parmanant sattlement in 1793 in bengal …

The British introduced a new system of revenue collection in Bengal. It was called the Permanent Settlement.
It was introduced by Lord Charles Cornwallis in 1793. Under this system, the East India Company had fixed the revenue that each zamindar had to pay. If any zamindar failed to make the payment of the revenue in time, his estates were auctioned to recover the due revenue.
The ideas behind the system. By introducing the Permanent Settlement, the British officials wanted to resolve the problems that they faced. They were aware that the rural economy of Bengal was in crisis because of the following factors:
(i) There was the recurrence of many famines.
(ii) There was a considerable decline in the agricultural production.
Regular flow of revenue : The need of hour. The British officials realized the need to enhance revenue resources. This could be done by encouraging investment in agriculture and trade. So they permanently fixed the rates revenue to ensure a regular flow of revenue.