This Document is the Property of His Britannic Majesty's Government.]
AFFAIRS OF CHINA.
0.
[July 19.]
26770 398
CONFIDENTIAL.
SECTION 5. JUL 01,
Sir E. Satow to the Marquess of Lansdowne.-(Received July 19.) (No. 200.)
Peking, May 31, 1904.
My Lord,
WITH reference to my despatches No. 132 of the 11th March and No. 164 of the 11th May, I have the honour to transmit to your Lordship herewith a copy of a letter which I have received from the Hong Kong Chamber of Commerce, urging me to use my influence to secure the early construction of the Canton-Kowloon Railway and, with a view to achieving this result, to make representations to your Lordship for a grant by the Imperial Government of a guarantee on the capital required.
In my despatches above referred to I have already brought to your Lordship's notice my conviction that the early construction of the railway in question is in the highest degree desirable, and I need only say here that I warmly advocate the view of the Hong Kong Chamber that, unless something is speedily done in that direction, we shall run grave risks of Hong Kong being left out in the cold by the establishment at some other point on the coast of the terminus of what is certainly destined to be one of the most important, if not the most important, system of railways in China.
With regard to the question of granting a Government guarantee, I am well aware that any step in that direction would be contrary to the doctrine of "private enterprise," but I would venture to suggest to your Lordship that the urgency of the present case affords ample excuse for breaking away from the traditional policy represented by that phrase. I would even go so far as to say that the evidence of the success which has attended the operations of concessionnaires of other countries which do not regard the principles implied in the phrase has already done much to discredit it in the Far East, and to justify the opinion that the whole doctrine which it implies is antiquated and out of date.
I do not underestimate the importance of the change of policy which is suggested in the letter of the Hong Kong Chamber of Commerce, but, in view of the greatness of the interests at stake, I trust that their proposals will receive the favourable consideration of His Majesty's Government.
I have, &c.
(Signed) ERNEST SATOW.
Inclosure in No. 200
Hong Kong General Chamber of Commerce to Sir E. Satow.
Hong Kong, May 19, 1904.
IN view of the progress now being made with the Hankow to Canton Railway, and other lines in South China, your Excellency is no doubt aware that during the past few months public attention has again been directed towards the projected Canton to Kowloon Railway, a Concession for which was obtained from the Imperial Chinese Government so long ago as the spring of 1899.
While it has from the first been admitted by all those concerned in the welfare of this Colony that it is imperative Hong Kong should be the sea terminus for the main trunk line which will, before many years are past, bisect China from Peking to Canton, it was not till recently felt that the need for this line to Hong Kong was so pressing that it was necessary to suggest any public influence being brought to bear upon the concessionnaires with a view to hastening the construction of the line.
The progress which has been made with the main line has, however, changed all this, and it is now, in the opinion of this Chamber, desirable for public influence to make itself felt in the interests of the Colony.
At the annual meeting of the Hong Kong Chamber of Commerce, held on the 27th ultimo, the importance of this question was very strongly insisted upon, and the Committee of the Chamber were requested to deal with the matter as one of urgency.
For your Excellency's information, I beg to inclose copy of the report of the proceedings of the meeting, as published in the local press.
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