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The cause was the Seven Years' War between Britain and France, or more technically the concurrent Third Carnatic War(1757-1763) between the two countries and their respective allies in India. The British forces were almost entirely victorious.

Although the Treaty of Paris restored the French access to Pondicherry and Chandernagore, the French trading companies were not allowed to run them. This ended any real French influence on the subcontinent.

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