introduce, in the exchange and barter for the merchandise of China,
trade in other products of those islands, in order to avoid, when
possible, the withdrawal of the great sums of reals which are taken
to foreign kingdoms, the governor executed it in the form and manner
that he considered most fitting; and a method called _pancada_ [2]
was introduced, which has been observed and executed until now. It is
our will that that method be observed and kept, without any change,
until we order otherwise. [Felipe II--Añover, August 9, 1589; Toledo,
January 25, 1596.]


Law LXVI

We order that a duty be collected on the first and subsequent sales
or all the merchandise shipped from Filipinas to Acapulco, and the
pesos per tonelada on freight according to custom; for this sum and
much more is needed to pay the troops, and equip the vessels that
engage in commerce. In this there shall be no innovation. [Felipe
II--Añover, August 9, 1589.]


Law V

We ordain and order that there shall be no permission to trade or
traffic between Perú, Tierra-Firme, Guatemala, or any other parts of
the Indias, and China or the Filipinas Islands, even though it be by
license of the viceroys, audiencias, governors, or magistrates, under
penalty of confiscation of the merchandise that shall be shipped. The
masters and pilots shall also incur the confiscation of all their
property and ten years in the galleys. [Felipe II--San Lorenzo,