62. The Marqués de Valero in the letter here cited of March 8, 1720, urging what he had set forth in previous letters in regard to the difficulty which he encountered in carrying out the decrees which prohibited the commerce in silken fabrics, also spoke of the new distress in which the islands were, on account of the plague of locusts, failure in their harvest of rice, and the scandalous proceedings of Governor Bustamante. The viceroy said that it seemed to him better for the service of God, and that of his Majesty, to delay the regulations which changed the method in which that commerce had been conducted, until his Majesty should make such decision as pleased him in regard to the viceroy’s previous memorials; and he said in conclusion that he had also found it desirable to make this suspension of the decrees because the emperor of China had hindered his vassals for the last two years from trading with the islands—which had resulted in the galleon of that year carrying but few silk goods. Consequently, the greatest scarcity of that merchandise had been experienced, for, even before the arrival of the ship, a libra of silk spun [beneficiada] and dyed was worth 26 to 28 pesos.
63. In consequence of this order of his Majesty there were sent to the consulate of Cadiz copies of the decrees of the year 1718 and of the letters of the Marqués de Valero which have been noted, in order that the consulate might report in regard to its opinions, fully and clearly stating the inconveniences, or the advantages, which might follow the prohibition of the stuffs, silken fabrics, and other merchandise from China. They answered this in a letter of July 16, declaring that on this subject they had made on different occasions the representations which were contained in two official documents which accompanied, and that nothing occurred to them to be added to these (which are the ones noted in nos. 46 and the following, “Period v”).[12] Orders were given that the fiscal should examine the whole matter anew; and he in his reply of September 11, in the same year, 1720, taking into consideration what he had stated in another of January 10 preceding (which is the reply that is indicated in no. 56), added, that the consulate only complained in its memorial and in the remonstrances of its merchants of the illegal manner in which the commerce of Philipinas was carried on; and the fiscal asked that this be restricted within the limits of the permitted amount.
64. He stated that it was a mistake to assume that the permission was only for the products belonging to the native citizens of Philipinas, because the laws which permitted this commerce did not contain such limitation, and continual usage had excluded it; for always the islands had traded in silken fabrics without hindrance, for with the products of the country it would be impossible to carry on an annual commerce to the amount of 300,000 pesos.
65. That the absolute prohibition of that commerce which the consulate proposed in its memorial (it is not in the Expediente), following the precedent of prohibiting the commerce of Peru with Nueva España, ought not to be considered. For the latter prohibition left both those kingdoms free to trade with Castilla, by which the lack of commerce between them was made endurable; but this result could not occur with Philipinas if the commerce of Nueva España were prohibited to them, since there remained no other of which they could avail themselves.
66. That, if the products of the natives of those islands were sufficient to make up the annual [amount of] trade to the extent of 300,000 pesos, it would be just and reasonable that the commerce in silken fabrics be prohibited to them; but as the aforesaid viceroy positively stated that those products were not sufficient for that purpose, it would not be right to deprive them of this privilege without further knowledge of the subject. The conclusion of the fiscal was, that orders should be given to observe the royal decree of August 12, 1702; and that the viceroy and Audiencia of Mexico, and the governor, Audiencia, archbishop, and royal officials of Manila, should send in information very clear and detailed on the question whether the products of the country could fill up the amount, [of exports] assigned to that commerce.
67. The Council, in view of all that is mentioned in this “Period vi,” and of a summary of the context of the letters of the Marqués de Valero, and of the replies of the fiscal, were of opinion, in their session of September 23, 1720, that his Majesty should be pleased to command a repetition of the orders given for the fulfilment of the regulations issued on August 12, 1702, and September 13, 1712—with a strict stipulation that the Philipinas ship should not sail with an investment which should exceed 300,000 pesos, and that to be in the commodities which were specified [therein], with exclusion of every kind of silken fabrics; and with other measures and statements which are contained in the despatches that were issued for the enforcement of those decrees, dated October 27, following, of which mention will be made.
68. At this session it pleased his Majesty to make the following decision: “I agree entirely with what the Council proposes; and the corresponding orders shall be immediately given, with the most punctual and strict charge to the officials whom this concerns (and especially the viceroy of Nueva España) that all the above orders shall be carried out promptly, without any objection or alteration—with the warning that, if any neglect or delay in fulfilling this decision is experienced, proceedings shall be brought against them as disobedient to my orders. And in order that those officials, as also private persons in Nueva España and Philipinas, may be fully informed of this determination, a decree shall be drawn up with the utmost clearness and precision, which shall include the whole of this business. This decree shall serve as an ordinance, in which, without reference to others, shall be expressly stated what every person must observe in this commerce, and the penalties which transgressors will incur, in accordance with what the Council proposes, to the end that, by placing an authentic copy of it at the heads of the registers on the ships from Philipinas and making it public, no one can allege ignorance. The Council shall pay especial attention to the manner in which proceedings shall be taken in this matter, not only in Nueva España but in Philipinas, in order to secure the punishment of those who disobey my orders, and of those who shall delay their execution.”
69. In consequence of this decision the royal ordinance which was mentioned in it was drawn up, with date of October 27, 1720. It was addressed to the viceroy Marqués de Valero, and the Audiencia of Mexico; the royal officials of Acapulco; the governor, Audiencia, and fiscal of Philipinas; and the archbishop of Manila; and copies of it were given to the consulates and merchants of Cadiz and Manila, at their request, in order that they might print it. Its tenor is as follows:
70. [This decree is addressed to Marqués de Valero, viceroy of Nueva España. After rehearsing the arguments brought forward in previous letters received from Valero, the decree ordains the following rules for the commerce of Philipinas: Two ships shall go annually from the islands to Nueva España, each of 500 toneladas. “The value of the lading which the said ships are to carry from Philipinas to the port of Acapulco may be up to the amount of 300,000 pesos, which must come invested strictly and solely in the following kinds of merchandise: gold, cinnamon, elephants, wax, porcelain, cloves, pepper, cambayas and linens woven with colors [lienzos pintados],[13] chitas, chintzes, gauzes, lampotes, Hilocos[14] blankets, silk floss and raw silk spun, cordage, and other commodities which are not silks.” These ships are prohibited from carrying silken fabrics, “satins, pitiflores, velvets, damasks, Pekin silks [Pequines], sayasayas, brocades, plain satins, grograms, taffetas; silver and gold brocades; embroidered pieces of silk stuff for [covers of] beds, the [hangings for] drawing-rooms [estrados], and women’s petticoats; silken gauzes flowered with gold and silver; pattern pieces for petticoats, figured or embroidered; dressing-gowns, chimones, or made-up garments; hose, ribbons, or handkerchiefs; or any fabric which contains silk.” The penalties for transgression of this order are confiscation of such goods, payment of three times their value (this amount to be shared between the royal fiscal, the judge, and the informer), and perpetual exile from the Indias; and the confiscated goods are to be burned. Declarations of goods shipped are absolutely prohibited; those who are permitted to trade must be chosen by the city of Manila, without the aid of any official; the duties to be paid are fixed at 100,000 pesos for each voyage, with the express stipulation that this payment is to be called adjustment [regulation] of duties, and not indult; no religious person and no stranger may be allowed to ship goods; every shipper must present an itemized invoice of the goods sent; the ships must not be overloaded; no right to lading space may be transferred to another person. Provision is made for inspection, valuation, and landing of goods, and for the disposition to be made of such as shall be confiscated; and the limit of six months is fixed for the disposal of all Chinese silk goods that may be on hand in Nueva España when the decree is published, after which time all that are found must be burned.]