Catherine died, and after much manoeuvring the young emperor Paul I signed a statute for the creation of the Russian-American Company. The documents were drafted by Gavriil Derzhavin, the president of the Collegium of Commerce, who is better remembered as a powerful poet. Rezanov was a student of Derzhavin’s and had served in his office. The collaboration between Derzhavin, Shelikhov and Rezanov resulted in the most ambitious global project ever known to the Russian Empire. The Russian-American Company obtained a monopoly on a huge territory to the east of Siberia and to the north of Japan, including Alaska. Rezanov’s plan encompassed the colonisation of these lands, their settlement by peasants and Cossacks, the building of ports, wharves and towns, the extraction of minerals and furs, and trade across two oceans. He intended the Russian-American Company to expand south as far as California and Sakhalin and planned a naval base at the estuary of the Amur. If his plans had been accomplished, the Pacific Ocean would have become a lake within the Russian Empire. In the meantime, Russian roads, bad as they were, ran out at Irkutsk, in the centre of Siberia. The winter route from there to the Pacific coast took seven months, and all the time in the world would not suffice to make the route possible in summer. To provision its colony in Alaska, the empire sent ships from Odessa round Africa: this journey across three oceans turned out to be quicker, cheaper and safer than the overland route through Russian territory. In 1805 a
The establishment of the Russian-American Company closed a large circle in which the plans of world empires were codified according to the spirit of corporate capitalism. The Muscovy Company, which had been established by Sebastian Cabot and John Dee in 1533, was one of the first joint stock companies founded for long-distance trade (hemp and timber); then came the English East India Company (tea and opium), the Dutch East India Company (tea and spices), the Hudson Bay Company (fur), and a number of Prussian, Danish and even Latvian projects. The Russian-American Company was another institution of resource-oriented expansion based on a state–private partnership. Triangular trade in the Atlantic was bringing unheard-of wealth to the merchants and state treasuries. The Russian-American Company would create an equally massive trade in the Pacific. American-manufactured goods would be traded for Alaskan fur, fur bartered for Chinese tea, and the tea sold in the Russian Empire and the Americas.
With credit from the tsar, the Russian-American Company bought two old English frigates and hired a British crew. Rezanov was appointed the expedition’s commander and the tsar’s representative in Russian America. The captain was Ivan Krusenstern, and the rivalry between these two powerful personalities started immediately. 22 When the ships reached Russian America, the expedition’s doctor, Georg Langsdorf, was horrified: ‘The Russians kill everything that moves, for the sake of an instant profit. They don’t realize that they are permanently depriving themselves of a potential source of wealth.’ Steller’s sea cow, a helpless source of meat, became extinct. Seals had no fear of people, who beat them to death with sticks. More than a million seals were killed by the company, and their rotting carcasses and skeletons littered the shoreline. The more wary, but much more valuable sea otters were killed in their thousands. In essence, this colony was a trading post which bartered fur with the Aleutians, who were able to hunt sea otters using their traditional kayaks and javelins. To motivate the Aleutians, the company banned them from their traditional fishing. They were made to buy dried fish from the company; this put them in debt, which they had to work to pay off. Russian ships very rarely took supplies on board, and only trade with American ships saved the crew from starvation. During the whole century that this Russian colony in America existed, the authorities never set up a court or built a prison. The administration used corporal punishment or exiled uncooperative natives to remote islands. Epidemics of unknown illnesses broke out among the Aleutians. Their population dwindled almost as fast as that of the sea otters: in 1805 there were ten times fewer Aleutians on Kodiak than in 1791. But monks opened a church school for the natives.