Article II provides that Imports through Tonquin way be admitted across the Yunnan Kwangsi Frontier, on payment of a regular duty equal to one fifth less than that laid down in the Chinese Maritime Tariff.

This is a great concession and one which will give every advantage in favour of French goods.

Article VII provides that Chinese produce for Export shall pay a regular duty equal to two thirds of that prescribed by the Chinese Maritime Tariff.

The effect of this will naturally be to attract Chinese produce from Yunnan Kwangsi to the ports of Tonquin, for shipment.

Failing to receive a general reduction of duty at the Maritime Custom's stations, under the most favoured nation clause, it would, in the opinion of the Committee, be desirable to endeavour to secure some special privileges at one or more of the Customs stations to be established in the upper reaches of the West River, to correspond with the advantages secured by France in respect of the Trade passing the Tonquin Frontier, viz, goods intended for Yunnan should be conveyed to Nanning or elsewhere, duty free and then pay the same duties as are provided for in the French Treaty.

The Committee support the views as expressed in the letter addressed by the Board of Trade to the Foreign Office, dated the 5th August, 1885, and would again beg to urge the opening up of the River and the adoption of the Transit Pass System.

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(Signed) Ryrie

Chairman


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