Defending the Nation and Searching for Wealth: Merchants and Privateers of Chile, 1817-1820

Permanent warfare marked the Independence process in Hispanic America, and was evident on the high seas between the newly formed States and forces loyal to the Spanish Crown. Faced with persistent maritime threats, some independent governments encouraged privateering to help the newly formed national navies secure the seas and harass the enemy. This also helped make international merchandise trade safer, which was vital for the good progress of internal markets and the public treasuries: in short, for the “national” economy. Privateering brought about new and unique business opportunities for many traders established in Chile to intervene in and boost merchandise trade, and, by its very nature, encouraged diversification. Moreover, it involved traditional inter-regional or terrestrial trade and “peaceful” shipping activities, as well as, in some cases, contracts with the State. Corsairs were able to obtain unexpected revenues by attacking their “Spanish” competitors trading with the Peninsula. Using documents from the Chilean Ministry of the Navy, case-studies will show how this type of business developed in the years of its apogee and its implications on the consolidation of Independence and the subsequent construction of the Republican State.