This Document is the Property of His Britannic Majesty's Government.]

CHINA TRADE

CONFIDENTIAL.

No. 1.

[December 2.]

SECTION 5.

-16

Sir E. Satow to the Marquess of Lansdowne.-(Received December 2.)

Peking, October 16, 1905.

(No. 341.) My Lord,

I HAVE the honour to inclose copies of correspondence relating to a Notification issued in July last by the Chinese Imperial Maritime Customs at Shanghae which contravenes Article XI of the Commercial Treaty of 1902.

On drawing the Wai-wu Pu's attention to the matter, they justified the Notification on humanitarian grounds, and ignored the breach of Treaty. In my note to-day to Prince Ch'ing, I have pointed out that the question at issue is the observance of the Treaty, and not the humane motive of the Notification, and I have again requested his Highness to order its withdrawal.

I have, &c.

(Signed)

ERNEST SATOW.

Sir,

Inclosure 1 in No. 1.

Acting Consul-General Pitzipios to Commissioner of Customs, Shanghae.

Shanghae, September 22, 1905.

AS the Taotai declined to sanction the import of morphia by Messrs. Llewellyn and Co., Messrs. Mactavish and Lehmann, and Messrs. Watson and Co., except under a guarantee that the morphia should only be sold in small quantities and on receipt of a requisition from a duly qualified medical practitioner, His Majesty's Consul-General directed these firms to make a formal application to the Customs to permit them to take delivery of the morphia, pointing out that Article XI of the Mackay Treaty (under which the right to prohibit import of morphia is claimed) is not to come into force until all the Treaty Powers shall have agreed to its provisions.

Messrs. Llewellyn and Co. inform me that they have been allowed to take delivery of their consignment, while Messrs. Mactavish and Lehmann and Messrs. Watson and Co. state that they have been told to wait until instructions have been received from Peking.

I have the honour to ask you to inform me whether the statements of these firms accurately represent the facts.

I have, &c.

(Signed)

G. D. PITZIPIOS.

Inclosure 2 in No. 1.

Commissioner of Customs, Shanghae, to Acting Consul-General Pitsipios.

Custom-house, Shanghae, September 23, 1905.

IN reply to your letter dated to-day, I have the honour to inform you that Messrs. Llewellyn and Co.'s importation of morphia per steam-ship "Peleus" on the 3rd August, 1905, was released a few days since under instructions from Peking, and that I am awaiting receipt of the Inspector-General's despatch on the subject before dealing with the later importations of Messrs. Mactavish and Lehmann and Messrs. Watson and Co.

I inclose a copy of Customs Notification No. 637, regarding morphia. Our instructions are that, in the unlikely event of the prohibition being objected to, the case should be referred to Peking.

I have, &c.

(For the Commissioner of Customs),

(Signed) J. W. INNOCENT.

[2296 6--5]

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