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Exchange of visits with District Magistrate, Shih Yin-tuan

Departure from Yingtak on the 8th July

"Robin" unable to cross bar, returns; heavy and fresh start on the 10th July Mong-fu-kong; eaves of Goddess of Mercy; Sha-huu, salt station; end of fourth

day's journey at Wu-shek

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11th July: the Cannon Ball barrier, Pakto, at the month of the Lung-kwai River.. Arrival at Shiu-kuan (Shao-chon-fu); description of the city; important li-kin and native Customs station; exchange of visits with Taoui, Chung-tuan-pen; account of interviews

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Activity of Triad Society

Visit of Japanese merchants and French mining experts; country said to be rich

in coal

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Missionary societies at Shin-kuan; work of the Wesleyan Mission

Foreign goods for sale in shops; pottery; the manufacture of ground-nut oil Remarks on climate and fauna of district; excursions from Shiu-kuan Departure on the 13th July

Stranding of "Robin" 3 miles below town; on the 16th July I take sampan, and meeting His Majesty's ship "Sandpiper" above Tsing Yuen, arrive Samshui the 17th July

Remarks on trade possibilities of North River basin..

MAPS.

(A.) Sketch Map of North River basin.

(B.) Chart of North River to Shao-chou-fu.

Section 1.-General Description of the North River.

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A GLANCE at the map of the Kuantung Province appended to this Report will From the west comes show that three large streams combine to form the Canton delta.

the Sikiang ("West River"), from the north the Peikiang ("North River "), and from the cast the Tungkiang ("East River"). The junction of the two former, known locally as Saikong and Pakkong, is at Samshui, some 20 miles west of Canton; the Tungkong joins the delta about the same distance east of this city.

The Pakkong, with which this Report is concerned, rises in the north-east corner of the Kuangtung Province, flows in a south-westerly direction for some 80 miles as far as Shao-chou-fu, where it turns due south, and, after a course of about 220 miles right through the centre of the province, joins the West River at Samshui. That is to say, it apparently joins the West River; actually the North River passes into the arm of the delta known as the Sainam Creck at about a mile from its junction with the main stream, and, except at certain times in the spring when a freshet forces it to run into the West This accounts for the fact that River, never really mingles its waters with that stream.

the rises in the two rivers seldom occur simultaneously. Thus, when I left Wuchon in July last to join the "Robin" at Samshui, the West River was in flood, with the water- mark at Wuchou showing 51 feet; whereas the North River was only 5 feet above its winter level.

Although the Pakkong can, perhaps, hardly be classed among the large rivers of China, it may yet claim to be mentioned in the list of important waterways, having served for many centuries as part of the great trade route between Canton and the cities in the Yang-tsze Valley. In the early days of foreign intercourse with China, before the advent of steamers on the coast, when Canton was the only recognized port of entry for foreign goods, the foreign trade of China was carried on via the North River in junk to Nam- heung, on coolie-back over the Meiling Pass to Nan-an in Kiangsi, thence by water down the Kan River, and through the Poyang Lake to the Yang-tsze.

By this route the first European Embassies to the Chinese Court travelled to or from Peking: Lord Macartney, in 1703; the Dutch Envoy, Von Braani, in 1794; Lord Amherst, in 1816.

The ruins of temples, rest-houses, and jetties met with all along the North River bear silent witness to the trade which at one time existed; but the safer and speedier journey by sea has now practically superseded the oid overland route, and at the present day--- although the junk traffic between Canton and the towns in the North River Basin is still considerable the only through trade worthy of mention is that in Kiangsi porcelain and was given by the Hunan tobacco. The finishing blow to the North River's prosperity Taiping rebels, who, forty years ago, swept down the river from Shaochou almost to the

351 gates of Canton, destroying every town of any importance in their way. Shaochou itself managed to keep them outside its gates, but they levelled to the ground a large and prosperous suburb on the opposite bank of the river.

It remains to be seen if the Hankow-Canton Railway, now in course of construction, will succeed in inducing the trade to revert to its former channels, or whether it will-ag is, perhaps, more probable--give a stimulus to the shipping trade by opening up districts hitherto cut off from communication with the coast. I shall refer to the railway later on in this Report, but I take this opportunity to remark that the importance to Hong Kong of having the terminus of this line at Kowloon, and not at Canton-or, say, the deep- water port of Whangpou-must be obvious to any one who has given any attention to the condition of trade in South China.

Section 2.-The Treaty Port of Samshui.

The small district city of Samshui (three waters) gives its name to the Treaty port which was opened in 1897 under the Burmah Convention. The steamer anchorage and Customs station are at Ho-kou, at the junction of the North River with the Sainam creek, formerly a fishing village, now a struggling town of Chinese shops and semi-foreign houses, prominent among which are the custom-house (formerly the British Consulate) and the recently erected residence of the Commissioner of Customs. The centre of trade is at Sainam, a town of some 20,000 inhabitants, situated 3 miles down the creek in the direction of Canton, As the crow flies, Samshui is only 33 miles from Canton, by creek about 40 miles, and by the channels taken by the West River steamers, 85 miles.

The principal imports through the foreign Customs are, or rather have been, cotton yarn, piece-goods, aud kerosene oil. Owing, however, to the fluctuations in the li-kin and native Customs Tariffs in the delta-which are raised and lowered to suit the emergencies of the trade-it is impossible to estimate with any degree of accuracy from the foreign Customs Returns the progress in the consumption of foreign goods in the district served by the Samshui. Thus, uoting that the import of kerosene oil into the delta has steadily increased during the last five years, we find the import into Samshui in 1899 to be 2,984,996 gallons, and in 1902 oil; of cotton yarn, the manufacture of which into cloth is one of the chief industries of the peasants in the Samshui district, in 1899, 45,950 piculs, in 1902, 23,294 were imported.

The principal articles of native produce exported by steamer through the Customs are brown sugar and tea (from the North River), straw bags, paper and rice birds. The latter small birds, tasting, when cooked, much the same as sparrows, appear to be indigenous to the Samshui district; thousands of them are snared in nets during the autumn season, tioned in Sainam, and sent to Hong Kong for shipment to the Straits Settlements. As in the case of imports, the cheaper rates quoted by the native custom-houses in the delta induce merchants to ship by junk in preference to steamer.

The tonnage entering in the port has hitherto been out of all proportion to the value of the trade, 2,400 steamers, aggregating 360,000 tons, having entered the port in 1902, and 2,800 launches having reported to the Customs; the explanation being that until the opening of Kongmoon in March 1904 as a Treaty port, the steamers engaged in the Hong Kong-Kongmoon passenger trade were obliged to report for Customs purposes at Samshui.

As was to be expected, there has been a large falling off in the Samshui tonnage during the present year, most of the steamers now running only as far as Kongmoon or Kaukong. The numerous launches which pass through the port at all hours of the day and night are engaged in the ever increasing native passenger trade between Canton and towns on the West and North Rivers.

The hopes that were entertained when the port was first opened to foreign trade have not been fulfilled, as will he seen from the following Returns of the total values of the trade during the last five years

Year.

Value of Trade.

Rate of Exchange.

Taela.

£

s. d.

1898

1,618,994

152,857

2 10

1899

2,984,996

447,749

3

0

1900

2,290,000

355,427

3

14

1901

2,607,877

385,843

214

1902

2,189,571

284,644

2 71

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