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have, of course, no guarantee at this stage

that the Chinese will not press for more favourable

terms than for the last exchange of visits.

We argued in earlier submission that once we

had madea concession of principle and the cont

ditions for the exchange of visits had been

established it might be better to press ahead

with them on a regular basis rather than permit

the trail to go cold and be fated subsequently

to renegotiate the bargain. It is conceivable

that the Chinese, seeing that we despair of

progress in other ways and have returned in

this

the suitor role to the particular method,will

press for more favourable terms than last time

(e.g. visits to a larger number of prisoners

However, I do not believe this is likely.

the Chinese do raise their price we shall have

If

If

to resist their demands and consider very

carefully whether the price is tolerable.

it is not, we shall at least be in a position

to place the blame squarely on their shoulders.

9. Similar considerations apply in the case

of the Governor's second condit ion. We

cannot be sure that the Chinese will keep

their side of the bargain and give us access

to Mr. Grey. On the other hand, they fulfilled

the conditions correctly on the last occasion

and there is no reason to assume at this

stage that they will do otherwise.

A

Generally,

the Chinese dirve a hard bargain in such

matters but once the terms have been agreed

they carry out their undertakings.

10. In paragraph 2 of his telegram No. 803

the Governor makes a gere ral point about the

exchange of visits. He asks whether we are

really wise to continue to demonstrate our

/concern

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