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Here’s some strategy hints for Colonization game, which I’ve been playing since finding the open source version from Internet.

Quick start for Colonization
Establish a colony with both of your settlers. You can use your pioneer and his tools later. When you have founded two towns, make them produce something to sell to Europe - not food or wood.

When you have two towns running, try to search an Indian village next to sea, to be able to sell goods. After you have found an Indian village, check that you have enough material to sell at Europe, that you will make at least 200 cold, which is needed to buy goods.

Then take the cargo and go to Europe. Sell cargo and buy goods. Sail back to America and the Indian village. After bargaining, you should make at least 1800 cold. Now you have got some money and you can start developing your empire.

Hint: Inka and Aztec villages pay best and horses are very good commodity too.

Picture 1. A good start - Indian village next to colony.

Picture 2. Use Indian villages to train your colonists and send a missionary to convert Indians to your towns.

Three towns per ship strategy
You should establish 3-4 colonies close to each other (max 5 moves), because then you can run them with just one cargo ship. This will save your resources, because you can sail between Europe and America with full cargo.

Picture 3. Three villages close to each others can be supported by one ship.

Attacking other Europeans
This is quite risky strategy. Best way is to buy cannons from Europe and then attack against enemy. A frigate could be useful to protect your colonies from enemy, which are attacking from the sea. Be sure, that you don’t start this strategy before you have some troops at each of your own town. The benefits is the cargo and settlers from conquered towns, and an the other hand - other Europeans may not leave you in peace ever if you don’t attack against them.

Picture 4. Fastest way to get troops for war is to buy them from Europe.

Picture 5. The faster you attack, the weaker is the enemy.

Independence war
Your mother country seems to be skillful to find the town, which is less defended. You can use this information and build a trap for her troops. Choose a colony next to mountains. Then after declaring independence, leave the town without soldiers and instead group your forces around the town on the mountains, which will bring them good protection and benefit in fights. Now your enemy will waste it troops while trying to attack you from fields to mountains.

Picture 6. Place your troops on mountains close to town to get the benefit from battle ground.