Casa de Contratación
Encyclopedia
La Casa de Contratación (The House of Trade) was a government agency under the Spanish Empire
Spanish Empire
The Spanish Empire comprised territories and colonies administered directly by Spain in Europe, in America, Africa, Asia and Oceania. It originated during the Age of Exploration and was therefore one of the first global empires. At the time of Habsburgs, Spain reached the peak of its world power....

, existing from the 16th to the 18th centuries, which attempted to control all Spanish exploration and colonization. Its official name was La Casa y Audiencia de Indias, and was established in the port city of Seville
Seville
Seville is the artistic, historic, cultural, and financial capital of southern Spain. It is the capital of the autonomous community of Andalusia and of the province of Seville. It is situated on the plain of the River Guadalquivir, with an average elevation of above sea level...

, Castile (Corona de Castilla).

Introduction

Unlike the later East India Companies
East India Company
The East India Company was an early English joint-stock company that was formed initially for pursuing trade with the East Indies, but that ended up trading mainly with the Indian subcontinent and China...

, chartered companies established by the Dutch
Dutch Empire
The Dutch Empire consisted of the overseas territories controlled by the Dutch Republic and later, the modern Netherlands from the 17th to the 20th century. The Dutch followed Portugal and Spain in establishing an overseas colonial empire, but based on military conquest of already-existing...

, English
British Empire
The British Empire comprised the dominions, colonies, protectorates, mandates and other territories ruled or administered by the United Kingdom. It originated with the overseas colonies and trading posts established by England in the late 16th and early 17th centuries. At its height, it was the...

, and others, the Casa collected all colonial taxes and duties, approved all voyages of exploration and trade, maintained secret information on trade routes and new discoveries, licensed captains, and administered commercial law
Commercial law
Commercial law is the body of law that governs business and commercial transactions...

. In theory, no Spaniard could sail anywhere without the approval of the Casa. However, smuggling often took place in different parts of the vast Spanish Empire
Spanish Empire
The Spanish Empire comprised territories and colonies administered directly by Spain in Europe, in America, Africa, Asia and Oceania. It originated during the Age of Exploration and was therefore one of the first global empires. At the time of Habsburgs, Spain reached the peak of its world power....

.

The Casa was founded by Queen Isabella I of Castile
Isabella I of Castile
Isabella I was Queen of Castile and León. She and her husband Ferdinand II of Aragon brought stability to both kingdoms that became the basis for the unification of Spain. Later the two laid the foundations for the political unification of Spain under their grandson, Charles V, Holy Roman Emperor...

 in 1503, just eleven years after the discovery of the Americas in 1492. The Casa was the Spanish counterpart of the Portuguese organization, the Casa da Índia
Casa da Índia
Casa da Índia was the Portuguese organization that managed all overseas territories during the heyday of the Portuguese Empire in the 16th century. It was both the central authority for managing all aspects of overseas trade, the central shipment point and clearing house...

, or House of Índia of Lisbon
Lisbon
Lisbon is the capital city and largest city of Portugal with a population of 545,245 within its administrative limits on a land area of . The urban area of Lisbon extends beyond the administrative city limits with a population of 3 million on an area of , making it the 9th most populous urban...

 (est. 15th century, destroyed 1755).

Operation

A 20% tax (the quinto
Quinto Real
The Quinto Real or the Quinto del rey, the "King's fifth", was a 20% tax established in 1504 that Spain levied on the mining of precious metals. The tax was a major source of revenue for the Spanish monarchy. In 1723 the tax was reduced to 10%....

) was levied by the Casa on all goods entering Spain, but other taxes could run as high as 40% in order to provide naval protection for the trading ships or as low as 10% during financial turmoil to encourage investment and economic growth in the colonies. Each ship was required to provide a clerk who kept detailed logs of all goods carried and transactions.

The Casa de Contratación produced and managed the Padrón Real
Padrón Real
The Padrón Real , known after 2 August 1527 as the Padrón General , was the official and secret Spanish master map used as a template for the maps present on all Spanish ships during the 16th century. It was kept in Seville, Spain by the Casa de Contratación. Ship pilots were required to use a copy...

, the official and secret Spanish map used as template for the maps present in all Spanish ships during the 16th century. It was constantly improved from its first version in 1508, and it was the counterpart of the Portuguese map, the Padrão Real
Padrão Real
The Padrão Real was a secret master Portuguese map produced and maintained by the Portuguese government organization, the Casa da Índia, where the new discoveries made by the Portuguese were recorded in secret...

.

The Casa de Contratación also ran a navigation school. New pilots, or navigators, were trained for ocean voyages at this school.

Spain employed the then standard mercantilist
Mercantilism
Mercantilism is the economic doctrine in which government control of foreign trade is of paramount importance for ensuring the prosperity and security of the state. In particular, it demands a positive balance of trade. Mercantilism dominated Western European economic policy and discourse from...

 model, governed (at least in theory) by the Casa in Seville
Seville
Seville is the artistic, historic, cultural, and financial capital of southern Spain. It is the capital of the autonomous community of Andalusia and of the province of Seville. It is situated on the plain of the River Guadalquivir, with an average elevation of above sea level...

. Trade with the overseas possessions was handled by a merchants' guild based in Seville, the Consulado de mercaderes, which worked in conjunction with the Casa de Contratación. Trade was physically controlled in well-regulated trade fleets
Spanish treasure fleet
The Spanish treasure fleets was a convoy system adopted by the Spanish Empire from 1566 to 1790...

, the famous Flota de Indias and Manila galleon
Manila Galleon
The Manila galleons or Manila-Acapulco galleons were Spanish trading ships that sailed once or twice per year across the Pacific Ocean between Manila in the Philippines, and Acapulco, New Spain . The name changed reflecting the city that the ship was sailing from...

.

Reductions

By the late 17th century, the Casa de Contratación had fallen into bureaucratic gridlock, and the Empire as a whole was failing, due primarily to Spain's inability to finance both war on the Continent, and a global empire. More often than not, the riches transported from Manila
Manila
Manila is the capital of the Philippines. It is one of the sixteen cities forming Metro Manila.Manila is located on the eastern shores of Manila Bay and is bordered by Navotas and Caloocan to the north, Quezon City to the northeast, San Juan and Mandaluyong to the east, Makati on the southeast,...

 and Acapulco
Acapulco
Acapulco is a city, municipality and major sea port in the state of Guerrero on the Pacific coast of Mexico, southwest from Mexico City. Acapulco is located on a deep, semi-circular bay and has been a port since the early colonial period of Mexico’s history...

 to Spain were officially signed over to Spain's creditors before the Manila galleon even made port. In the 18th century, under the new Bourbon kings
Bourbon Reforms
The Bourbon Reforms were a set of economic and political legislation introduced by the Spanish Crown under various kings of the House of Bourbon throughout the 18th century. The reforms were intended to stimulate manufacturing and technology in order to modernize Spain...

, the power that Seville and the Casa de Contratacion once had would be reduced. The Casa de Contratación was moved from Seville to Cádiz
Cádiz
Cadiz is a city and port in southwestern Spain. It is the capital of the homonymous province, one of eight which make up the autonomous community of Andalusia....

 in 1717. Under Charles III
Charles III of Spain
Charles III was the King of Spain and the Spanish Indies from 1759 to 1788. He was the eldest son of Philip V of Spain and his second wife, the Princess Elisabeth Farnese...

 its powers were greatly reduced, and it was finally abolished in 1790 under his son, Charles IV
Charles IV of Spain
Charles IV was King of Spain from 14 December 1788 until his abdication on 19 March 1808.-Early life:...

.

Mapmakers

The mapmaking enterprise at Casa de Contratación was a huge undertaking, and it was taken very seriously. Without good navigational aids, the ability of Spain to exploit and profit from its discoveries would have been limited. The Casa de Contratación had a large number of cartographers and navigators (pilots), archivists, record keepers, administrators and others involved producing and managing the Padrón Real.

The famous Amerigo Vespucci
Amerigo Vespucci
Amerigo Vespucci was an Italian explorer, financier, navigator and cartographer. The Americas are generally believed to have derived their name from the feminized Latin version of his first name.-Expeditions:...

, who made at least two voyages to the New World, was a pilot working at the Casa de Contratación until his death in 1512. A special position was created for Vespucci, the "pilot major" (chief of navigation) in 1508. He had the responsibility of training new pilots for ocean voyages. His nephew Juan Vespucci inherited his famous uncle's maps, charts, and nautical instruments, and was appointed to Amerigo's former position as official Spanish government pilot at Seville. In 1524, Juan Vespucci was appointed Examiner of Pilots, replacing Sebastian Cabot
Sebastian Cabot (explorer)
Sebastian Cabot was an explorer, born in the Venetian Republic.-Origins:...

 who was then leading an expedition in Brazil.

In the 1530s and 1540s, the principal mapmakers (known as "cosmographers") in the Casa de Contratación working on the Padrón Real included Alonso de Santa Cruz
Alonzo de Santa Cruz
Alonzo de Santa Cruz was a Spanish cartographer, mapmaker, instrument maker, historian and teacher. He was born about 1505, and died in November of 1567...

, Sebastian Cabot
Sebastian Cabot (explorer)
Sebastian Cabot was an explorer, born in the Venetian Republic.-Origins:...

, and Pedro de Medina.

Mapmaker Diego Gutiérrez
Diego Gutiérrez (cartographer)
Diego Gutiérrez was a Spanish cosmographer and cartographer of the Casa de la Contratación. He was given this post by royal appointment on October 22, 1554, after the death of his father Dylanger in January 1554, and worked on the Padrón Real....

 was named cosmographer in the Casa de la Contratación by royal appointment on October 22, 1554, after the death of his father Diego in January 1554, and worked on the Padrón Real. In 1562 Gutierrez published a remarkable map entitled "Americae ... Descriptio" in Antwerp. The reason it was published in Antwerp instead of Spain was that the Spanish engravers did not have the necessary skill to print such a complicated document. Other cosmographers included Alonso de Chaves, Francisco Falero, Jerónimo de Chaves, Sancho Gutiérrez (Diego's brother).

In the late 16th century, Juan Lopez de Velasco was cosmographer major in Seville. He produced a master map and twelve subsidiary maps portraying the worldwide Spanish Empire in cartographic form. This feat surpassed anything done by other European powers at that time. However, this signalled the end of Spain's supremacy in mapmaking, and after the work of Velasco, others such as the English, Dutch and French were better able to organize and present geographic information.

Further reading

  • McDougall, Walter (1993): Let the Sea Make a Noise: Four Hundred Years of Cataclysm, Conquest, War and Folly in the North Pacific. Avon Books, New York, USA.
  • Spain Maps Her "New World", David Buisseret, "Encounters", February 1992, No. 8, pp. 14–19.
  • Barrera Osorio, Antonio, Experiencing Nature: The Spanish American Empire and the Early Scientific Revolution (Austin: University of Texas Press, 2006).

See also

  • The Virgin of the Navigators
    The Virgin of the Navigators
    The Virgin of the Navigators is a painting by Spanish artist Alejo Fernández, created as the central panel of an altarpiece for the chapel of the Casa de Contratación building in Seville, southern Spain...

    - First painting depicting the discovery of the Americas. In a chapel at the Casa de Contratación.

External links

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