The Gold Rush and the Panama Hat

The California Gold Rush began on 1848 when gold was discovered in California. By the beginning of 1849, word of the Gold Rush had spread around the world, and an overwhelming number of gold-seekers and merchants began to arrive from virtually every continent resulting in some 300,000 men, women, and children coming to California.

The largest group of forty-niners (as referenced in 1849) were Americans, arriving by the tens of thousands overland across the continent and along various sailing routes. Many came by way of the Isthmus of Panama, the easiest way in that time to reach California from the east. While passing through, they often bought straw hats on their way and spread the word about these fabulous Panama Hats in their destinations within California.

Gold seekers never knew that what they thought it was a Panama Hat was really a straw hat that was sold in Panama but that it was originally made in Ecuador. As a matter of fact, these straw hat should have been named Montecristi Hat because it is hand made by master weavers of a small town of Montecristi, in Ecuador.

Anyway, the Panama Hat gained popularity in California and in 1849, Ecuador exported 220,000 hats to California that protected gold seekers from the strong sun since in that time the gold was retrieved from streams and riverbeds using simple techniques, such as panning.

The effects of the Gold Rush were substantial. San Francisco grew from a small settlement to a boomtown, and roads, churches, schools and other towns were built throughout California. On the other hand, the greatest of all straw hats gained popularity within the USA as the Panama Hat. Still today, Panama Hats are more popular in California than any other state of the USA and most of the celebrities that wear them are Hollywood stars.

Where are the famous Panama Hats made?

This is a question that I've seen in the board game "Trivia Pursuit" and the famous TV show "Who wants to be a millionaire." The name obviously suggests that the Panama hat is made in Panama, but in reality this hat is exclusively produced in Ecuador. Panama Hats or Toquilla Straw Hats as they are also known have always been handcrafted by artisans from the towns of Montecristi on the coast of Manabi in Ecuador and use a very fine and thin straw called Toquilla Straw, which only grows in this region of the world.

The history of this hat name started when an Ecuadorean businessman named Manuel Alfaro who had his own plantations in Montecristi, decided in 1835 to hire several experienced weavers and build a hat business. His business prospered and when the Ecuadorian market got limited, he decided to extepand his business by exporting straw hats to Panama, since this country was becoming a major center for business. Shortly after he opening stores in Panama, he attracted the attention of many customers around the world that passed through Panama, which was already a major trading port.

Eloy Alfaro, son of Manuel Alfaro and later President of Ecuador took over the family and at the early 1900s, Ecuador was exporting thousands of hats to Panama, taking advantage that the Panama Canal was being built by many workers and American engineers who needed sun protection. The hat then was baptized by all foreigners in Panama as "Panama Hat" because it was linked to the country where it was bought. The popularity grew throughout the world when the world press published a photo of President Theodore Roosevelt using a Montecristi hat during his visit to the channel.

The truth is that since then on, this beautiful Ecuadorian Montecristi Hat it is now known as Panama Hat.