The fear of customs duties on such things as provisions and supplies, which are of great bulk, the great expense in lading, and their small profits here, induce those merchants to discontinue bringing the above-named articles, substituting others in their place.

Thus there has been a great scarcity of supplies, and considerable distress in the land.

We have seen your Majesty's decree in which you order us to make a report of the duties imposed upon the merchants by Don Gonzalo Ronquillo, governor of these islands; and whether it is expedient to impose heavier duties, or to drop them altogether.

In the meantime, we shall take such measures here as we consider most necessary for your service.

We are ordering that the collection of one and one-half per cent imposed on money coming to this land be discontinued; and, in order that the Chinese might bring us an abundance of supplies, with horses and cattle, as they had begun to do, it is decreed that no duties be imposed on the grain, biscuit, flour, and all other provisions brought by them, in order to encourage them to provide this land abundantly with these supplies.