History of Philippine trade marketing in Manila

and the effects in the culture of Filipinos

By:

Aguilera, Jenisse jade

Emperador, Ethan Angelo
Naguit, Sean Russell
Ong, Christian Gabriel
Robles, Zed
Valentino, Dariusz Gabriel
Villapañe, Ingrid Sofia

A Research Paper Submitted in partial fulfillment of the requirement for

Readings in Philippine History (GED103)

Mapua University
2020
INTRODUCTION

Trade is an important part of a country’s history as this is how countries progress and

grow economically. Trade fuels economic growth, supporting businesses which in turn produces

more jobs, which in turn raises living standards and at the same time providing products and

services to everyone.

During 1565 The Manila-Acapulco Galleon Trade started between the Philippines and

Mexico which lasted until Sept. 14, 1815. This trade was specifically between Philippine’s now

National Capital Region, Manila and Mexico. It was called Galleon trade because the goods were

transported through sea using a Galleon, A large sailing ship used for war or trade, usually with

multiple decks and sails. The trade although was done through Manila and Acapulco the goods

however were from neighboring countries - jade, wax, gunpowder and silk from China; amber,

cotton and rugs from India; spices from Indonesia and Malaysia; and a variety of goods from

Japan, including fans, chests, screens and porcelain. This is what made the Galleon trade so

lucrative and expensive, and is why it is considered a luxury trade.

The route also created a cultural exchange that shaped the identities and culture of the

countries involved. Through the Galleon trade, goods were not the only one traded, so were

ideas, technologies, science, and arts. This was also another major factor of our cultural diversity

found in Manila City. During the peak of the trade Manila became one of the world's great ports.

PURPOSE OF THE STUDY

 A commercial route that operated from 1565 to 1815 was the Manila Galleon. Via the

Pacific Ocean, it linked Asia with America. It was a significant move in globalization’s history.

The purpose of this study is to provide an economic context for the analysis of existing facts

about the Manila Galleon. The study identifies, on the basis of this context, that the Manila

Galleon was a largely owing to the occurrence of a very unusual combination of international

conditions and advantageous market conditions. In addition, the study examines New Granada's

approach as a way of illustrating the broad inconsistency between regions in the position and

effect of the Manila Galleon trade.

SIGNIFICANCE OF THE STUDY

This research study is beneficial to the following:

To the Filipino Citizens:

This research could improve the knowledge and understanding of Filipinos that the

Manila galleon trade made important contributions to Spanish colonial history. It could benefit

the Filipinos as it aimed to shape the entire community of the Philippines, which depended on

Chinese, Malay, and some participants' revenue, merchandise, and services.

To the Government:

This research could enhance the government in the development of trade industry in the

Philippines. This research would promote new ways of developing awareness, skills and

attitudes, thus preparing better relationships internationally in the future.

To the Future Researchers:

 In conducting new research or in checking the validity of other similar results, the ideas

presented can be used as reference data. This research will also serve as a key result will give

them a perspective or a summary of the Philippines' remarkable trading history.

Scope and Limitations

The research period for which the years used as the sample of the period 1565-1815. The

related outcomes, conclusions and debates are therefore largely on the line of Spanish

colonialism. This study discusses that the Galleon Trade compensated for the colonial economy

of the Philippines. Because of the opportunities for huge profits, trade was given more focus by

the Spanish colonial authorities.

Moreover, on the other side, agriculture and industrial production have been relatively

ignored. The opening of the Suez Canal saw the introduction of European visitors to the Spanish

colony, and certain Filipinos were able to learn in Europe, perhaps inspired by the rapid growth

of scientific principles carried on by the Age of Enlightenment.

However, this study lacks to discuss the the different point of views of the Filipino

citizens on how they are truly benefited with this type of trade. Also, this study may be subject to

other interpretations in this qualitative analysis.

REVIEW OF RELATED LITERATURE

The Galleon Trade

 Even before the Spaniards came to the Philippines, Filipinos are already trading with

different countries such as China, Japan, Siam, India, Cambodia, Moluccas, and Borneo. The

government of the Spanish Tribes continued trading with these countries and Manila became the

center of commerce in the east. The galleon trade was born when the Spaniards closed the ports

of Manila to all countries except Mexico. The trade was a government monopoly were only two

galleons were used. One galleon sailed from Acapulco to Manila with 500, 000 pesos worth of

goods. The sailing last for 120 days at the sea while the other galleon lasts for 90 days bringing

250, 000 worth of goods. As the countries are trading, it also allowed ideas that are modern and

liberal to enter the country.

Goods in Galleon

Manila Galleon or also known as Nao de China or Nao de Acapulco brought porcelain,

silk, ivory, spices and myriad in exchange for New world silver. On the return leg, the precious

Asian wares traveled across the Pacific to Acapulco on Mexico’s west coast crossing Mexico

over land for shipment to Spain. However, much of the porcelain and carved ivory remained in

the Americas and, in many cases, influenced artists working there: Mexican ceramics display the

impact of the Galleon trade most vividly. But Chinese silk designs may have inspired some of

the patterned garments of Guatemalan sculptures, whose faces also betray the subtle influence of

Asian ivory carvings.

Chocolate Jar (Chocolatero) Bottle

Mater Dolorosa (Mourning Virgin) The Vrgin of the Immaculate Conception

Basco’s Reforms

Having a taste of prosperity when Governor General Jose Basco y Vargas instituted

reforms that are intended to free the economy from its dependences on the Chinese and Mexican

Trade where Filipino farmers and traders benefited. The governor implement ed a general

economic plan aimed at making the Philippines a self-sufficient country. The farmers had

incentives for planting cotton, spices, and sugarcane. It also encouraged miners to extract gold,

silver, tin and copper.

Tobacco Monopoly

During the administration of Governor General Basco, the tobacco industry was placed under

government control. Provinces such as Cagayan Valley, Ilocos Norte and Sur, La Union, Isabela,

Abra, Nueva Ecija, and Marinduque planted nothing but tobacco. It was sold only to the

government with a pre-designated price the left farmers little money to earn. The tobacco

monopoly made Philippines famous for tobacco all over Asia as it also raised revenues for the

colonial government
CONCLUSION

Trade is an important part of a country’s history as this is how countries progress and

grow economically. During 1565 The Manila-Acapulco Galleon Trade started between the

Philippines and Mexico which lasted until Sept. The route also created a cultural exchange that

shaped the identities and culture of the countries involved. Via the Pacific Ocean, it linked Asia

with America.

This concludes, on the basis of this context, that the Manila Galleon was a largely owing

to the occurrence of a very unusual combination of international conditions and advantageous

market conditions. This research could improve the knowledge and understanding of Filipinos

that the Manila galleon trade made important contributions to Spanish colonial history.

This research could enhance the government in the development of trade industry in the

Philippines. The research period for which the years used as the sample of the period 1565-1815.

This study discusses that the Galleon Trade compensated for the colonial economy of the

Philippines. Moreover, on the other side, agriculture and industrial production have been

relatively ignored. The opening of the Suez Canal saw the introduction of European visitors to

the Spanish colony, and certain Filipinos were able to learn in Europe, perhaps inspired by the

rapid growth of scientific principles carried on by the Age of Enlightenment. However, this study

lacks to discuss the different point of views of the Filipino citizens on how they are truly

benefited with this type of trade.

RECOMMENDATION

To improve the quality, accuracy, and precision of knowledge and data, the researchers

would like to recommend the following gaps in the study for future researches: First, the

researchers would like to recommend adding more literature and further researching for data and

facts. Second, it is recommended to use updated literature since trade marketing is wide and

there are new resources every other day most especially in Manila. Third, the researchers suggest

using mixed method for the research instead of using a pure quantitave research as this may yield

more accurate data and results and lastly, the researchers also recommend to continue using

previous studies on this topic as a basis for what to focus on to further understand and to the

knowledge of this topic.

REFERENCES

Hecht, Johanna. “The Manila Galleon Trade (1565–1815).” In Heilbrunn Timeline of Art History.

New York: The Metropolitan Museum of Art, 2000–.

http://www.metmuseum.org/toah/hd/mgtr/hd_mgtr.htm (October 2003)CES

Schurz, William Lytle. The Manila Galleon. New York: E. P. Dutton, 1939.

Philippine History Org (2020). The Galleon Trade. Retrieved from: https://www.philippine-

history.org/galleon-trade.htm

Guzmán-Rivas, P. (1960). Geographic Influences of the Galleon Trade on New Spain. Revista

Geográfica, 27(53), 5-81. Retrieved November 1, 2020, from http://www.jstor.org/stable/41888470

The Editors of Encyclopaedia Britannica (2018) Manila galleon. Encyclopædia Britannica.

Retrieved from: https://www.britannica.com/technology/Manila-galleon