SUPPLEMENT TO THE "DAILY PRESS,"
their own janks. In his opinion the importance of the port being opened was exaggerated.
Mr. POLLARD, Q.C., said that the community were certainly under the impression that it would have been best not to give it up. If we retrograded, no other nation would have the same interest in taking the matter up.
HIS EXCELLENCY - That argument would cover a large space. The time had gone by when we negotiated with China at the mouth of the cannon; and such being the case, we must be content with a policy of "give and take." They had a right to urge their views, and, if every step that was not an advance was to be considered a retrogression, we should never get forward.
Mr. POLLARD suggested that perhaps His Excellency was not aware that steps had been taken by one nation to open the port. Under orders from Dr. Williams, an American vessel had gone there, and had been well received.
HIS EXCELLENCY said they had no doubt a right to claim to put a consul there. The Chinese were aware that the British right to do so remained intact; but they urged they must have something to show the people in return for the concessions made.
Mr. POLLARD would respectfully urge that Kiunchow should be opened. It would afford an efficient prevention against pirates, as well as being important in a trading point of view.
HIS EXCELLENCY would be glad to represent to Her Majesty's Government what had been placed before him, and it would rest with them to decide whether the recommendation to open the port should be complied with.
Mr. POLLARD said that the object in bringing the matter before His Excellency was, that representation with respect to it might be the more forcible.
His EXCELLENCY was always disposed to be influenced by the opinions of practical men.
Mr. POLLARD begged to assure His Excellency that this was the unanimous opinion of the residents in the Colony.
His EXCELLENCY expressed his regret that he had not been made aware of this sooner.
Mr. POLLARD suggested that His Excellency's hand would have been strengthened had he asked the opinion of the Colony before taking the step.
His EXCELLENCY observed that it was important to open Wenchow; that the advantage of Kiunchow being opened was nominal; and at all events, there was nothing irretrievable, and he would be glad to make the necessary representations.
Hon. Mr. TAYLOR here observed that Hongkong stood at a disadvantage as regarded the coasting trade compared with the Treaty ports.
His EXCELLENCY stated there was considerable misapprehension on this point. In framing the convention, the object in view was to place Hongkong as far as possible on the same footing as the Treaty ports. As respected shipments to treaty ports, it must be recollected that the coasting trade was not originally contemplated under the Treaty. Hongkong must be content to be on the same footing as a treaty port. If merchants desired to send native produce to another Treaty port, they must be prepared to show that they have paid Export Duty. They could not claim at once the rights of a treaty port and of a free port; as they would thus be demanding exceptional advantages not given in their own countries.
Mr. POLLARD observed that in other countries the right of inland trade was not refused. The coasting trade only benefited one interest, namely, the shipping; here we were debarred from every privilege.
His EXCELLENCY admitted the parallel failed to an extent; but the main question was under what conditions were goods entitled to enter the country.
Mr. POLLARD then referred to Art. 4, by which he said Hongkong was at a disadvantage, as there was no provision for a refund of any excess over the transit dues.
His EXCELLENCY said that it was only intended that Chinese-owned produce should be conveyed under transit certificates; but with respect to foreign-owned produce, he thought it would be quite possible to get a refund allowed on representation. The whole intention he had was to give Hongkong as nearly as possible the advantages of the treaty ports.
Mr. POLLARD then enquired whether the word "British Merchants," in the 5th article, was intended to exclude all but British; and after some discussion,
His EXCELLENCY said that it might if necessary be altered so as to apply to all foreigners.
Hon. Mr. TAYLOR then said that the Indian firms wished to represent their dissent from the increase of the duty on opium.
His EXCELLENCY observed that the increase was only 2 per cent. The Chinese had urged a prohibition to import Opium at all, and it could not be held that this small addition to the duty would in any way diminish the consumption.
Mr. POLLARD said there could be no doubt that the excessive duty stimulated the growth of the native drug, and the increase in the tariff rate was quite sufficient to affect the interests of this Colony.
His EXCELLENCY observed that it was left free to the Chinese to impose any duty they liked upon opium, the only limit being the point at which it would become so profitable to smuggle it that the Government could not protect its revenue. It did not seem to him worth while to dispute about the extra duty, when the Chinese could impose any amount they liked in the interior of the country.
JANUARY 7, 1870.
Mr. POLLARD observed that this duty was paid by the foreign importer, and was prejudicial to the foreign trade.
His EXCELLENCY noticed that the Chinese merchant calculated the amount he had to pay, taking into consideration the whole duty, of which the foreign duty was but a small fraction. There was another and an important consideration which induced him not to oppose the demand made by the Chinese. They were now cultivating the opium to an enormous extent, it being stated on good authority that about 6000 chests a month found their way to the Shanghai market, and were there sold at about one half the price paid for the Indian Drug. There was reason to believe that it was the deliberate intention of the Chinese to place the native drug in such quantities on the market as to drive the foreign drug out, and this policy seemed to be promising success. It was clear that nobody could hesitate between the choice of allowing the imposition of a quarter of a million more on the foreign drug, and its being altogether driven out of the market.
Mr. POLLARD suggested that what was driving it out was the difference in price.
His EXCELLENCY certainly thought that the extra duty allowed by the convention was a "drop in the ocean."
Mr. POLLARD said it was nevertheless sufficient to affect the import, and if the import was lessened the trade of the Colony must suffer. He asked whether His Excellency was correct in assuming that the difference was only 2 per cent.
A gentleman, who was partner in a leading Indian firm, here stated that the extra duty represented 4 per cent. on Malwa, and 7 per cent. on Patna.
His EXCELLENCY said that he fully recognised the importance of the subject; so much so, indeed, that he considered it advisable to visit Calcutta with reference to it on his way home.
Mr. POLLARD then said there was one other matter which, as being considered very serious by the community, he desired to bring to His Excellency's attention, namely, the provision in the convention which permitted the appointment of a Consul to British possessions, and was no doubt designed to secure the appointment of a Consul to Hongkong. This place was peculiar and exceptional in its nature; and it was, for grave reasons, of importance that no Chinese Official should be appointed in the place. If there were no other reason than that the privilege was usually accorded, it could not be held that the step should be allowed, as it would simply have the effect of at once making Hongkong a place for the collection of Chinese Revenue. Without using the word in an invidious sense, it was certain that the Chinese Consul would be nothing more than a spy, who would give such information to the Chinese as would enable them to lay imposts upon goods coming from this Colony. If produce was allowed to be brought from anywhere down the coast without duty being levied on it, why should duty be exacted when it came to Hongkong? Why should this Colony or the British Government be called upon to interfere in the matter, when it was to be supposed that the Chinese authorities had exercised their right of taxing the goods when they left the place of export? The learned speaker did not propose to enter into the merits of the whole question, but merely to protest against the measure, as affecting the trade of the Colony, which depended upon its being a free port. Why all the usages should be accorded to the Chinese, when we received hardly anything in return, he was at a loss to see. If we could take our goods to all ports, then there would be no objection; but not so when our trade was confined only to a few treaty ports. The circumstances of the port were peculiar, and had always been recognised as such. Upon the supposition of its being a free port, large sums of money had been invested; and the moment it ceased to be a free port, that would be the moment of its downfall.
His EXCELLENCY said he must confess he could not sympathise with the alarm felt by the Hongkong Community. When the Chinese pointed out the fact that our country had Consuls at all the Treaty ports, it was difficult to see upon what reasonable grounds we could refuse them the like privilege. No doubt Hongkong could claim a considerable share in the rights of a treaty port. It was free, that is to say, no imposts were laid upon goods either imported or exported. But nobody could deny that it was a serious difficulty to the Chinese that there should be a free port at the entrance to the River, and that the Chinese should have no means of protecting their revenue from the evil effects likely to be produced by it, which must be the case if they are refused the means of obtaining the necessary information. To deal with the Colony as if it were a treaty port, while it is in reality a free port, and to refuse to allow the Chinese to appoint a Consul to it, was certainly treating them not as a nation on an equality, but as a subjugated race. As to the likelihood of the step being abused, it was not likely the British Government would permit that to be done, and there was sufficient power in the hands of the Governor of the Colony to prevent it.
Mr. POLLARD urged that abuses would creep in secretly, and that the Chinese would not dare to complain. Supposing that, happily, or unhappily, as the case might be, there was another war with China, prices would be placed, as they were in the last war, on the heads of every man who supplied foreigners with provisions.
His EXCELLENCY observed that the convention...
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