Armenian merchants bridging Europe With Persia

The one valuable item, sought for in Europe, which Iran possessed and which could bring in silver in sufficient quantities was silk, which was produced in the northern provinces, along the Caspian coastline. The trade of this product was done by Turks and Persians to begin with, but during the 17th century the Christian Armenians became increasingly vital in the trade of this merchandise, as middlemen.

Whereas domestic trade was largely in the hands of Persian and Jewish merchants, by late 17th century, almost all foreign trade was controlled by the Armenians. They were even hired by wealthy Persian merchants to travel to Europe when they wanted to create commercial bases there, and the Armenians eventually established themselves in cities like Bursa, Aleppo, Venice, Livorno, Marseilles and Amsterdam. Realizing this, Shah Abbas resettled large numbers of Armenians from the Caucasus to his capital city and provided them with loans. And as the shah realized the importance of doing trade with the Europeans, he assured that the Safavid society was one with religious tolerance. The Christian Armenians thus became a commercial elite in the Safavid society and managed to survive in the tough atmosphere of business being fought over by the British, Dutch, French, Indians and Persians, by always having large capital readily available and by managing to strike harder bargains ensuring cheaper prices than what, for instance, their British rivals ever were able to