onclosure 6.

59

adjacent District of the Canton Province on the subject of

certain suggestions which he had made for co-operation

between the Colonial Government and the Imperial Maritime

Customs with a view to increasing the control over the

launch and junk traffic between Hongkong and China with a

view, on the one hand, to the better protection of China's

revenue and, on the other hand, to extending facilities

to the trade of the Colony especially in connection with

its distribution of goods to Non-Treaty Ports. Mr. Harris

at the same time made suggestions for the collection of

duties on rail-borne goods entering China from Hongkong

and vice versa. I appointed a separate Committee, under

my own presidency consisting of the gentlemen named in

enclosure 6 to this Despatch for the consideration of this

matter, and I hope shortly to lay recommendations before

Your Lordship.

It has been a matter for anxious

deliberation whether the necessary Customs arrangements

so far as they affect the Railway should be included in

the Working Agreement or should form part of a separate

Customs Convention and the opinion has prevailed that

the two matters should be dealt with separately but

simultaneously on the ground that negotiations would

thereby

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