The Royal Niger Company Basic 5 Nigerian History Lesson Note

LESSON 4: THE FOUNDER OF THE ROYAL NIGER COMPANY

Sir George Taubman Goldie (1846-1925)

Background:

• Born in England in 1846
• Full name: George Dashwood Taubman Goldie
• Educated at the Royal Military Academy
• Served as a British Army officer

Early Career:

• Came to West Africa in the 1870s
• Interested in trade opportunities along Niger River
• Observed French expansion in West Africa
• Realized the need for British unity in Niger trade

Formation of the Company:

• 1879: United several British trading companies
• Created the United African Company
• 1882: Renamed it the National African Company
• 1886: Received Royal Charter and became Royal Niger Company

Goldie’s Vision:

• Unite British traders to compete with French
• Control Niger River trade routes
• Establish British political influence in the region
• Create a profitable commercial empire

His Strategies:

• Aggressive competition with French companies
• Treaty-making with local rulers
• Undercutting French prices to drive them out
• Building strong relationships with African traders

Personal Characteristics:

• Determined and ambitious
• Good at making business deals
• Understood African politics
• Believed in British imperial expansion

LESSON 5: ACTIVITIES OF THE BRITISH ROYAL NIGER COMPANY

POLITICAL ACTIVITIES:

1. Treaty-Making:

• Signed over 400 treaties with local rulers
• Treaties gave the company exclusive trading rights
• Established British “protection” over vast areas
• Created basis for later British government control

2. Administration:

• Established courts to settle disputes
• Created police force to maintain order
• Collected taxes from traders and communities
• Appointed agents to represent company interests

3. Military Operations:

• Formed the Royal Niger Company Constabulary
• Fought wars against resistant communities
• Protected company property and personnel
• Helped establish British authority

ECONOMIC ACTIVITIES:

1. Trade Monopoly:

• Controlled trade along Niger and Benue rivers
• Imported manufactured goods from Britain
• Exported palm oil, ivory, and other products
• Set prices for both imports and exports

2. Transportation:

• Operated steamships on Niger River
• Built trading posts along the rivers
• Controlled movement of goods and people
• Charged fees for use of river routes

3. Currency and Banking:

• Introduced British currency in some areas
• Provided credit facilities for local traders
• Controlled exchange rates
• Gradually replaced local currencies

SOCIAL ACTIVITIES:

1. Education:

• Supported some missionary schools
• Trained local clerks and interpreters
• Introduced English language
• Provided technical training for some Nigerians

2. Healthcare:

• Established some medical facilities
• Provided basic healthcare for employees
• Introduced Western medicine
• Fought some tropical diseases

3. Infrastructure:

• Built wharves and warehouses
• Constructed some roads and bridges
• Established telegraph communication
• Improved river navigation

RELIGIOUS ACTIVITIES:

• Allowed Christian missionaries to operate
• Sometimes supported missionary work
• Did not directly oppose traditional religions
• Used religious connections for political influence

LESSON 6: REVOCATION OF THE ROYAL NIGER COMPANY CHARTER

Date of Revocation: 31st December, 1899

REASONS FOR REVOCATION:

1. INTERNATIONAL PRESSURE:

• French expansion in West Africa threatened British interests
• German presence in northern Nigeria
• Need for stronger government control to compete with other European powers
• Company couldn’t handle international diplomatic issues

2. ADMINISTRATIVE INADEQUACY:

• Company focused more on profits than good governance
• Inadequate administration over vast territories
• Complaints from local people about company’s harsh treatment
• Inability to maintain law and order effectively

3. MILITARY WEAKNESSES:

• Company’s small army couldn’t control all territories
• Faced strong resistance from some communities
• Needed government military support for major campaigns
• French military superiority in some areas

4. ECONOMIC LIMITATIONS:

• Company’s resources were insufficient for development
• Limited infrastructure development
• High cost of administration
• Declining profits from trade

5. POLITICAL REASONS:

• British government wanted direct control
• Company’s charter limited government’s flexibility
• Need to implement unified policy across Nigeria
• Preparation for eventual unification of Nigeria

6. HUMANITARIAN CONCERNS:

• Reports of harsh treatment of local people
• Excessive taxation by the company
• Unfair trading practices
• Lack of development projects for local benefit

THE TRANSFER PROCESS:

What Happened:

• British government paid £865,000 to the company
• Government took over all political powers
• Company retained some trading rights
• Sir Frederick Lugard became High Commissioner

Immediate Changes:

• Formation of Northern Nigeria Protectorate
• Direct British government administration
• Larger military force (West Africa Frontier Force)
• New administrative system

Long-term Impact:

• Led to complete British control of Nigeria
• Prepared ground for 1914 amalgamation
• End of company rule in Nigeria
• Beginning of formal colonial government

SUMMARY AND REVIEW

Key Points to Remember:

1. First British Occupation: Lagos (1851-1861) was the first place British occupied in Nigeria 
2. Three Phases of Occupation: 
   1. Coastal occupation (1851-1885)
   2. Interior penetration (1885-1900)
   3. Military conquest (1900-1914)
3. Ways of Occupation: Treaty-making, economic penetration, military conquest, diplomatic maneuvering, and administrative control 
4. Royal Niger Company Founder: Sir George Taubman Goldie established the company to unite British traders and compete with French 
5. Company Activities: Political administration, economic control, social services, and religious tolerance 
6. Charter Revocation: Ended on 31st December 1899 due to international pressure, administrative inadequacy, military weakness, economic limitations, and political needs 

EVALUATION QUESTIONS

Week 4 Questions:

1. What was the first place the British occupied in Nigeria?
2. In what year was Lagos formally annexed by the British?
3. Name the three phases of British occupation of Nigeria.
4. List four ways the British used to occupy Nigeria.
5. What was the period of coastal occupation?
6. Which phase involved the use of the Royal Niger Company?

Week 5 Questions:

1. Who was the founder of the Royal Niger Company?
2. In what year did the Royal Niger Company receive its charter?
3. Name four activities of the Royal Niger Company.
4. When was the Royal Niger Company’s charter revoked?
5. Give three reasons why the charter was revoked.
6. How much did the British government pay to take over from the company?

Essay Questions:

1. Discuss the three phases of British occupation of Nigeria.
2. Explain five ways the British used to occupy Nigeria.
3. Analyze the activities of the Royal Niger Company in Nigeria.
4. Examine the reasons why the Royal Niger Company’s charter was revoked in 1899.