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After establishing political power in India, the East India Company tried to acquire a monopoly right of cotton textile and silk goods trade. They take a series of steps to achive this. First, they established their management and a direct control over the weavers by appointing their paid servants called gomasthas. Gomasthas supervised weavers, examined the quality of goods and ensured regular supplies.

Second, the Company prevented weavers from dealing with their buyers by giving them 'advances' against purchase orders. Thus, the weavers after taking loans could not sell their cloth to any other trader and had to work under the Company's gomasthas.