a major export item. The farmers occupied one of the highest positions in society. These were the Vellalar community who formed the nobility or the landed aristocracy of the country and who were economically a powerful group. Agriculture was the principal occupation for many people. Besides the landowners, there were others dependent on agriculture. The Vellalar community was the dominant secular aristocratic caste under the Chola rulers, providing the courtiers, most of the army officers, the lower ranks of the bureaucracy and the upper layer of the peasantry. In almost all villages the distinction between persons paying the land-tax (iraikudigal) and those who did not was clearly established. There was a class of hired day-labourers who assisted in agricultural operations on the estates of other people and received a daily wage. All cultivable land was held in one of the three broad classes of tenure which can be distinguished as peasant proprietorship called vellan-vagai, service tenure and eleemosynary tenure resulting from charitable gifts. The vellan-vagai was the ordinary ryotwari village of modern times, having direct relations with the government and paying a land-tax liable to revision from time to time. The vellan-vagai villages fell into two broad classes- one directly remitting a variable annual revenue to the state and the other paying dues of a more or less fixed character to the public institutions like temples to which they were assigned. The prosperity of an agricultural country depends to a large extent on the facilities provided for irrigation. Apart from sinking wells and excavating tanks, the Chola rulers threw mighty stone dams across the Kaveri and other rivers, and cut out channels to distribute water over large tracts of land. Rajendra Chola I dug near his capital an artificial lake, which was filled with water from the Kolerun and the Vellar rivers. There existed a brisk internal trade in several articles carried on by the organised mercantile corporations in various parts of the country. The metal industries and the jewellers art had reached a high degree of excellence. The manufacture of sea-salt was carried on under government supervision and control. Trade was carried on by merchants organised in guilds. The guilds described sometimes by the terms nanadesis were a powerful autonomous corporation of merchants which visited different countries in the course of their trade. They had their own mercenary army for the protection of their merchandise. There were also local