Iskander Chua: Sugar, Spice and Everything Nice: A History of the Spice Wars (Singhapur: Malaya, 2010)
The Spice Wars are often given a romantic lens; adventurers, pirates, lovers and fighters, seeking out booty throughout the Indian Ocean and beyond- cutting down those who stood in their way. But the Spice Wars were inherently political in nature, a conflict between old and new instead of an escape from boredom. In fact, the First Spice War was the Karavali Network's reaction to the growth of the Lords of Islamabad.
...Throughout their painstakingly won monopoly, the Karavali Network had aggressively expanded throughout the Indian Ocean- outposts, cities, and ports all fell under their de facto control. In some places, they acted as agents of the government, with minor lords under their pocket. In others, they were simply the best middlemen; the Dutch East India Company (VOC) had established an alliance with them to contain the Portuguese, for example. The Karavali Network was also armed to the teeth- its ships were full to the brim with weapons, and so other Hindustani traders simply could not compete... soon ships bearing the Network's trident were visible from the Aceh to Zanj with all others bowing before them. But the end to the Gurkhani War changed that.
With the Firman-e-Hindiyyah protecting traders' rights, more and more people began to flock to commerce as an escape to destitution. Trade was one of the few options where caste was not a legal barrier, and Muslim merchants were more than happy to work with a cheap labour force. Even pragmatic Hindu bankers saw the value in conscripting untouchable 'runners' to help transport minor transactions throughout the country. Soon, this manpower transformed into an able workforce willing to leave the country; for an Untouchable, losing one's caste was not a real problem. Yet the Karavali Network was unwilling to work with newcomers. Obstinate in tradition, they stuck with traditional practice and refused to deal with lower castes; as a result, several Northern Hindustani firms chose to deal directly with the markets. Critically, Taj Khan Kharanni authorised the formation of the Lords of Islamabad; a new firm consisting of Ram Gopal Taulika, a paan vendor, Virji Vora, an up and coming Surat merchant, and a number of others. Soon, the firm began to deal with the Portuguese upriver on the Hughli, co-opting them as private mercenaries, while undermining the Karavali Network's hold over Hindustani markets.
Through Vora, the Lords of Islamabad established a presence in Gujarat- now they were operating in the two major ports of the Empire, Surat and Kolikata. With a simple policy of buying in, where new members would invest a certain amount as collateral, but sharing in security benefits, serai discounts, and lower restrictions on internal trade. This brought a great amount of followers into the Lords' camp, and by 1615, every major city throughout the Empire had an agent from the Lords operating in it; with its distinct indigo banner with a golden lion emblazoned on it, they came to be known as the Mogul Company.
The Karavali Network was not happy with the rapid rise of the Mogul Company- even less so because the latter began to trade with the Portuguese and the English, whereas the former retained a deal of exclusivity with the Dutch. The Mogul Company also had more agents in major inland centres of production like Agra, while the Karavali Network was confined almost entirely to the coasts. This, combined with the generally better relations the Mogul Company had with smaller firms, led to a bitter rivalry between the Network and the Company: soon, it would lead to war.
While most European powers were tentatively in a state of peace in Europe, throughout the Indian Ocean, it was another story altogether. The Dutch and English, nominally allies, clashed in competition for spices, gems and a host of other goods. Meanwhile, the Portuguese and Spanish also had their eyes set on other areas of Nusantara- Spain had already been expanding heavily into the northern Nusantaran islands, dubbing them the 'Philippines'. A permanent settlement having been established in 1565, the colonies were placed under the control of the Viceroyalty of New Spain in the Americas. From the towns of San Miguel and Manila, the Spanish extended their control over most of the islands in the vicinity, for the most part destroying the states of Hindu and Muslim faiths, with the exception of the south. However, the rise of the Karavali Network partially disrupted Spain's consolidation of their territory. The Muslim sultanates of the South were happy to have a strong patron, no matter their faith. And the Network, offering a big boost in trade, was allowed to establish a presence in the Spanish towns- which would be the downfall of Spain's efforts at Christianising the colony. Those of Hindu faiths found shelter underneath the Network's umbrella, and the town of Dharmapuram in the Sulu Sultanate became a safe haven for them. Once the Lords of Islamabad attempted to send traders to the Philippines, however, Spain quickly hatched a plan to remove the Karavali threat, and immediately approached their enemy's rival.
In Aceh, a region heavily influenced by the Karavali Network, the Sultan rolled with the status quo, with its benefits in trade with Hindustan and China, as well as giving his dominion control over the Malacca Straits. The Network offered him security, economic viability, ease of trade- in return, he offered them mercenaries and strength of arms. For the most part, it was a mutually beneficial relationship- Aceh recovered several ports on the Malayan mainland, while the Network grew to be economically dominant in any new Acehnese conquest. Even the Portuguese were very careful in their dealings with Aceh, fearing physical confrontation distracting them from their own operations against Johor.
Then, in 1615, the Yang di-Pertuan, Alauddin Riayat Shah III, was killed by Acehnese soldiers. His brother, Abdullah Ma'ayat Shah, was quick to signing alliances against Portugal, but more importantly, stemming the growth of Aceh. The Sultan approached the Dutch-allies of the Network- to help minimise the rift between Aceh and Johor. Later, however, opportunity abounded in the arrival of Bengali merchants affiliated with the Lords of Islamabad. The Lords, were, of course, an ally of the Portuguese, offering them trade in a way the Network had denied; but, they were willing to help Johor for a price. The relationship between the Nizamate of Bengal and the Lords of Islamabad was much more direct than that between Mysore and the Karavali Network. The Nizam of Bengal had given the Lords the ability to act as representatives of Bengal outside of the Empire of Hindustan: soon the traders in Johor offered the beleaguered Yang di-Pertuan help in the form of mercenaries- veterans of the Great Gurkhani War- along with requisitioned ships forming Bengal's small but growing navy. Under the terms of this agreement, Malacca would remain in Portuguese hands, but the governor would nominally be recognised as a vassal of Johor, opening up the city to Johor's subjects. However, Johor would have to submit as a vassal of the Nizam of Bengal.