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

OPIUM.

CONFIDENTIAL.

[40062]

со

34597

[October 12.]

SECTION 1.

REC

No. 1-

Bros 27 OCT !!

Sir,

Colonial Office to Foreign Office.-(Received October 12.)

Downing Street, October 11, 1911.

I AM directed by the Secretary of State for the Colonies to transmit to you, with reference to letter from the Colonial Office of the 11th September, copy of ordinance with copy of Attorney-General's report, resolution of the Legislative Council, and Government notification No. 259, on the subject of "The Hong Kong Opium Amendment Ordinance, 1911.”

I am, &c.

JOHN ANDERSON,

Enclosure 1 in No. 1.

Report on Ordinance No. 39 of 1911.

I HAVE examined the accompanying ordinance entitled "An ordinance to further amend The Opium Ordinance, 1909," and I am of opinion that the ordinance is one which is not contrary to the governor's instructions.

Since the new agreement regarding the importation of opium into China limits the importation to chests bearing a certificate that they have been sold in India for the China market, there is no longer any legitimate market for the uncertified opium exported from Hong Kong. The opium dealers fear lest imports of uncertified opium should be made into this colony with a view to smuggling into China, thereby interfering with the legitimate and much restricted trade in certified chests. This ordinance has therefore been introduced to meet the new circumstances. Opium required by the opium farmer can be imported under permit, and opium in transit under a through bill of lading is not interfered with.

When the ordinance was introduced into the Legislative Council, subsection (1) of section 3 read thus :--

No person shall import, or aid or abet in the importation of, into the colony or into the waters thereof, any raw opium the importation of which into China shall have been notified in the 'Gazette' as being 'illegal.'

It had already been notified in the "Gazette" that the importation of Persian and Turkish opium into China after the 1st January, 1912, had been prohibited by the Chinese Government, and the European unofficial members were opposed to the sub- section on the ground that there was a perfectly legitimate trade in the colony in Persian opium. "The Chinese unofficial members were anxious to apply the provisions of the ordinance to Persian and Turkish as well as to uncertified Indian opium. The Government therefore agreed to an amendment of the subsection. As a result of this amendment, as soon as the ordinance was passed, a resolution was passed unanimously authorising a notification in the Gazette" to the effect that the importation of uncertified raw Indian opium was illegal. The question of Persian and Turkish opium is under consideration, and it not improbable that a second resolution dealing with such opium will be introduced at a later date.

C

C. G. ALABASTER, Attorney-General.

Attorney-General's Chambers, Hong Kong, September 4, 1911.

(2226 m)

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