Emergence of Capitalism in the Ottoman Balkans

The Ottoman Empire as a sui generis empire between the West and the East, not complying to either but carrying influences from both, has been an invaluable asset for the social scientists to understand historical developmentsIn that sense, the position of the Empire in the long 19th Century amidst modernisation/ Westernisation attempts and within the global capitalist system has been a highly debated topic. Ottoman modernisation attempts began in the second half of the 18th Century; nevertheless, it has become the official agenda of the Empire with the Tanzimat (lit. Reorganisation) Era starting with 1839. The ruling classes of the Empire have seen the West Europe as the model for the direction of the Empire while, on the other hand, making fundamental reforms in such a multifaceted social formation has not always been successful. Nevertheless, the position of the Empire in the global capitalism also played a role in the direction of the Empire’s change throughout the 19th Century. This talk discusses Ottoman economic development in this era by unravelling the story of capitalist industrial development in the Mount Vermion area, that is in the countryside of multicultural port city of Salonica. This is a very revealing story of a group of emerging capitalists belonging to the Greek Orthodox minority who managed to turn the Mount Vermion area, which did not even have proper railway connection, into one of the most significant textile industry regions of the Empire. As such this is not only the story of the capitalists of the region but also the story of modernisation and economic development in the Ottoman Empire during the long 19th Century.