Chapter V: Preface (4)

The second effect will be to assure the safety of those states, of which as they are found today, one may understand that, if one be lost, the other will become endangered. India has declined in its commerce and wealth, and consequently, in its power, because of the relationship that there is between these two things; for when a kingdom loses its wealth, it loses its strength. Both have been usurped by the Dutch, as is proved; for they, commencing with the commerce, have appropriated it to themselves, as well as the strength that is annexed to commerce. Therefore India needs to avail itself of the Filipinas, and that not only for such special aid as was requested by the viceroy, Conde de Linares, in the year 631 (who was governing India with the care, prudence, and success that is known by the excellent results that he obtained, and by the great talent and valor of his person, experienced in that and in other charges), to whom Governor Don Juan Niño sent two galleons; but also so that the enemy, being diverted, may have less power. Thus was he [_i.e._, the governor of Filipinas] charged to do by decrees of April 4, 1581, and December 5, 1584. The same must also be understood of the islands, which although they do not now have less strength than for the last forty years, have more enemies and more to which to attend. If India should fail them, they would be maintained with greater difficulty. The Portuguese aided in the expedition made by Don Pedro de Acuña, and also in that of Don Juan de Silva, but not with equal success in both; and it is ordered that the two forces unite for the recovery of the island of Hermosa. The city of Macan, in China, is so far from India that it would be in danger should the islands fail it. The governor of the islands had an order to aid that city, by a decree of December twenty, six hundred and twenty-three. He did so by sending it six pieces of artillery, with ammunition and other supplies, which were of so great importance that the Portuguese averted their danger. That action is recommended by the good treatment and welcome that the men of Filipinas receive in India--especially in Cochin, where they go to buy ships and other things--as was written, in acknowledgment therefor, to Don Felipe Mascareñas [Mascarenhas--_MS._] in the year 630.

Number 42. Third effect of the conservation of the islands: to deprive Olanda of commerce

The third effect is to deprive the Dutch of a great part of their commerce, not only by España maintaining it in the Filipinas, which otherwise would all belong to the Dutch, as has been said, [_In the margin_: "In number 36."] but also by forcing them to keep the presidios and fleets that have been mentioned, [_In the margin_: "In number 32."] in order to preserve what they have usurped; and thus, the expenses being heavier, consequently the profits would be less. It was already proposed, with arguments that gained no little approbation (thus they secured its execution), how advisable it was for a royal fleet to cruise among the Windward Islands. Among the effects that were assured was one (and the most important), that of compelling the enemy who should go to infest those islands and commit piracies along their coasts, to erect a fort, and form settlements in some [of the islands], as they have done; and to do it with presidios and garrisons, because of their fear of being attacked and punished--and not as they usually do, when with two little ships carrying each six pieces and twenty men, they pillage what they wish; and with a hundred [common] laborers, and one captain to command them, without arms or defense, they settle on this or that island, confident that there is no one on the sea who can oppose them, or attack them ashore. For if they were in fear, and were obliged to carry an armed force, they would, as that requires cost and preparation, be unable to make so many settlements; nor would their profits be so great that they would not some time or other be ruined and take warning from experience. The Filipinas are doing this in the Orient, and are resisting the enemy in such manner that they not only compel them to maintain forts in their seas, but also to suffer so great losses in them that at times the losses, as is known, exceed the profits. On that account, it is understood that the East [India] Company of Olanda is less rich than formerly; and that, leaving it, they have established the West [India Company]. As the latter does not consume [demand--_MS._] so much expense, although the profits are less, it is more appreciated. This is an argument that ought to be heeded in order to establish a fort in the Windward Islands, as there is in the Filipinas, so that the same result might be experienced in the former as in the latter.

Number 43. Fourth effect of the conservation of the islands: the relief of the Indias

The fourth effect is the relief of the Western Indias; for with the diversion and expense that the enemy encounters in the Eastern Indias and the posts of Maluco, he is forced to pay less attention to the Western Indias, and to infest them with weaker forces--which would be greater if he could dispense with employing them in the Orient to counteract the forces of Filipinas; and the profits of commerce there increasing, he would, freed from the expense [of those armaments], be at liberty to occupy himself in the West. If the Dutch should enter there with all their forces, they would cause much more anxiety [than now], and more costly means of defense than those which are made in Filipinas.

Number 44. Fifth effect of the conservation of the islands: the reputation of this crown

The fifth and last effect is that this crown will sustain its reputation and renown, a consideration which so urgently persuades it to preserve a post so honored, avoiding the scandal that would result from losing it, or from abandoning as difficult and costly the most noble exploit that has been offered to any prince. That would [will--_MS._] persuade the enemy that it was for lack of forces, or that the gospel ministers whom España sends only go where riches and advantage await them, and not where these are not found. That was one of the motives, if not the greatest, of the kings your Majesty's father and grandfather; and your greatness has not only to preserve what you inherited by so many legitimate titles, but also to increase it as much as possible.

Number 45. Means existing for the conservation of the islands

Granted, then, and declared by so many and so evident arguments, the importance of the Filipinas, in regard to both its causes and its effects, it is to be noted that there are to be found but two means for the attainment of their conservation. One is for your Majesty to supply from the royal treasury all the expense that should be necessary, without heeding what income they furnish. The other method is to concede to them the commerce with Nueva España, in such quantity and manner that, with what should proceed from it, there should be enough to defend the islands. Each of these means is insufficient by itself, nor is it possible; for your Majesty cannot spend all that is necessary for the maintenance of Filipinas, and it is not advisable to permit their commerce to the extent that the duties derived from it may equal the expenses incurred for the islands. Consequently, the least damaging and the most certain expedient seems to be to combine these measures so that your Majesty may aid in part, and may protect that commerce in such manner that the islands having the means therefor, may attend to their own wants; since the greater the sum derived from the commerce, without increasing it too much, the less the expense from the royal treasury.

Number 46. Points to which the execution of the means proposed can be reduced

In order to adjust these two means, as they are the only ones for this end, it is necessary to make known what the Filipinas are costing today. This will be the first of five points to which this matter is reduced. The second, what they contribute. The third, what commerce they exercise with Nueva España. The fourth, the present condition of this commerce. The fifth and last, what illegal acts are committed in this commerce, and how these can be avoided or corrected without ruining or destroying it. These points having been declared, the decision that can be rendered in regard to the petitions that are made in behalf of the islands will be clear.

Number 47. First point: of the expenses of the islands; and the first division of it, the administration of justice.

In regard to the first point, namely, the cost and expense of the islands, it consists in what results from eight branches or main divisions to which it is reduced. The first is that of the justice which your Majesty, as natural seignior, ought to furnish and administer to those vassals. The head of it is the royal Chancillería which resides in the city of Manila. It was first established (for everything is done with a foundation), by a royal decree of March 5, 582, with a president (who was to be governor), three auditors, and one fiscal. [42] The governor and president, who was then Licentiate Santiago de Vera, was assigned a salary of four thousand _pesos ensayados_; [43] and the auditors and fiscal, two thousand. For the payment of those salaries, by a royal decree of May 10, 1583, twelve thousand [pesos] ensayados in tributes of the Indians were ordered to be assigned (and they were assigned) to the crown. Later, it having been understood through some less authentic reports that the Audiencia was unnecessary in Manila, it was suppressed by a decree of August 9, 1589; and Gomez Perez Das Mariñas, of the Habit of Santiago, was appointed governor and captain-general, with a salary of 8,000 pesos ensayados, and with authority to have a guard of halberdiers to uphold the dignity of the post (as is done by his successors to this day). It consists of one captain with 240 pesos pay (although this post is always held by an infantry captain who receives no more than the ordinary pay, which will be mentioned), twelve soldiers at 96 pesos, and one corporal at 108 pesos, making a total of 1,260 pesos of eight reals (all this account and summary being reckoned in pesos of that denomination). He was given a lieutenant-general as counselor, with a salary of 2,000 pesos ensayados. But scarcely was the Audiencia suppressed, than results showed the unreliability of the reports which had led to that step. Don Francisco Tello having succeeded to the government, the Audiencia was again established, and he was given the title of president, on December 21, 595. There were four auditors and one fiscal, who was to be protector of the Indians; and all were given the salary that they had before, except the president, who was left the 8,000 pesos ensayados that had been assigned him as governor. Thus the Audiencia is still maintained, with an expense of 18,000 pesos ensayados, or 29,000 pesos, 2 reals of common gold. To the court scrivener was assigned 300 [pesos]; to one reporter, 600 one fiscal solicitor, 300; to the captain, 350; to one herald, 48: a total of 1,898, to be paid from fines of the exchequer. The sum paid to corregidors is as follows: to two, for the island of Mindoro and the province of Catanduanes, at the rate of 100 pesos, to two, for the islands of Mariveles and Negros, at the rate of 150 pesos; to those of the islands of Leyte, Samare, Ybabao, and to him of Ibalon (who is also a sentinel), at the rate of 200. To twelve alcaldes-mayor of Tondo, Pampanga, Bulacan, Pangasinar, Ilocos, Cagayan, Calamianes, Zebu, Camarines, Laguna de Bay, Balayan, and Atilaya, at the rate of 300 pesos; and to him of Oton, who serves in the post of purveyor for Terrenate, 700 pesos. Therefore the total in this department is 37,077 pesos.

Number 48. Second division: the conversion, preaching, divine worship, and the hospitals

The second is that which pertains to the conversion, and to preaching, divine worship, and the hospitals. The first bishop appointed for the church of Manila was Fray Domingo de Salazar. He was succeeded by Fray Ignacio de Santivañez, with the pall as archbishop--the church being erected into a metropolitan, and the three of [Nueva] Caceres, Zebu, and [Nueva] Segovia into suffragans, in the year 596, although the latter have no prebends. The archbishop was assigned a competence of 3,000 ducados, and the three bishops each 500,000 maravedis, all from the royal treasury; the tithes enter into the treasury, as their amount is small. Thus the four prelates receive annually, 9,637 and one-half pesos. To the dignitaries of the metropolitan church are paid: to the dean, 600 pesos; to the archdeacon, precentor, treasurer, and schoolmaster, each 500; to four canons, each 400; to two racioneros, each 300; to two medio-racioneros, 200; to two curas, each 50,000 maravedis; to two sacristans, each 25,000 maravedis. To the chaplain of the seminary of Santa Potenciana, which belongs to the royal patronage, 300 pesos. For four regular priests of St. Dominic, four of St. Augustine, and four of the Society of Jesus, who administer instruction in Manila, to each convent are given, 1,072 pesos; and for four others, Augustinian Recollects, 697 pesos to their convent. To two secular assistants of the bishop of Zebu, each 576 pesos, by a decree of March 14, 633; and a like sum to two of [Nueva] Segovia, by a decree of April 11, 635; and the same to him of [Nueva] Caceres. To twelve curas, and twelve sacristans, in the three cathedrals, and in nine other churches of those islands, each 50,000 maravedis, and 25,000 [respectively]. To two religious who administer the sacraments in the island of Hermosa, each 536 pesos. To the convents of St. Dominic and St. Augustine, each 400; to that of the Society of Jesus, 200; to that of St. Francis, 300; to the nuns of St. Clare, 200. To two infirmaries, maintained by the Dominican religious in Cagayan and Pangasinan, each 400. To the Spanish hospital in Manila, 3,000 pesos; to the physician, 300; to the surgeon, 400; to the barber, 312; to the apothecary, 200; to the steward, 182 and one-half, and one tonelada in the trading ships. To the hospital of Cavite, 700; to that of San Lazaro of the natives, outside the walls, 3,442; to that of Los Baños of Nueva España, of holy [44] waters, 1,472, and 100 more for medicines; to that of the Sangleys of San Gabriel [Graviel--_MS._], 425; to that of Terrenate, 1,000; to that of Cagayan, 300; to that of Oton, 250; to that of Caraga, 50; to that of Zebu, 250; to that of the artillerymen, 500; to that of the trading ships, 1,000. To some churches which have alms of oil are distributed annually 3,940 gantas, which are worth 760 pesos. [The expenses for] this department amount to 37,297 pesos.

Number 49. Third division: the presents sent by the governor

The third is but little, and consists of [the expenses caused by] the custom in those islands of the governor sending some gifts, donations, and presents to the kings of Japon, Camboxa, Tidore, and others. These are necessary to maintain their friendship, and to keep them well-disposed for what is asked from them; for not one of them receives an embassy favorably, unless it is accompanied by some present. In the year 580 a present was sent from España to Great China, consisting of twelve falcons; twelve horses, with their trappings and saddle-cloths embroidered with the royal arms; and six mules, [45] with their wrought coverings, which carried twelve boxes, filled with various curious articles. For securing this amicable relation, there are spent annually one thousand five hundred pesos.

Number 50. Fourth division: the management of the royal treasury

The fourth division is that of the management of the royal treasury. To the three officials--treasurer, accountant, and factor--are paid salaries of 5,625 pesos. To eight greater and lesser officials, 2,300 pesos; to one computer-in-ordinary of accounts, 1,000; to his chief clerk, who is a royal notary, 450; to three other clerks of accounts, 900; to the assayer and weigher, 550; and to its officer of justice, 300. The full total is 11,550 pesos.

Number 51. Fifth division: land warfare

The fifth division is that of land warfare. There is one master-of-camp in the camp of Manila, with 1,654 and one-half pesos pay; one sargento-mayor, with 990; two adjutants, with 360; one chaplain of the regiment, with 360; one field captain, with 180; one chief constable, with 96; one head drummer, with 126; ten substitutes stationed near the person of the governor and appointed by your Majesty at different rates of pay, which amounted in the year 635 (the year when all this report was drawn up) to 6,675 pesos; one military notary, with 200 [20--_MS._]; and one procurator for the infantry, with 126. Of the presidios of Manila, the castellan of the fort of Santiago receives 800 pesos, and his one lieutenant, 420; three wardens for the presidios of Zebu, Oton, and Cagayan, each 300; their three lieutenants, each 96; one chaplain for Oton, 180; one lieutenant of the captain-general of Pintados, 800; one lieutenant of the governor and captain-general, for the presidio of the island of Hermosa, 1,200; one sargento-mayor of that presidio, who is also a captain of infantry, has captain's pay; three adjutants of the sargento-mayor of Oton [Octon--_MS._], Cebu, and Cagayan, each 180; another in the island of Hermosa, 250. The infantry of the camp of Manila, which includes that of the island of Hermosa, consists of eighteen companies--sixteen of them with a like number of captains, and the two which are commanded by the master-of-camp of the army and the castellan of Santiago. All amount generally to 1,576 infantrymen, 88 men to each company. As to pay, the captains receive each 600 pesos; the alférezes, each 240; the sergeants, each 120; the corporals (there being four in each company), each 12 pesos over the common soldier's pay; the 56 infantrymen, including page, fifer, two drummers, and one standard-bearer, each 96 pesos; the [remaining] infantrymen, who are musketeers, each 126 pesos. To each company is given 30 escudos per month over the regular pay. The total expense in pay to each company amounts to 9,555 and one-half pesos. And inasmuch as they are never without crippled soldiers, who receive 72 pesos without serving, there is a fund of 1,000 pesos for them. There are 140 other soldiers of the Pampango tribe, who are stationed in the presidios of Manila, Oton, Zebu, Cagayan, and Caraga, who receive each 86 pesos per year. Their captain receives 288, one alférez, 192, one sergeant, 96. Consequently, this company causes an expense of 7,296 pesos. For the artillery, there is one captain who receives 800; four constables, in Manila, the fort of Santiago, the fort of Cavite, and the island of Hermosa, each 300; one hundred and ten artillerymen in the camp and presidios, each 200; the total amounting to 32,596. The total for this department is 229,696 pesos.

Number 52. Sixth division: of the defense of Maluco

The sixth is for the war and defense of Maluco. The castellan and governor of the forts of Terrenate receives 2,750 pesos; two adjutants of the sargento-mayor, each 825. There are seven companies of infantry with 570 soldiers. The captains receive each 600 pesos; each alférez, 240; each sergeant, 120; each corporal, 30 pesos in addition to the regular soldier's pay; and the others as in Manila. Each company gets 30 escudos in addition to the regular pay. They were ordered to spend [the money for] four substitutes that they had, each of 440 pesos, and that pay was also given as additional pay. Thus each of these companies causes an expense of 9,809 pesos. In addition there are two Pampango infantry companies, with 200 soldiers. Each captain gets 288 pesos; each alférez, 192; each sergeant, 144; and each infantryman, 72. The two companies cost 13,312 pesos. There is one surgeon who receives 664 pesos; one artillery captain, 480; one constable, 300; one field captain, 330; one war notary, 200; one accountant and factor, 1,150; one chief clerk, 400; another minor clerk, 150; one notary of the royal treasury, 250; one [book]keeper and paymaster, 523; twenty sailors, 150 [pesos] and one ganta of rice apiece; one cura, 50,000 maravedis; one sacristan, 25,000 maravedis; and seven religious, four of St. Francis and three of the Society, to whom are given 1,330 pesos. Consequently, [the expense of] this department amounts to a total of 97,128 pesos, three reals.

Number 53. Seventh division: the navy and marine works

The seventh is that of the navy and what pertains to marine works. There are six galleys, used as a guard for the islands. They have one commander-in-chief, who receives 800 pesos; one lieutenant, 600; six captains, two of whom live in Manila, two in the island of Hermosa, each 422 pesos, and two in Terrenate, each 699 and one-half pesos; one accountant, 400; one chaplain [captain--_MS._], 200. Each galley has one leader, who receives 170 pesos; one master, 300; one boatswain, [46] 250; one boatswain's mate, 217 and one-half; one alguaçil, 230; one oarmaker, 230; three sailors, each 133. In all [six galleys] there are 1,080 convicts who receive 27 pesos and two reals, and three pesos in clothing. These six galleys cost 45,026 pesos annually. There are twelve pilots in the ports of Cavite, the island of Hermosa, and Terrenate, each of whom receives 200 pesos when he is not afloat (for when afloat they receive more); ten boatswains [_contramaestres_] of as many boats, who are paid each 325 pesos; ten boatswain's mates, each 225. There are 520 sailors, each of whom receives 175 pesos, among whom are included those who sail to Nueva España, Terrenate, and the island of Hermosa, and other parts. There are 200 common seamen, each of whom receives 60 and one-half pesos; seven coopers, each 325; four Indian coopers, each 72 and one-half; one diver, 350; one hundred and sixty Sangleys (24 of whom are pilots), who serve as sailors in the champans and bring the food and war supplies, all of whom together get 7,504 pesos; twenty Indians, who serve in the boat that acts as a scout-boat in the island of Marivelez, who receive five hundred and forty pesos; one hundred and thirty Lascars, natives of India, who are sailors and common seamen, 9,754 pesos; one master of ropemaking, one hundred and seventy-five pesos; two Indian ropemakers, each 78 pesos; fifty Indians who work at the rigging, each 24 and one-half pesos; six Spanish carpenters, each 325; five hundred and fifty Indians, carpenters along the Cavite coast (six of them, who are bosses, each 97 pesos; 120 workmen and laborers, each 61; and the rest, each 49); 50 other Sangley carpenters and sawyers, who are paid 4,220 pesos; seven Spanish calkers, each 325; four slave calkers, each 47 and one-half; fourteen Sangley calkers, who get 1,165 pesos; one master of the smithy of Cavite, 425; another of the Manila foundry, 375; another of the smithy of the army, 350; one hundred Indian smiths, for the three smithies, get 5,377 pesos; thirty Sangley smiths, ten of them bosses of forges, are paid 2,280 pesos. Therefore this part amounts to 180,731 pesos.

The ships that sail annually to Nueva España carry one commander-in-chief, or head, who, in addition to four rations that are given him, receives a salary of 4,325 pesos; one admiral, 2,900. Although it is ordered in the royal decree for the grant of the last of December, 604, that these ships have an overseer and accountant, with pay of 2,000 ducados apiece, in order that they may keep account in their books of what is carried and taken, as in the last reports of expenses and salaries, those offices are not found. It is doubtful whether they are provided, and accordingly they are omitted. There are two masters, each of whom receives 400 pesos; four pilots, each 700; two boatswains, each 325; two boatswain's mates, each 225; two notaries, each 225; two keepers of the arms and stores, each 225; two calkers, each 325; two water guards, each 225; two surgeons, each 225; two constables, each 325; twenty artillerymen, each 225 (who ought to serve a like number of pieces, according to the seventh section of the royal decree of 604); six Cahayanes [_i.e._, Cagayans (Indians)?], each 60; two coopers, each 325. These wages amount to 20,535 pesos, for sailors and common seamen belong to those whose posts are continuous. On the return trip [to Filipinas], when the usual reënforcements are carried, there is a sargento-mayor, who gets 600 pesos; one adjutant, 412; one royal alférez, 865. It is ordered by a royal decree of December 14, 630, that the latter officers be aided with only four months' pay at Acapulco, and that they be paid for the time of their service. Furthermore, there is a shoremaster at the port of Cavite, who receives 600 [650--_MS._] pesos; and although it was ordered by a royal decree of April 22, 608, that he should not receive this salary, that office must have appeared indispensable. There is one builder for ships and another for galleys, each of whom receives 690 pesos; one gunner to sight the guns, and an overseer of the royal works of Cavite, 800; one manager for the artillery foundry, 500; one founder, 450; one powder manager, 500; another of the rigging, 272. One galley is built every year, on an average, which costs 20,000 pesos finished and ready for sailing, exclusive of the men who work at it. The purchase and equipment of 18 champans cost 2,300 pesos. Therefore, according to the items above mentioned, the expense of this department amounts to 283,184 pesos.

Number 54. Eighth division: the food, munitions, [47] and other expenses

The eighth and last is that of the food and munitions. As much as 50,000 pesos are given annually to the factor of the royal treasury, for expenses and the purchases of food, and the pay for the careening and repair of ten galleons and six galleys. For flour biscuit for the voyage, besides the rations, are spent 5,000 pesos; for iron, 1,250; for wax, cotton, and other things, 1,300; for balls and fuses, 1,000; for saltpetre, and the making of powder, 4,000. A quantity of money is sent to the alcaldes-mayor and the persons who bring in the supplies for the provision of the royal magazines, the amount being estimated at 86,000 pesos. On extraordinary watchmen are spent 2,000 pesos. To the keeper of the magazines of Manila is given 750 pesos; to his clerk, 222; to the keeper of those of Cavite, 395; to his clerk, 212; to the keeper of that of Jambolo in Pangasinan, 173; to the keeper of the magazines in the island of Hermosa, 300; to his accountant, 500; to his clerk, 200. The expense of this last department amounts to 153,202 [15,302--_MS._] pesos.

Number 55. Summary of the expenses of the islands, and the persons employed

The above is what is spent annually on the average, more or less according to the times, for all purposes in the Filipinas Islands, a summary of which (both of persons and money) is as follows.

The first department, that of justice,
supports 32 Spaniards, and costs 37,077 pesos
The second--the conversion [of heathen],
worship, and hospitality in most of
the convents, and the hospitals and
churches--supports 73 Spaniards, and costs 37,297 pesos.
The third, the maintenance of friendly
relations with the kings, costs 1,500 pesos.
The fourth, the management of the royal
treasury, in which 19 Spaniards are employed,
costs 11,550 pesos.
[21,550--_MS._]
The fifth, the land warfare of Manila and
its islands, in which 1,762 [1,702--_MS._]
Spaniards and 140 Indians are employed,
costs 229,696 pesos.
The sixth, the war in Maluco and its islands,
in which there are 612 Spaniards and 200
Indians employed, costs 97,128 pesos.
The seventh, the navy and marine works,
in which 832 Spaniards and 2,200 Indians are
employed, costs 283,184 pesos.
The eighth, the commissariat, in which 8
Spaniards are employed, costs 153,302 pesos.
[53,302--_MS._]
-------
850,734

Consequently, exclusive of the four convents and fourteen hospitals which are cared for, and the alms which are given for wine and oil to certain churches, your Majesty pays in the Filipinas Islands and Maluco, and in their navigations and trade-line, salary, pay, and special wages to 5,878 persons, 3,338 of whom are Spaniards, and 2,540 are Indians or men of various nations. The cost of all included in the eight departments here presented, as it appears, is 850,734 pesos of eight reals.

Number 56. Second point: of that which the Filipinas produce

Having seen what it costs to maintain the Filipinas Islands, the second point is to ascertain how far they aid in this cost, and with what they supply your Majesty's royal treasury, in which notice is to be taken that there are eleven departments of revenue.

1. The tributes of the encomiendas which
are assigned to the crown, paid by not only
the natives of the islands but the Chinese
and Japanese, are annually valued--in reals,
and in products which proceed from 44,763
tributarios--at ten reals apiece 53,715 pesos.
2. In the encomiendas of private persons, who,
as has been said, possess 84,439 tributes,
there is a [royal] situado of two reals for
each tribute--only eight being reserved for
the encomenderos, which are valued annually
at 21,107 and one-half pesos 21,107 pesos.
3. The licenses which are given annually to
the Sangleys, in order that they may remain
for some time in the islands, amount to about
14,000, which at eight pesos that are paid
for them as fees, amount to 112,1000 pesos 112,000 pesos.
4. The tribute of these 14,000 Sangleys at
five reals apiece--four for the tribute,
and one for the situado--are worth 8,250
pesos 8,250 pesos.
5. The fifth and tenth of the gold that is
collected from what is declared by the natives,
is 750 pesos 750 pesos.
6. The ecclesiastical tithes--which are
collected for the royal treasury, because
all the clergy are paid from it, as has been
seen--amount to 2,750 pesos. 2,750 pesos.
7. The fares for passengers, who leave
the islands for other parts in royal ships,
350 pesos. 350 pesos.
8. The fines of the exchequer are worth
1,000 pesos annually. 1,000 pesos.
9. The customs duties on the merchandise of
China, India, [48] and other parts, which
are imported and exported, 38,000 pesos. 38,000 pesos.
10. The imposts and freight charges, customs
duties, and other charges that are collected
in Nueva España on the merchandise exported
annually from the islands, are worth 300,000
[309,000--_MS._] pesos which is reckoned as
income of the Filipinas, for those islands
cause it. Accordingly, it is ordered by a
royal decree of February 19, 606, that the
proceeds from this department be remitted to
Manila, and that so much less a sum be sent
from Mexico; besides which they ought to make
good to it 30,000 more, because of what in
Nueva España proceeds from the traffic and
commerce of this merchandise for the excise
duty and other imposts. 300,000 pesos.
[309,000--_MS._]
11. It cannot be ascertained what the mesada
taxes in the ecclesiastical estate, and the
half-annats in the secular, are worth; nor that
concerning sales and resignations of office,
and other petty transactions, for all of
which a figure of 6,000 pesos annually is set
down...... 6,000 pesos.

These eleven departments of royal revenue amount to 573,922 pesos; and the Filipinas produce that sum in revenue for your Majesty. [49] [In the margin of _Extracto-historial reprint_: "Note--This sum seems to be inaccurate, because it should amount only to 543,922 pesos."]

Number 57. The excess of expenditures for the islands over the receipts

It is ordered by a royal decree that the amount reported from the islands to be lacking for the total amount of situado be sent annually from Nueva España; and as the situado, according to the calculation set forth, is 850,734 pesos, there is an annual deficit of 276,512 pesos or thereabouts; [In the margin of _Extracto-historial reprint_: "The deficit should be 306,812 pesos."] for this account is made for only one year, and is not fixed, although it it usual every year. In this matter it is to be noted that this [itemized statement] answers the current report that every year six hundred thousand pesos and more are taken from Nueva España for their expense. That report gives rise to the belief and understanding that they spend that amount in addition to their receipts. That is an error; for if from the tenth division the sum of 330,000 pesos is made good, which is collected in Acapulco and Mexico, and other parts of Nueva España (and this is recognized to belong to the islands by the above-cited royal decree of 606 and is therefore ordered to be returned to them), when 600,000 or more pesos are sent, not one-half that amount is supply of deficiency, and expense, since more than one-half is returns. And even this is counterbalanced somewhat by what is derived from the bulls of the crusade, the proceeds of which are ordered by a royal decree of December 21, 634, not to be taken to Mexico, but to be kept at Manila, and that to the treasurers in Mexico a like amount be furnished. Although this order is opposed by the crusade, as it is advisable it ought to be executed, and a second decree issued ordering its observance; thus two dangers might be avoided to this sum, one in going and the other in being returned--as is done with the possessions of deceased persons, by a royal decree of December 13, [of the year] 16, which are kept in the Manila treasury, and paid into that of Mexico.

Number 58. The islands contribute more than they spend

From the expenses and contributions of the islands, and the excess of the debits over the credits, some, through lack of acquaintance with the matter, are wont to derive the main argument against them, imagining that the islands are of little use but of great expense. Although the first of these propositions is quite confuted and answered by what is thus far alleged, the second also lacks foundation in the meaning in which it is put forward, which attributes to the islands more expense than profit; for the Filipinas alone contribute more than what they cost. Until the year 607, the islands of Maluco belonged to the crown of Portugal, which spent a great sum of money on them--as was necessary on account of the great distance from Goa, upon which their government was dependent. Although, nevertheless, those islands were maintained, that appeared impossible after the Dutch entered the Orient; for with their advent the expenses of Maluco were so increased that the islands were lost, inasmuch as there was no money with which to maintain them. It was ordered that the Filipinas recover them, and they did so. In order to assure the safety of the Malucos and to economize expenses for the convenience of both crowns, they were joined and united to them [_i.e._, Filipinas], imposing on the crown of Castilla, and in its name on the Filipinas, the obligation to attend to their wants, thus adding to Filipinas at least 290,000 pesos of expense--the amount of what pertains to Maluco from the second, third, and fourth departments, all the sixth, half the seventh, and a third of the eighth. If your Majesty is petitioned for 276,000 pesos annually for both groups of islands, as is attested, and those of Maluco alone cost 290,000, the deduction is evident that the Filipinas _per se_ cost less than what they contribute--and more, if it is considered that the crown of Portugal saves 400,000 pesos which the Malucas must have cost it when they were under its charge. Since the Filipinas did not ask for that union, and were not a party in causing it to be made, they ought not to be charged with increase in expenses which those islands cause them.

Number 59. How and in what the inhabitants aid in the support of the islands

But it is proper to remark at this point, what is the kernel of the matter under discussion, that the Filipinas and Malucas are not supported with the 850,000 [890,000--_MS._] pesos, which are the amount of their expenses. Neither that sum nor a much greater one would be sufficient, if the inhabitants of Manila did not serve, aid, and help with their possessions and lives on the occasions that arise, both extraordinary and ordinary. Now [they serve] as soldiers in the wars when the enlisted and paid troops are outside, or are not sufficient to resist the enemy, standing guard and assisting in military duties with the [same] punctuality and discipline as if they drew pay; and although they are few, as has been said, they count for many in the valor, willingness, and generosity with which they serve. Again, they give their slaves to labor on the public works and shipbuilding, and ordinarily for the levies for the galleys, as happens daily; and in the term of Don Alonso Faxardo, had not the inhabitants furnished the crews, the galleys could not have sallied out, as they did, against the enemy. Then they lend, when the aid from Nueva España is delayed or insufficient, very great quantities [of money] for any sudden expense--as was that above mentioned in the case of Don Alonso Faxardo, to whom they lent at that time two hundred and fifty thousand pesos. So they do every year, and always without interest, the payments sometimes being delayed two or three years. In regard to that, there is a royal decree of February 29, six hundred and thirty-six, in which it is ordered that those who make such loans shall be promptly repaid, in order that the royal treasury may be accredited when it needs help. They help, too, with very large and continuous gifts of money, and food and products (which are generally more important than money), which the governor assigns for the aid of Terrenate, the island of Hermosa, and other posts. They also accept expeditions and embassies, by which they go at their own expense to the kings of those archipelagos. So have gone General Juan Xuarez Gallinato, to the king of Camboxa; Gregorio de Vargas, to him of Tunquin [Tumquin--_MS._]; Juan Tello de Aguirre and Juan Ruiz de Ycoaga, to him of Siam; to whom also went Admiral Andres Lopez de Asaldegui; Don Luis Navarrete Faxardo; and afterward Don Antonio de Arco, to the emperor of Japon, at the cost of life; Don Juan Zamudio to China; and others to other kings--each one spending ten or twelve thousand pesos to serve your Majesty. In short, the occasions that the inhabitants of Manila have for helping, and to which they respond as loyal vassals, are as many as will be seen in the future, and as one can imagine would be found in a post and frontier so infested by so many and so strong enemies--Dutch, Chinese, Japanese, Mindanaos, Terrenates, Zambales, and those of other nations, which keeps the inhabitants in arms continually. Scarcely is there a year when the inhabitants do not engage in hostilities, and it necessarily costs them heavily. If it were all at the expense of the royal treasury, the cost of the islands would increase so that it would almost exceed their possessions.

Number 60. To what degree the inhabitants of the islands ought to be favored

By all this is represented to your Majesty what those vassals merit who are always and continually serving, not in posts and duties that increase their wealth and advance their households, but in land and naval warfare, in which they lose their lives and possessions--fighting now with the Dutch, who harass them more sharply than in Flandes, and make daily attacks; now with the numerous nations who surround them. Consequently, they deserve that their services be considered, not only in consulting as to rewards, but in giving them; and that they be gratified with honors and rewards--if not equal to their services, as those are so great, at least equivalent to what good government permits, and to what the same land which they defend can support. That is in accordance with the royal decree of February 29, 636, in which the governor is ordered to observe the rules ordering that military offices and encomiendas be given only to those who shall have served under your Majesty's banners, and always preferring those who shall have rendered most service. It will be proper and very consoling for the deserving citizens and residents of those islands, that the royal Council of the Indias--which, as it were a crucible for the new world, estimates services, approves merits, and deliberates as to rewards, with so much acumen, equality, and justice--allow the claims of Filipinas before those of others who, by serving in Flandes, Italia, and Alemania, try to get hold of the best posts, not alone of the Indias, but even of the islands themselves which they never entered. For, if the latter do not exceed the former in the hardships, perils, and services that the citizens of the islands suffer and perform, for your Majesty and for that colony, and those citizens should be preferred justly in the rewards of their own land, then they have sufficient ground for asking that they be not despoiled of this favor and privilege, which they try to merit by so many and so repeated acts of valor and loyalty; but that in the dispensing of that favor they may recognize that they may expect sure rewards for their children, by leaving them as an inheritance the blood shed and the property spent in defense of their king and the preservation of their fatherland. And since their services differ so widely in quality from those of others, who have no services, it will be just that their papers and claims be examined with a different kind of attention.

Number 61. It is not advisable that the magistracies of the islands be sold

In this matter also it is to be noted that the magistracies of the city were formerly conferred by the governor on the most deserving and venerable persons who were to be found. They, because of their experience and zeal, accepted those offices, and attended to the duties of those charges as was demanded. In order that those offices might be held by them for life, it was sufficient for them to come to ask for confirmation of them from your Majesty, in accordance with the royal decree of March 17, 1608, and February 8, 1610. And although, since they were ordered to be sold, persons of equal ability and position have bought them, and fill them and attend as they ought to the government of the community (which in this, above all else, has always been fortunate); and although the governor is ordered by a decree of June [July--_MS._] 12, 636, to employ the regidors of Manila in charges and posts according to their rank and the competency with which they can serve your Majesty, and that he honor, favor, and aid them in whatever else arises: the deserving men of that city cannot be prevented from expressing their resentment that, while there are so few rewards to which they can aspire, so many the occasions in which to serve, and so remote the qualification of their merits, that small part should be taken away from them, and that, in order to enjoy those offices, they should have to be bought. Moreover, the command, by decree of June 3, 620, that the magistracies of the Filipinas be sold only to conquistadors and settlers, or to their descendants (which was only recognizing that it was fitting to do so, but not assuring the reward), is no favor; for those to whom it is ordered to sell them, since it is so just that those who conquered and seeded should govern, are generally the poorest of all. And although they desire to enjoy the offices which belong to them, some of them do not possess the money with which to buy these; while others do not care to spend the little wealth that they have acquired for what is not of any use or profit to them, but rather a burden and inconvenience--since, by defending that community, they have had many contentions with the former governors. Consequently, it is very advisable that the magistracies be given to men of years, and old residents in the colony, who have held military posts, and who can oppose the governors when the latter try to exceed the provisions of your Majesty's decrees. For this and other reasons, it has been experienced that eight vacancies have existed in the magistracy of Manila for many years, because there were no buyers for them, as appears from the royal decree of February 29, 636, in which it is mentioned. And since the greatest value of those offices is one thousand one hundred pesos, and, if one consider the twelve magistracies, they do not produce an income of five hundred pesos per year, that is so small a sum, and there are so many damages and disadvantages that may result from it, that it would be a gain for the royal treasury and a great service to your Majesty to have the sale of the said offices stopped, and to have them given as formerly by the governors to the oldest residents, and to men of greatest experience and worth and as favors to individuals--that, while they do not give any profit, they may give honor to the citizens of Manila. Since there is not a city in all the Indias of its rank, nor one in which the inhabitants render so much service and with less advantage, this measure will not be a conclusion of which others may avail themselves to demand the same.

Number 62. Third point: of the commerce of the islands with Nueva España

From the service rendered by the inhabitants of Filipinas, one may deduce how necessary it is to maintain the rich, or to give them capital sufficient for them to attend to their business. For that the only method (and the third point of the five arguments proposed), is the commerce of the islands with Nueva España, for in the proportion in which that shall increase, their possessions will increase, and with that the defense and security of the islands. For there is no more powerful argument than that which establishes the conservation of a province in the strength, that is, the wealth of its inhabitants, and depends on the abundance of that for its conservation. Commerce is a natural law of nations, by which they make common to all provinces what each one produces, grows, or manufactures--now by selling, now by exchanging. Although commerce ought to be free, and was in the beginning, when kingdoms and seigniories were less powerful (for as they had narrower territories, so they had fewer matters to which to attend), as the monarchies increased and extended it became necessary to limit the commerce in parts, prohibiting it with some, in order to oblige or cause it to be maintained or increased with others. If that of Filipinas with the Indias were free and absolute, as it was immediately after their discovery, it is evident that they would enjoy the greatest prosperity; while Nueva España would have greater abundance of what was necessary to it, and Peru of what it lacked. But the commerce of España, which would perish and be ruined, was opposed to that; for since the goods sent thence to the Indias were dearer than those of Filipinas, if merchandise entered from both parts without restriction it would be to the advantage of the consumers to seek that from Filipinas rather than that from España; and the former commerce would continue to increase, and the latter to decline. Accordingly, it was right and proper to restrain the one so that the other might endure, and that, heeding the principal thing, namely, the conservation of these kingdoms (the heads of the monarchy), trade to them might be free, and to the others restricted--maintaining such a proportion in this that in securing the prosperity of España the ruin of the Filipinas might not result; for natural laws influence us to concede what is to the advantage of another, when it involves no injury to one's self. And thus it is no considerable damage that the kingdoms do not increase as much as is possible, if they maintain what they have; for the former is a matter of gaining, and the latter of not losing, until each one is left what is sufficient, if from conceding more results the lack to others of what is necessary. Accordingly, to Perù [50] is conceded one ship annually for Nueva España; to Nueva España two for Filipinas; and to España the number that its commerce demands and is entitled to, in consideration of its amount--so that thus neither may the islands be lost nor Nueva España and Perú be deprived of all the freedom of their trade, nor España feel so much weakness in the trade of the Indias that it should lose that; and that all may remain in suitable relations [to each other], since they are members of the mystical body of this monarchy.

Number 63. Why the islands need the commerce of Nueva España

This matter being thus explained, it is also supposed that the Filipinas retain the trade above described with various kingdoms of the Orient; and that all that trade is free and open without any restriction, except that of China, and that of the Western Indias, which they maintain and observe in a certain manner. For since all those different traffics require the return of suitable kinds of merchandise in order to sustain the exchange in which they consist, and the islands need them--for the rice, cotton, wines, blankets, textiles, and other products, are not desired by China, Japon, Sian, or any other pagan nation, because they abound in the same products, or have better ones--those different branches of commerce must necessarily cease, if there were not another foreign and different commerce, which, desiring the products of those regions, can extend and carry on another trade, which their nations desire and crave. This is that of the Indias, from which is conveyed and bartered silver (a most noble commodity), in return for which are carried the drugs and merchandise that are produced in China and other Oriental kingdoms and provinces, and traded in Filipinas, by which all come to be sustained, united, and joined.

Number 64. Commerce of the islands: why it is injurious to España

This commerce of the Indias with the Filipinas is to the prejudice of España for two causes or reasons, from which result great disadvantages. The first, because the silver is withdrawn and conveyed to the islands, whence it passes into the possession of the enemies of religion and of this crown, Moors and pagans; and finally remains in China--which, according to what we understand, is the general center for the silver of Europe and Asia. For as it always is current, gaining and increasing in value until it reaches that great kingdom, whence it must issue with a loss, it does not issue, and remains perpetually among those inhabitants. From that cause result many damaging effects: such as enriching our enemies, giving them the most noble product of all the commerce of the globe; making easy for them the possession of that which private persons among them maintain, and increasing their number; preventing that silver from going to España so that the royal duties might increase thereby, the avería and the commerce be sustained; and, in short, making this crown lose and its enemies gain. The second cause is that, in addition to the aforesaid losses (which are obvious) from the withdrawal of silver, no less are the damages that are experienced on what is sent in return for it to Nueva España, and passes to Perú--namely, a great quantity of the merchandise of China in textiles of gold, silk, and cotton, and other articles. [These are sold] at so low prices that, when the merchandise of these kingdoms arrives (which is worth more, as it is of better quality), it is not sold and has no outlet, as the country is full of the others [from China]; so that those who ship it lose. Consequently, losses are multiplied; and from all results so extreme weakening of the commerce of España with the Indias, that it is almost extinct and will be diminished just as that of Filipinas increases.

Number 65. Reply to the damages of the commerce of Filipinas; and to the first, regarding the withdrawal of the silver.