOC in Dutch)

Source: Wikimedia Commons

The VOC's monopoly trading power in the Dutch East Indies began to fade in the late 18th century, leading to its disbandment in 1799. One of the factors in the VOC's bankruptcy was corruption. This corruption could be seen in the form of massive smuggling of goods. At least after 1750, the Company experienced a decline in profits from its monopoly of the spice, coffee, and opium trades due to smuggling and even the Governor-General took part in the practice.

After operating for approximately two centuries, in 1799 the VOC was finally dissolved by the Dutch High Government. Corruption was one of the causes of the VOC's bankruptcy and all of the VOC's finances were spent on funding the war and the war-damaged trade routes (Anglo-Dutch). All VOC assets such as harbours, warehouses, administrative offices, and trading regions were taken over by the Dutch High Government.

After the Dutch High Government took over the VOC's position in the Dutch East Indies, there were administrative changes in Semarang; the city was used as the "Headquarters for the Sherriff" for the local region.

Related event:

1 January 1800 - The VOC is officially disbanded, and all territories under the VOC are returned to the Dutch high government.

Following the disbandment of the VOC, a council known as Raad der Aziathische Bezettingen en Etablissementen (Council of Asian Works and Establishments) began to operate in place of the VOC.