How the British Took Over the Ceylon Cinnamon Trade: Empire, Strategy, and Spice
When the British arrived in Sri Lanka (then Ceylon) in the late 18th century, they didn’t just inherit a tropical island—they acquired one of the most prized commodities in the world: Ceylon cinnamon. This fragrant spice, once reserved for royalty and revered in temples. Under the British rule, cinnamon trade became institutionalized, industrialized, and deeply embedded in the machinery of empire.
CEYLON CINNAMON HISTORY & HERITAGE
8/3/20252 min read
The British involvement in the Ceylon cinnamon trade began in 1796 when they took control of Sri Lanka (then Ceylon) from the Dutch during the Napoleonic Wars. They inherited the Dutch-established cinnamon monopoly and plantation system, continuing to cultivate cinnamon as a key export commodity.
Unlike the Portuguese who exploited and the Dutch who monopolized, the British introduced systematic governance over the cinnamon industry:
Key points about British involvement:
Colonial Control and Infrastructure: The British established tighter military control over the island, expanded road networks, and developed infrastructure such as railways and ports (notably Colombo), which facilitated plantation agriculture and cinnamon export.
Cinnamon Department: The British established an official department to oversee cinnamon cultivation and trade. Native peelers (called “challia”) were forced into labor under colonial supervision.
Land and Labor Reforms: They extended cultivation beyond the coast into inland plantations, often displacing villagers and turning cinnamon harvesting into a state-run enterprise.
Economic Policies and Export Taxes: Initially, the British continued to maintain control over cinnamon cultivation. However, in the 1830s, the British abolished the strict cinnamon monopoly. They imposed an export tax (about three shillings per pound). Revenue from cinnamon exports was funneled into the colonial treasury, making it a pillar of British economic policy in Ceylon, which made Ceylon cinnamon less competitive on world markets and hastened the decline of cinnamon relative to cheaper alternatives like cassia cinnamon.
Shift in Agricultural Focus: During British rule, coffee and tea plantations became more profitable and received more attention, resulting in cinnamon losing its former dominant position as a primary export.
Legacy and Global Supply: Although cinnamon production declined in competitiveness due to export taxes and market pressures, Sri Lanka under British rule remained a significant supplier of "true cinnamon" globally due to its unique quality and heritage.
In summary, the British continued the cinnamon trade system established by the Dutch but introduced export taxes and shifted agricultural priorities, which diminished cinnamon's prominence but retained Sri Lanka's status as the leading source of premium Ceylon cinnamon worldwide due to the quality. These insights are supported by historical overviews including the role of infrastructure development by the British, the imposition and impact of export duties, and the broader colonial economic context in Sri Lanka.
