Part 19

72. In a long memorial presented to the governor was set forth in detail the motives on which they based this action; and when orders had been given that the fiscal of that Audiencia should examine it, although he recognized that their statements were correct, and that the islands could not maintain themselves on the system of commerce which had been laid down, he demanded that orders should be given to fulfil the cited royal decree, and that the city and merchants should appeal to his Majesty who, there was reason to expect, would take care of his vassals there, and of the interests, both spiritual and temporal, which were concerned in it--and the governor gave orders to that effect. Although the city and the merchants by a second memorial insisted upon a suspension of the above regulation, demanding that, in case there was no room for it and for continuing their trade in silks and stuffs as heretofore, at least he should declare that they were not obliged to invest their funds in the commodities which were prescribed to them, as it would occasion their total ruin (and they demonstrated this): nevertheless, the governor, bearing in mind that the damages to his Majesty would be no less, if the galleon for that year should go empty, commanded that, in accordance with the amount permitted by the cited regulation, they should make the distribution of the [permits to ship] merchandise as his Majesty had commanded. The city and the merchants, with the hope that his Majesty would give attention to the urgent representations that would be made by the commissaries whom it had been agreed to despatch to the court, agreed to continue the commerce meanwhile conformably to the despatch of 1720--sacrificing out of respect to his Majesty, and in order to maintain the religion established in those islands, their own wealth, which necessarily must be ruined and lost in a commerce so useless and unfortunate as that to which they were reduced; since the bulky commodities, on account of their abundance and poor manufacture, would not allow them to gain ten per cent, since the risks extended to fifty per cent.

73. The city of Manila, in order to render commendable and frame in more formal manner its appeal from the aforesaid decree of October 27, 1720, which it must bring before the royal person--not only for the continuation of the traffic in the silken fabrics, but also for the increase of its permission from the three hundred thousand pesos which it was enjoying to five hundred thousand--came before the Audiencia and presented before it the arguments and reasons in favor of both these requests. After explaining the losses that would arise from the desolation and depopulation to which the islands would come (which the Audiencia took into consideration in its memorial, as will be noted) the city added that when in Manila there were only 230 citizens (which was in the years 1636-37) returns of 500,000 pesos were permitted to them; but since in the year 1722 the city had 882 citizens, and there was an increase in the charitable foundations, which placed 150,000 pesos at risk on each galleon, the necessity was evident of increasing the permission to 500,000 pesos--350,000 pesos for the citizens, and 150,000 for the charitable foundations. This increase in the number of citizens made necessary the expansion of the permission, from the very fact that in the year 1702, in which there were only 400 citizens, his Majesty had permitted 300,000 pesos of investments, and 600,000 pesos in returns.

74. It was also expedient that permission be given to the seamen to transport in their own chests goods up to the amount of 40,000 pesos of investment, on account of the importance of interesting them in the defense, [80] and in order to facilitate that in provinces so remote there should be Spaniards who would serve as artillerists and seamen, since their wages alone, in voyages so arduous and long, could not be sufficient incentive. In order that that commerce might be regulated and infractions regarding the lading be avoided, an arrangement was proposed to his Majesty in which the annual investment was reduced to 3,200 piezas of the regular sizes--half-bundles, bags, sacks, [churlos, balsas (for bolsas)] cakes of wax, and other like packages of bulky commodities, and three hundred half-chests of goods from China, in order to supplement the said 3,200 [81] piezas. Consequently, at the despatch of the galleon there would be nothing else to do except to distribute the said piezas and issue the permits for its lading--collecting 10,000 pesos for the royal duties, at the rate of two per cent, for this purpose rating the 3,200 piezas at 128 pesos and 1 tomin, and the half-chests at 300 pesos and pay at Acapulco thirteen per cent, regulating the 3,200 piezas at 256 pesos and 2 tomìns, and the 300 half-chests at 600 pesos each. This would result in the royal duties at both ports amounting to 140,000 pesos, and in return would be brought back, for the account of the permission, a million pesos; and thus would be avoided sworn declarations, and other dubious measures to which the previous regulations were subjected.

75. The Audiencia of Manila in a letter of November 9, 1722, taking into consideration another which they had written on August 6, 1713, in which they set forth the losses which that commerce had suffered--in [the wreck of] their galleons, the unsuccessful fairs of Acapulco, and the excessive pecuniary extortions that they had suffered in Acapulco on account of the royal duties and in other ways--to the end that new measures might be taken by his Majesty for the rigorous reëstablishment of the commerce of those islands, describe (influenced by the urgent representations made by the city and by previous information obtained by each auditor) the affliction which has been caused by the new decree of October 27, 1720. They declared that they judged necessary for the maintenance of these islands and the propagation of the holy gospel, not only the permission for the silk and the stuffs prohibited by the cited despatch, but also the increase of the permission from 300,000 to 500,000 pesos. The Audiencia affirmed that the Spaniards could not exist without this commerce, because the culture of the fields was in the hands of the natives and the management of the guilds [gremios] in those of the Sangleys and their mestizos; that the salaries and pay with which the military officers, soldiers, and civil officials were recompensed did not reach half the annual expense of their families, in consideration of which it was commanded to include then the distribution of the lading of the galleons; and that, while the permitted amount was 300,000 pesos, and the number of citizens so great, the investment of each one, even if all were alike in wealth and services, did not amount to 400 pesos, the profit on which was not enough for the proper support of a man who was not actually poor, and on this account they could not increase their wealth. When the Europeans see that it is useless to transport goods to those regions where there is not, outside of commerce, any motive which would induce them to remain, or which would bring other new traders, those who consider the matter have reason to fear that in a few years the capitals of those who live there will be consumed, and that others will refuse to enter into the same experience; then Philipinas will be left to the Indians and Sangleys, the gospel ministers without the guards of Spaniards for their protection, the military posts without garrisons, the natives without any control, and everything on the blink of a deplorable ruin.

76. That with the commodities which were allowed by the said royal decree, the lading of the annual galleon could not reach the gross amount of the 300,000 pesos of the commission. From this it resulted that that amount was diminished and the traders exposed to evident loss in Nueva España, on account of the abundance of those very articles of merchandise; and that would result in cutting off the proceeds of the many and large charitable funds, founded on the merchandise risked in those galleons, for the support of clergymen, hospitals, convents, divine worship, dowries to orphan girls, and many other alms--which, even though they were no more than those which were administered by the brotherhood of La Misericordia, and by the tertiary Order of St. Francis, were of the greatest importance, and their failure a most notable affliction to all the islands.

77. That by the exclusion of the stuffs and silks, which were the principal articles of commerce of the islands with China, all that commerce [i.e., with Nueva España] would come to an end, since all the rest was of so little value that it could not, without the substantial aid of the silks, allow any profit. From this would result another great difficulty in the propagation of the holy gospel, that if the Chinese do not come to the trade they will lose the opportunity for conversion which so many have attained, attracted by familiar intercourse with the Spaniards, with the occasion of this commerce, and there would be great difficulty in introducing the gospel ministers into those dominions; and these are motives which have always engaged the chief attention of his Majesty, to judge by the laws. The Audiencia concluded by expressing the opinion that the prohibition of the silks should be removed, and an increase be granted in the permission to 500,000 pesos, with the number of piezas which the city was proposing--this regulation being made in proportion to the number of citizens, in order that the islands might maintain themselves, and thus obviate the serious inconveniences that were experienced; and, as for the duties which the city proposed, this question was referred to the decision of the Council.

78. The fiscal of that Audiencia, Don Pedro Bedoya, [82] in a letter of November 15, in the same year, 1722, in consequence of the duplicate copy which he received of the royal decree of October 27, 1720, states on his part--after repeating his previous opinion regarding its execution, as given to the city of Manila, the action taken by the governor, the recourse by the city to the Audiencia, and the report made by that body--what his opinion is, in fulfilment of his obligation, in regard to the memorial of the city and the merchants; it is brought under four heads, which are:

I

The necessary dependence which the maintenance of these islands has on the commerce, in order that the Spaniards may maintain themselves in them; and the benefit from the charitable funds, in which are annually expended 75,000 pesos--which sum proceeds from the trading of the 150,000 pesos which are carried in the annual galleon on account of the said charitable funds.

II

That if the prohibition of the stuffs and other commodities from China remains, their former control of the trade therein will be disturbed, and the royal decrees issued for this purpose (some of which are compiled [83]) will be subverted--such as those which command that the commodities which they convey shall be bought from the Sangleys; and that if this [Chinese] commerce is prohibited that of Nueva España becomes unprofitable, as the bulky commodities do not fill up the amount of the permitted trade, and it will not be possible to pay the cost of traffic in them without those from China.

III

That for the maintenance of these islands, the support of the Spaniards, and the success of the charitable funds, it is necessary that the amount permitted be increased to 500,000 pesos and a million of returns, with the inclusion of the fabrics from China.

IV

The regulation of the lading, in order to avoid infractions of the law [is necessary]; as also that the dubious and burdensome obligation of making sworn declarations be laid aside, and that the quality and number of the commodities which are transported must appear in the registers.

79. [These points made by the fiscal are discussed at length by him in a report addressed to the king, dated November 15, 1722. Among other things, he states that the merchants prefer one galleon of 800 or 900 tons burden to two of 500 tons each, as being less expensive (on account of requiring fewer officers and men), safer (as carrying larger cannon) and less exposed to danger from either enemies or storms, than the two smaller vessels; that the industry and love of gain displayed by the Chinese who reside in the islands have secured to them the control of all the crafts and useful arts, and of the commerce of the islands save that with Nueva España, which is therefore the only resource of the Spanish citizens; that the current rate of income [84] is but five per cent in the islands, while that commerce brings in fifty per cent; that most of the rural estates [haciendas] are possessed by the religious orders; that houses constitute property of little value, on account of the frequent fires and earthquakes; and that consequently the charitable foundations [obras pias] have been necessarily based on the Acapulco trade. It is also declared that the annual situado from Mexico amounts to no more than 50,000 or 60,000 pesos, while the annual budget of the government expenses amounts to 500,000 pesos, which the royal treasury of the islands must pay from the proceeds of the duties on merchandise. The request of the Manila citizens for a permission to send 500,000 pesos' worth, in 3,500 piezas, is very moderate; as the trade has been conducted, the 300,000 pesos' worth has made 4,798 piezas, for the last five years--which is evidence of the infractions of law which have been committed in that commerce. Moreover, the proposition of the city that the duties belonging to the crown be levied on the number of the piezas, will be likely to prevent many of the frauds which are now practiced in this direction. The fiscal opposes the request of the city that the seamen be allowed an increase of the small amount already allowed them, free from duties, for investment on their own account, declaring that it will but increase the illegal trade already prevalent, and that the proposition to allow them 40,000 pesos' worth of trade (with twice that amount in returns for the merchandise) would allow the seamen a greater investment than even the citizens, since the former average only 115 men to each galleon. He advises that the officers of the ships be permitted to have a share in the lading of the ship, in place of their present wages; and that one large galleon be occupied in the trade to Acapulco, rather than two small ones. He reminds the king of the opening afforded by the trade between Manila and China for the conversion of the Chinese and the entrance of the gospel into that heathen empire.]

80. [The treasury officials at Manila also write, seconding the proposal to despatch one large galleon; and they add that the royal exchequer of the islands will be ruined if the decree of 1720 is enforced, "for the commerce would cease, and consequently the royal duties which it was producing."]

81. The archbishop of Manila, the dean and cabildo of that church, and the provincial of the Society [of Jesus], in their letters of November 6, 7, and 8 of the same year, support the entreaty of the city; they deprecate the ruin (both spiritual and temporal) of the islands, and express the same opinion as that of the Audiencia and the fiscal, as will be seen by their letters, which follow below.

82. The provincials of St. Dominic, St. Francis, and St. Augustine (both calced and discalced), in their memorials of the same year expatiate on the necessity and advantage of changing the aforesaid decree of 1720, and granting likewise to the islands the increase of the permitted trade which they solicit; and they reproduce in detail what the other prelates and ministers say.

83. [The letter of the archbishop (Fray Francisco de la Cuesta) states that he has been urged to write it by the city and merchants of Manila, and the bureau of the Misericordia; and he begins, very naturally, by arguing that the religious interests of the Philippines and of China depend upon the maintenance of the commerce of the islands. He refers to the opposition made to it by the merchants of Andalusia, which he thinks has no good foundation, since their trade with the other European nations drains from España more money than does that of Filipinas from Nueva España--this last being their ground of complaint against the Manila trade; but even if the Sangleys and other heathen carry away silver from Manila, "they have not harmed the [Spanish] crown, and are friendly to the [Christian] religion; while it is certain that the European nations, even if they are not all opposed to religion, at least have been at various times hostile to the crown, and that the amount annually transported by the said nations to Great China and other heathen kingdoms exceeds four millions [of pesos].... And although the argument [of the Andalusians]--that the fabrics from China cause injury, at the expense of those which are transported from Cadiz--would have some weight if all the fabrics in which the Andalusians trade were manufactured in España, since they are not made there the above argument has very little value." The Spaniards in Filipinas regret that so grievous burdens and restrictions are laid upon them through the influence of the Andalusians, and especially that the result of these must be very detrimental to the charitable funds which so greatly depend upon the Acapulco trade. Two-thirds of these, or 100,000 pesos, belong to the Misericordia alone, whose educational, religious, and charitable labors are so important to the public welfare and the maintenance of the Spanish colony in Filipinas; the remaining 50,000 pesos belong to other institutions. The archbishop therefore urges the king to accede to the requests of the Manila merchants.]

84. [The dean and cabildo of the Manila cathedral also support the merchants; they fear lest the income of the church will suffer from the impaired condition to which the decree of 1720 threatens to bring the Filipinas colony. They adduce similar arguments to those contained in the preceding letters, all taking for granted that the prohibition of Chinese silks means the ruin of the Acapulco trade. Incidentally this letter states the following facts of interest: "The poverty of the soldiers is such that they always go about as mendicants and in need; for as they receive no more pay than that of two pesos and a fanega of rice--which is given every month to the soldiers, but to the convicts who serve [forzados] in the troops only the rations--if they could not find refuge in the aid given by the citizens, the alms from the charitable funds, and the broken food at the convent doors, and in what the more industrious can earn by doing errands, they would certainly perish." The prebends of the cathedral find their salaries--which range from 500 to 200 pesos yearly, besides the dean's 600--pitiably small and inadequate, and they must even resort to the charitable funds and to the gifts of friends to eke out their incomes. The same difficulties beset the parish ministers; but worst of all is the condition of the poor clerics who receive no pay, who have no income save occasional offerings for masses and the alms of benevolent persons.]