The Philippine Islands, 1493-1898, Volume 30 of 55

Point third

In case the amount permitted to the islands is increased to 500,000 pesos, or the limitation be placed only on the returns in silver (as is asked and argued in the second question), the declaration of this third topic is not necessary; but if the permission is not enlarged to that extent, and the quantity of merchandise is limited, the petition which the city of Manila has made finds place. In regard to that, moreover, your illustrious Lordship must be informed that the city declares that the commodities which are peculiar to those islands ought not to be included in the amount permitted, but that these should be registered outside of that amount – which should be and is understood to apply to the merchandise from China, and to no other.

Suppose, then, that besides the commodities of China, there are sent in the ships of this commerce some which are produced and manufactured in the Philipinas Islands themselves, and are gathered by their natives and inhabitants – such as wax, white and yellow; talingas,⁸ table-covers, and lampotes⁹ (which are pieces of cotton canvas); blankets from Ilocos, Moro, and Bombòn; and some civet. Of these products a hundred toneladas are usually shipped, for, as they are bulky, they occupy more space than they are worth; but it is actually worthwhile for the citizens to ship these to Nueva España, even though it be to sell them at no more than their cost, because they have no other market for these goods.

The usage which has hitherto been followed in regard to these goods is to ship them registered, and value them, and pay the royal dues, like the rest, without paying any attention to their being included or not in the 250,000 pesos of the amount permitted, although the returns for them have always been included in the 500,000 pesos of money; and in some years when the citizens have not had the cloth from China to fill up the amount of 250,000 pesos, they have done so with these goods – not because they supposed that such shipments were prohibited in other circumstances, but to supply the deficiency with such goods as they could send.

They ask, then, that to avoid uncertainties declaration be made that these goods, when satisfactory proof is given that they are the products of the islands, may be carried to Nueva España without limitation of their quantity, or obligation to include them in the amount permitted. This [request] is based on the fact that the prohibition was expressly imposed for the merchandise of China, which on account of being silk goods injured [the sale of] those which are shipped from España. This is gathered from all the decrees that have been issued in regard to this matter – all of which distinctly state the cloth of China as being the goods which damage [the Spanish commerce] – not that of the islands, which is not of that character.

Another reason is, that no province has ever been forbidden to export to others its own products, for this would be to close to them the intercourse with others which is their right by natural law; and even if its commerce be limited to certain provinces it ought not to be deprived of trade with all the others, but the exportation which it finds least inconvenient should be left to it. From Philipinas the commodities which those islands produce cannot be carried to other parts of the Orient, which have abundance of the same, and even better. As the only consumption of these goods is in the Indias, the citizens had begun to send them to Perù, Tierra Firme, Goathemala, and Nueva España; but of these four trade-routes three are prohibited, because with these goods are shipped those from China, so only the trade with Nueva España remains to them. It immediately follows that for this latter trade the transportation of goods must be free.

Another reason: because there is not a province in this [kingdom] which has not tacit or express permission to export its products to any place where these may have value and be sold, and with their proceeds are sent in return other products which are lacking in that land; for if they could not do this they would be shut in, and not having communication with adjoining lands, the result would be that both would perish, or would come to such poverty that they could not support themselves.

Another reason: because – as is proved in the said memorial, nos. 115, 116, and 117 – these commodities from the islands do not interfere with those that are shipped from España, because they are so different in quality. If the people have the former, they consume them; if not, they cannot supply the lack with the goods from these kingdoms, for these are of much value, and those from the islands are worth but little. Nor does it follow that the poor Indian or negro who buys a vara of canvas from the islands for a real and a half will, if he cannot obtain it, buy the same goods from Ruan for six or eight reals; since it is more probable that he will dispense with the goods, even if he go without a shirt, than possible that he can buy it when he has not enough money to pay for it.

Another reason: because permission is not asked to carry back the returns for these goods in silver, since their proceeds, as being of small value, will be part of the returns allowed for the merchandise of China; and because, in case there is not room for these proceeds, the inhabitants of the islands will sooner cease to ship cloth from China, which costs them their wealth, than cloth of their own country, since they possess it for the gathering, or their Indians pay tributes in it. And for these and other reasons which might be presented, and which will be very evident to your illustrious Lordship in Nueva España as soon as you undertake and investigate the matter, may be inferred the just cause, the readiness, and the need with which the Philipinas ask for the above declaration.

Point fourth

Although the commerce from Perù to Nueva España does not apparently concern Manila, and accordingly it will be deemed that Manila is not interested in the question whether the suspension laid thereon be continued or removed: proof will first be adduced of the injury which the Philipinas Islands experience from that suspension, and then will be presented some arguments, from the many which exist, for the granting of the permission which was formerly current in that commerce.

It is taken for granted (as is mentioned in the said memorial, no. 80) that at the beginning the commerce of the islands and of Nueva España was free to Perù and to all its ports and provinces, in which two kinds of merchandise were trafficked – that from China, and that from Nueva España. The commerce in the goods from China was prohibited, and consequently that in the commodities of Nueva España has been checked; because, as it was decreed that no ships should go, neither commerce could be carried on. A definite form and limitations were imposed upon the commerce in Chinese goods to Nueva España; but the provinces of that country and of Perù remonstrated against the complete interdiction of the commerce that they had carried on together – representing that, even if the trade in Chinese goods were taken away from them, as being foreign, that in their own products ought not to be forbidden to them. The reasons for this petition being considered just and proper, permission was granted for one ship each year, which should sail from the port of Callao de Lima, and go to that of Acapulco; and this ship was allowed to carry goods to the amount of 200,000 ducados in silver, which should return to Perù invested in the products and commodities peculiar to Nueva España – whether in agriculture, stock-raising, or manufactures – and in no others, even if they were the exports of these kingdoms; while the prohibition of Chinese cloth remained in force, under greater and more severe penalties. The trade thus permitted, continued uninterruptedly from 1604 until, on account of certain malicious reports, and less attention being paid to that trade than should have been, it was suspended for a period of five years by a royal decree of November 23, 1634. This decree is, for greater clearness, copied here exactly; it is as follows:

“The King. To Marques de Cerralvo, my kinsman, member of my Council of War, and my viceroy, governor, and captain-general of the provinces of Nueva España. For just causes and considerations which have influenced me thereto, and because I have understood that this measure is expedient for my service, I have decided that, for a period of five years, the ship for which permission was granted to the provinces of Perù to go every year with two hundred thousand ducados for their trade shall not go to those provinces [of Nueva España]. For the execution of this decree I have sent to the Conde de Chinchon, the viceroy of those provinces, the orders proper for this, of which I have thought it best to inform you so that, having understood this matter, you will on your side aid, in what concerns you. I charge you to do so, in fulfilment of the aforesaid command, exercising special and vigilant care that there shall be no infraction of the law, so far as concerns that country; and that no merchandise from China shall be carried from Nueva España to Perù, which is the principal object aimed at. For it is certain that, if in this matter proper care and vigilance be not exercised, whatever is gained by watchfulness and precaution on one road will be diverted by another. At every opportunity that may present itself you shall, without omitting anything, always advise me, with especial care and entire secrecy, how this measure is received by the merchants and trading people of that country; and what advantages or disadvantages result from its execution, in order that, knowing this, I may take such steps and issue such orders in the matter as are most suitable. From Madrid, on the twenty-third day of November in the year one thousand six hundred and thirty-four.

I the King

“By command of the king our sovereign:

Don Fernando Ruiz de Contreras

“Signed by the Council.”

That this suspension of the commerce of Perù is injurious to the Philipinas is notorious. First: because when the ships from Perù do not sail to Acapulco the islands are left exposed to the failure of their [usual] succor in any year when their ships do not make the voyage (as often happens), either by having to take shelter in some port, or being wrecked, or by their late arrival [at Acapulco] – three contingencies which are quite possible, and even usual, as the islands have found by experience. Since in these cases the failure of these ships was formerly made up by those which went from Perù – the necessary supplies of men and money being sent in those vessels – it follows that if they do not go thither, and the former do not come, there will be no ships for this purpose; and in one year alone, if the islands fail to receive the aid which supports them, they run the risk of being ruined – and this may even occur on an occasion of such exigency and danger that afterward they cannot be relieved at all.¹⁰

Second: because the silk that is produced in Nueva España (both woven and in skeins)¹¹ was exported to Perù, since it was the principal commodity included in this permission, and in order to [help meet] the expenses of the country; and Nueva España, not being as rich as Perù, prefers the fabrics from China, which remain at a lower price, so that all those that come from Philipinas find consumption. If, then, the market that they formerly had fails, it is necessary that this [home-grown silk] remain in Nueva España, as being their own product. It follows that so much less will be the use of the silks from China, which were substituted in the place of the Mexican goods when those went out of the country with the trade permitted to Perù. On this account, the commerce of Philipinas has been and is steadily diminishing – to how great an extent may be easily understood by finding the country full of silks and its own fabrics, which are no longer consumed except within it, although foreign goods are brought in. Even if these last are cheaper, they are a hindrance and obstacle to those which are or can be called original [in the country] – an injury which has been already experienced with the last ships from the islands, which as they failed to come in the preceding year, did not find an outlet for their wares; nor could they sell even enough to pay the freight charges and the duties, as is stated in letters from Nueva España, where your illustrious Lordship can learn the facts in the case.

Third: because, although Nueva España has mines of silver – and that metal is obtained from them in the quantity that is known, since the greater part of it all is locked up in the royal treasuries for shipment to España – since much goes out for the ordinary trade of Goathemala, Yucatàn, the Windward Islands, and the coasts of Cartagena and Venezuela, while the bulk of it is laden for these kingdoms, and even is not sufficient for their trade, it necessarily results that silver is lacking for that of Philipinas, and that the islands feel the loss of the 200,000 ducados that Perù was sending, which make almost 300,000 pesos of silver. This amount is not so small as to be undeserving of attention, and is sufficiently large to explain why, for this and the preceding reasons, the islands have experienced so great a decline in their commerce; and for all those reasons have so much difficulty in supporting themselves, that it obliges them to demand relief by all possible and suitable means. Since one of these is, that the trade permitted to Perù be carried on as it formerly was, the islands urge that its prohibition, or suspension, shall cease and be removed.

And since, besides the advantages which have been mentioned, there are others which support this decision – some on the part of Nueva España, and others on that of Perù – and accordingly it is demanded by both kingdoms, it must be observed that it seems just and necessary that there should be intercourse between them; and that, as they are united naturally and morally, being continuous by the land, subject to one crown, included under the government of one Council, having the same laws, and being of the same nationality (that is, the Castilian), trade and commerce should [not] be totally prohibited to them. Nor, [on the same grounds, should the amount of trade] permitted to them be so limited, as it was, to 200,000 ducados – which, considering the richness of those countries, was very little; indeed, their intercourse is so restricted that it is less difficult to send a letter from Lima to Mexico by way of Spain than by the route on which it is now carried. And when it has been ordained by royal decrees and by the customary instructions [to royal officials] that the two viceroys of those countries should aid and favor each other when occasions therefor arise, and when they so frequently encounter enemies by sea and disturbances by land, it does not seem consistent that those who should aid and succor each other cannot hold mutual communication.

Another reason: because with this prohibition opportunity is given for greater infractions of the law, or that merchandise which went with registry may go without it; for hardly is there a year when there are not voyages of prelates and ministers from Perù to Nueva España, and from Nueva España to Perù. Very recently Archbishop Don Feliciano de Vega and Auditor Don Antonio de Ulloa went from Lima to Mexico, and the bishop of Nueva Vizcaya (who went to fill the see of La Paz) from Mexico to Lima, as well as the auditors who were transferred from the Audiencia of Mexico to that of Lima. All these have to go by the Southern Sea; and it is quite possible that, by undertaking to sail at different times – and, because each one [of those prelates] prefers to go as a superior in his own ship, different vessels convey them – two ships would go from Lima to Acapulco, and three or four from Acapulco to Lima, without either of the viceroys being able to prevent the shipment of much silver in the ships from Perù, and much merchandise in those from Nueva España. Moreover, these four or five ships are double that number, because all of them are chartered by the voyage, going or returning; so neither does the Peruvian ship care to remain in Nueva España, nor that from Nueva España in Perù; thus there will be ten ships, five from each country. And all these were rendered superfluous by the ship that belonged to the permitted trade; for since the latter sailed regularly and provided registry, there was sufficient cause for ordaining that the prelates and auditors should journey in it. This is a reason so evident that, even if there were no other, it would be enough for granting and facilitating this commerce.

On behalf of Nueva España, it is mentioned in the said memorial (no. 92) that more than fourteen thousand persons are occupied in the culture of silk, who, if that should fail them, would perish. This industry has two factors: one is, that there be silk from China as raw material [para labrar] and a market for that of the country. If the commerce with Perù fail them, that market (which is their principal one) is cut off; and thus that industry will cease, and the country will lose the wealth that it has which is based on that industry. Moreover, since the trade of the provinces is so closely connected and bound together, that of España will experience the same or a greater deficiency. For, if those who in Nueva España deal in silks, and are engaged in the silk culture and industry, sustained and enriched themselves with the commerce of Perù, and whatever they gained in that direction converted into the commerce of Castilla – consuming, as they necessarily would, the commodities in which that trade consists – it follows that if the people of Nueva España lack capital, and if that of the 200,000 ducados from Perù fails them, the wealth of Castilla will be thus diminished.

On behalf of Perù it is also represented that, when that permission for one ship each year was granted, this matter was examined and discussed, with reports from the viceroys and audiencias, and the more intelligent of the officials, and the advantages and disadvantages on both sides were carefully considered. Moreover, no new causes have arisen, nor have illegalities occurred [in the commerce] which compel the suspension of a decision so suitable, just, and beneficial. And there have only been the proceedings of Francisco de Victoria,¹² who, without caring for anything except to make himself singular and conspicuous, and to show himself capable of what he least understood – with the desire which many have to improve the government, even though it be by ruining the countries – in affairs belonging to the commerce of Philipinas and that of Perù strayed so far from what was fundamental and requisite in them, as may be seen in the arguments in the said memorial, nos. 1 and 2, and from 93 to 119. And, granting for the sake of argument that this [course of action] might have had some foundation: if the suspension of this permission was for five years, either for the punishment of illegal acts, or for reasons at the time expedient, when these requirements are fulfilled, it seems just that those commerces should again continue as before.

Another: because this becomes more expedient in the present emergencies, in which those kingdoms desire to help meet the new impositions which have been levied in all of them since the year 1630: the union of the armies, the windward armada, the sale of new offices, the half-annat, the stamped paper, the increase of the avería on both seas, the incorporation and reduction of encomiendas in both kingdoms, and other matters, which are well known to your illustrious Lordship. And if [his Majesty’s] vassals are not favored in these exigencies by facilitating their commerce, it will be impossible for them, even though they desire it (as they all do), to aid in bearing so great a load.¹³

Another: because this permission was granted to Perù in recompense for what was taken away from that country in the goods from China. That trade was free, as I have said, and those stuffs were shipped from Nueva España in abundance; and thus the provinces of Perù experienced great relief, as the Chinese goods were so cheap that those of Castilla were estimated at three times their price. It was expedient to prohibit the Chinese goods, in order that the commerce of España might not diminish for lack of the wealth of Perù. And, since the welfare of some vassals is not to be gained by destroying the others, in order to repair the loss which was caused by this prohibition to the vassals of Perù permission was granted to them for 200,000 ducados in goods from Nueva España, which are not so cheap as those of China, nor so dear as those of Castilla. This is stated in the royal decrees for the concession, and is inferred from their being of the same year and date as those for the prohibition. If this was the cause, and now it does not cease to operate, but rather is still more active – on account of the commodities which go from España having greatly increased in price, the land being poorer, and the impositions, expenses, and losses being heavier – it may be easily understood that this permission ought not to be refused.

Again: because the principal argument which gave cause for the suspension of this permission was the representation of glaring infractions of law therein. Sufficient refutations to these were made in the said memorial, from no. 94 to 117; but as there they are mingled with those in the commerce of the islands, answer is [here] made to the former more than to the latter (although the one depends on the other). The exaggerated statement is made that the ship which goes every year from Perù to Acapulco carries, instead of the 200,000 ducados of the permission, three millions – an enlargement which is an act of audacity deserving punishment rather than complaisance. [This is preposterous: ] first, because even in transgressions of this character there is usually some moderation; and never before has it been seen, heard, or supposed that where two [pesos’ worth] were permitted the amount concealed would reach thirty. Second, this ship which went to Acapulco was one of 200 toneladas. The galleons on the India route, which go only to carry silver, and are of 600 to 800 toneladas, do not carry more than one million each year; and the capitana and the almiranta, which are larger, carry a little more. Therefore, if a galleon of 800 toneladas does not carry a million and a half, how could a ship of 200 toneladas carry three millions? Third, it may be asked why all that money went to Nueva España. Reply will be made, “with the royal decree for the permission,” and with the argument (which is very evident) that the money went thither for investment in merchandise, and not to be left there, or to come by that route to España; for the one would be folly for its owners, and the other a blunder, since it would involve greater costs and risks. Then if (as is evident) the money must return invested, and in the same ship, or in another of equal burden, who ever said or imagined that that ship, with a burden of 200 toneladas, can carry the investments of three millions? If this sum be in silver, it is impossible to do so, as is proved; but the same is true if it be in merchandise. The ships which come from Eastern India to Lisboa are of 1,500 toneladas, and some of 2,000; and whatever goes beyond a million in the entire lading is very profitable, and is largely composed of diamonds, rubies, civet, and musk, commodities which are not bulky. Then how could a ship of 200 toneladas carry a cargo of taffetas, velvets, silk in skeins, coverlets, beds, tents, cabinets, and other like articles, to the extent of three millions of investment, which in Perù would be four or five millions? Fourth, because it cannot be said that the ship, since it does not carry three millions of silver, will carry two millions, or one – which also is a great transgression of the limit set. It is proved by experience that neither three nor two millions, nor one, nor [even] half a million can be invested in [the cargo of] a ship of 200 toneladas – which with 200,000 ducados of silver converted into merchandise (which in Perù will be worth 300,000), and with the people, and supplies for three months (the time spent in going from Acapulco to Callao de Lima) will sail so well laden that no considerable quantity can be carried outside of the registry. Fifth, and last, because if this ship carried three millions, we must find a source for this silver, and a halting-place for it. There is no source [for that amount], because the silver produced from the mines of Perù, whether computed at a little more or less, is shipped to España every year, without an error of three millions. But if Perù retained so much silver, if from the year 1636 no ship has gone to Acapulco (and it is not to be supposed that the merchants keep their funds idle) from that time the exports from Perù would be heavier; but if we abide by experience (which is in this matter the best proof), the opposite is well-known. As little is a halting-place found for that silver, since [what there is] remains in Perù, on account of not having permission. Finally, we say, and it is known, that no more silver comes [from Perù] than did formerly, nor even as much. When it was going to Nueva España, the necessary effect of carrying three millions would have been to engross both the commerce of that country with Castilla and that with Philipinas; that those two should share the greater part of the silver; and that, when it ceased, both should feel the lack. The trade of Philipinas has had less return than formerly, not for lack of silver, but because Don Pedro de Quiroga did not give them permission to ship the returns for two years, and therefore the silver remained in Nueva España for that reason. As little has the commerce of Castilla experienced a considerable reduction, and not one in proportion to the lack of Perù’s millions; and thus is proved that this permission for Perù never had the infringements that are represented, either in the quantity that is stated, or in any other considerable amount. [It is clear] that it ought to be decreed that, since the [term of the] suspension imposed upon that commerce is completed, it shall again proceed as is demanded in behalf of Philipinas, and has been requested on behalf of Mexico and Lima – the matter being referred to the investigation of your illustrious Lordship, who, after considering the reasons here mentioned, will decide it with the perspicuity and equity that the matter demands.

His Majesty has also given commission to your illustrious Lordship that, having heard the citizens in regard to the claim which they make of not being included in the two compositions of 630,000 pesos, the share of it which was levied upon them may be returned to them; since his Majesty says in his royal decree that he does not wish them to pay what they do not owe. Since all the considerations and arguments are fully stated in the said decree, I will, in order not to weary your illustrious Lordship, refer you to it, which also is very convenient, as will be seen, in serving to throw much light upon the affairs which your illustrious Lordship has to arrange and settle.