The British South Africa Company in Northern Rhodesia 1890-1924

Abstract

On 24 October, 1964, the British South Africa Company left Zambia. The Financial Times carried a full-page advertisement by BSAC: “Northern Rhodesia Now To Be Zambia”. This study attempts to understand the full historical significance of the BSAC in the general history of Southern Africa. An inquiry into the sequence as to how the BSAC acquired, enjoyed, and finally relinquished its share in mineral wealth of Zambia throws light on various aspects of this country's history during the whole colonial period.
The significance of the BSAC for Northern Rhodesia began with the company's possession of mineral rights. The acquisition and defence of its rights caused the BSAC to become involved in the complex political and economic mechanism of colonial rule. The BSAC was empowered under the Royal Charter of 29 October, 1889, to expand the British Empire and to exploit colonial resources. After the death of Cecil J. Rhodes, the London Board of the BSAC decided to make the company into a vital commercial enterprise. So long as the BSAC administered the territory, the burdens of heavy administrative responsibilities and the finance of the railways by debenture issues guaranteed by BSAC proved a great strain on the company's resources. It sought to maintain a favourable managerial environment which might bring in commercial revenue in order to deter troubles inside the territory and interference from outside. The BSAC saw the territory as a black labour reserve with European population minimally sufficient to operate the mines. The first requirement was that the African population of Northern Rhodesia should remain peaceful and cooperative. The BSAC from early times relied on collaborative groups among the African people.
The solution which the BSAC came to favour for its political status in Northern Rhodesia was joint administration with Southern Rhodesia, followed by the entry of both into the Union of South Africa. The settlers of Southern and Northern Rhodesia opposed the company's policy. The BSAC's final recourse in such circumstances was negotiated settlement with the British Government. In consequence, Southern Rhodesia proceeded to responsible government, the BSAC was relieved by the Colonial Office of direct responsibility for the administration of Northern Rhodesia and could concentrate on preserving its commercial assets intact. The retension by the company of the mineral rights under the terms of the 1923 settlement and the development of the copper industry gave the “mineral right question” a prominent place in the political and economic history of Northern Rhodesia.