The guano bonanza also sets in motion…

The guano bonanza also sets in motion more negative trends.

Castilla "nationalizes" guano in order to maximize benefits to the state but in so doing reinforces aspects of the old colonial pattern of a mercantilist political economy.

The state now consigns the commercialization of guano to certain favored private sectors based in Lima that have foreign connections.

This action creates a nefarious and often collusive relationship between the state and a new "liberal" group of guano consignees.