Ming East India Company

In the late autumn night of the thirty-sixth year of the Wanli reign, the lights were dim at the Huai'an Grand Canal Transport Office.

Outside, autumn rain continued to fall, and a cold wind swirled damp mist, pounding against the heavy vermilion gate, leaving the entire governor's mansion in the heart of the important town in complete silence.

The Jiangnan region was flooded for days, and large areas of polder fields along the Taihu Lake were submerged, resulting in a complete crop failure. People were displaced and fled, and the amount of grain to be collected for the grain transport was reduced sharply, making it difficult for the grain transport ships heading north to the capital to set off in full.

Li Sancai stood alone by the study window with his hands behind his back, his brows furrowed and his face full of worry.

As the Grand Canal Transport Commissioner and Governor of Fengyang, he held the reins of the Grand Canal, commanding tens of thousands of grain transport troops and controlling all grain and river affairs in both the north and south of the Yangtze River. His power was immense, and no one in Jiangnan dared to disrespect him.

However, the floods in Jiangnan are now widespread, the fields have failed to yield any harvest, the prefectures and counties have no grain to collect, and the grain transport quota is in huge shortfall. If the grain cannot be collected and transported to the capital on time, the Wanli Emperor will be furious and may, at best, dismiss officials from their posts, and at worst, implicate their entire families.

Moreover, as the Grand Canal Transport Commissioner over the years, he has embezzled countless amounts of grain and official salaries through corrupt practices, and countless eyes in the court are watching him closely.

Once those damned eunuchs around the emperor find something to hold against you, you'll truly be doomed.

Li Sancai forced himself to stay alert and continued reviewing the official documents related to the Grand Canal transport submitted by his subordinates. His desk was piled high with disaster reports, canal transport registers, and urgent dispatches—all representing seemingly intractable problems.

Just then, a guard's voice announced from outside the door:

"Your Excellency, someone outside requests an audience."

Li Sancai's face showed displeasure. Before nightfall, he specifically instructed the gatekeeper: tonight, no matter who visits, refuse to see them, do not receive guests or friends.

The guard outside seemed to have guessed Li Sancai's reaction, and quickly and quietly entered, reporting in a low voice:

"My lord, a stranger has arrived outside the manor in the darkness of night. His identity is unknown, and he refuses to give his name. He only handed over a secret letter, saying that it was written by an old acquaintance, Eunuch Luo, and he begs you to see him so that he can relieve your current food shortage crisis."

Li Sancai was slightly taken aback upon hearing this, his eyes filled with surprise.

Luo Sigong.

He naturally recognized the man. He was once a powerful eunuch in the Ming Dynasty palace, in charge of the secrets of the Eastern Depot and the Embroidered Uniform Guard, but later went to Ryukyu to serve as a military supervisor, thus distancing himself from the court.

According to common sense, Li Sancai would certainly not want to see someone who is forgotten once they leave the country. However, before taking over as the Grand Canal Transport Commissioner, Li Sancai had served as a local official in Fujian for several years.

During this period, he became very close to Luo Sigong and received a lot of "gifts" from him. Moreover, his late-night visits were probably for important matters.

Li Sancai took the secret letter from the guard, checked it several times, pondered for a moment, suppressed his doubts, and waved his hand, saying:

"Bring him in, have him meet alone in the study, no one is allowed to listen in, and not a word is to be uttered outside. Strict security measures are in place inside and outside the mansion, and all irrelevant people are to stay away."

A moment later, a young man with a low profile, simple clothes, but a calm demeanor slowly walked into the secluded study.

The visitor was respectful, neither servile nor arrogant, and bowed deeply to Li Sancai. Without any unnecessary formalities, he got straight to the point:

"This humble subject has come to pay my respects to Lord Zhang Yu, the Minister of Transport. I have been sent by Lord Bai of the East Sea and Eunuch Luo to visit you late at night. I apologize for disturbing your peaceful sleep."

"Master Bai?"

Li Sancai was startled. Over the years, with the expansion of Ryukyu's influence, officials in the southern part of the Ming Dynasty had heard of Baiye's name more or less. Not long ago, Baiye spent money to buy disaster victims, and Li Sancai also got a share of the profits.

Dealing with such a person requires extreme caution; they likely share in your misdeeds as well. The Wanli Emperor granted Ryukyu the power to report directly to the Emperor; a single underhanded report could cost you your life.

Li Sancai took his seat at the head of the table, his gaze sharp as an eagle's, scrutinizing the newcomer from head to toe. He lightly tapped his fingertips on the table, his tone cold and authoritative:

"Luo Sigong has long since left the capital and retired overseas. Why has he suddenly sent someone to find me? With floods and grain shortages in Jiangnan, everyone in the court and the public is avoiding me. What are you plotting by coming to my door so late at night?"

The newcomer remained calm and spoke in a low voice:

"Your Excellency's current worries boil down to one thing. The great floods in Jiangnan have destroyed farmland, resulting in a severe shortage of grain for this year's grain transport, which cannot be delivered to the capital on time. It will be difficult to explain this to His Majesty."

Li Sancai's body trembled slightly, and his originally indifferent expression instantly became serious.

His expression softened slightly, and he asked in a deep voice, "Since you know everything, what can you offer me? Can what Luo Sigong said in his letter solve my urgent problem?"

Zhang Yu raised his eyes, his gaze open and honest, his words clear and distinct:

"Change river transport to sea transport. We earnestly request Your Excellency to split the grain transport from Jiangbei and Jiangnan, abolish the cumbersome river transport route, and instead have our Ryukyu seagoing vessels transport the grain directly to the port of Tianjin and Tongzhou, and then into the granary in Beijing."

As soon as he finished speaking, the study fell into a deathly silence.

Li Sancai's expression changed drastically. His eyes sharpened like knives as he stared intently at Zhang Yu, his voice cold and angry:

"Outrageous! The ancestral rules for canal transport are in the capital, and river transport is a permanent regulation. Who dares to lightly suggest changing it? Do you know that uttering such words is a crime punishable by the extermination of your entire family!"

Having long been accustomed to the factional struggles of the court, he understood the dangers involved best. The replacement of grain transport by sea touched the interests of tens of thousands of officials, grain transport workers, gatekeepers, and granary officials along the river, and violated the established laws of the Ming Dynasty. Once leaked, it would immediately become a catastrophic disaster without the need for impeachment by censors.

Faced with Li Sancai's fury, Zhang Yu remained calm and composed, bowing respectfully as he slowly analyzed the pros and cons.

"Your Excellency is well aware of the ancestral system, and even more so of how it breeds parasites and how river transport drains the lives of countless people."

"Your Excellency, who is in charge of the grain transport, knows the truth better than anyone else in the world: Currently, in the Ming Dynasty's canal transport, the people transport three shi of grain, but only one shi goes into the capital's granary. Layer upon layer of over-collection, dam and sluice gate exploitation, grain transport workers stealing and selling, granary deductions, and waterway flooding have turned the entire canal into a grain-devouring behemoth. Of the four million shi of grain transported to the capital each year, no less than two to six hundred thousand shi are wasted, privately divided, spoiled, or stolen along the way."

"Now, the Jiangnan region is flooded, the polders are destroyed, the grain transport is difficult to collect, the waterways are silted up, and the boats are slow to move. In previous years, the river transport was already in deficit, and this year it is even more certain that it will not be able to reach the capital on time and in full. Your Excellency is in a dilemma. If you collect grain, the people will revolt; if you slow down the transport, the emperor will be angry. If you stick to the ancestral system, you will be sitting and waiting for death."

Zhang Yu spoke frankly, each sentence hitting the nail on the head regarding Li Sancai's predicament. Then, he changed the subject and revealed the core solution:

"Since river transport is destined to be unprofitable, stagnant, and ultimately empty, why not change the ancestral system to benefit both the public and private sectors?"

"We do not ask Your Excellency to completely abolish river transport, but only to split 20% to 30% of the grain transport, remove it from the canal system, and entrust it to our East China Sea fleet. Starting from Songjiang and Suzhou Port in Jiangnan, we will cross the East China Sea and reach Tianjin and Tongzhou ports. The entire sea route will be unobstructed, without dams or locks, without official exploitation, and without grain transport workers stealing or selling it."

Li Sancai's expression softened slightly, and he frowned, pressing the question in a deep voice:

"Maritime transport is unpredictable, ships are at risk, and who will take responsibility if grain is lost? Moreover, maritime transport has always been unregulated, so how can we guarantee that it will arrive in the granaries on time?"

Since the founding of the Ming Dynasty, there have been countless disputes over grain transport by canal and sea, and the main objection of the opposition has been the uncertainty of grain delivery.

Although the canal transport was extremely costly, it provided information on where the canal boats were, the extent of their damage, and when they would arrive in the capital.

Every step was relayed through post stations, ensuring timely communication. Even if a trip couldn't be made this year, the imperial court could prepare in advance. Grain prices were controlled where necessary, and frugality was practiced where appropriate.

However, when traveling by sea, once the ship sets sail, in this era without radio and weather satellites, no one at sea, except for the Dragon King, knows where the ship is or can guarantee that it will not encounter storms.

Therefore, the imperial court could only wait aimlessly. By the time it was confirmed that the grain would not arrive, it might already be the following spring. By then, the soaring grain prices would have long since driven the people of the capital to cannibalism.

Compared to spending five boatloads of grain to deliver one boatload each time, transporting grain five times only results in the loss of one boatload each time, but one of the trips will fail to arrive.

This uncertainty is the biggest concern for the imperial court.

This was Li Sancai's biggest concern and the core reason why the imperial court opposed maritime transport.

Zhang Yu had prepared a plan and began to explain in detail:

"My lord has been based in the East China Sea for many years, and his fleet has been sailing in the South China Sea and the North China Sea all year round. He is familiar with the sea conditions in all four seasons, avoids storms and goes around reefs. His experience far exceeds that of ordinary maritime merchants in the Ming Dynasty."

River transport incurs 70% legal losses and 50% private losses, totaling two to three times the amount lost; while our seagoing vessels incur less than 30% losses throughout the entire journey. The huge amount of grain saved is enough to make up for the shortfall in grain transport revenue due to this year's floods.

As for what the adults are worried about!

Zhang Yu looked up and around, then leaned closer to Li Sancai and whispered:

"All losses from storms, shipwrecks, and drifting during the sea voyage will be fully compensated by our side. No government or officials need to bear any loss. The grain will be delivered to the capital in full."

Li Sancai's face froze after hearing this.

Full guarantee and compensation. I doubt any maritime merchant in the entire Ming Dynasty would dare to make such a promise.

Over the years, he had heard of Shirayuki's deeds and knew that he was quite influential in Ryukyu and the Eastern Ocean, with a large number of ships under his command.

Moreover, because he controlled the sea routes of the Ming Dynasty, he accumulated countless amounts of gold and silver, and the bribes he gave to officials in various places every year were also very staggering. Many officials in Jiangnan regarded him as the God of Wealth.

His abilities certainly justify making such a guarantee.

However, Li Sancai still hesitated. He knew that if the grain was transported in the same way as before, it would just mean that the urgency would be greater and the lower-level officials would be more ruthless in extorting money from the people.

However, there is a high probability that it can still be completed. Even if it cannot be completed, at worst, one can kowtow a few more times to the emperor and apologize more. In the end, the result will be dismissal and investigation.

After all, the Grand Canal transport involved countless officials at all levels; everyone's fortunes were intertwined, and their losses were shared. There was always someone to look out for them.

However, if he were to privately distribute the grain to maritime merchants, he would offend the entire grain transport system. If things went wrong, no one would stand with him, and he would surely lose his head.

Li Sancai's heart began to lean towards the canal transport.

After a long silence, he slowly raised his eyes, his voice low and hoarse, carrying a final concern:

"I understand what you mean by drastically reducing losses, replenishing the grain transport quota, and stabilizing one's career."

But river transport is a delicate balancing act. Hundreds of thousands of officials and soldiers depend on the river for their livelihood and profits. If I switch to sea transport, eliminating most of the waste from river transport, I will cut off their entire source of income. Like wolves without food, they will turn on me. This is far too risky; the losses will outweigh the gains.

At this moment, Zhang Yu was also calculating when to reveal his trump card.

From Li Sancai's hesitation and words, he already knew that the other party was unable to make a decision.

It was time. Remembering his master's warning, Zhang Yu decided to strike at the root of the problem.

Zhang Yu stepped forward, lowered his voice, and spoke clearly, each word resonating deeply:

"My lord, you only see the risk of cutting off others' source of income, but you have never seen the greatest and most unparalleled personal gain involved in this matter."

Li Sancai's gaze sharpened: "What do you mean by that?"

"Sir, have you ever calculated how much personal profit you have made each year while in charge of the grain transport for so many years and holding the nation's grain supply in your hands?" Zhang Yu asked in a deep voice.

Li Sancai made an estimate:

"Probably around tens of thousands of taels of silver."

Li Sancai had received many bribes from Luo Sigong and Bai Ye, so he didn't shy away from such matters.

Zhang Yu replied:

"That's right. The interests of the canal are divided layer by layer, from top to bottom, everyone gets a share. The gatekeepers have their fees, the canal workers have their grain stolen, the granary officials have their taxes deducted, and the prefectures and counties have their extra charges."

Millions of bushels of grain are lost annually along the canal, divided among hundreds of thousands of people at each level. What reaches you, the governor, is merely a tiny fraction.

Li Sancai remained silent.

Having been in officialdom for a long time, he certainly knew where the lost grain supplies went. He was the one in charge, but not the only beneficiary. The enormous profits from the grain transport ultimately went to everyone, with each person getting a share.

Sometimes, when he tried to take more than his share, he faced resistance and non-cooperation from his subordinates. After all, these people had long been involved in the canal transport, and many things depended on them. If the relationship became too strained, lower-level officials would quit, and he couldn't handle it.

Zhang Yu's sharp eyes revealed the truth in a single sentence:

"The drawback of river transport lies in the sharing of profits; the advantage of sea transport lies in monopolizing them."

One sentence instantly suffocated the dimly lit study.

Zhang Yu continued to elaborate, each sentence hitting the nail on the head regarding Li Sancai's ambition:

"In previous years, you, sir, oversaw the river transport and seemed to wield immense power over the canal. In reality, you were working for hundreds of thousands of low-level clerks, canal workers, and gatekeepers. Every year, millions of bushels of grain were consumed, and 90% of that was embezzled and misappropriated by officials at all levels along the route. You could only sit and wait for the layers of tribute to receive the most secure, yet meager, share from the top."

You dare not change the regulations for the grain transport, dare not reform the long-standing abuses—not because you cannot, but because you dare not. Because if you do, you will offend all those who have vested interests. In the end, you toil away, sitting in Huai'an, stabilizing the grain transport system, while the benefits are mostly siphoned off by tens of thousands of corrupt officials below you.

"But switching to sea freight changes everything!"

Zhang Yu's voice grew increasingly deep, carrying a seductive power:

"The sea routes are entirely under the control of my Lord of the East Sea. The entire process, from the transport fleet and escort personnel to the sea lanes and warehouses, is free from interference by Ming Dynasty officials, exploitation by gatekeepers, theft by transport workers, and withholding by warehouse officials."

"In the past, river transport would consume two or three shi of grain for every shi of grain transported, and the surplus of millions of shi would be divided among tens of thousands of people; now, with sea transport, the loss of millions of shi of grain transported is completely saved, and all the huge amounts of grain and silver that were originally to be distributed to hundreds of thousands of officials, soldiers, and servants along the river will no longer be scattered and lost."

"The enormous profits from the entire canal transport will no longer be shared among many, but will belong to only two people—my lord and my master."

Li Sancai's pupils suddenly contracted, and his breathing paused slightly.

Having been in charge of the canal transport for many years, this was the first time he had heard such straightforward, insightful, and disruptive words.