British South Africa Company

The British South Africa Company was created in 1889 to help control and develop parts of Africa. It started when two smaller groups joined together, hoping to find riches in a place called Mashonaland. The company was led by Cecil Rhodes and other important people, and it had special permission from the British government to govern some lands.

Rhodes wanted the company to bring British influence across Africa, from the Cape to Cairo. But the company mostly focused on areas south of the Zambezi River, like Mashonaland and the Transvaal. They thought they would find lots of gold there to fund other projects, but this didn’t happen as expected.

Even though they couldn’t find as much wealth as they hoped, the company still played an important role. They helped build railways and set up governments in places like Southern Rhodesia and Northern Rhodesia. Over time, the company sold some of its lands and rights, but it remained influential in the region for many years.

Corporate history

The British South Africa Company (BSAC) began in 1889 when two groups joined together. Cecil Rhodes led one group, and Lord Gifford and George Cawston led the other. They wanted to profit from minerals in a place called Mashonaland. The British government gave the company a special permission called a Royal Charter on December 20, 1889. This permission lasted for 25 years and was later extended to 1924.

The company had many leaders, including the Duke of Abercorn, Cecil Rhodes, and a rich man named Alfred Beit. Sometimes the leaders disagreed. One big disagreement happened during an event called the Jameson Raid. After this, Rhodes lost some of his power but stayed involved with the company.

After Rhodes died in 1902, the company tried to make money but had many problems. It wasn’t making profits and had to borrow a lot of money. Later, the company made a lot of money from minerals, especially copper, in places like Northern Rhodesia (now Zambia). This made the company very wealthy until it lost its rights just before Zambia became independent in 1964.

Main article: Jameson Raid

Territorial acquisitions

Rhodesia

Main article: Company rule in Rhodesia

The British South Africa Company began by making agreements with local leaders to gain land. They worked with leaders from groups like the Ndebele, but sometimes did not follow the agreements exactly. The company told the British government that they needed to protect the area because other groups planned to settle there. This led to the British government allowing the company to control parts of the land, including areas called Mashonaland and Matabeleland.

The company also worked with leaders from Barotseland, promising protection and support in return for rights to minerals. Over time, they made more agreements that gave the company more control over the land and its people.

Other areas

The company also tried to get control of other areas, like Katanga and Bechuanaland, but sometimes faced resistance or had to share control with other groups. They worked with local leaders to make agreements, though sometimes these agreements were not fully understood by everyone involved.

Dispute with Portugal

In the past, Portugal controlled some areas along the coast of Mozambique but did not have strong control over the interior lands. The British South Africa Company and Portugal both wanted control of these areas. This led to disagreements and treaties to set borders between their lands.

Fixing boundaries

To settle where each country’s lands would be, the British and Portuguese governments made treaties. These treaties set the borders between the lands controlled by the British South Africa Company and Portuguese territories like Mozambique and Angola.

Early administration

The company set up leaders to manage the lands they controlled. These leaders had big responsibilities, like keeping order and making decisions for the people. At first, there were not many staff to help, so the government was very basic. Over time, they created more rules and ways to manage the lands better.

Land policies

After European settlers entered Southern Rhodesia, the British South Africa Company quickly arranged land for them. The company took control of large areas, giving them to settlers. This made it hard for later settlers to find affordable land.

In both Southern and Northern Rhodesia, the company claimed ownership of land not already owned by others. This led to disputes, especially about land for the local African populations. Over time, reserves were set aside for African communities, but these areas were often too small and poorly managed. The land issues were one reason for tensions and rebellions in the late 1800s. Even after legal decisions, the company kept control of much land until it handed over administration to local governments in the 1920s.

Railways

The British South Africa Company built the railway system in Rhodesia until 1911. The main goal was to create a railway from the Cape to Cairo, but this plan changed when little gold was found. The company built railways to connect important places and mines, especially after discovering coal in Wankie.

The railways grew from Kimberley to places like Bulawayo and Salisbury. Later, lines reached important mining areas like Broken Hill and Katanga. Even after new routes opened, many goods still used the Rhodesian railways. Settlers often disagreed with the company about railway costs and control, leading to changes in how the railways were managed later on.

Commercial activities

The British South Africa Company was allowed to trade with African leaders, start banks, own land, and create a police force called the British South Africa Police. In return, the company promised to develop the areas it controlled, respect local laws, allow free trade, and respect all religions. However, the leaders of the company and the white settlers focused on finding minerals and getting more land from African peoples. They set up their own governments and made laws that did not always respect African traditions.

The company claimed rights to minerals in Northern and Southern Rhodesia. At first, they did not mine directly but received money from mining companies and owned shares in them. Much of their income came from selling shares and speculation rather than actual mining. Later, the company sold some of its mineral rights to the government of Southern Rhodesia but kept others, especially in Northern Rhodesia. They also had interests in railways, real estate, and farming across southern Africa.

The company faced disputes over its mineral rights, especially in the Copperbelt area of Northern Rhodesia. Some leaders argued that the company did not truly own these rights. Eventually, the company agreed to give up its mineral rights in exchange for payment before Zambia became independent in 1964.

Security

The British South Africa Company was allowed to create a police force to keep order in the lands it controlled. Though it wasn’t allowed to make an army, the company formed a paramilitary group in 1889. This group helped defeat and replace the Matabele kingdom and also faced resistance from the Shona people north of the Limpopo river during the First and Second Matabele Wars. This was the first time the British used the Maxim gun in battle.

The company’s police force was first called the British South Africa Company’s Police and later became the British South Africa Police. It started with 100 men but grew larger during the wars. After the Jameson Raid, the police force came under British control and was led by a British officer. It had different divisions to cover various areas, including Matabeleland, Mashonaland, North Zambesia, and Bechuanaland. Over time, the force included more African officers. Volunteer groups formed during the Matabele wars were disbanded, but some remained and later became part of the Rhodesian Territorial Force after World War I.

In 1896, Queen Victoria allowed the company to give a medal to troops who fought in the First Matabele War. Another medal was issued in 1897 for the Second Matabele War. The government of Southern Rhodesia later re-issued this medal in 1927 to honor the Pioneer Column of 1890.

Politics

Legislature and administration

In 1898, a group was formed to help leaders make decisions for Southern Rhodesia. At first, only wealthy white people who owned parts of the British South Africa Company could vote. As more people moved there, the company let more people vote. By 1914, most members of this group were chosen by voters.

In Northern Rhodesia, there was a smaller group to give advice, but no one could vote for leaders until after 1924. Leaders in both places had to check with a higher official from South Africa before making important decisions.

Self-government

In 1917, a group formed to ask for more control over their own government. In 1922, people voted on whether to join South Africa or govern themselves. Most chose to govern themselves. In 1923, Southern Rhodesia became self-governing, and Northern Rhodesia became a protectorate.

The end of BSAC administration

In 1923, an agreement ended the British South Africa Company's control. From 1924, Northern Rhodesia was governed by a new leader. The company gave up control of lands, which were now managed for the people living there.

Merger

Main article: Charter International

In 1964, the British South Africa Company gave its mineral rights to the government of Zambia. The next year, its business joined with two other companies to form Charter Consolidated Ltd. A big mining company called Anglo American Corporation owned a part of this new business. Later, in the 1980s, the company sold its mining work outside Britain to focus on engineering in Britain.

In 1993, Charter Consolidated Ltd changed its name to Charter plc, and then in 2008 to Charter Limited. The British South Africa Company still exists today, but it no longer does any trading. It is registered in England and Wales under Company Number ZC000011.

Gazettes published by the company

• British South Africa Company Government Gazette
• North-Eastern Rhodesia Gazette
• Northern Rhodesia Government Gazette