PERIOD IX

[Here] is set forth what occurred in regard to the commerce of

Philipinas from the year 1730 until that of 1733, in consequence

of the practice of the ordinance of the year 1726, with occasion

of the complaint made by the merchants of Andalucia.

128-162. [In July, 1729, the consulate and merchants of Cadiz sent to

the king a memorial protesting against the favor recently granted

to Manila, which the latter was abusing to such an extent as to

endanger the very existence of the Spanish commerce with Nueva

España. So much Chinese silk had been sent by Manila to Acapulco

that Cadiz had determined to send in this year's trading-fleet no

Spanish fabrics; but this would result in the destruction of its

commerce and of its manufactures. Cadiz claims that Manila carries

away from Nueva España three to four millions of pesos annually,

a sum which falls into the hands of foreigners and infidels;

and asks that the permission given to Manila for the export of

Chinese silks be revoked. The king thereupon ordered the viceroy

of Mexico to see on foot a thorough investigation of the Manila

commerce, its actual character and extent, its profits, and other

particulars, which is done. The year 1731 was selected for this

investigation; the sales at Acapulco were unusually profitable that

year, as all kinds of fabrics were then scarce in Nueva España,

and the Chinese goods were advanced 25 per cent over their usual

prices. The officials found that the total sales from that year's

cargo amounted to 2,096,874 pesos (making the average value of

each pieza of lading more than 500 pesos); deducting from this

the royal duties, 229,547 pesos (including the contribution of

20,000 pesos made by the shippers), the amount of returns for

the citizens of Manila was 1,877,327 pesos. This amount would

probably be equaled in subsequent voyages of the galleon (even

if the sales at Acapulco were not so profitable), so long as the

present permission continued; for the 500 half-chests of Chinese

fabrics made an enormous amount, and of great value. The amount of

silver embarked that year for Filipinas was as follows: "1,691,465

pesos, as proceeds of the merchandise sold at the fair that year

[this being the previously-mentioned amount, with the royal duties

deducted from it]; 566,828, in sums remaining from the previous

year; and 175,828, on the account of his Majesty for the royal

situado and other special situados of those islands, and for the

pay of the crew of the galleon." Investigation being made of the

past years of this commerce, "the castellan of Acapulco replied,

that from the year 1692 until that of 1702 the Philipinos had been

able to lade their ships with goods to the value of 250,000 pesos,

the returns for which were 500,000 pesos, without assigning a

definite number of piezas--in which time they paid for all kinds

of duties 75,000 pesos, which was equivalent to thirty per cent

on the cargo and fifteen per cent on the returns. That in the

year 1702 their permission had been increased to 300,000 pesos of

capital [invested], and 600,000 of returns, with the obligation

of paying for the shipment of the latter a charge of two per

cent. This had been punctiliously observed until the year 1717,

when other quantities [of merchandise] had been shipped outside

of the permitted amount, for the causes and reasons which would

appear from the acts drawn up on account of this proceeding;

and for what was thus shipped outside the permission duties had

been paid at four per cent (which amounted to 365,000 pesos), and

adding to this the six per cent of alcavala, [1] the duties were

ten per cent, which was collected. That this regulation had been

in vogue up to the year 1720, in which the Marqués de Valero had

allowed to the Philipinos the lump payment of 100,000 pesos which

before had been refused them, including in this amount all the

dues which they must pay [to the royal treasury], and permitting

to them, as before, the shipment of the 600,000 pesos of returns;

and that, although this amount only was what they ought to embark

in virtue of the permission, they carried other funds also (and

not a few)--the reason being that many persons were resolving at

that time to become citizens of the islands, and, as consequently

their wealth must be conveyed thither, the papers had been given

to them for doing so, in virtue of which they embarked their funds,

paying on them ten per cent. That for the last ten years many sums

of money had gone to Philipinas outside of the permitted amount,

on various warrants, for which orders had been previously given,

regarding which the bureau of accounts could supply information;

but, as in this matter the officials acted independently of

the castellan, he had been unable to take cognizance of those

transactions." The royal officials of Acapulco--who, with the

castellan, were at that time in the City of Mexico--advised the

viceroy not to make any change in the permission for the next

annual galleon; and gave as their opinion that, comparing the

shipments of merchandise, returns therefrom, and duties paid to the

treasury, by Manila in the last forty years, if in those islands

there had not been an increase of their commerce, at least it had

not declined. [2] The officials regarded the present amount of

trade granted to Manila as far in excess of what it had before

(on which earlier amount the islands had been able to support

themselves), and the great withdrawal of money from Nueva España

as injurious to the commerce of both that country and España;

and they advised that the permission be reduced to 2,750 piezas of

Philippine products and ordinary fabrics, and 250 half-chests of

Chinese fabrics. If this were done, Manila would still have a million

pesos of returns, even after deducting all the duties and imposts,

which would surely be enough, since before they had maintained

themselves with 600,000 pesos annually. As it was, the royal revenue

was much impaired, since the duties paid by Manila now did not include

certain ad valorem duties imposed under the old arrangement. At the

command of the viceroy, the bureau of accounts of Mexico furnished

him a summary of all the remittances of money from Nueva España

to Manila during the years 1723-31 inclusive; this report showed

that in each year more than the amount of the permission had been

conveyed--sometimes stated as arrearages from previous shipments,

sometimes as allowed by special permit from the viceroy. The yearly

situado was stated as being 250,000 pesos, the amount actually sent

being such balance of this sum as remained to the credit of Manila

in the treasury of Mexico, which varied yearly from 73,000 to 93,000

pesos. The galleon of 1731 had carried the following cargo: 2,767

bales, 477 chests (of Chinese silks), 554 bags of cinnamon, 147 cakes

of wax, 51 cases of porcelain, 296 1/2 arrobas of storax, 1,977 1/2

arrobas of pepper; besides this, and outside of the permission, four

half-bales and nineteen chests were sent by the religious orders in

Manila--Dominicans, Franciscans, Augustinians, and Hospitallers of

St. John of God--for the clothing of the religious in their hospices

in the City of Mexico; and by the governor, Marqués de Torre-Campo,

45 piezas for (purchasing?) furniture.]

163-185. [The viceroy, Marqués de Casa-Fuerte, wrote to one of the

royal Council, Don Joseph Patiño (November 1, 1731), giving his opinion

in regard to the regulation of the Philippine commerce. Estimating

roughly the returns from the annual Manila galleon at 2,000,000

pesos when before the sum of 600,000 only was allowed, he regards the

present permission as injurious to the commerce of España and to the

commercial interests of Nueva España as well; for three vessels come

from Philipinas to one trading-fleet from España, and, by carrying out

of the country some six millions of pesos, they render the disposal

of the merchandise brought on the fleets difficult, besides handing

over the treasures of the Spanish domain to infidels. He advocates

the reduction of the permission to such amount as will produce not

more than 1,000,000 pesos of returns for Manila; and thinks that

there is foundation for the remonstrances of the Spanish merchants,

although they have exaggerated the amount of the money sent to Manila

and the damage to their own trade therefrom. That damage arises

almost entirely from the Chinese silks and ribbons sent to Acapulco,

which at the fair in that year (1731) were sold for the estimated

amount of a million pesos; he therefore recommends that Manila be

strictly prohibited from shipping to Acapulco any silk, of any kind

or quality whatsoever, except raw, twisted, and floss silk, hose,

and white sayasayas; and that the value and amount of all the goods

sent thither be judiciously regulated, so that prices may be kept

within bounds. This result also depends considerably on the fact that

in Mexico large quantities of cotton are raised, from which are made

various fabrics; "and in the bishopric of La Puebla the elephant stuffs

(which are a sort of Rouen cloth, but made from cotton, which serves

for the shirts of very poor people, and for the linings of garments,

like the thin hollands), which form a considerable part of the cargo of

the ship from Philipinas, are so well imitated that they would and do

check a rise in the prices of the cotton goods from China. In this City

[of Mexico] all the raw silk which comes from Philipinas (a sufficient

amount, so that the fleets [from España] do not bring it) is worked up,

and in this industry many poor persons are employed, thus obtaining

a suitable means of livelihood; and the fabrics which are made by

them are consumed in this kingdom only." With these restrictions

and precautions, the viceroy would recommend that the regulations

of 1726 continue. He would also remit the payment now made by the

citizens of 20,000 pesos annually to the treasury; but this loss,

and that in the customs duties from the lack of the Chinese silks,

would be recompensed by the better sales which would thus be afforded

to the Spanish silk goods. In January, 1732, the viceroy consulted his

fiscal, who thought that the Manila trade should be restricted, say

to a million pesos of investments, and prohibiting the Chinese silks;

that this would benefit the Spanish traders, and would also secure

the opening of Peru to trade with Nueva España. In the following

month, the viceroy called together a junta of auditors and other

experienced persons to discuss this subject; they favored Manila,

and advised that no definite action be taken as yet. The viceroy,

hearing that from Mexico and other cities more than 1,500,000 pesos in

silver was being sent to Acapulco, presumably intended for Filipinas,

felt the necessity of taking measures to prevent the despatch of too

much merchandise from Manila in the future galleons, since the five

years' term allowed to that city would expire in 1733. He therefore

referred to the junta the question whether he should write to Manila

that the galleon of 1734 must come with a cargo in accordance with

the former plan of 300,000 pesos' investment and 600,000 for returns;

and whether he should enforce the decree of 1720 by prohibiting

that galleon from carrying any Chinese silks. The junta decided both

these questions in the affirmative, advising the viceroy to notify

Manila accordingly--these regulations to be made, provided that the

king meanwhile did not give new orders. The viceroy therefore sent

despatches to Don Fernando Valdés Tamón, the governor of Filipinas,

and to the city of Manila, to that effect (March 20 and 25, 1732);

[3] and on April 3 following sent a report of all these proceedings

to Don Joseph Patiño. He recommends that Manila be allowed only 3,000

piezas in all, of which only 100 chests be permitted for the finer

grades of cotton goods, entirely prohibiting the silk goods from

China, except those mentioned in his letter of November 1 preceding;

that besides the 3,000 piezas, the citizens be allowed to send wax

and porcelain at their pleasure, as these are commodities of little

value, and needed by Nueva España; that any smuggled silks be publicly

burned, and very rigorous penalties imposed on transgressors; that

more rigorous inspection of the lading be made at Manila, to prevent

any contraband goods being sent, not only in the shipments of traders,

but in the chests of passengers, officers, and others on the galleons;

that suspected packages be opened at Acapulco; that the returns sent

back to Manila be in no case allowed to exceed a million of pesos;

and that the contribution of 20,000 pesos be remitted to the Manila

shippers.]

186-188. [The viceroy's letter was referred to the royal Council; the

deputies from Filipinas--at that time, Lorenzo de Rugama y Palacio,

and Miguel Fernandez Munilla--thereupon asked for all the documents

belonging to the Council which bore upon this subject; the Council

consented (March 26, 1733) to do so, with the reservation of certain

documents, and the deputies then drew up a long memorial protesting

against the proposed restrictions on their commerce.]

189-190. [This memorial may be "reduced to five points: In the

first it is proved that, for the preservation of the islands, and the

propagation of the Catholic faith in them and in the adjoining regions,

their commerce with Nueva España is necessary. In the second, it is

declared that for the above result it is necessary that the commerce

be carried on and allowed with a capital corresponding to the returns

of 1,200,000 pesos every year. In the third, it is made plain that

returns to that amount are impossible, if the traffic in the silken

fabrics and goods from China, and their transportation, are prohibited

to the merchants of Manila. In the fourth, it is demonstrated that no

value should be attached to the exaggerated statement that damages will

ensue to the commerce of España if that of Manila be allowed to embark

and convey silk fabrics to Acapulco. In the fifth, it is explained how

desirable is the continuation of the last regulation of the commerce,

granted to the islands in the year 1726; and the advantages which

result from that ordinance, notwithstanding the representations

made by the viceroy." This memorial presents a brief résumé of the

various royal orders and decrees and the principal events connected

with the Manila-Acapulco commerce during its history, from 1587 to

1726; another, of the investigations made by the viceroy of Mexico

regarding the galleon of 1731; and another, of the proceedings of the

junta which he called together for discussion of the measures to be

taken regarding the galleon of 1734. Then the above five points are

considered seriatim, and at considerable length--mainly by restating

and enforcing the arguments formerly employed, rather than by adducing

new ones. In section i, the king is reminded that the islands serve as

a safeguard and defense to Nueva España, and have kept the foreigners,

infidels, and pagans of the East from getting a foothold therein by way

of the Pacific coast; and it closes thus: "Thus, Sire, if this commerce

ceases--the only foundation on which rests the maintenance of these

islands--the Spaniards will abandon them; without their protection,

the [religious] ministers will be persecuted to the utmost; the works

of piety and charity in which the holy house of La Misericordia and

the other foundations in Manila distribute enormous sums will cease;

the religious orders will be reduced to uselessness; those villages

will be desolated, by which your Majesty will lose many vassals; the

foreigners and infidels adjoining those countries will make themselves

masters of the islands; and (which is most cause for grief), when

the fortunate advancement of our religion which has been secured

there ceases, those who had embraced the faith will go to seek their

living in the lands of the pagans, with evident risk of relapsing into

the errors which they had detested. These dangers are worthy of the

profound consideration of your Majesty, and cannot be averted if the

commerce of Philipinas with Nueva España fails." In section ii, the

deputies protest against the returns of 1731 being made the standard

for the regular value of this commerce, as the gains of that year's

Acapulco fair were phenomenally large. They declare that in order to

maintain themselves they need not less than 1,200,000 pesos annually,

especially as the number of citizens in Manila is now larger than in

former years--in view of which, the amount for which they ask is very

moderate, being even less in proportion than it was then. The following

statements of population are interesting: in 1636-37, the number of

Spaniards in Manila was 230; in 1702, there were 400; and in 1722,

882, a number which has since increased [this memorial being prepared

in 1733]. What Manila asks will barely allow to each inhabitant, on

the average, an investment of 800 pesos, which is hardly enough for a

decent mode of living. What encouragement does this give to Spaniards

to settle in such a country, and how can they thus better their

fortunes? The opinions of various high officials (including viceroys

of Mexico) are cited in support of this claim. Not only the Spaniards

who are citizens of Manila are to be considered in this question, but

the two millions of Christian natives who depend on the Spanish power,

not to mention the 1,500 ecclesiastics who are occupied in maintaining

the Catholic faith in the islands. In section iii, it is argued that

the people of Filipinas must be allowed the trade in Chinese silks in

order to secure any profit from their commerce. Manila claims that

the restrictions imposed by the decree of 1720 were procured by the

efforts of Cadiz, without the consent of the people of Filipinas, to

whom those restrictions brought much distress; that the Acapulco trade

was granted to them in the first place in order to attract Spaniards

as colonists, in order that intercourse with them might be the means

of entrance and extension for the Catholic faith among pagans and

infidels; that España produces hardly enough silk goods for its own

consumption, and imports much from foreign countries, so that there

is no just reason for prohibiting this trade to Filipinas. "Since

what the Sangleys chiefly trade in is the silken fabrics and ribbons,

if the shipment of these goods to Nueva España is forbidden that is

the same as prohibiting intercourse with the Sangleys, because the

consumption of the said silks and ribbons is very small, or not any,

in Philipinas." The customs duties and alcavalas on the silk trade

at Manila amount to some 40,000 pesos a year, which would be lost

to the royal treasury by the failure of that trade; it will also

have no means with which to buy the rice produced by the Indians. No

profit can be made on the linens and other common fabrics prescribed

in the decree of 1720, as they are of little esteem in Nueva España,

and the demand for them is small, as also is their value, "since in

one bale of these goods only the value of sixty or seventy pesos can be

contained." If at the Acapulco fair these goods, even when the amount

shipped is uncertain, bring prices so low that there is but little

profit over the duties, freight-charges, and other costs, it may be

imagined how unprofitable this sort of investment will be when (if

that decree be enforced) the buyers there regard the cargo as composed

mainly of these goods, "and the venders are not able to practice the

maxim of concealing the [amount of the] merchandise, in order to secure

the highest price for it, its abundance, which lowers the price, not

being known." The sayasayas and hose, the only form of silk fabrics

permitted to Manila, are productive of but little profit; and even that

would be entirely lost if they were shipped in large enough quantities

to complete the amount of investment allowed to Manila, for the prices

in Nueva España would thus be greatly lowered. Even if this were not

so, one voyage of the galleon would so fully provide the warehouses of

Mexico that no more would be needed for the next three or four years,

which would ruin Manila's market for these goods. It is impossible that

of these bulky goods any adequate quantity could be shipped within the

number of piezas at present allotted to the citizens of Manila, which,

indeed, is all that their one galleon can carry. Manila claims that the

viceroy had no right to give the order regarding the galleon of 1734,

and that both he and the junta rashly assumed that the prosperous

Acapulco fair of 1731 was the standard by which to judge the results

of that commerce--when in reality that was an accidental and unusual

success; nor did the royal officials of Acapulco propose that the

trade in Chinese silks should be prohibited to Manila, but only that

the number of 4,000 piezas allowed it should be reduced. Section

iv refutes the arguments brought forward by Andalusia against the

trade in Chinese silks as injuring Spanish trade and manufactures,

declaring them to be exaggerations and misrepresentations of the real

facts. "It has very recently been made evident by that very commerce

[of Cadiz] that the fabrics of España are not able to supply those

provinces [of America], by the fact that in the company which, with

the name of 'Philipinas,' has been established in the city of Cadiz,

by royal decree of March 29, in this present year of 1733, among

the articles and agreements which have been set down therein is one

providing that in each ship of those which (without limitation) may

be allowed to them for their traffic the silken fabrics from China

may be freighted, to the extent of fifty toneladas, a little more

or less; and, bringing those goods to these kingdoms [of España],

they may sell them therein--not for consumption here, for this is

prohibited; but that they may export those goods to foreign countries

and to America, where they may be sold and consumed. From this it

is evident, in spite of the complaints which the commerce of Cadiz

has so often repeated on this point--while the merchants of Manila

have never consented to this company, rather, always protesting and

speaking against it, and when what may be offered to them is found

by experience to be prejudicial to the preservation and maintenance

of those islands--that the silk goods which are made in España are

of so small amount that they cannot supply America, nor can those of

China injure the consumption and satisfactory disposal of the Spanish

goods." [4] Manila claims that this new company will draw from the

Spanish empire a much greater quantity of silver for the benefit of

infidels than Manila can spend in buying the goods which have been

sent thence to Acapulco; and that Cadiz has no room for complaints

against the other commerce, since its own merchants are interested

in this company--and all without the weighty motives which led to

the concession of the Philippine commerce, the propagation of the

Catholic faith, the preservation of the Spanish power in Eastern Asia,

and the advancement of the Christian religion there. The establishment

of this "Royal Company of Philipinas," in which traders of Cadiz have

shares, shows plainly that all their complaints against the injuries

to Spanish commerce from the Manila silk-trade were "merely a pretext

for their securing the slender profits which that trade yielded to

the islands." The trading-fleets and galleons which are sent out from

Cadiz every two years are laden mainly with products made by foreign

nations--English, Dutch, Genoese, Venetians, and others--and this

traffic alienates from the Spanish crown each year more than eight

millions of pesos; and even greater drain of money results from the

traffic which those foreign nations carry on in the Indias. [5] Much

more money is taken out of Nueva España by the Spanish trading-fleets,

laden mainly with articles produced by foreigners and shipped thither

by the merchants of Cadiz, than by the Manila galleon which carries

thither goods bought from the Chinese. In the former case, the money

is used to injure and harass the Spanish power; in the second, it

goes to the Chinese, who are able neither to invade Spanish territory

nor to aid the enemies of the crown. These foreign trading nations,

moreover, carry to China and other countries of Eastern Asia more

than four millions of pesos of Mexican and Peruvian coinage, which

they spend there for the purchase of silks and other commodities,

"in order to introduce these goods into the Indias, either illicitly

or through the agency of the traders of Cadiz." In the junta convened

by the viceroy of Mexico in February, 1732, one of the leading

arguments for continuing the increased permission to Manila was,

"that the returns of silver produced by the fabrics of foreign

manufacture which the aforesaid [traders of Cadiz] send in fleets

and galleons to the Indias were in tens of millions, which from

the ports of España pass to foreign dominions, and from these to

the infidels of the Orient." The aforesaid Company of Philipinas

has obtained permission that in each ship sent out by its members

(the number of vessels not being limited) they may convey, besides

the goods, the amount of 500 pesos fuertes in silver money--more

or less, according to the needs of their business--to be invested

in Oriental goods, with freedom to change for gold any surplus that

may be left of that capital. [6] This permission leads to the drain

of much silver from the country, opens the door for great frauds,

and is manifestly unfair to Manila if the latter is to be deprived

of its China trade. As for the ruin of the silk industry in España,

"the city of Sevilla itself openly confessed (in a memorial dated

April 24, 1696) that the ruin of its looms and the deterioration of

its commerce arose from the single cause of the manufactures which the

French, English, and Dutch had, since the middle of the past century,

introduced into their dominions, and from the lack of assiduous

industry in the natives of these [kingdoms of España]; and that for

this reason those peoples carried to their own countries our wools,

in order to return them in the shape of cloths and other goods,

which their industry was able to manufacture from those wools. The

same thing occurs with the silks which (as we are experiencing)

they are introducing into these kingdoms, [made] from the [raw] silk

which they obtain here; and they sell in the Orient various stuffs

and fabrics, with which usually the people of rank in these kingdoms

are clothed; and such people in the Indias wear the goods which the

merchants of España convey in fleets and galleons--as may be known

by the books of the customs duties, in which appears all the above,

and the increased amount of silken fabrics which the foreigners are

introducing through the port of Cadiz, and others that open on the

Mediterranean Sea." Cadiz is reminded that its commerce penetrates into

Peru, Buenos Ayres, Honduras, and other regions which are forbidden

to Manila; that it has no more successful fairs in Peru than in Nueva

España (indeed, obtaining even larger profits in the latter country);

notwithstanding the alleged ruinous competition of Manila; and that

the contraband trade carried on in the Western Indias by the foreign

industrial nations causes far more damage to Cadiz than does the small

amount of trade allowed to Manila. Cadiz has made no complaint against

the shipment by Manila of stuffs from India and spices, doubtless

because the prohibition of these would injure the trade of the English

[7] and the Dutch, from whom Manila buys those goods, and whom Cadiz

favors and tries to enrich at the expense of the Philippine vassals of

the crown, regardless of the injurious effects of such procedure on the

propagation of the faith and the welfare of the former heathen who have

been converted to it in the East. Manila asserts that the necessity

of buying Chinese goods for the maintenance of the islands, and the

increasing competition of the European nations in Eastern markets,

have so raised the prices of those goods that Manila no longer can

obtain the large profits which they formerly brought in Nueva España,

but must now sell them at a very moderate advance over their cost

(including of course therein transportation, duties, etc.). The prompt

despatch of the Manila galleon from Acapulco has been caused mainly by

the necessity of its sailing at certain times to secure favorable winds

and weather; but this haste has been an injury to the Manila shippers,

"for it hinders them from selling their goods at a higher value, so

they often dispose of them, for this reason, at the prices that the

Mexicans are willing to pay for them, and at other times leave them

for sale on commission [en encomienda], with the danger of losing them,

and with the evident arrearage which is caused to the shippers by the

lack of the money [which should have been received] from their sale,

for use in their investments in the following galleon." The memorial

concludes with section v, in which Manila urges, in view of all the

foregoing, that the permission of 1726 be continued to the islands,

and consequently, that the recent orders of the viceroy of Nueva

España regarding the lading of the next galleon be revoked. These

orders were at least premature, as the shipments from Manila under the

new permission did not begin until 1730, so that the galleon of 1734

was entitled to a cargo of the sort allowed therein; moreover, the

viceroy acted against the advice of the junta which he had convened

to discuss this question. Manila claims that in 1732 the galleon

did not carry back to the islands even what they needed for their

maintenance, the returns from its cargo (although that contained the

4,000 piezas of permission) amounting to only 1,100,000 pesos; and in

the present year of 1733 the returns will be hardly one-half of what

the shippers received, on the average, in the years preceding the new

permission--the Acapulco fair being a poor one this year, on account

of the large cargoes brought by the fleet from Cadiz, and the large

amount of fabrics brought by "the English ship." Manila needs 1,200,000

pesos annually, at the least; and in order to secure that amount needs

the extension of trade permitted in 1726. The returns of 1731, as has

been proved, cannot be taken as the measure of its value, especially

when allowance is made for the possibility of storms, shipwreck, or

other disaster to the galleon. Manila also asks that if the returns

should fall below 1,200,000 pesos, its annual contribution of 20,000

pesos to the royal treasury be dispensed with. The king is reminded of

the great services which the people of Filipinas have always rendered

to the crown, in opposing the encroachments of the Dutch and others

against the Spanish power in the East, in defending the natives of the

islands against the Moro pirates, in contributions for building royal

ships and for meeting other pressing needs of the royal treasury,

and always freely offering their lives and their property for the

defense or aid of the crown--to say nothing of their devotion to

the observance and extension of the Catholic faith, their support

of missionaries, and their zeal in converting the heathen. Manila

asks for the extension in perpetuity of the permission of 1726, with

various minor concessions; if this be not granted, then it is asked

for another five years, with the proviso that no change be made at

the instance of Andalusia only, or without opportunity being given

to Manila to express its wishes and set forth its needs.]

191-192. [This memorial was sent by the Council to the fiscal;

his reply was handed in on November 10, 1733. He thinks that the

islands need indispensably the traffic to Nueva España, including the

Chinese silks, notwithstanding the remonstrances of the viceroy of

that country; and that the prohibition made by the latter ought to be

raised. Moreover, he finds that the royal treasury is the gainer by

the new arrangement: the duties up to 1702 amounted to 74,000 pesos,

and from that time to 1729, to 100,000 pesos; but in 1730 (the first

year in which goods were shipped under the permission of 1726) the

duties, including the 20,000 pesos of contribution, were 202,754 pesos,

and in the following year 229,552 pesos. He would not make a positive

regulation regarding the Manila-Acapulco trade until the five-years'

term is completed; but he makes the following recommendations: that

the commerce be free in all kinds of goods, not excluding the Chinese

silks and ribbons, but that the lading of the galleon be restricted

to 3,600 piezas, of which 400 may be in those silk goods and others

which do not allow the use of the press; and that the duties on all

packages be the same as those specified in the decree of 1726, and

that Manila be freed from the contribution of 20,000 pesos. He also

recommends that Manila be allowed to send wax in cakes of eighteen

(instead of twelve) arrobas net; and that his proposed arrangement be

put in force for five years, in order to test its practicability--or,

if the king so prefer, that the decree of 1726 be extended for another

term of five years.]

193-197. [In this place is presented the informatory report of the

royal accountant at Mexico to the viceroy in 1730, because it is

frequently cited in this controversy; but it is concerned mainly

with the size of the packages on the Manila galleon. [8] It appears

that these were measured by the vara de Ribera, [9] instead of the

Castilian vara, the former being "longer than the Castilian, by four

dedos and part of another;" but allowance was afterward made for this

difference. Ardila, the accountant, also recommended to the viceroy

the enlargement of Manila's permission to 1,200,000 pesos of returns,

and the reopening of the commerce between Nueva España and Peru. The

royal Council discussed the fiscal's reply and other documents, and

advised the king (December 19, 1733) to order the viceroy to recall

his obnoxious orders relative to the galleons of 1734 and succeeding

years, and to regulate the cargoes by the decrees in force from 1712 to

1720--"excluding absolutely the regulation of the permission by piezas,

and commanding that this be made in future strictly by invoices and

sworn declarations." The ministers did not agree on the question of

the amount of returns to be permitted to Manila, five being of opinion

that no change should be made in the allowance of 300,000 pesos of

investment and 600,000 of returns, and the five others advocating an

increase to 500,000 and 1,000,000 pesos respectively. (The names of

the first five are: Don Manuel de Sylva, the Marqués de Almodobar, Don

Antonio de Sopeña, Don Fernando Verdes Montenegro, and Don Francisco

Antonio de Aguirre; of the last five, Don Diego de Zuñiga, the Marqués

de Montemayor, Don Matheo Ibañez de Mendoza, Don Antonio Alvarez de

Abreu, and Don Joseph de Valdiviesso. Abreu was the compiler of the

Extracto.) The reasons for each of these opinions are given in detail.]

198-200. [When this opinion was ready to be sent to the king, letters

arrived from the governor and Audiencia of Filipinas, remonstrating

against the orders of the viceroy regarding the galleon of 1734. At the

same time, the Manila deputies at Madrid presented another memorial

to the Council, which accordingly held a new conference over this

matter. On December 23 (after having consulted the fiscal), they

reported to the king their opinion, which they said had not been

changed by the aforesaid despatches. The king approved of their

advice in regard to recalling the viceroy's orders, and in regard

to the controverted point of the amount which should be allowed to

Manila, he approved the opinion of Zuñiga and his associates, that

of the increase to 500,000 and 1,000,000 pesos. The letters from the

governor and Audiencia ask that the cargoes be estimated by piezas,

and propose 300 or 400 chests of Chinese silk goods, instead of the

500 formerly asked; the memorial of the deputies urges that the sales

for the first three of the five years had averaged only 1,350,000

pesos, and the succeeding ones could not exceed 1,200,000 pesos,

which latter sum was necessary for the preservation of the islands.]

201-212. [On February 23, 1734, the Manila deputies presented a new

memorial, under eight heads, making various minor requests in regard

to the new regulation for the commerce, some of which were granted,

and some refused. On April 8, a royal decree was issued making such

regulation; [10] after briefly reviewing the various proceedings and

documents which had appeared since the decree of 1726, command is

given that the viceroy's orders be revoked, and the commerce continued

in accordance with the decrees of 1702, 1712, and 1724--prohibiting

the valuation on the basis of piezas, and prescribing that this be

accomplished by invoices and sworn declarations; and increasing

the amount of the trade permitted to Manila to 500,000 pesos of

investment and 1,000,000 of returns. As for duties, they shall be paid

as commanded in the decree of 1702 (which fixed 100,000 pesos as the

amount to be paid at Acapulco for the round trip of the galleon),

pro rata therewith on the increase from 300,000 to 500,000 pesos;

but this shall be paid as required duties, and not under the name

of indult. No alcavala shall be paid on sales at Acapulco, but it

shall be paid on goods which shall first be sent to other provinces

of Nueva España. The duties are estimated on the basis of about 17

per cent of the returns on the cargo, and as the king pays "the cost

of the building, careening, and repairing of the ships, the pay of

the crews and officers, and the provisions, supplies, and ammunition

needed for each voyage, without receiving more than 44 ducados for

each tonelada of the lading allotted, not only will there remain no

profit to my royal exchequer, but it will be necessary that it supply

a considerable amount in order to maintain and preserve this traffic

and commerce to the natives of Philipinas, which is all the bounty that

my royal munificence can exercise;" but if the Manila shippers do not

wish to accept this adjustment of the duties, they can (as before)

pay the exact amount of the duties on each consignment of goods,

without any dispensation or remission. No one to whom space has been

assigned may transfer it to others, save in the case of poor persons

and widows. Any excess of returns over the 1,000,000 pesos shall be

divided among the shippers pro rata on their allotments of space and

valuations of goods at Manila, and they may carry it back in products

and commodities of Nueva España, but not in money; if the returns

fall short of the above sum, the deficiency shall not be made up,

the royal officials being strictly forbidden to allow any infraction

of this rule. Citizens of Nueva España are prohibited under heavy

penalties from participating in this trade as shippers, of either

goods or money. The measures used in regulating the size of packages

shall be those which the Manila shippers have been accustomed to use,

allowance having been made for the difference between these and the

Castilian standards, as decreed in 1702 and 1733. The committee of

distribution at Manila shall be composed of the following persons:

the governor of the islands; the senior auditor of the Audiencia,

or, as his substitute, the auditor next longest in service; the

royal fiscal; the archbishop of Manila, or, as his substitute, the

dean of the cathedral; one of the alcaldes-in-ordinary, and one of

the regidors, of the city of Manila; and one of the eight arbitrators

[compromissarios] who compose the commercial body [11] there--provided

that the regidor and the arbitrator be chosen in turn, so that this

duty shall fall, successively, on all the members of those respective

bodies. Despatches to this effect were sent to the officials of Mexico,

Acapulco and Filipinas. (The compiler of the Extracto thinks it worth

while to call attention to the opinion of the royal fiscal of Mexico,

given upon reading this decree, that it was "a just one, and generally

advantageous to both commerces.")]

[At this point (fol. 214 verso-264) is inserted the Memorial

informatorio presented to the Council of the Indias in 1637 by Juan

Grau y Monfalcón, procurator-general for the Philippine Islands at

the court of Madrid; we have already published this document, in our

VOL. XXVII, pp. 53-212. Abreu says that he places it here (as "an

appendix to Period ii") simply because he did not find it until after

the fortieth sheet of the Extracto had been printed; and he speaks

of it as "treating of the subjects of that undiscovered memorial"

of 136 numbers which was cited in "Period ii" of the Extracto (see

our VOL. XXX, p. 25)--"plainly showing that whatever discussion of

this matter has occurred in these late years, and what will be said

in the future, in regard to the commerce of that region is new talk,

but not talk of a new thing [es decir con novedad, pero no decir

cosa nueva]." For "Periods i and ii" of the Extracto, which, with

Monfalcón's memorial, should be read as a preliminary to the present

summary of that work, see our VOL. XXX, pp. 23-109. Cf. the earlier

memorial by Monfalcón (1635) in VOL. XXV, pp. 48-73.]

The Philippine Islands, 1493-1898, Volume 45, 1736 Explorations by early navigators, descriptions of the islands and their peoples, their history and records of the Catholic missions, as related in contemporaneous books and manuscripts, showing the political, economic, commercial and religious conditions of those islands from their earliest relations with European nations to the close of the nineteenth century · 第 13 / 118 题