Chapter 13: Agreements [1]
The imperial decree spread like wildfire. Within days, the spice trade was restricted throughout the Empire. In two weeks, the Royal Family had bought up surplus spices, effectively preventing Europeans from acquiring them in large quantities. Any foreign traders now faced the daunting task of finding hundreds of farmers willing to disobey the decree and sell small amounts in secret.
This decision took European merchants like the Dutch and Portuguese by surprise; they never expected the Empire to restrict spice trade after the war. A few days before the restrictions took full effect, the Vijayanagara Empire sent a message to the Portuguese, requesting the purchase of grains. This timing made the merchants rush to buy spices from the Empire.
However, the Emperor's decree restricted their purchases at the shore, putting the Portuguese in a huge dilemma.
Harsha had been assigned Chandra's assistant, Neelakanta, to aid him with the matters and relations involving the Portuguese. Neelakanta was a young man of short stature, his face holding a youthful innocence that belied his sharp intellect. Though he seemed unassuming at first glance, his keen eyes and quick mind made him an invaluable asset.
'This guy is pretty sharp. So the first in line to the throne has these types of people at his disposal. Meanwhile, I don't even have a butler, let alone an assistant.' Harsha frowned in disgust, silently cursing the previous owner for being so incompetent.
"Neelakanta, how soon can we arrange a meeting with the Dutch?" Harsha inquired, his tone composed.
"It should take about three to five days, Your Highness," Neelakanta replied steadily. "Their delegation is already in the Empire, so we can move swiftly. May I ask why the sudden urgency?"
Harsha paused, contemplating his next words carefully. "Prepare a message for the Dutch immediately. Inform them that we are ready to negotiate the sale of spices."
Neelakanta, initially surprised by the directive, chose not to question the decision to negotiate with the Dutch. Despite his reservations, he understood that the youngest prince held the authority bestowed upon them by the Emperor in matters of spice trade. On his way to dispatch the message, Neelakanta ensured that Chandra was promptly informed of Harsha's initiative to contact the Dutch.
As he prepared to send an envoy to Visakhapatnam, Neelakanta couldn't help but ponder the implications of Harsha's actions. "Hm... I wonder what the Youngest Prince is plotting," he sighed, a mix of curiosity and concern marking his expression.
With a sense of duty, he instructed his subordinate to handle the envoy carefully, knowing that the outcome of these negotiations could significantly impact the Empire's trade relations.
Meanwhile at the Portuguese Indian Base, Daman.
"General Barnabas Rodrigues, we've hit a snag," said David Costa, his voice laced with concern. Dressed in a slashed leather jerkin with a black sword belt and hanger over a red doublet, he looked every bit the seasoned subordinate.
"Vijayanagar has restricted us from buying spices. On top of that, they've requested to purchase the grains we hoarded from the Qutb Sultanate. We're set to sail in a month. What should we do?"
Barnabas stroked his beard thoughtfully, eyes narrowing. "So, the Emperor has made his move," he mused. "We can't afford to return empty-handed, nor can we sell the grains at a loss."
General Lord Barnabas Rodrigues, a seasoned veteran, was entrusted by King Sebastian of Portugal to manage the Portuguese base in Daman under the Portuguese Indian flag. Known for his strategic mind and unwavering resolve, Barnabas had navigated countless challenges in his career.
David Costa, on the other hand, was the newly appointed Vice-General. Fresh from the court of Lisbon, he was an inexperienced young man on his first voyage to India. His eagerness was palpable, and while he lacked the seasoned insight of Barnabas, his ambition was very clear.
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The contrast between the two was stark: Barnabas with his weathered face and commanding presence, and David with his youthful enthusiasm and a touch of naivety. David admired the General's confidence and command, hoping to one day emulate his prowess.
David nodded. "Exactly, General. The men are restless, and our merchants are growing anxious. If we can't secure the spices, it could mean significant losses."
Barnabas sighed. "We'll have to negotiate. Offer them a fair price for the grains, but emphasize that our cooperation hinges on lifting the spice restriction. Prepare our delegation. I will personally handle the negotiations."
David straightened a hint of relief in his expression. "Understood, General. I'll make the arrangements immediately."
Meanwhile, in Visakhapatnam, an intense negotiation was underway between the Dutch envoy and Harsha. The Dutch envoy, Lord Mark Hendriks, a tall man with a stern face and a reputation for shrewd bargaining, faced Harsha across the table. Harsha, accompanied by Chandra's assistant Neelakanta, knew that Neelakanta was there to step in if the negotiations took a turn for the worse.
Harsha put forward an outrageous offer in the negotiation: 5 kilograms of silver per hundredweight of spices (50.8 kg). His intention was clear—he wanted to squeeze as much as he could from the Dutch. Lord Hendriks, however, had a different idea. He countered with an offer of 3 kilograms of silver per hundredweight, hoping to secure a more favorable deal for his side.
"Your offer is insufficient, Lord Hendriks," Harsha stated firmly. "The value of our spices cannot be undermined, especially given the current demand,"
Hendriks leaned back, a calculating look in his eyes. "Prince Harsha, we are willing to pay a fair price, but your terms are exorbitant. We must find a middle ground,"
Harsha's eyes narrowed. "The Dutch have long profited from our goods. It is only fair that we demand a price that reflects their true worth. We have other buyers, Lord Hendriks. Do not underestimate our position,"
Hendriks sighed, running a hand through his greying hair. "Prince Harsha, understand that we too have our constraints. The European market is volatile. We are willing to negotiate, but your current demands are too steep."
"Well... the Portuguese have also expressed their interest in buying our spices," Harsha said with a smirk. "Since they have a lot of silver, they might be willing to outbid your offer. What do you think, Lord Hendriks?"
Lord Hendriks' expression hardened at the information, his jaw tightening. He knew the Portuguese were fierce competitors in the spice trade, and this new development put him in a difficult position.
"Prince Harsha, we have been long-standing trade partners. It would be in both our interests to maintain this relationship," Hendriks replied, trying to keep his voice steady. "Perhaps we can come to a more favourable agreement to ensure your continued support."
Harsha leaned forward, his smirk widening. "I understand that you might have financial constraints due to the wars,"
Lord Hendriks' said in a steady tone. "Prince Harsha? How about I propose a deal for you,?"
Harsha looked uninterested but agreed "OK! I am listening"
"Instead of paying 5 kilograms of silver per hundredweight, we can deal at 3.3 kilograms per hundredweight of spices as usual, except for nutmeg, which will be done in gold this time around," Hendriks suggested.
Harsha narrowed his eyes. "What's the catch here, Lord Hendriks?"
"Ships," Hendriks stated firmly. "We will provide you with ships, and we will trade you spices at the said price."
Harsha's expression shifted, clearly intrigued by the proposal. "Ships, you say? How many are we talking about?"
Lord Hendriks glanced over at the report and countered Harsha with a smirk "Well, How many do you want?
"We need a substantial number to enhance our trade and naval capabilities—at least six ships," Harsha replied. "In return, you get the spices at a lower price, securing a profitable trade deal for your merchants."
'Considering how easily he is giving up the ships, they should be damaged to travel through the Cape of Good Hope. Sly old man! However, the ships can be reverse-engineered, so it's a good deal,' Harsha thought.
Lord Hendriks stroked his beard thoughtfully. "This is an interesting proposition. Ships are not easy to come by, but I believe we can manage that. "
Hendriks shook his head. "But six is too much! Let's find a middle ground at four ships for one year. And one kilogram of gold for every hundredweight of nutmeg."
Hendriks extended his hand, and Harsha shook it firmly. "Deal."
Neelakanta, standing nearby, couldn't hide his surprise at the successful negotiation. Harsha had managed to secure a favourable deal while ensuring the Empire's trade capabilities were bolstered.
As they left the negotiating table, the translator and his subordinate turned to Lord Hendriks, speaking in Dutch. "General, selling them ships—wouldn't that be a bad deal for us, considering how expensive ships are?"
Lord Hendriks chuckled heartily. "We're not offering them our first-rate ships, but third-rate ones that we were planning to get rid of anyway. It should deter the Portuguese to some extent. So, it's a win-win situation for us."
"Is that so?" they both said in unison
Lord Hendriks chuckled heartily. "Don't worry about it. These infidels lack the ship technology to replicate or improve upon ours. We're in a strong position here! HAHAHA!"
Contents of contract
Contract for Spice Trade Between the Empire of Vijayanagara and the Dutch
This Agreement is made and entered into as of [30 Jyestha 1624] [June, 1567], between:
The Empire of Vijayanagara, represented by Prince Harsha Deva Raya, hereinafter referred to as "Vijayanagara", and
The Dutch Republic, represented by General Lord Mark Hendriks, hereinafter referred to as "the Dutch".
Terms of Agreement:
Spice Trade Terms:
- Vijayanagara agrees to sell spices to the Dutch at a rate of 3.3 kilograms of silver per hundredweight.
- Nutmeg will be traded at a rate of 1 kilogram of gold per hundredweight.
Ships Provision:
- The Dutch will provide four fully equipped ships to the Vijayanagara Empire as per the agreement, starting from [30 Jyeshtha 1624] [June 1567].
Duration:
- This contract shall remain in effect for a period of one year from the date of signing unless terminated earlier as per mutual Agreement.
Terms of Payment:
- Payment for spices shall be made in silver upon delivery.
- Payment for nutmeg shall be made in gold upon delivery.
General Provisions:
- Both parties agree to abide by the terms set forth in this Agreement.
- Any disputes arising under this Agreement shall be resolved through mutual negotiation.
Signatures:
For the Empire of Vijayanagara:
[Prince Harsha Deva Raya]
For the Dutch Republic:
[General Lord Mark Hendriks]
Date: [30Jyeshtha 1624] [June 1567]