The Philippine Islands, 1493-1898, Volume 30 of 55. Aduarte Diego
represented that the infractions in the Philipinas trade, considering their amount, cause more loss than those in the commerce of España, especially in the exportation of the silver – since that which is brought in the galleons outside of the kingdom finally comes to Castilla; and that which is carried in the ships of Philipinas soon finds its way to China, and thus is lost, and the commerce is taken away from the vassals of this crown – reply may thus be made. The illegal shipments on the Philipinas route cause much less loss than do those on the India route, as is incurred when a galleon laden with silver is lost at sea, as compared with one that is captured by enemies; in the former case there is only our own loss, but in the latter is the same loss, and an advantage to our enemies. It cannot be denied that the silver which goes unregistered in the ships of Philipinas is lost, but no enemy of this crown benefits thereby; for that silver comes to a halt in China, from which country it never emerges – as is stated in the said memorial, no. 72 – nor does it work any harm there, whether it be more or less; for neither do we wage war with China, nor do the Chinese aid any other nation which wages war with us. As for the silver which comes [to España] unregistered in the galleons, those who best understand the subject consider that it would cause less damage if it remained in the Indias (and even some extend this idea to its being lost in the sea); because, under the pretext of its coming concealed, it either does not come into Sevilla, or, if it does come in, soon goes out again. In both these cases, it remains in the hands of the French, English, Flemish, and Portuguese, and most of it is anchored in their ships, by which Inglaterra, Francia, and Holanda are enriched; while that which goes to Portugal is carried to India, and there it is shared by the Dutch, Persians, Arabs, Mogous, and other hostile nations, until it reaches China, which is its center [of equilibrium]. It may be judged, then, which is the greater injury; and since the loss caused by the illegal shipments on the vessels of Philipinas is less, let that be done with those ships that is done with the galleons. But let it not be proposed that the commerce be taken from them, or its amount limited, or that unusual methods and severity be employed in dealing with them, since these are not used in the commerce of the Indias, and, comparing them together, one is no less necessary than the other.
From these considerations we draw the final conclusion that if the Philipinas Islands are, as has been proved, absolutely necessary to this crown on account of the eminent advantages and benefits which result to it from them, and that, in order to preserve them, there are but two methods: one, for his Majesty to support them; the other, to grant them commerce by which they can sustain themselves – the first costly and difficult, the second easy and obvious – the latter ought to be accepted and carried out. [This can be done] by giving them the commerce which they have hitherto enjoyed with Nueva España, to the amount that is expedient, and in the usual manner, without adding conditions that will diminish or render it difficult; for that will be to withdraw and consequently to destroy and end it, and with it those islands, which are so important to this Catholic monarchy. Your illustrious Lordship will make such report on this point and argument as [his Majesty’s] vassals there expect and desire from your great ability and zeal.
Point second
As for the permission [to trade] which the islands have enjoyed since 1604 – which is to the amount of 250,000 pesos that may be carried in merchandise, and 500,000 pesos which may be sent back in silver, on the two ships which are allotted for that trade – the islands have petitioned his Majesty that he would graciously increase the 250,000 pesos’ worth of merchandise to 500,000, and the 500,000 pesos of silver to 800,000; this is referred to the inquiry of your illustrious Lordship. And although I have in the said memorial discussed the main arguments for this request, I will, since these are related to the entire subject of those islands, here reduce them to six or seven principles.
First: because, as I have stated and proved, this commerce began in the year 1565, and was carried on without any restriction of its amount until 1604, when it was limited to the amount above stated. The islands could endure this limitation because they then possessed three attributes which they now lack. The first was, that the citizens were rich and strong through having enjoyed free trade almost forty years; and therefore they possessed, and have had thus far, the means to bear expense and losses. But since, from their trade being reduced to so small an amount, it resulted that their profits were diminished and their obligations increased; their fortunes have so steadily declined that, if the trade permitted to them is not increased, they cannot improve their fortunes, nor even preserve the remnants of these. The second was, that those islands had few enemies, and were less infested and harried by them [than now]; for until the year 1600 neither did the Dutch cause any anxiety in those seas, nor was there any other nation which visited them with hostile acts or fleets. Since that year the profits obtained from the cloves, the plunder of the ships from China, and friendly relations with the Japanese, have all been such inducements to the Dutch to frequent the seas in that region that they have kept the [Philipinas] Islands continually in arms, rendering them an active military frontier. Hardly a year has passed without a sea-fight; and, moreover, the Dutch have incited the Mindanaos, the Japanese, and other barbarians also to make war on us. The result has been that the citizens [of the islands] have spent their fortunes in serving his Majesty, which they have done with their property and persons – as is described in the said memorial, nos. 59 and 60. And as the profits from their commerce have become less, and the expenses for war greater and more continual, their poverty has become so great that they are in need of more favor than they have thus far enjoyed; for if (as has been proved) their commerce only is adequate to support those islands, and that which they have hitherto carried on is steadily declining, it must necessarily be increased, in order that they may not perish and be destroyed. This is confirmed by the third of the circumstances mentioned above, the excessive and enormous losses of property which the citizens of Manila have suffered since the year 1575 – which are mentioned, in due order, in the said memorial, no. 107. Some of these misfortunes occurred before the year 1604, and, as until then the commerce was free, they had some reparation for their losses; but those which have occurred since then have had, on account of the limitation of trade, but little relief and scanty reparation. The result has been that, although the injurious effects and great loss have not been noticed every year, they are in the course of all those years so keenly felt that a special means of restoration is needed; and there can be no other save that of increasing their commerce, for their relief must come from the same quarter as that whence their losses came.
Second: [This relief should be given] because when the permit for 250,000 pesos was granted there were in Manila fewer citizens and soldiers; and now the number of these and the [size of the] city have increased, and more aid has become necessary, not only with the course of the thirty-six years which have elapsed, but because there is more war. It appears that those who are occupied in his Majesty’s service on pay, including those who have been sent to the islands and those who are born there, number 3,338 Spaniards, and 2,540 Indians of various nationalities – not counting the citizens, or the traders, or other persons who are pursuing various crafts (as is stated in the said memorial, no. 55) – which is twice the number employed in the year 1604. And as it is requisite that all participate in the commerce, and that – although it must be through the medium of the citizens, among whom the amount allowed is distributed – all persons may have some share in it, it becomes necessary, since there are twice as many people as there formerly were, that the amount of trade permitted should also be doubled; for if this be not done, and that which formerly belonged to few be shared among many, no one will have enough for his needs.
Third: this argument being sufficient for the increase and enlargement of the amount permitted, it is asserted that this amount is less than what was first granted; for, as concerns the distribution (which is made by toneladas), the governors have introduced the practice of giving these to hospitals and convents, and often to the mariners and artillerists, to those who go on expeditions and embassies, and to other persons. Thus is consumed a large part of this permitted amount, and consequently of the 500,000 pesos’ worth of returns – from which are deducted the legacies, donations, contributions for charitable purposes, wages of the seamen and soldiers, wrought silver, and all the rest that is shipped (as is ordained by the decree of 1606, cited in the said memorial, no. 90), by which, it is at once evident, the amount granted by the permission is diminished to just that extent.
Fourth: even if it be granted that some illegalities have been committed in that trade, these