THE FRANCO-CHINESE AGREE- MENT.
THE HONGKONG WEEKLY PRESS AND
[Jannary 2, 1896.
and
provides that China for the exploitation of although there was a great, con its mines in the provinces of Yunnan, increasing demand for it, and its Kwangsi, and Kwangtung shall address very profitable. Meantime the Hongkong The French agreement with China, about itself in the first instance to French com- Mint, having been sold to the Japa which so much has been heard but the merce and engineers, the exploitation re- Government, was set up at Osaka, tint exact terms of which have hitherto been maining otherwise subject to the rules and management of Major KINDER, who kept secret, has at last been published. The the edicts of the Imperial Government turned out the beautiful Japanese sen, rectification of the Tonkin frontier is a affecting national industry. Judging from which has since at intervals helped to supply matter as to which England can have no the exploitation of the mines in Tonkin and the medium of exchange here. The Japa serious ground of complaint except in so far Annum China could hardly apply to a nese subsidiary coins also, early in the eighties, as regards the cession of one particular piece worse source for assistance in the came down in large quantities and flooded of territory which had been made over to development of the mineral wealth of the colony, but they were soon placed at China by England on the condition that it her southern provinces. Practically, how such a discount by the Chinese shroffs that should never be ceded to another power; ever, the stipulation amounts to nothing it became unprofitable to supply them, and and as to that it seems Lord SALISBURY has except that tenders are to be invited from the public refused to receive them. The decided to exact compensation from China by France if foreign assistance is desired. demand for small coins continued in the pushing forward the Burmah frontier. The China is free to accept or reject such ten-meantime to steadily expand, and they were incident shows, however, that it is dangerousders, as she may see fit, and before the de-absorbed in vast numbers in the southern cision is arrived at tenders will no doubt be provinces of China, while their supply equally invited from other countries, which afforded to the local Government a consider- would not allow their rights under the fav-able revenue. Notwithstanding this fact oured nation clause to be set aside. The and the urgent solicitations of the same article that refers to the exploitation of colony (in this respect a veritable OLIVER mines provides also for the extension of the Twist) for more, the Home Government Annan railways into Chinese territory by continued to dole out the coins with a most mutual agreement and under conditions to chary hand, much as an anxious parent be defined In the same way it is under might serve out sweetmeats to a delicate stood that Russia is to be permitted to ex- child. The result was that even a Chinese tend her Trans-Siberian railway into China, official saw the chance the Downing Street and when the Burmah railways reach the authorities Chinese frontier the same question will arise with reference to them. There is therefore nothing exclusive in the advantage secured by this stipulation. Article VI. provides for the junction of the Annamite and Chinese telegraph lines. Such is the sun and substance of the Convention on the con- clusion of which the French Have greatly plumed themselves, thinking apparently that they have stolen a march on England. They have certainly obtained possession of a piece of territory which was not China's to give, but by doing so they have given England occasion to take equivalent con- cessions and have thereby turned the balance of advantages against themselves. Com- inercially the Convention appears to be of little solid value and there is nothing in it to excite British envy. The abortive at- tempt of our Gallic neighbours to secure the exclusive right to work Chinese mines is rather amusing, but it indicates in what direction their wishes lie and suggests the necessity of England keeping a watchful eye on what is going on. For the opening up of China and its commencial develop ment the French care little, but they would dearly like to place themselves in a posi- tion to keep England out.
to make any conditional agreements with China, her weakness and bad faith render ing her utterly unreliable. It is also sug- gestive of some doubt as to the value of the lien England holds on Chusan. That island was restored to China on condition that she should never cede it to another power, but as she has ignored that condition in the case of Kianghung so she might ignore it in the case of Chusan. In that event, against whom would England's remedy lie, or would she have any remedy at all? The point, so far as we know, is not covered by inter- national law, and speaking on broad grounds it seems undesirable that agreements of the kind referred to should be legally recognised or, indeed, entered into, especially with a country like China. Sup- pose, for instance, Chusan were ceded to Germany, France, or Russia, the new owners might plead that they were not privy to the existing agreement with Great Britain and were therefore not bound by it. We would then, unless we were prepared to dispute the matter with the new owners, have to seek our remedy from China and might exact compensation in some other direction, but that would not give us back Chusan. The moral is that if Great Britain really thinks it of importance to prevent that island falling into the hands of any other power she had better at once enter upon effective occupation of it herself, which would be a very politic course to pursue. It is said that the possession of Chusan would entail heavy responsibilities without compensating advantages, that it would have to be fortified, and that in the event of war
the movements of the fleet would be ham pered by the necessity of protecting it. But, for the purpose of establishing British | sovereignty, it would be sufficient to assume control of the administration and hoist the flag; in the event of war, if the place were not deemed of strategic importance, it could be left to take its chance, and, if it were attacked, compensation could be taken from the other side in the final settlement. We would then have at least a valid claim to the island whereas under existing con- ditions it is doubtful, on the precedent of Kianghung, whether other powers would respect our lien if they wanted the island for themselves.
Accompanying the Convention delimiting the frontier between Tonkin and China is a commercial Convention, by which France se- cures various nominal advantages, including the opening to trade of Saumao and tariff con- cessions as regards the frontier and transit trade. It is not easy to judge of the value of the latter from the translation of the Convention published by the London and China Express, which is obviously defective, but as they refer only to the trade between different points in China passing in transit through Tonkin they are not of much con- sequence to foreign trade. Article V.
HONGKONG currenCY.
The currency of Hongkong has never, since the foundation of the colony, been on a satisfactory basis, whether regard be had to the standard or to the subsidiary coinage. After a long experience of the much chopped and defaced Mexican dollar an ill con- sidered attempt was made to provide a real local currency. A Mint with very complete equipment was sent out and established at East Point during the administration of Sir HERCULES ROBINSON and commenced coining dollars and half dollars, but before it had been in existence long enough to give it a fair trial, it was decided to close the establishment, and Sir RICHARD MAC DONNELL was instructed to dispose of it. The supply of Hongkong dollars was of course soon exhausted and the colony was once again left with a mutilated currency of chopped and broken Mexican coins. The Imperial Government, however, undertook the supply of a silver subsidiary coinage, and this was sent out in grudging quantities,
were throwing away. The Viceroy CHANG CHIH-TUNG started a Mint at Canton, not to provide a standard cur- rency, as any right-minded ruler would do, but to supply subsidiary coins to the pro- vince because there was a profit to be made on the business. With the enormous fall in the value of silver, outside sources of supply of the standard currency began to fail. The American trade dollar went first, the Spanish dollar followed, and the supply of Mexicans then began to decline, and ultimately ceased, it being no longer possi- ble to mint and ship them at the price. The Japanese yen then once more, appeared in quantity, and for some time was the only source of supply. An agitation a British trade dollar, to be coined India, had meanwhile been effective, an after considerable delay this coin began f arrive. Soon thereafter the Governmer offices and the Banks refused to take th yen, and as they had some time previousl shut down on the inferior Cantonese sul sidiary coins, we are now in the position having in the colony the larger portion our circulating medium rejected at thes establishments.
The Government are of course mainl responsible for the colony being floode with an inferior foreign token, which h not only displaced the Hongkong currenc but caused a large loss of revenue from the supply of subsidiary coins. In time n doubt the Japanese yen will be displaced b the British trade dollar, but meanwhile until the latter is in sufficient supply fo local needs, it is most inconvenient to find th clean issue of the yen tabooed at the Bank and Public Offices. But far more seriou in every way is the overflowing stream Cantonese debased coins, readily counte feited as they are, constantly pouring int the colony. The local currency still exist and there is room for a larger supply, bu the Cantonese money is in such quantit that the Chinese are constantly striving pay it in large sums in private transaction because, being at a discount, they are th able to make an irregular and practicall unlawful profit. This dragon token has thoroughly displaced the local currenc that for one of the Hongkong ten cer pieces there are at least twenty of the yast inferior Cantonese coins in circulation. Th question arises whether this inundatiq should longer encouraged, as it has been