On September 25, 1728, the “Royal Gipuzkoan Company of Caracas” (La Real Compañía Guipuzcoana de Caracas) was established in the Basque province of Gipuzkoa. An early eighteenth century Spanish reform had established a system by which the government issued royal licenses for the establishment of commerce companies endowing them privileged positions in colonial trade. This system followed the Dutch, English, and French models, by which the government granted some companies permission to be the sole merchants and have monopoly rights on certain trading routes between the American colonies and the Old World. In this way, moreover, the chartered companies became important mainstays of the Spanish empire and its military rule in America. Thus, those privileged fleets were allowed not only to consolidate their positions in transatlantic markets, but they played an even larger role in Spanish foreign relations abroad. Following its Basque predecessor’s steps–the“Company of Honduras” established by Diego de Murga in 1714–the “Royal Gipuzkoan Company of Caracas” was created with the intention of establishing a shareholding company between Venezuela and the Old World. In 1742, the “Royal Gipuzkoan Company of Caracas” obtained the monopoly of trade to Venezuela. Through the establishment of this and other commercial companies, Basque merchants took an active role in the Atlantic trade of different kind of products in the West Indies during the eighteenth century.
Check out Gloria Pilar Totoricaguena’s book Basque Diaspora: Migration and Transnational Identity, which will give you the whole picture of this and other stories about the Basque presence overseas (available free to download here). On the eighteenth century, see Cameron Watson’s Modern Basque History: Eighteenth Century to the Present (2003).
For further discussion on Basque emigration, see: José Manuel Azcona Pastor’s Possible Paradises: Basque Emigration to Latin America (Reno: University of Nevada Press, 2004); and William A. Douglass and Jon Bilbao, Amerikanuak: Basques in the New World (Reno: University of Nevada Press, 1975).
Every Friday we look into our Basque archives for interesting historic events that happened on the same day.