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As the Portuguese Empire grew in power, the Dutch began slowly trying to diminish their power. A war broke out between the two with Portugal winning in South America and the Dutch winning in the Asian area. Portugal lost many colonial cities because of this war.
In between this time period, Portugal's maritime exploration and wealth flourished immensely. In the year 1500, Pero Alvares Cabral landed in Brazil and since it did not betray the Treaty of Tordesallas, he claimed it for Spain. Portugal's main goal was to conquer the Indian Ocean and went on many missions in an attempt to conquer the region's trade.
Portugal was one of the first countries to take a serious interest in global exploration. Due to the influence of Prince Henry The Navigator, Portugal rose up to initially lead the world in Maritime exploration. In 1488, Bartolomeu Dias voyaged around the Cape of Good Hope, allowing a connection between Europe and the Indian Ocean Trade Networks, which would later further be opened by Vasco de Gama.
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Portugal established an alliance with Spain and although this did not prove beneficial in the future. Even after Portugal broke from them, they were already along the descent down from their imperial highpoint. They soon became less involved in exploration, which caused them to over expand, and more on their withering economy and soon they're great empire was deteriorated.
Sugarcane was one of the most important imports the Spanish maintained throughout their time as an imperial power. They set up plantations in most everywhere they colonized and used their abundant amount of slaves to work them. They received many slaves from Africa due to the fortresses and colonies they had established all throughout the area. They would give luxury goods to the African rulers for slaves.
In the year 1492, Christopher Columbus charted new territories and discovered North and South America. When he returned, bringing news of his discovery, the pope granted that all land to the left of a certain longitudinal line belonged to Spain and all to the right belonged to Portugal. This situation did nothing to help Portugal as the line cut them off from the New World and from most of the Indian Ocean basin. So, Portugal called for a meeting with the Spanish royals at Tordesillas in which the line was moved over to the right allowing Portugal access to South America and the Indian Ocean.