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2.

vacancies in the Association caused by the retirement

of three of the senior pilots.

4.

Article 60 of the Regulations for the Shanghai

Pilotage Service provides that the number of pilots on

the active list shall be not more than forty and not

less than thirty-five, and although, with a reduced volume of shipping to be dealt with, thirty-seven pilots

could adequately cope with the work, the Japanese urged

that the three vacancies should be filled forthwith,

and that they should be filled by Japanese nationals. For reasons connected with their internal working, and

into which I need not enter here, the Pilots' Association

were also anxious that their numbers should be brought

up to full strength.

5.

The manner in which vacancies in the Shanghai

Pilotage Service should be filled was the subject of

much controversy and negotiation during the years 1934- 1936, and the question has still not been settled to

the satisfaction of all concerned. On the 29th pril,

1935, the Senior Consul informed the Inspector-General

of Customs that, in the opinion of the Consular Body,

future vacancies should be filled on the basis of the

pilotage fees paid by the respective countries over a period of five years, e.g. if a vacancy ccurred when there were only ten British pilots, and the records of

the ssociation showed that the British shipping

companies had contributed 26 or over of the total

pilotage fees paid during the past five years, the

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vacancy/

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