RS1G1432

86 Bit,

592

India Office

13703

The 2 AUG

In the course

of

the

July 86

correspondence

which has taken place during the last few months relative to the new Opium Agreement with China three plans for the prevention

or diminution of smuggling

have been suggested (1) by Sir R. Hart, to the effect that the tax on the

drug in question should be levied at

Hong Kong instead of in China - (2) by

Mr O'Conor who considered that the

carrying trade in opium might perhaps be limited to British Ships and (3) by Mr Lister who proposed that an export duty should be

in India on all packages

imposed

that country.

the proceeds

exported from

being divided between Hong Kong,

the Straits Settlements, and China.

The first of these schemes has

Under Secretary of State,

been

Foreign Office.

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