Persian Empire 1845

Chapter 17 New Factors
The Governor of Gilan was the first to relinquish power; Naserdin knew him as a cousin. Although a good man, he lacked ability and was constantly manipulated by the local gentry.

Now that the transfer order has been issued, he has quickly handed over the work, a speed that surprised even Nasserdin.

"They really gave it to you without saying a word?"

"It's true, the Governor gave it to me directly."

Hearing his subordinate's words, Nasserdin was puzzled as to what was wrong with Gilan; logically, he should have handed it over unwillingly. But he still began the next phase of the operation, determined to dig a tunnel even if it meant facing mountains.

The previous railway plan was shelved due to disagreements, but once this trend emerged, it became difficult to suppress. Afghani and others traveled around appealing for funds to build the railway, but most people didn't know what it was and were therefore observing. Moreover, the required funds were beyond their ability to raise on their own, but suddenly a group of people decided to invest in the project and even planned to build a factory in Tabriz.

This group of people were Persian merchants who had traveled to the Ottoman Empire to do business. They had made a considerable fortune in places like Trabisun and Istanbul, but because they had not signed treaties like those with Britain and France, they were repeatedly subjected to heavy taxes by the Ottomans and faced hostility from the locals. Having heard that Tabriz in Persia was improving, they decided to return home and invest in its development.

More than 100 merchants returned from Trabzon, mostly from the silk, textile, food, and transportation industries. They brought back some machinery and considerable capital from the Swiss and British in the Ottoman Empire. They were gathered in a guild in Tabriz, discussing their next move.

“The situation in Tabriz has indeed improved a lot in recent years, even better than in Trabzon.”

After inspecting Tabriz, raw silk merchant Mahmoud concluded that the business environment there had greatly improved. Although still subject to pressure from countries like Russia, it was not impossible for the region to develop.

“Indeed, I feel it too,” said the textile merchant, Gemar. He had expanded his business to Istanbul and also traded for the Circassians. If the governor's office could support them, they could certainly create a continuous stream of wealth.

"We must hurry and write to the governor to ask for his support for our cause. Moreover, with the oppression from the Ottomans and other countries, our situation is already in dire straits. Only by getting all Persians involved in this wave can this country have any hope."

Food merchant Ahmed proposed a united front, which garnered widespread approval. They then quickly drafted a proposal, hoping the governor would continue to support local industry and commerce and offer their own suggestions tailored to the local situation.

At the same time, they decided to form a chamber of commerce to encourage the development of new industries and businesses. They also allocated 20 tomans to establish worker training institutions and publish newsletters to help more people invest in building factories.

The guilds of the Qajar dynasty were the basic economic and social organizations in the cities, varying in size and status from one guild to another. Each guild was divided into several workshops, each composed of artisans called Ustads, laborers called Khalifas, and apprentices called Shagilds, forming a strict hierarchy. Many workshops were family-run, with artisans, laborers, and apprentices often coming from the same family. Their newly formed merchant guilds, unlike the guilds of the past, represented a significant step towards reform.

Since the Tabriz Bank was the only modern financial institution in the area, most of their money was kept there. The sudden influx of nearly a million tomans surprised Lawrence, allowing him to increase lending.

The establishment of banks had a significant negative impact on usury, especially in cities. Some gangsters tried to teach them a lesson, but the governor's army wiped them out, and public order improved. If it weren't for the lack of agricultural loans, even the landowners would have been devastated.

The gold and silver coins adopted by the bank were gradually accepted by the market. Although the people still called this currency "Toman," the bank had given it a new name: Rial. Through the bank, the Rial's market share gradually increased. The local currency was becoming more standardized. This created conditions for industrial development.

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After numerous disputes, Muhammad and Mustafa signed a revised treaty, stipulating that Persian merchants must abide by local Ottoman laws, while the Ottoman government must protect Persian pilgrims, and merchants must pay taxes in advance before engaging in trade.

To be honest, Muhammad was genuinely angry when he signed this. But his anger triggered another gout attack. Damn Ottoman, one day he'll pay the price.

“Shah, what should we do now?” Saeed asked Muhammad, and the Persian king took a breath and replied.

"Now, it's impossible to pretend to be blind and deaf anymore. I no longer have the strength to restore the glory of the country. Everything depends on Naserdin."

What Muhammad needs to do now is to do everything in his power to preserve Nasser al-Din's position, and it would be best if his ambitious brothers and nephews were all gone.

"Shah, the British Minister Wallace has arrived." Upon hearing the news of the British ambassador's arrival, Muhammad quickly composed himself and ordered someone to bring him in.

"I have met the King of Persia. I hope my arrival will not be of any trouble to you."

"Not at all, Minister. Our two countries have had contact since Abbas, which has been more than 200 years ago. We hope to continue to coexist peacefully and increase mutual understanding."

Muhammad invited the British envoy because he knew only Britain could secure his son's position; their previous visit to Tabriz had made it clear they were prepared to support Nasser al-Din. Even if they didn't directly support him, Britain wouldn't allow Russia to annex Persia. Ultimately, they would still support him.

"Your Excellency, the dispute between our country and Oman over the port of Bandar Abbas has been going on for a long time, but there is still no conclusion. We hope that your country can mediate between us."

Asking Britain for favors right off the bat wouldn't be possible without some kind of price. So Muhammad continued, "Of course, my country is willing to engage in further negotiations with your nation and will also order 200 million tons of goods. We will also discuss the situation in Afghanistan. Thinking back to that war, I regret it; it should never have happened. It was a tragedy."

Seeing Shah shed tears, Wallace quickly comforted him, "Your Majesty, there is no need to be so sad. Although this tragedy has caused some setbacks in the relationship between our two countries, it is over now. What our two countries need to do now is look forward. Of course, since your country has such great hope for peace, I will do my best to fulfill that hope."

"In that case, I'll trouble you."

(End of this chapter)