COMMERCE OF THE PHILIPPINES WITH NUEVA ESPAÑA
PERIOD III
Occurrences from the year 1640 until that of 1702, and from this year until 1712.[1]
17. Although there is no evidence in the Expediente[2] of what resulted from the commissions given to Señor Palatox by the decrees which may be seen at the end of the preceding “Period,” one consequence was that the Philipinas trade with Nueva España was continued, in the form which we shall soon describe. For the viceroy of that kingdom, Conde de Paredes, when he was in office made remonstrances at various times from the year 1684 until 1686, in regard to the great confusion which always had been experienced in the valuations of the cargoes on the ships from Philipinas which arrived at the port of Acapulco; and he declared that none of the measures which had been employed had been sufficient, so that they could regulate the duties which the merchants of those islands ought to contribute, nor for preventing the illegal acts and frauds which were committed, to the injury of the royal treasury. He had therefore found it expedient to make the regulation (as he had done) that every ship of those which came to the above port of Acapulco should compound its customs duties [indultasse] in the amount of 74,000 pesos; and this had been the practice until Conde de Galve had gone to fill that viceroyalty, and he gave an account of this matter.
18. On receiving this information, despatches were sent on June 5, 1697, to the viceroy and Audiencia of Mexico and to the governor and Audiencia of Philipinas, informing them that the said arrangement had been revoked and annulled, since it was contrary to what had been commanded by laws, decrees, and royal orders, and for many other serious and just reasons. Both of these governments were commanded to cause the publication of the revocation and annulment of the above arrangement, and were ordered to take especial care in the administration and careful collection of the duties which the merchandise in that traffic ought to contribute—most strictly observing the regulation that no more goods should go from those islands than amounted to 250,000 pesos, nor should more than 500,000 be allowed to go back as proceeds. Moreover, this commerce must be strictly confined to citizens born in Philipinas, and prohibited to those of Nueva España; for any goods which should be found belonging to the latter must be considered as confiscated, and those which should come outside registration, if they belonged to those islanders, must pay double duties. The declarations [manifestaciones] of these goods must be made within the limit of six hours, or at most of twelve, which was fixed as the utmost allowance of time. It was most strictly commanded that for the future they should no longer allow the declarations of [registered] merchandise which until then had been permitted, that the ships in that commerce should not exceed a burden of four hundred toneladas each, and that they must be the two which sailed each year to the port of Acapulco.
19. These orders having been received and published in Philipinas, the city and the merchants of Manila set forth the difficulties which were arising from the mode in which their trade was carried on. They entreated: first, that there should be only one ship in that trade, having a capacity of 1,200 toneladas, and not two, as had been decided; second, that the amount of 250,000 pesos, stated in the permission which had been granted them, should be increased; third, that in return should be brought back the entire amount which the merchandise should produce in Acapulco and the kingdom of Nueva España, and that it should not remain limited to the 500,000 pesos to which it had been restricted. They offered, for the regular voyage of each year, to make a contribution to the treasury [servir con] of 100,000 pesos, on account of the duties; and they asked that, when it should appear that these dues had been paid, neither the royal officials of Acapulco nor any other officials should meddle with the registration of the goods that were landed at the arrival of the ship, nor with the embarkation of the silver on its return voyage, but that both these should go free.
20. In order that the distribution of the lading-space which was made in these islands should be equitable, the decision was confirmed which in 1699 had been made by the governor of the islands at that time, commanding, in regard to the statement that this distribution was not made among the citizens, whose qualifications [for this] belonged exclusively to that city, that the municipality alone, without the intervention of any other official, must send the list of the citizens to the committee which met for this purpose; and that the said distribution should be made among the persons included in the above list of citizens, without that government or the Audiencia being allowed to have any discretionary power in this matter.
21. In view of this remonstrance, and of the demands made by the kingdom of Peru (in regard to opening to it the commerce by way of Acapulco), by the provinces of Nueva España, and by the consulate[3] of Andalucia—which set forth the weakened and diminished condition of commerce in these and in those kingdoms, through the excessive amounts of cloth and other commodities which were coming from Philipinas, in the ships allowed to them, to the port of Acapulco—the Council proposed to his Majesty in a report dated July 7, 1703, the measures which it regarded as expedient for the regulation which must be made in the commerce of Philipinas; these his Majesty was pleased to approve, and their contents may be reduced to the following points:
22. That in the Philipinas Islands two ships should be built, each of 500 toneladas burden, which should transport the goods permitted to that trade; that the citizens should be authorized to convey in these to Nueva España the amount of 300,000 pesos in their products and other commodities, and on the return to Philipinas to carry 600,000 pesos in silver, allowing 100 per cent gain minus the duties and expenses. Among other things which they were commanded to watch over for the regulation and observance of the said commerce are the following: