[This Document is the Property of His Britannic Majesty's Covernment.

74

OPIUM,

CONFIDENTIAL

[11686]

No. 1.

13345

0

[March 30.

SECTION 1.

Sir J. Jordan to Sir Edward Grey.--(Roccized March 30.) (No. 86.)

Peking, March 30, 1911. (Telegraphic.) R.

YOUR telegram No. 61 of 28th March: Opium negotiations. My last proposal to Chinese delegate was that a list should be made by commissioners of customs, in concert with consuls and colonial authorities, of all uncertificated opium in stock or in bond at treaty ports and in Hong Kong on date of agreement, and that all such opium should be marked with labels, which should In return for this we ensure it same treatment in China as certificated opium. should agree to a reduction of certificated imports during next four years equal to ascertained amount of existing stock minus at least 5,000 chests, representing shortage in last year's import.

This would practically dispose of opium exported before 1911, all of which may reasonably be presumed to have reached Hong Kong or China before now.

As to 1911 uncertificated opium, Indian Government accept no responsibility for securing it a free market in China, and presumably ports can be closed against it at any time after signature of agreement as soon as China has obtained consent of treaty Powers. Can I insert clause in agreement to this effect?

As withdrawal of the restrictions at Canton depends upon increase in consolidated What duty, it is important that increase should take place at earliest possible date. notice should be given to trade?

Chinese Government still show great hesitation about concluding negotiations, and it is reported that they intend to denounce opium clauses of Tien-tsin Treaty before 24th April (see article 27 of Treaty of Tien-tsin, and article of Couvention of Peking, Hertslet, volume 1, p. 51).

(Repeated to India.)

May

[11716]

(No. 87 )

No. 2.

Sir J. Jordan to Sir Edward Grey.-(Received March 30.)

(Telegraphic) R.

YOUR telegram No. 63 of 29th March.

Peking, March 30, 1911.

My telegram No. 86 of 30th March crossed Government of India telegram of 28th March.

Only objection I see to suggestion of closing ports from 1st July is that it would probably lead to further large increase of existing stocks, and that Chinese would be unlikely to consider prospect of eventual reduction in succeeding years as sufficient inducement to accept risk of an indefinite addition to this year's import.

In any case it would certainly seem advisable to postpone sales of uncertificated opium until we can foretell more clearly result of present negotiations.

I expect to see Chinese delegate to-morrow, when I shall submit proposal of Indian Government as an alternative one mentioned in my telegram No. 86.

(Sent to India.)

[1930 gg-1]

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