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

OPIUM.

CONFIDENTIAL.

[37897]

No. 1.

107

[September 9.]

SECTION 1.0.

Mr. Wingfield to Sir Edward Grey.—(Received September 9.)

(No. 130. Confidential.) Sir,

Lisbon, September 2, 1912.

ON receipt of your despatch No. 57 of the 15th ultimo, I addressed a note to the Portuguese Government requesting an early answer to our previous representations as to the import of opium into Macao, in view of the possibility of His Majesty's Govern- ment being obliged to consider the restriction or probibition of exports from India to

Macao.

I have the honour to transmit herewith the official reply to the note in question, which merely states that the reply of the Governor of Macao necessitated further investigation, and expresses a desire to put an end to the opium traffic whilst protecting the interests of Macao. Before receiving this answer I had, however, received a private note on this subject from the director-general of the colonies, who is not only capable and energetic, but, I believe, very anglophil in his sentiments. From this note, copy of which I have the honour to transmit confidentially herewith, it appears that the contention of the Macao authorities is that they require 840 chests per year for local consumption and export, and that, should they reduce this amount, they will lose revenue, whilst Hong Kong will be the gainer.

the

In to-day's "Seculo" there appears an interview with Lieutenant Alvaro Machado, lately governor of Macao ad interim. His Excellency expressed the opinion that the province had no future before it, but that it would shortly be a great burden

upon mother country.

It has no resources of its own, but draws its income almost exclusively from gambling and opium, which are bound to disappear before long. By international agreement the consumption of opium must be progressively reduced, and will be almost extinguished in five years, whilst the competition of Hong Kong must be also considered, as it is to the interests of the British Government to reduce the trade in Macao for the benefit of Hong Kong. To this end the British Government, after first of all prohibiting the transit of opium through Hong Kong, has now forbidden the transit through Singapore, and will not fail to ask for the reduction of the export of opium from Calcutta for Macao. Gambling, too, Senhor Alvaro Machado thinks, must soon cease, for it has been prohibited in all China and in Hong Kong, so that the Portuguese alone maintain it, which is not approved by either the Chinese or the British. Besides, if Macao does not suppress it, China will start it again, and so draw away the gamblers from Macao.

I now await the definite answer promised by the Portuguese Government as to the limitation of the importation of opium.

I have, &c.

CHARLES WINGFIELD,

idia

Enclosure 1 in No. 1.

Senhor de Vasconcellos to Mr. Wingfield.

(Translation.) M. le Chargé d'Affaires,

Lisbon, August 26, 1912. IN continuation of my note of the 22nd instant respecting the importation of opium into Macao, I have the honour to inform you that the contents of the note from your legation of the 3rd of July last having been forwarded to the governor of that possession, this official replied on the 30th of that mouth; but his answer made it necessary, after consulting the colonial council, to telegraph to him afresh on the 16th instant.

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