M2 - The Rise of Ilustrados

19th Century

Opened with the changes in colonial economu with great social repercussions.

1. Abolition of Manila-Acapulco Galleon Trade
2. Start of Liberal Foreign Commerce
3. Export of Philippine Agricultural Products to Europe and the United States as Raw Materials
4. Regionalization of the Cultivation of PH Agricultural Crops for Export

Economic Changes of the 19th Century

1. Expansion of Facilities to the Port of Manila
2. Creation of Quarantine Service
3. Opening of Provincial Ports
4. Introduction of Rail Transportation (Manila-Dagupan Railway)
5. Introduction of Telegraph Facilities in almost all provinces of Luzon.
6. Construction of Lighthouses to safeguard Ship Travel
7. Opening of Manila Observatory
8. Construction of Roadways
9. Construction of Potable Water System (Carriedo)
10. Opening of Banco Espanol de Isabel 2a
11. Opening of Foreign Banks

19th Century Modernization

1. Foreign Merchants
2. Spanish Merchants
3. Religious Orders
4. Mestizos
5. Inquilinos

Beneficiaries of the Liberal Foreign Commerce

Abolition of Manila-Acapulco Galleon Trade after the Independence of Mexico

- Ended 250 years of exclusive trade between PH and MX (Both colonies of Spain).
- Ended the transport of Chinese/Asian products to Mexico via the PH.
- Raised the need for a new foreign trade for the Philippines

Manila-Acapulco Galleon Trade

Transport of Chinese products from Manila to Acapulco aboard ships called galleons.

Start of Liberal Foreign Commerce

- Starting 1815, allowed entrance of foreign traders to the port of Manila.
- Arrival of European and American commercial ships in the port of Manila.
- Establishment of business offices of foreign commercial companies in Manila (Binondo).
- Arrival of European and American Merchandise. —They began the industrial revolution and needed a market.
(1) Soap
(2) Mirrors
(3) Cotton Textile
(4) Chandeliers
- PH opened to international trade

Liberal Foreign Commerce

PH trade with everyone-Europeans, Americans, and other nationalities without distinction (not only Mexico).

Mexico, China

16th to 18th Century EXCLUSIVE trading partners in foreign trade

Britain, Germany, France, United States

19th Century Liberal trading partners in foreign trades

Export of Philippine Agricultural Products to Europe and the United States as Raw Material

- Materials:
(1) Coconut (for oil, food, etc.)
(2) Abaca (for rope)
(3) Sugarcane (for sugar)
(4) Coffee
(5) Indigo (dyes)
(6) Rice
- PH Agricultural crops as cash crops as they were easily sold and converted tino cash.

Regionalization of the Cultivation of PH Agricultural Crops for Export

- Certain regions were planted to specific agricultural crops.
- Agriculture-based export economy in the PH.
- PH agricultural crops reached Europe and American factories for the first time.
- Required modernization of infrastructure to facilitate the import and export trade.

Laguna, Batangas

Region for Coconut

Camarines, Albay, Sorsogon, Samar, Leyte

Region for Abaca

Pampanga, Laguna, Iloilo, Negros

Region for Sugarcane

Cavite, Batangas

Region for Coffee

Laguna, Bulacan

Region for Indigo

Laguna, Pangasinan, Bulacan

Region for Rice

Expansion of Facilities to the Port of Manila

- Maraming facilities, mas maraming mangangalakal

Creation of Quarantine Service

- General direction of Maritime Sanitation for the Port of Manila.
- Since nag-open ang port, there are trades with more countries (esp. Countries with epidemics).

Opening of Provincial Ports

- 1855: Iloilo, Sual (Pangasinan), Zamboanga
- 1860: Cebu
- Impact: Increased foreign trade shipping in Visayas and Mindanao.

Introduction of Rail Transportation (Manila-Dagupan Railway)

- Accelerated travel from Manila to Pangasinan.
- Hastened the transport of rice and sugar to the port of Manila or to the port of Pangasinan.

Introduction of Telegraph Facilities in almost all provinces of Luzon

- Only Batanes was not connected to Manila.
- Impact: Expedited transmission of communication.

Construction of Lighthouses to safeguard Ship Travel

- Made shipping faster.
- Cape Bojeador (Ilocos Norte)
- Capones Island (Zambales)
- Corregidor Island (Manila Bay)
- Cape Engano (Cagayan)
- Malabrigo (Batangas)
- Sabtang Island

Manila Observatory

— Gave readings on the weather and other meteorological information.

Federico Faura, S.J.

Founder of the Manila Observatory

Roadways

Connected towns and provinces by means of land

Carriedo Water Works

— Construction of potable water system
— Provided the residents of Intramuros with clean piped water.

Banco Español Filipino de Isabel 2a

— Introduced formal banking in the Philippines.
— Bank of the Philippine Islands

1. Antonio de Ayala
2. Domingo de Roxas
3. Jacobo Zobel

Original Stock Holders of Banco Español Filipino de Isabel 2a

1. Hong Kong & Shanghai Bank -- BGC, Taguig
2. Chartered Bank of India, Australia, and China -- Standard Chartered Bank -- Ayala Ave., Makati

Opening of foreign banks (2).