Wreckage recycled. Salvage auctions and their economic impact in eighteenth century Sweden

Abstract

ABSTRACT In 1729, the privately owned Diving and Salvage Company gained a national monopoly for sea salvage in the Swedish Realm, a position it held until 1803. The Company sold all salvaged ships and goods in public auctions, creating a lively salvage market in Swedish and Finnish port towns. In this article, I examine these auctions and their economic impact in two towns, Visby and Helsinki. Via effective organisation and skilful advertising, the Company was able to sell large quantities of salvaged ships, ship parts, and cargo to a large pool of buyers. The auctions had large economic impact and were an especially important factor in the late eighteenth century rise of shipping and shipbuilding in both Helsinki and Visby. The local merchants controlled the auctions and bought all ship material in bulk, recycling it to the new-built ships in their dockyards.