North America
Though the wars in Europe would destroy much of the continent's economy, they gave a boost to the economy of North America. The region had previously been seen as a backwater, producing very little of value. Often being described derisively as an icy land of with Flemings and Norwegians. However, visitors from Portugal and other parts of Europe in the 17th century soon began to take notice of the inhabitants of North America. The small spread out settlements in the northern half of the continent grew at a far faster rate than anywhere else in the empire and the inhabitants of the region were taller, healthier and more well fed. The captain of São Lourenço, Rui de Almeida wrote to Lisbon in 1620 describing the inhabitants of the region as men who would make excellent soldiers due to their physical stature. Though the reasons for these differences were unknown at the time, in the northern portions of America the European settlers were spread out on large individual homesteads with plentiful food supplies, including abundant dairy supplies. They married on average ten years younger than in Europe and had far more children, with far lower rates of mortality, once land became scarce, they simply moved west. As a result of this growth, the Captaincies of Nova Navarra & Terra Nova, São Lourenço, São Vicente, Santo António, and Santa Maria had a combined white population of 479,000 by 1660. Though a mixture of Iberian, Scandinavian, Flemish, German and Finnish backgrounds, by the mid-17th century it was noted that most of the inhabitants of the region spoke excellent Portuguese, often better than that spoken in Portugal itself. This might have been attributed to the central role of played by Parish priests who in the largely rural area, provided a pivotal role in society. The priests were usually sent from Portugal, and the church provided what little education was available through its seminaries and convents. They also acted as notaries and would read news from the outside world to the inhabitants. As a result, the parish churches therefore became far more than just places of worship.
Though most of the settlers in the northern part of North America were mostly farmers, living off the sale of grain and timber, the wars of Europe after 1600 would provide the inhabitants of the region with a valuable commodity. Beginning around 1600, the Swedish soldiers at war in Europe made beaver-felt hats popular once more, and the demand for beaver pelts in Europe sky-rocketed. However, with the Kalmar Union in control of the Baltic, Flemish ships could not acquire furs from their traditional source of Russia. A few Hanseatic merchants were able to ship furs to Antwerp, however the supplies were still inadequate, and as result prices began to rise exponentially. In addition, by 1600 the European beaver had been so overhunted that there were not nearly enough to supply the demand. Therefore, demand from Spanish America exploded as the price of a beaver pelt rose from 14 reais in 1600 to 35 in 1633.
The Captaincy of São Lourenço in particular experienced a boom as the furs from the Northern Region were of better quality and fetched higher prices. The settlers here were often subsistence farmers, and the sale of pelts allowed them to acquire additional income. By 1650, around 1,000 European men had ventured north and west to become traders, living amongst the Indians, and often taking Indian wives. They were accompanied by the Jesuits who sought to convert the Indians to Catholicism. However, the latter group often came into conflict with the settlers, as they were often critical of the treatment of the Indians at the hands of the settlers. This would lead to conflict and sporadic violence against the Jesuits, particularly in the remote areas of the interior, where the crown’s authority was nil.
Fur was not the only trade booming in North America. Spain had long been deficient in the production of grain, and turned to North Africa and later Germany for wheat and flour imports. With the Spanish settlements in North Africa under siege throughout the first half of the 17th century, the Spanish King turned to the Flemish to provide grain from the Elbe and the Baltic for Spain. However, with the war in Germany, by the 1620s even this became more expensive and difficult to obtain. The captaincies of Vale dos Flamengos (Delaware River Valley) and Espírito Santo filled the gap and began to provide enough wheat not only for Spain, but for much of Europe by the end of the 17th century. In addition, wheat and flour was being exported to the Caribbean in exchange for sugar, rum and molasses. Dried cod too became an important export from Terra Nova (Newfoundland) as Basque, Portuguese and Galician fisherman arrived in increasing numbers from Europe to fish off the Grand Banks. It would be during this period that the first forts were erected on Terra Nova as a way to keep foreign fisherman from the region.
To the South, Espírito Santo (Chesapeake River), the oldest Portuguese settlement in North America experienced a period of prosperity too as tobacco gained increasing popularity in Europe and the Far East. However, as the lowlands soil was quickly exhausted by tobacco cultivation, the settlers began to look for other lands, moving further inland and south. The settlers in the coastal regions, began producing grain instead. By the mid-17th century the European population had reached nearly 250,000, coupled with this were 140,000 slaves. A small stream of European immigrants continued to migrate to the region, however beginning around 1600, African slaves were imported first from the West Indies and later directly from Africa in ever larger numbers. Initially, Indian slaves had been utilized, but by the late 16th century, their numbers had been decimated and there were few left in the regions East of the Apalches (Appalachians).
In Nova Castela (S. Carolina), the Spanish settlers began to cultivate rice from plants imported from Asia, and this soon became a major export to Spain and the rest of Europe. Here too, slavery was important, and by 1660 there were 21,000 Europeans and free persons of colour compared with 39,000 slaves in Nova Castela. The slaves were imported mostly from the Rice Coast of Africa, around Senegambia and Sierra Leone as many already were knowledgeable in the cultivation of rice. At the slave markets in Nova Alba, slaves from the Rice Coast commanded a higher price as a result. The success or rice cultivation spread south into São Miguel, where the white population 10,000 by 1660. However, here too African slaves outnumbered the Europeans as there were 12,000 in the captaincy by that time. Around the mid-17th century another cash crop was introduced, indigo and its cultivation would lead to the first large-scale settlement of Florida. The plant prized for the rich blue dyes it produced soon spread throughout southern North America, as it became particularly prized in Germany. By 1660, Florida had a white population of 4,700 and some 6,000 slaves as a result. The white population of the region had been boosted by the settlement of 1,200 English recruited between 1647-1651 by Princess Catherine, Princess of Wales and later Queen Catherine, a Portuguese infant who married the future King George I.