Panama Hats Are Made in Ecuador

Ecuadorians had fashioned small quantities of hats made from vegetative material since pre-Hispanic times. Between 1850 and 1950, however, Ecuador greatly expanded its output and supplied the world with fashionable summertime headwear that erroneously, because of the place of transshipment, bore the name Panama hats. Woven by artisans from the fronds of the toquilla palm tree that flourished near the coast of Manabí province, Ecuadorian-made Panama hats first found favor with Forty-Niners crossing through the isthmus because their light weight and broad brims protected wearers from the tropical sun. Likewise, European elites and middle-class consumers found the hats ideal as they enjoyed summer vacations at resorts or strolled through city streets. Panama hats contributed only modestly to Ecuador’s economic growth, primarily by earning tax revenues that helped pay for infrastructure projects such as the Guayaquil & Quito Railroad. But Manabí’s hand-crafted hats did not create high-paying jobs benefiting workers. Later, when the weaving center shifted to Azuay province, only the final stages of production used any type of machinery. Ultimately, only Ecuadorian exporters and foreign retailers made much money; hence, Panama hats were not an engine of development creating prosperity for the nation. Despite their minimal effect on Ecuador’s economy, the hats represented an important element of the national patrimony visible throughout the world of fashion. Politicians, movie stars, and millions of people in the middle class sported Panama hats during the summer months for generations, even though few knew they came from Ecuador. Once men stopped wearing formal hats in the late 1950s, the profitable Panama hat trade shrank.