Answer:
Success of the Portuguese and the highly profitable trade attracted the British to this trade. By a Royal Charter granted by Queen Elizabeth I of Britain on 31st December 1600, the British East India company was established. This granted the Company the sole right to trade with the east. This meant that no other trading group in England could compete with the East India Company or challenge it in any way. With this Charter, the Company could venture across the oceans, looking for new lands from where it could buy goods at cheap rates and carry them back to Europe to sell at higher prices. The Company did not have to face competition from other British trading companies. The Company soon started its activities.
Sir Thomas Roe obtained the right to trade from the Mughal ruler Jahangir. Surat became the first British settlement on the west coast. Soon the British factories (teading centres) were established on the east and west coasts. The first British factory was set up on the banks of the River Hugli in 1651.