Mongkut - The Bowring Treaty

The Bowring Treaty

In 1854, John Bowring, the Governor of Hong Kong in the name of Queen Victoria of the United Kingdom, came to Siam to negotiate a treaty. For the first time Siam had to deal seriously with international laws. Prayurawongse negotiated on the behalf of the Siamese. The result was the Bowring Treaty, which was regarded as an unequal treaty imposed by the British Empire on Siam. The main principle of the treaty was to abolish the Royal Storage (พระคลังสินค้า), which since Ayutthaya's times held the monopoly on foreign trade. The Royal Storage had been the source of Ayutthaya's prosperity as it collected immense taxation on foreign traders, including the taxation according to the width of the galleon and the tithe. Western products had to go through a series of tax barriers to reach Siamese people.

The Europeans had been attempting to undo this monopoly for a long time but no serious measures had been taken. For Siamese people, trading with foreigners subjected them to severe punishment. The taxation was partially reduced in the Burney Treaty. However, in the world of liberalism of the nineteenth century, such unequal and government-interfered trade was disappearing.

The abolition of such trade barriers replaced Siamese commerce with free trade. Import taxation was reduced to 3% and could only be collected once. This, of course, was a blow on the national revenue. However, this led to dramatic growth of commercial sectors as common people gained access to foreign trade. Never before in Siam could agricultural products be for sale and exports rather than subsistence farming (Before Bowring, those who traded rice with foreigners would be executed for treason). People rushed to acquire vast, previously empty fields to grow rice and the competition eventually resulted in the lands ending up in the hands of nobility.

The Bowring Treaty also had a legal impact. Due to the horror of the Nakorn Bala methods of torture in judicial proceedings, the British chose not to be tried under the Siamese system, securing a grant of extraterritoriality; British subjects in Siam were therefore subject only to British law, while the Siamese in Britain enjoyed no reciprocal privilege.

More treaties were then made with other powers, further undermining national revenue and legal rights. The Bowring treaty proved to be the economic and social revolution of Siam. Mongkut's reign saw immense commercial activities in Siam for the first time, which led to the introduction of coinage in 1860. The first industries in Siam were rice milling and sugar production. Infrastructure was improved; there was a great deal of paving of roads and canal digging – for transport and water reservoirs for plantations.