Context | Britain and Spain agree to terminate the Asiento awarded in 1713, in return for a one-off payment of £100,000 and renew trading rights for merchants in Cádiz |
---|---|
Signed | 5 October 1750 |
Location | Madrid |
Negotiators | Benjamin Keene José de Carvajal y Lancáster |
Signatories | Benjamin Keene José de Carvajal y Lancáster |
Parties | Great Britain Spain |
Language | French, Spanish, English |
The Treaty of Madrid, also known as the Treaty of Aquisgran, was a commercial treaty between Britain and Spain, formally signed on 5 October 1750 in Madrid.
Commercial tensions over the Asiento , a monopoly contract allowing foreign merchants to supply slaves to Spanish America (which was granted by the Spanish Crown to Britain via the 1713 Treaty of Utrecht), and alleged smuggling of British goods into Spain's American colonies led to the War of Jenkins' Ear in 1739. This was followed by the War of the Austrian Succession, ended by the 1748 Treaty of Aix-la-Chapelle.
In addition to the Asiento, there was also a substantial import and export trade between Spain and Britain, carried out by British merchants based in Cádiz. Due to an error by negotiators at Aix-la-Chapelle, the treaty failed to renew their trading privileges, which were treated as canceled by the Spaniards. Both sides also claimed they were owed large sums of money in regards to the Asiento.
However, the trade through Cadiz was equally important to Spain, while Ferdinand VI, who succeeded as king in 1746, was more pro-British than his predecessor. This allowed the two sides to reach agreement on a new treaty, which restored trading privileges, while the Asiento was canceled in return for a one time payment of £100,000 to the British.
The 1713 Treaty of Utrecht awarded Britain merchants limited access to the closed markets of Spanish America; these included the Asiento de Negros to supply 5,000 slaves a year and a Navio de Permiso, permitting limited direct sales in Porto Bello and Veracruz. [1] The South Sea Company established to hold these rights went bankrupt in the 1720 "South Sea Bubble", and became a state enterprise, owned by the British government. [2]
The heavy taxes imposed on all goods officially imported into Spanish America created a large and profitable black market for smugglers, many of whom were British. [3] The Asiento itself was marginally profitable and has been described as a "commercial illusion"; between 1717 and 1733, only eight ships were sent from Britain to the Americas. The real benefit was that its ships were allowed to import goods customs-free. [4]
However, the Spaniards tended to arrest any vessels caught with illegal goods, regardless of whether they were technically chartered by the South Sea Company, while other traders smuggled slaves, undermining the monopoly granted by the Asiento. The result was a series of claims and counter-claims; by 1748, the British argued they were owed nearly £2 million by the Spanish Crown, which claimed equally large amounts the other way. [5]
These commercial issues led to the outbreak of the War of Jenkins' Ear in 1739, which became part of the wider War of the Austrian Succession in 1740, and the 1748 Treaty of Aix-la-Chapelle largely failed to remedy them. Although the Asiento was renewed for four years, the South Sea Company had neither the desire or capacity to continue; of far greater importance was the import and export trade carried out by British merchants based in Cádiz. British goods were imported for re-sale locally or re-exported to the colonies, Spanish dye and wool going the other way; one City of London merchant called the trade "the best flower in our garden." [6]
Lord Sandwich, lead British negotiator at Aix-la-Chapelle, failed to include the Utrecht terms in the list of Anglo-Spanish agreements renewed in the Preliminaries to the treaty. When he tried to amend the final version, the Spaniards refused to approve it, threatening the lucrative import and export trade between the two countries. However, both sides wanted to resolve the problem, since the trade was equally valuable to Spain, while Ferdinand VI was more pro-British than his French-born predecessor Philip V. [7]
José de Carvajal y Lancáster, the Foreign Minister negotiated directly with Sir Benjamin Keene, the experienced British Ambassador to Spain; draft terms were agreed on 5 October 1749, it was not formally ratified until a year later. The asiento was cancelled and all claims settled in exchange for a payment of £100,000 to the South Sea Company, the Cadiz merchants were allowed to resume operations, and Britain received favorable terms for trading with Spanish America. [8]
The Treaty contained ten separate articles:
Article 1: Britain renounced its claim to the asiento and the Navio de Permiso;
Article 2: Spain paid compensation of £100,000, and in return, Britain cancelled any claim to further payments;
Article 3: Spain also cancelled claims relating to the asiento and the Navio de Permiso;
Article 4: British subjects would not pay higher (or other) duties in Spanish ports than those prevailing during the reign of Charles II of England;
Article 5: British subjects would be permitted to gather salt at Tortudos, as they had in the time of Charles II, allowing them to resume fishing operations by using it to preserve fish exported to Britain;
Article 6: British subjects would not pay higher duties than Spanish subjects;
Article 7: Subjects of both nations would pay the same duties, when bringing merchandise into each other's country by land, as they would by sea;
Article 8: Both countries would abolish all "innovations" that had been introduced into commerce;
Article 9: Arrangements were made to integrate the Treaty into the existing treaty system;
Article 10: An undertaking was made to execute the provisions of the Treaty promptly. [9]
Settlement of these issues helped the Duke of Newcastle pursue his policy of improving relations between the two countries, while Keene helped ensure the appointment of a succession of Anglophile ministers, including José de Carvajal and Ricardo Wall. Although Keene died in 1757, while Charles III of Spain succeeded Ferdinand in 1759, as a result Spain remained neutral in the Seven Years' War between Britain and France until 1762. [10]
The War of Jenkins' Ear was a conflict lasting from 1739 to 1748 between Britain and Spain. The majority of the fighting took place in New Granada and the Caribbean Sea, with major operations largely ended by 1742. It was related to the 1740 to 1748 War of the Austrian Succession. The name was coined in 1858 by British historian Thomas Carlyle, and refers to Robert Jenkins, captain of the British brig Rebecca, whose ear was allegedly severed by Spanish coast guards as they searched his ship for contraband in April 1731.
The South Sea Company was a British joint-stock company founded in January 1711, created as a public-private partnership to consolidate and reduce the cost of the national debt. To generate income, in 1713 the company was granted a monopoly to supply African slaves to the islands in the "South Seas" and South America. When the company was created, Britain was involved in the War of the Spanish Succession and Spain and Portugal controlled most of South America. There was thus no realistic prospect that trade would take place, and as it turned out, the Company never realised any significant profit from its monopoly. However, Company stock rose greatly in value as it expanded its operations dealing in government debt, and peaked in 1720 before suddenly collapsing to little above its original flotation price. The notorious economic bubble thus created, which ruined thousands of investors, became known as the South Sea Bubble.
The Peace of Utrecht was a series of peace treaties signed by the belligerents in the War of the Spanish Succession, in the Dutch city of Utrecht between April 1713 and February 1715. The war involved three contenders for the vacant throne of Spain, and involved much of Europe for over a decade. Essentially, the treaties allowed Philip V to keep the Spanish throne in return for permanently renouncing his claim to the French throne, along with other necessary guarantees that would ensure that France and Spain should not merge, thus preserving the balance of power in Europe.
The Congress of Aachen was assembled on 24 April 1748 in the Imperial Free City of Aachen, in the west of the Holy Roman Empire, to conclude the struggle known as the War of Austrian Succession. Between 30 April and 21 May the preliminaries were agreed to between Great Britain, France, the Dutch Republic, and Maria Theresa, queen of Bohemia and Hungary. The king of Sardinia, Ferdinand VI of Spain, the duke of Modena, and the Republic of Genoa successively gave their adhesion. The definitive treaty was signed on the 18th of October, Sardinia alone refusing to accede, because the Treaty of Worms was not guaranteed.
The Spanish treasure fleet, or West Indies Fleet, was a convoy system of sea routes organized by the Spanish Empire from 1566 to 1790, which linked Spain with its territories in the Americas across the Atlantic. The convoys were general purpose cargo fleets used for transporting a wide variety of items, including agricultural goods, lumber, various metal resources such as silver and gold, gems, pearls, spices, sugar, tobacco, silk, and other exotic goods from the overseas territories of the Spanish Empire to the Spanish mainland. Spanish goods such as oil, wine, textiles, books and tools were transported in the opposite direction.
The Treaty of Seville was signed on 9 November 1729 between Britain, France, and Spain, formally ending the 1727–1729 Anglo-Spanish War; the Dutch Republic joined the Treaty on 29 November.
The Asiento de Negros was a monopoly contract between the Spanish Crown and various merchants for the right to provide enslaved Africans to colonies in the Spanish Americas. The Spanish Empire rarely engaged in the transatlantic slave trade directly from Africa itself, choosing instead to contract out the importation to foreign merchants from nations more prominent in that part of the world, typically Portuguese and Genoese, but later the Dutch, French, and British. The Asiento did not concern French or British Caribbean but Spanish America.
The 1748 Treaty of Aix-la-Chapelle, sometimes called the Treaty of Aachen, ended the War of the Austrian Succession, following a congress assembled on 24 April 1748 at the Free Imperial City of Aachen.
The Bourbon Reforms consisted of political and economic changes promulgated by the Spanish Crown under various kings of the House of Bourbon, mainly in the 18th century. The beginning of the new Crown's power with clear lines of authority to officials contrasted to the complex system of government that evolved under the Habsburg monarchs. For example, the crown pursued state predominance over the Catholic Church, pushed economic reforms, and placed power solely into the hands of civil officials, paving the way for the Enlightenment in Spain.
Nicholas van Hoorn was a merchant sailor, privateer and pirate. He was born in the Netherlands and died near Veracruz after being wounded on the Isla de Sacrificios. Nikolaas or Klaas was engaged in the Dutch merchant service from about 1655 until 1659, and then bought a vessel with his savings. With a band of reckless men whom he had enlisted, he became a terror to the commerce of the Dutch Republic and the Spanish Empire. Later he had several ships in his employment and obtained such notoriety that some governments were willing to employ him against their enemies.
The 1731 Treaty of Vienna was signed on 16 March 1731 between Great Britain and Emperor Charles VI on behalf of the Habsburg monarchy, with the Dutch Republic included as a party.
The Treaty of Aranjuez (1752) was signed on 14 June, 1752, between Austria, Spain and the Kingdom of Sardinia.
A Peça (Portuguese), in Spanish Pieza de India was a unit of value during the 16th to 18th centuries used in the slave trade between the Spanish colonies in the Americas and slave traders operating from West Africa through the Portuguese Cape Verde Islands. A peça was used to measure quotas and to assess tariffs. Broadly speaking one peça equated to one healthy male or female slave between 15 and 25 years of age; slaves between 25 and 35, and between 8 and 15 years were valued at 2/3 peça with those outside this age range and those infirm being valued lower.
The Guipuzcoan Company of Caracas was a Spanish chartered company which existed from 1728 to 1785. It conducted trade with Spain's overseas colonies and maintained its own fleet of warships to defend the company's merchantmen. In 1785, after having several of its ships captured by the British Royal Navy during the American Revolutionary War, the Guipuzcoan Company of Caracas was merged with the Barcelona Trading Company to form the Royal Company of the Philippines.
Sir Benjamin Keene (1697–1757) was a British diplomat from Norfolk, who served as British Ambassador to Spain from 1729 to 1739, then again from 1748 until his death in Madrid in December 1757. He has been described as "by far the most prominent British agent in Anglo-Spanish relations of the 18th century".
The Convention of Pardo, also known as the Treaty of Pardo or Convention of El Pardo, was a 1739 agreement between Britain and Spain. It sought to resolve trade issues between the two countries and agree boundaries between Spanish Florida and the English colony of Georgia.
The Congress of Breda, also known as the Breda peace talks, were a series of bilateral negotiations between Great Britain and France, held in the Dutch city of Breda from 1746 to 1748. The discussions led to the agreement of terms that later became the basis of the 1748 Treaty of Aix-la-Chapelle.
Thomas Lascelles was a British military engineer and ordnance expert, who held a number of senior positions between 1713 and 1750.
The Treaty of Madrid, also known as the Earl of Sandwich's Treaty, was signed on 23 May, 1667 by England and Spain. It was one of a series of agreements made in response to French expansion under King Louis XIV.
Charles de Tubières de Pastel de Levoy de Grimoire, marquis de Caylus was a French naval officer who was governor-general of the French Windward Islands from 1745 to 1750. He had dissipated a considerable fortune and was deeply in debt when he took office, and used his power in wartime conditions to establish lucrative illegal arrangements to trade with France's enemies the English and the Dutch. A young nobleman arrived in Martinique in 1748, and for several months used revenues from his family estates on the island to give meals and dances for the elite. After he left it was found that he had been an impostor.