PERIOD X

Relation is made of what occurred in regard to this commerce

from November in 1734 until the present month of May in 1736,

with occasion of the petition made by the consulate and commerce

of Andalucia, proposing to surrender to that of Manila the traffic

and transportation of all the cinnamon, pepper, and cloves which

the kingdom of Nueva España can consume; and that Manila may

ship the chintzes (of fine, middling, and ordinary qualities),

and the silk, raw and spun [beneficiada], if these are separated

from the commerce in the silken fabrics and ribbons of China.

215-221. [It was supposed that the foregoing decree had settled the

question of the Manila-Acapulco trade "for many years;" but on

November 27, 1735, the king sent to his Council a memorial by Don

Joseph Lopez Pintado, consul and deputy of the commerce of Cadiz,

and an informatory report which had been made on that subject

by the lieutenant-general of marine, Don Manuel Lopez Pintado;

on these papers the king asked for the advice and opinions of the

Council. The memorial of Cadiz states the two main points of the

controversy: the first is, whether or not the commerce of España

is injured by the inclusion of the Chinese silks and ribbons in

the cargo of the Manila galleon. Cadiz has long claimed that this

was so, while Manila answered that that trade was necessary for

the maintenance of the islands, "and for the propagation of the

holy gospel in them"--which argument, Cadiz says, "has always been

the Achilles to oppose the just representations of the commerce of

España." The second point is whether, if the silks are prohibited

to Manila traders, any goods of equal value remain to them by

which they can secure the returns which they claim to need. The

first point is stated as in previous remonstrances, that the

Manila trade in Chinese silks has ruined both the sale and the

manufacture of Spanish silks, especially since the execution of

the decree of 1724; the latter goods can now find no market in

America, for the Chinese silks have made their way not only into

Nueva España but into Peru, the colonies on the northern coast

of South America, and all the Windward Islands, "nor can their

importation be checked by all the efforts and vigilance of the

officials." Manila has probably abused the royal liberality and

has transgressed the limits of its permission; for the deputies

and appraisers there have valued the goods so low at Manila that

at Acapulco they obtain for them three or four times the amount

permitted to them by royal decree--for confirmation of which

statement is cited the report made by order of the viceroy of

Mexico, on August 23, 1731, by Don Francisco de Fagoaga, one

of the leading merchants of Mexico, who was a witness of this

infraction of law. It is these abuses of the Manila permission

which aroused the viceroy to issue the orders of 1732, hoping to

check the illegal excess therein. Cadiz now offers to surrender

to Manila "forever the traffic and transportation of all the

cinnamon, pepper, and cloves which the kingdom of Nueva España can

consume," as also all the trade in chintzes of various qualities,

and in silk raw and spun; in these Manila ought to find sufficient

compensation for giving up the silks, but, even if it does not,

its losses cannot compare with those of España from the permission

given to Manila to trade in those goods, and the interests of

the former ought to be preferred. General Pintado's informatory

report makes a bitter complaint of the frauds and infringements in

the Manila permission to trade. [12] He states that in the first

galleon sent to Acapulco under the regulation of 1726 (which

entered Acapulco in the year 1729) [13] goods were confiscated

by order of the viceroy to the following amount: 285 bales, 49

bags of cinnamon containing 7,105 libras, more than a thousand

arrobas of wax, nineteen chests of silk fabrics, and many other

goods. In the second galleon (that of 1730) were confiscated

319 bales, and 694 piezas of various bulky goods--cinnamon, wax,

pepper, storax, and porcelain. Cadiz claims that at first (about

1690) the Chinese goods carried to Nueva España were in so small

quantity and so inferior quality "that no one valued such goods;

nor did these injure the commerce of España or its manufactures,

until, two ships of Philipinas having been wrecked, that same

viceroy [Conde de Galvez], as a measure of precaution, despatched

General Don Andrés de Arriola with a patache to ascertain the cause

for the delay in the arrival of those ships; and, that commander

having returned to Acapulco in the following year, 1692, with this

occasion the citizens of Mexico promoted the plan of furnishing

capital for another new ship. Various citizens of Mexico, and

others from Perù, went thither, and, carrying specimens of our

[Spanish] fabrics, started the establishment [of factories] in

Pequin, Cantòn, and China; [they also set the Chinese to work]

to make these goods of finer quality, and to manufacture fabrics

like those specimens, and of the same quality. Both qualities

were introduced [into Nueva España] by that ship and by those

which regularly followed it, in proportion to the amount that they

found to be consumed in Nueva España; and this was considerable,

on account of the fact that four years intervened between the

trading-fleet of Conde de Sanrrami and that of Don Ignacio de

Barrios, and seven years from that of the latter to the fleet

of Don Manuel de Velasco and its return to España. That was the

time when the traders of Philipinas reached the height of their

traffic in the silk fabrics; and, finding in those years that

there was no trading-fleet in Nueva España, they gathered in

the rich treasures against which the consulate and commerce of

Andalucia have with reason remonstrated." Pintado declares that

he has been an eyewitness of these things ever since 1692, and

that only during that time has Manila enjoyed this silk trade

which it now claims as belonging to it by free possession and

long usage. Cadiz has frequently protested against the injury thus

caused to the silk industry of España, but has not before exposed

the real condition of affairs; but, "even if the 300,000 pesos of

the permission which was granted and enjoyed up to the year 1728

inclusive had all been spent for goods of the silk made in China,

without [the galleon] carrying anything else, at the prices which

they were fairly worth in Manila, and even if twice as much were

furnished at these prices, how was that trade [of Manila] capable

of supplying [with those goods] Nueva España, the Windward Islands

[Islas de Barlobento], the new kingdom of Granada, Tierra-Firme,

and Perù, as we have seen for the last forty years, when, as

those who are intelligent [in these matters] understand, it is not

possible to do so even with two millions' worth of goods of the

said class?" Manila is accused of fraud, bad faith, and deceit

in the conduct of that trade and in misrepresenting it to the

government; and the royal officials, of collusion in the illegal

trade, and disobedience to the royal decrees which commanded that

the original invoices and sworn statements of goods should be sent

to the Council of the Indias. The only way to check this procedure

is to prohibit entirely to Manila the trade in Chinese silks; and

Cadiz offers to make up this lack by ceding to Manila the entire

spice trade in Nueva España. The following estimate, based on the

amount of spices carried thither by the trading-fleet, is made of

the value of this trade: Of cinnamon, that country needs 250,000

libras annually, which, estimated at eight silver reals a libra

(although it has been worth at Manila nine reals), would amount

to 250,000 pesos; 100,000 libras of pepper, at one silver real in

Manila, 12,500 pesos; 10,000 libras of cloves, at twelve reals,

15,000 pesos; in all, 277,500 pesos, which is somewhat more than

half of the amount of investment now allowed to Manila. "It is

certain that if only the merchants of Philipinas trade in these

commodities, they will advance the price more than 150 per cent,

obtaining their money in Acapulco." Besides the spices, they have

permission to trade in many other commodities which are generally

desirable for the trade with Nueva España, where the consumption of

these is great; and there is more than enough of these to fill out

the 500,000 pesos' worth of goods allowed them. The result of this

arrangement would be to revive the ruined silk industry of España

(and "experience makes it plain to us that there is no other fabric

than silk, of our own weaving, which can produce any profits"),

besides retaining within the domains of España the money which now

goes to heathens and infidels. "While the commerce of Philipinas

shall last, as it is now carried on, neither the conquests, nor

the reduction of the Indians, will proceed with the increase that

people confidently believe; but rather these will be diminished,"

because the Spaniards who have money care only for commerce and not

for the propagation of the faith. This is proved by their neglect

of the interests of the natives in Luzón; for "we do not see that

the Spaniards apply themselves to what is so much their obligation,

since they so loudly profess it; and consequently they will not

reëstablish the manufactures of cotton fabrics, which can very

well be done in those same islands--by which industry the natives

furnish this product, and others which are yielded there can

be more easily obtained; and in this case it would be money for

those citizens if they would apply themselves to this enterprise,

instead of the commerce which they have with the Chinese and other

infidels." These papers were, as usual, sent to the fiscal, whose

reply came before the Council on January 8, 1735. He disapproves

the proposals of Cadiz, since the prices of cinnamon and other

commodities are liable to fluctuation, and the amount of profit

for Manila would be uncertain and variable; cinnamon is a bulky

product, and the necessary amount could not be carried in the

galleon now assigned to the Manila trade; the merchants could not

be sure of a favorable sale at Acapulco, "which at the fairs is

secured by the diversity and abundance of commodities;" moreover,

the Dutch, from whom the cinnamon was bought, would raise its

price as soon as they should learn that the Spaniards of Filipinas

were the only ones to whom was permitted the shipment of spices to

America. If the Manila shippers failed to secure the full amount

for returns, the royal treasury would not receive as much from

customs duties as usual, and must therefore make up the resulting

deficiency in the situado sent to the islands. "It would also

follow that even if the merchants of España should religiously

observe the agreement which they propose, of not trading in

that merchandise, the illicit importations into that kingdom

[of Nueva España] would be attempted with even greater activity;

and as in that country there is so general a use of chocolate,

in the manufacture of which would be consumed the greater part

of the cinnamon, all that extensive kingdom would find itself

compelled to buy [cinnamon] at one port only, and through one

agency--being always exposed [to the danger] that in a year when

the Philipinas ship could not make the voyage (as has happened),

or encountered mishaps through accidents which might occur,

that country would experience the deprivation of this article

of sustenance, or at least a great scarcity in a commodity so

generally used, as is well known." The fiscal also reminds the

Council that the trade in spices may be shared with the Royal

Company of England, which is "authorized to trade, in its annual

ship, in the goods which it shall choose, in which it could include

the cinnamon, and through this agency introduce it into Mexico;

in this it would seriously injure the commerce of Manila during all

the time which remains for the fulfilment of this agreement, and would

be opposed to the freedom of his Majesty in proroguing it, or making

it anew with some other power. Such action could not be hindered by

the commerce of España, and as little by the Royal Company of Cadiz,

founded by his Majesty on March 29, 1733, which could introduce this

commodity into Mexico." The fiscal recommends that a junta be convened

in Mexico to discuss this subject, and give their opinions and advice

thereon to the Council; and that Manila and Cadiz be invited to send

representatives to this conference. On February 9 the Council agreed to

send to the deputies of Filipinas a copy of the Cadiz memorial, with a

statement of the arguments advanced by General Pintado (but suppressing

the name of the author), in order that they might answer it.]

223-224. [The Filipinas deputies made answer to this attack by Cadiz,

in a long memorial dated March 30, 1735. Manila claims to have enjoyed

the possession of the silk trade with China from the discovery of the

islands, and that these goods were never excluded from its trade with

Nueva España--to which country that trade was not confined until the

decrees of 1587-93--until 1720, when, at the instance of Andalusia,

a prohibition of the Chinese silks was made, although it lasted

only four years. The charges by Cadiz of frauds in the lading of

the Manila galleon have no foundation in fact; the cited statement

by Don Francisco Fagoaga does not appear among the documents on

the subject, and is "a fanciful supposition;" and the valuations

are made by appraisers appointed by the governor of Filipinas,

under their solemn oath to fulfil their duties faithfully and well,

while the royal fiscal acts as superintendent of both the valuations

and the lading. Manila's former assertions refuting in detail, and

with citations from the official records of Manila and Acapulco, the

accusations of infractions and excess of the permission, are repeated

here, as also the statements regarding the Mexican junta of 1732 and

the concessions made to the Company of Philipinas, formed among the

Cadiz shippers. The overstocking of the markets in Nueva España is

caused, not by the silk goods shipped from Manila, but by the enormous

quantities of cloth and stuffs (largely manufactured outside of España)

sent to that country by the Cadiz merchants; they have sent eighteen or

twenty ships [14] in each fleet, although formerly there were but ten

or twelve--"on account of which excess his Majesty has finally resolved

that only eight shall go in the next armada, without doubt because of

the great outcry regarding this by the commerce of Mexico." Moreover,

those same traders of Cadiz have secured the concession of fifty

toneladas of Chinese silks for each ship that they may send out, to

be sold in America; the little that is shipped from Manila ought not

to be considered in comparison with that traffic, and is intended,

besides, for the poorer classes, who cannot afford to buy the more

expensive fabrics. If the Western Indias have been inundated with

Chinese silks, it is caused not by the shipments from Manila, but by

the great trade in these goods which is carried on by the English and

Dutch, who have factories and warehouses in Jamayca and Curazau [i.e.,

Curaçao], which they supply from China and other Oriental countries

with fleets of more than forty ships, and trade those goods in the

American islands (as Cadiz is well aware). As for the offer of Cadiz

to yield to Manila all the trade in spices to Nueva España, that trade

has never been prohibited to Manila nor has it been the exclusive

privilege of Cadiz, so the offer amounts to nothing. Nor has Cadiz

any right to dictate to Nueva España its source of supply for spices,

since both the English and the Cadiz companies have the privilege of

trading there in these goods; moreover, large quantities of pepper

are produced in the Mexican districts of Chiapa and Tabasco; both

these causes tend to injure the sale of spices carried from Manila

thither. As these spices (except pepper, which has but little value

in any case) are monopolized by the Dutch, they are likely to refuse

to sell them to the Filipinas merchants (as has occurred frequently

before), because the Dutch need them for lading their own fleets; or

they will raise the prices, supposing that Filipinas must buy from

them. The cinnamon is so bulky (as it cannot be pressed) that much

space on the galleon is thus lost, as well as by the necessity of

carrying two-thirds more ballast than usual, because of the light

weight of the cinnamon; and the voyage of the Manila galleon is

incomparably longer, more difficult, and more perilous than that of

the Spanish ships to America. The amount of spices allotted to the

galleon by Pintado would fill all its available capacity, leaving no

room for any other goods; and it would be impossible for the shippers

to secure any profit from such a cargo--for which they could not find

a market in Nueva España, for lack of the other goods. Nor would it be

possible to dispose of more than half the amount of pepper and cloves

which Cadiz proposes for them, since that is enough to supply the

needs of that country. In any case, the profit on the spices will

be insufficient, if Manila is restricted to these goods, without

the silks, to produce the amount which those islands need for their

support. This is proved by tabulated statements of the prices, costs,

and returns on each one of the three kinds of spices concerned; these

we present here in somewhat condensed form. A churlo [15] of cinnamon,

of the measure which the commerce of Manila orders to be observed,

weighs 150 libras gross, but the net weight is twelve libras less,

after deducting the weight of the coverings and wrappings. The cost in

Manila is nine silver reals a libra; for the space which the churlo

occupies is usually paid forty pesos; for porterage, royal duties,

notary's fees, etc., 8 pesos. On the voyage it loses two per cent in

weight, so that but 135 libras remain for sale; it brings at Acapulco

eighteen reals a libra, amounting to 303 pesos, 6 reals. From this must

be deducted the following payments: royal duties, 32 pesos; unlading

at Acapulco, notary's fees, etc., 7 pesos, 2 reals; commission to

the agent for its sale, at five per cent, 15 pesos, 1 1/2 reals;

five per cent royal duties on shipment of the returns to Manila,

12 pesos, 3 reals; two and 1/2 per cent on the net returns, paid to

the keeper of the silver, 5 pesos, 6 1/2 reals. From these figures

it appears that it costs 203 pesos, 2 reals to place the churlo of

cinnamon on shipboard at Manila, and 72 pesos, 5 reals to sell it and

return the money to the shipper there; deducting these expenses from

the amount received for its sale, the profit of the shipper is but

27 pesos, 7 reals, or about 13 1/2 per cent. Pepper: 100,000 libras

of this product make 4,000 arrobas; this quantity (since each pieza

is estimated at six arrobas or 150 libras, without the wrappers)

makes 666 piezas. Pepper is sold at Manila at one real a libra,

so that the pieza costs for purchase 18 pesos, 6 reals; it costs 43

pesos more to place it on the ship, and 18 pesos, 7 reals besides for

expenses of sale and shipment of returns--in all, 80 pesos, 5 reals. At

Acapulco it would sell at four reals a libra, the pieza, therefore,

bringing 75 pesos; the shipper, then, instead of gaining any profit

has lost 5 pesos 5 reals by the transaction. Cloves: These are packed

in chests containing 150 libras each; the purchase at Manila costs

twelve reals a libra, so the chest costs 225 pesos. Add to this

the cost of placing it aboard, duties, cost of unlading and sale

at Acapulco, and for the shipment of returns, 146 pesos, 7 reals,

and the total cost is 371 pesos, 7 reals. The cloves shrink on the

voyage, involving a wastage of three per cent; at Acapulco they sell

at three pesos a libra, and the 145 1/2 libras thus bring 436 pesos,

4 reals--the net profit to the shipper being 64 pesos, 5 reals, or

about 24 per cent. The prices quoted above are based on those which

have been current in Manila and Acapulco for the past five years. It

is evident, therefore, that the spice trade could not compensate in

any way for the loss of that in silks; nor has Cadiz made allowance

for the possible failure of a galleon to reach Acapulco, which would

ruin the market for the one which should arrive in the following year,

since the spices thus lacking would be supplied through the Atlantic

ports of Nueva España. The customs duties would be much less on a cargo

of spices, and thus impair the royal revenues; for each chest of silk

pays 55 pesos for duties, and each bag of cinnamon only 35. The incomes

of the Spaniards in Filipinas would be so reduced that they could no

longer defend the islands from the Moro pirates, or from the Dutch,

who would thus become masters of them; and the Spanish colony and

the Christian churches formed among the natives would alike be ruined.]

225-233. [This memorial from the Philipinas deputies was communicated

to the deputy from the commercial interests of España, Joseph Lopez

Pintado, on March 31, 1735; and on the first of June following

he presented another in reply, accompanied by various illustrative

documents. The former arguments are repeated, but various interesting

data are adduced in their support. Pintado states that the looms

for making silk fabrics in España numbered more than 70,000 in

the days when that industry flourished there. Nueva España was

forbidden to cultivate the vine and the olive, in order to protect

those industries in España. The commerce of Manila in Chinese silks

has ruined the silk manufacture not only in España but in Mexico,

where formerly was worked up the raw silk carried by the Manila

galleon. Cadiz claims that the decree of April 8, 1734, was obtained

on the strength of the representations made by the Manila deputies,

without giving Cadiz any opportunity for remonstrance; Abreu furnishes

at this point a marginal note to explain this, saying that the king

asked the Council of the Indias to report on the matter as quickly

as possible, and that the action which he wished to take brought the

question back to the status which it had on previous occasions of

this sort, when the commerce of Andalusia had had a full hearing;

they had therefore considered it unnecessary to hear its arguments

again. The enactments of 1593 are cited to show that not until then was

the commerce of Manila restricted, and that because it was injuring

that of España; but this and succeeding laws show that it was the

royal intention to allow Manila sufficient trade to provide for its

needs and support. Moreover, after the islands were conquered a large

territory was allotted to Manila (as to other Spanish colonies) for its

support; and in its early history these lands produced abundantly for

the maintenance of the inhabitants. Besides these, the cotton fabrics

made by the natives were more than enough to supply the islands, and

became the basis of the exchange and barter trade with China. Manila

ought to return to these industries for its support, and has no right

to expect that it be supported without them. All the realms of España

are under obligation to support the crown; but Manila asks the crown to

support it, at the expense of great injury to the interests of España

itself. The citizens of Manila have yielded to idleness and sloth,

and have allowed the idolatrous Sangleys to monopolize and manage the

industries and even the commerce of the islands. Some of the mestizos

had erected looms for the manufacture of the finer kinds of cotton

fabrics, but the Sangleys succeeded in breaking up this enterprise. A

section of the memorial is devoted to proving that the permission to

Manila to trade in Chinese silks has not been and is not of use for the

increase and propagation of the Catholic faith in those regions, which

has flourished without Manila and its commerce; on the other hand, the

success and profits of that commerce have been caused largely by the

work of the missionaries, especially in China. As for the Chinese who

are converted at Manila (drawn thither by the opportunity for trade),

they usually become Christians for selfish and worldly ends, and

soon relapse into their former heathenism. They even have a proverb:

"In Manila, [do] as in Manila; in China, [do] as in China." Their

infidelity and atheism have a bad influence on the Indian converts,

who learn many evil things from the Chinese, as also do the converts

in China itself; and the citizens of Manila are reproached for their

familiar relations with those infidels. They have also allowed the

Chinese to get control of affairs and commerce in Manila, and the

latter are living on their blood. In España, both canon and civil law

prohibit intercourse with Mahometans and idolaters, and it is not long

since the Moriscos were expelled from that country--notwithstanding

"the great products of their industry, the tributes which they paid

into the royal treasury, the commerce of the province [of Andalusia]

which through them was greater than that of the other realms, and even

(which is more important) their being the sheep [of the Church], which

Manila says ought to be sought out and preserved; for, as it had been

found impossible to secure the purity of religion by the means which

the law set forth, it was necessary, in view of the duty of preserving

and maintaining the holy Catholic faith in the kingdom in quiet,

peace, and security, to expel and cast out those people. Accordingly,

in order to preserve the faith in Philipinas, which is a matter that

should receive careful attention, the prohibition of their commerce

[with the Chinese] is necessary, which is of even less estimation

than that of those expelled Moriscoes." In another section, Cadiz

reminds the king that in the compilation of the statutes of the realm

provision is made that no decree or ordinance which is contrary to law

and right, or which is injurious to certain regions, shall have force;

and this should apply to the decree of 1734 permitting to Manila the

commerce in silks, since that has deprived the Spanish traders of

their rights and privileges in the results of their commerce, and has

ruined the silk industry in that country. Thus is greatly injured the

prosperity of the provinces in which it was exercised; and this reacts

on the entire kingdom of España, reducing so many artisans to poverty,

causing them to abandon their families or their native places, and

bringing many to idleness and crime. Cadiz again alleges the frauds

in the Manila commerce, declaring that the goods sent to Acapulco are

appraised at less than the fourth of their current value in Manila, and

are sold at 100 per cent advance on that actual value; and that these

illegal acts are promoted by the merchants of Mexico, in collusion

with those of Manila--all of which may be proved by the documents

in the archives of the Council of the Indias. This trade of Manila

in silks from China enriches a small class of wealthy merchants (in

both Manila and Mexico), the only ones who have the wealth to engage

in and profit by it--and this at the expense of the poor and those who

have but moderate funds, by absorbing the opportunities and profits in

which the latter ought by right to have a share. The Chinese goods,

moreover, are of poor and flimsy quality, and last only one-fourth

to one-half the time that the Spanish fabrics do. Cadiz supports its

arguments by many citations from the laws of the realm; among these

are prohibitions against exporting the products or commodities of

one province or city to another--as, no salt, wine, must, or vinegar

might enter Castilla from Aragón or Navarra; and the silk of Calabria

and Napoles must not be imported into the cities of Segovia, Zamora,

Salamanca, Cordova, and Cuenca--although all these were parts of the

Spanish empire. In line with these is the desired prohibition of the

silk trade to Manila, especially since that trade is so injurious to

the commerce and industry of the mother-country. In that case Manila

should have (by another law cited) an equivalent benefit; and Cadiz has

already proposed this, in the spice trade--to which it has a right,

but is willing to cede it to Manila. The arguments brought forward

by Manila as to the consumption of spice in Nueva España, the bulky

character of that merchandise, the costs of transportation and sale,

duties, etc., are met by Cadiz with others to refute or weaken the

former. The Manila galleon brought to Acapulco in 1729 cinnamon

to the amount of 99,233 libras, and in the following year 167,100

libras. The fleets from España carried thither the following cargoes

of that spice: In 1723, 105,201 libras; in 1725, 143,629 libras;

in 1729, 225,012 libras; in 1732, 182,163 libras. Add to this the

amounts which the Manila galleons transport; those which are carried

in pack-cloth bales [arpillería] (subject to palméo [16]), in order

to gain the benefit of the [reduced?] freight charges; and, besides,

those which the licensed ship from Inglaterra conveys (of which no

definite calculation can be made): it is morally certain that the

annual consumption of Nueva España will amount to and even exceed

the 250,000 libras. Even if it should fall below that, there are

other facts to be considered. It is true that "when the traders from

España, England, and Filipinas all come at the same time--that is,

in the month of March, when the fairs are held (for the first two

nations, at Xalapa; and for the last, at Acapulco)--the price is

usually broken to 18 reals of silver a libra, as the deputies state;

but they omit what is more worthy of consideration. This is, that in

the intermediate years between the trading-fleets, and according to

the circumstances of the times, the price of this commodity rises

to so excessive a degree that, from the year 1706 to that of 1709,

on account of the wars in Europa and the failure of fleets to go

to Nueva España, a libra of cinnamon was maintained at twelve to

thirteen pesos, this great profit being secured by the ships from

Philipinas, which came in those years to Acapulco. And from the year

1725 to that of 1730 (at which time the petitioner [i.e., Pintado]

was in Mexico) I knew from experience that in the ship which came in

the year 1728 the Philipinos sold the cinnamon at five pesos a libra;

and those who did not return in the galleon, and conveyed to Mexico

some quantities of the cinnamon, succeeded in selling it at eight

to nine pesos. In the year 1729, it was disposed of in Acapulco at

thirty silver reals [or 3 3/4 pesos]. This is what occurs, and always

will occur, on the aforesaid occasions of interval [between fleets],

and, too, [it occurred] when the trade was carried on by both parties

(which is what deprives commodities of value, through being handled by

many persons); the exclusive control [of this spice], then, remaining

in the [hands of the] Philipinos, from their being the only ones who

transport it, the reputation and value which they can give it, and

the lucrative profits which (without contest) they will obtain, are

not doubtful." The objections raised by Manila in regard to expected

competition are not well founded: the Company of Philipinas is in an

inactive condition, and its directors have apparently abandoned their

scheme, but in any case Cadiz would feel responsible for not allowing

that company to injure Manila's spice trade; and, as for the English

ship, the king can persuade or prevent its owners from including

spices in their cargoes. The prices of spice charged to Manila by the

Dutch are much more likely to fall than to rise, when Manila has the

exclusive control of that trade. Cadiz asserts that the costs of trade

enumerated by Manila are too large, and modifies them thus: Cinnamon

(of which, as in all other commodities, there are three grades--poor,

medium, and excellent) ought to cost but 8 reals at Manila. The duties

paid there, on the basis of 44 ducados (of 11 reals each) a tonelada,

should be only 13 pesos a churlo, according to its measurement in

palmos; and the other expenses of placing it on board amount to 3

pesos--so that it costs only 154 pesos a sack to convey the cinnamon

to Acapulco, instead of 203, as Manila claims. The profit, therefore,

amounts to 77 pesos, 1 real, which is equal to 50 per cent, instead of

13. In the same way Cadiz reckons the gain on pepper at 96 per cent,

and on cloves at 43 per cent, against Manila's estimate of a loss on

pepper and a gain of 24 per cent on cloves. It must be noted, too,

that Manila is not satisfied with less than 100 per cent gain, while

the Spanish traders are hardly able to make good the principal cost of

their wares. The amount of ballast required for a light cargo is also

overstated; this matter has been duly investigated by the officials of

the India House at Cadiz, and it appears that the maximum amount of

ballast for a ship of 1,000 toneladas, of the usual construction and

of American timbers, is 333 toneladas for a cargo of light goods (such

as cinnamon and bales of cloth). The Philipinas ship carries stone for

ballast; the 333 toneladas of this, each weighing twenty quintals,

are equivalent (by cubic measure) to 117 toneladas of the vessel's

lading-space or capacity, which leaves 883 toneladas of space in the

hold for the cargo. To augment the above amount of ballast would too

greatly reduce the cargo, and even the necessary supplies for the

voyage. Cadiz criticises the construction of the Manila galleons,

especially as they are evidently built so as to carry a larger cargo

than that which is allowed by the permission--as is confirmed by the

large amounts of property that have been confiscated at Acapulco. The

"elephant" lienzos may be estimated to fill 800 bales, each containing

20 piezas, and each pieza being valued at 3 pesos; and the cotton

stuffs and raw silk, etc., 1,512 bales, each worth at least 125

pesos. These cotton stuffs, when fine, are handsome, and find a large

demand and sale in Nueva España; moreover, the raw silk imported into

that country is worked up in Mexico, and is an important article of

commerce. When the importation of Chinese silks is prohibited there,

"the manufactories which had begun to be established in Mexico will

be protected; in these many persons were occupied, and were supported

by working floss and twisted silk into fringes [galon], and into the

fabrics which were used in Mexico, produced by those factories." The

"elephant" stuffs, "being equivalent to Rouen linen, and conveniently

supplied, are purchased in Nueva España not only to be used as white

goods, but they are dyed for linings and other purposes." The extent of

their consumption is shown by the quantities of them that the Manila

galleon brings to Nueva España: 3,117 bales in 1729, and 2,432 in

1730; but even these large importations did not overstock the market

there. The customs duties are not diminished, as Manila claims, by

the prohibition of Chinese silks; the cargo proposed by Cadiz would

yield the regular amount of these duties, amounting to 17 per cent of

the returns, as follows: on 168 sacks of cinnamon, at 32 pesos, they

amount to 54,016 pesos; on 2,312 bales of cotton stuffs, etc., at 30

pesos each, 69,360 pesos; the five per cent exacted on the shipment

of the silver for returns, figured only on a return of 900,000 pesos,

45,000 pesos. This leaves a balance of only 1,624 pesos to be levied

on the wax, pepper, and other miscellaneous wares of the cargo, to

fill out the 17 per cent demanded by the crown. Manila has omitted to

include any estimate of the import duties which would be collected in

that city on the cinnamon which Cadiz desires it to handle; these would

certainly indemnify Manila for the losses incurred by the lack of the

Chinese silks. Among the papers accompanying this memorial are official

certificates of the amounts of spice carried to Nueva España by the

trading-fleets from Cadiz during 1723-32; the quantity of cinnamon

in each has been already mentioned, cloves were not included in any

of their cargoes, and pepper diminished from 54,804 libras in 1723

to none in 1732. Another document is the report of an investigation

made at Cadiz as to the measures of bales and chests and of the

churlo in which the cinnamon is transported; this last was found to

measure 30 cubic palmos outside the vessel's hold, but 38 palmos when

within it. Arquéo is defined as "the computation or estimate which is

made of the bulk of the lading which the ship contains in its hold;

this burden was measured by toneladas, each one of which contained 8

cubic codos, and each codo consisted of 33 dedos of the 48 into which

the Castilian vara (which is commonly called 'the vara of measure')

was divided. The tonelada, having as its [cubic] root two codos,

or 66 dedos, contains 287,496 cubic dedos; dividing this number by

1,728, the number of cubic dedos in a cubic palmo, or quarter of a

vara, each tonelada of arquéo is equivalent to 166 3/8 cubic palmos;

from this it is deduced that if the ship is one of 1,000 toneladas,

it will contain 166,375 cubic palmos, and in the same ratio for any

other tonnage. As for the regulation of the spaces between decks

[entrepuentes] by the capacity of their storerooms, no general rule

could be given, on account of the great irregularity which was observed

in them; for this matter was at the discretion of the shipbuilders,

and according to the object for which the vessel was built."]

237-241. [This memorial having been sent to the fiscal, he replied

(November 10, 1735) that the proposal of Cadiz was not a fair one; for

the purchase of 250,000 libras of cinnamon, and the costs of placing

that amount in the Acapulco market, would amount, even at Cadiz's own

figures, to an investment of 277,008 pesos, and at Manila's to 331,024

pesos, while Cadiz had assumed but 250,000 as the amount to be put

into cinnamon by Manila. The result would be that Manila either would

not transport all that quantity to Nueva España, or would lose part of

the profit on its shipment. The profits at Acapulco are not sufficient,

on either class of commodities proposed by Cadiz, to yield the amount

which is permitted to Manila as returns on its shipments. The spices

can never be an equivalent (as Cadiz would claim) for the Chinese

silks; for a tonelada of cinnamon, which space is occupied with

only 600 libras, is worth at Manila 600 pesos, and a tonelada of

silk goods is worth 4,000 pesos, if not more. The amount of cinnamon

proposed by Cadiz would occupy 416 2/3 toneladas, and the ballast (on

a galleon of 900 toneladas) 300 more; this would leave for the cotton

stuffs, etc. (all of which are bulky goods) only 183 1/3 toneladas,

with which it would be impossible to complete the 250,000 pesos of

investment allowed to Manila. But when they are allowed to carry

Chinese silks, these are contained in 500 piezas, which occupy but 62

1/2 toneladas, each tonelada worth 4,000 pesos; and there remain to

the shippers 3,500 piezas for the cheaper and bulky goods. The fiscal

declares that even if the spices were an equivalent in value for the

silk trade, the proposed commerce in them would be injurious to all

parties concerned. "The losses to the royal exchequer would consist

in the less value of the duties which the 250,000 libras of cinnamon

would contribute [to it] in España than in Acapulco. For in that port

they would amount, as the fiscal has been informed, to 21,944 pesos;

and in Cadiz the import duties alone for the millon and alcavala

pay 34 pesos a quintal of 100 libras, and, with those of export for

the Indias (which, according to plan, are 20 pesos a quintal), would

amount to 160,000 pesos. To this sum ought to be added at least 50

per cent for the greater value of money in Cadiz, where his Majesty

will receive it [for the duties] immediately, than in the Indias; and

with all these the royal exchequer will be defrauded to the extent of

218,056 pesos." The price of cinnamon will rise, when only the amount

actually needed is sold; and this will be a burden on the general

public. If the spice trade be limited to the Philippine merchants,

there is nothing to hinder those of Mexico from "cornering" the market,

and selling such quantities only as they please, at enormous prices;

moreover, the failure of the annual shipment from Manila (which is

possible in any year) would cause great scarcity of this product

throughout the great kingdom of Nueva España, and this would be a

serious injury to its citizens--"especially in an article [like this],

for the lack of which there is no equivalent which can make it good;

nor is its expenditure limited by the variety of uses [to which it

can be put], or by the frequent inconstancy of fashions, like other

merchandise, but depends on a certain and assured consumption." This

compulsory spice trade would injure Manila itself not only for the

reasons already cited, but because it is possible that the Dutch

would refuse to sell the cinnamon to the Philippine shippers; and

then, with the Chinese silks cut off from them, they would find it

impossible to continue their commerce with Nueva España. In any case,

the Dutch would have it in their power to demand whatever price they

might choose to place on their commodities; and the interruption of

that traffic for two or three years would not hurt the Dutch, for

they could sell it to European traders and be sure of their profits;

but the injurious effects of such proceeding would react on the Manila

merchants, the people of Nueva España, and the income of the Spanish

treasury. If at any time cinnamon should bring in Nueva España the

enormous prices which Cadiz has previously quoted, that would not

help Manila, since its returns are limited to 1,000,000 pesos; the

unusual profits would only benefit the Mexican traders who had bought

the spice by wholesale at Acapulco. The assertion of Cadiz that the

Manila merchants gain on the cinnamon 150 per cent at Acapulco does

not count, for it entirely ignores the costs and expenses which,

as has been demonstrated, reduce their net gain to 50 per cent. For

all these reasons, the fiscal declines to approve the proposals of

Cadiz. In view of this reply, the Council agreed (November 16) to

call for a summary view of the whole question, with all the documents

concerned. At this point, information was received from Cadiz that

the fleet which had just arrived had brought a sack of cinnamon as

a specimen of that which was produced in the Philippine Islands, and

that the quality of this surpassed that of the cinnamon brought from

the Dutch colonies. On January 21, 1736, the deputies from Filipinas

presented a new but brief memorial, refuting some arguments by Cadiz

in regard to the proposed substitution of the spice trade for that in

silks, and for this purpose citing a royal decree of 1638 in their

favor, which Cadiz had declared not to be in the Recopilación of

the laws, and proving, by duly attested declarations, that the said

decree existed in the Manila archives. At the end of these appears

a final paragraph by Abreu, the compiler of the Extracto: "All that

is thus far set forth is what up to the present time has been done

and appears in the Expediente of the important and long-standing

negotiation in regard to the commerce of Philipinas with Nueva España,

according to the acts, royal decrees, memorials, and other documents

furnished to us by the office of the secretary for Nueva España, in

order that this Summary [Extracto] might be drawn up and arranged, in

obedience to the order of the Council. The series of the proceedings

in regard to the 'Equivalent' [17] (which this 'Period x' comprises)

remains, however, imperfect until they shall be concluded and ended

by the advisory report of the Council and the decision of the king;

but it seemed best not to wait for that, for the sake of facilitating,

by this Summary, the more exact understanding of the gentlemen who are

to express their opinions in regard to the 'Equivalent.' At Madrid,

May 11, 1736."]

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 14 / 118 题