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suspended during 1902 and 1903 pending the consideration of proposals for restricting the operations of the British Postal Agencies in China and instituting a system of Penny Postage between China and the British Empire. These proposals, which had no result, were dealt with in Sir Henry A. Blake's Confidential Despatch of the 19th June, 1903, and in Mr. Chamberlain's of the 28th July, which are referred to in your Despatch under reply.

4. The terms of the Agreement into which it is now proposed to enter are practically identical with those of the Franco-Chinese Convention, the only difference being in Clause VIII dealing with Parcel Post; it is considered desirable that this Post should be the subject of a separate arrangement.

I have the honour to be,

Sir,

Your most obedient

Humble servant,

M. Nathan

Governor, &c.

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