2
retail sale of of opium is carried on by some 700 shops, licensed by the month; the average number during 1913 was for the settlement 465, and for the concession 220, the respective yearly revenues from licenses, the only form of municipal taxation, being 86,886 taels and 30,490 taels,
The wholesale trade in Indian drug is in the hands of the seventy-two native dealers forming the Opium Guild who, as reported in my Confidential despatch No. 64 "combine" of the 14th May, 1913, have entered with the British importers into a giving them the monopoly of this branch of trade here.
The consumption of Indium opium in this port is estimated at 400 chests a month. The sales for consumption during the twelve months are returned roughly at 20,000 chests, the balance being conveyed surreptitiously to other places, as the Chinese authorities and their employés pay no respect to the labels and passes of the Chinese Maritime Customs or the provisions of the Opium Convention.
Of native opium no reliable figures are available; but there is said to be a total stock of some 6,000 chests of old, and new is now and then reported to be available, The high cost of Indian drug has for years necessitated it mixing with native in prepared opium; and at present rates of 6,000 taels at least per chest the former, pure, is quite out of the reach of all but the comparatively wealthy, and many smokers must perforce have curtailed their consumption and given it up altogether.
I have no information whether the large influx of Chinese is due not only to the unrest in China but also to the facilities given for the sale of opium. The costliness of smoking would in any case confine such an allure to wealthy men who would be particularly averse from remaining in districts whose peace and good order were
not sure.
As regards suppressive measures, the municipal council's success in suppressing opium dens makes it fairly certain that the withdrawal of licence from the opium shops would practically close the retail trade in the settlement. The French Council in their estimates for 1914 have omitted the heading under licences of "Vente de l'opiuni," and my colleague tells me this was done at his request, Recettes diverses" being substituted, in case the cessation of these licences should be ordained during the present year. He adds that the continuation of these licences is favoured by his councillors, but not by himself.
Such a step would leave the stock of Indian opium without means of disposal, as it is only through the opium shops that it can be obtained by Chinese for local use or conveyance elsewhere; the risk of private purchases from the importers would in my opinion be too great to be largely run, although the keen demand might lead to such armed bands of smugglers as exist in the case of salt.
I beg leave to add that I refrain from expressing any opinion on the justice or advisability of such a measure.
I have, &c.
E. H. FRASER.
[This Document is the Property of His Britannic Majesty's Government.]
OPIUM.
CONFIDENTIAL.
[30113]
Sir,
No. 1.
Foreign Office to India Office.
[July 14.]
SECTION 1.
Foreign Office, July 14, 1914. I AM directed by Secretary Sir E. Grey to transmit to you herewith copy of a despatch from Sir J. Jordan regarding the position of the opium stocks awaiting entry into China, which formed the subject of your letter of the 6th May and previous correspondence.
According to the information at Sir E. Grey's disposal, of the provinces which have not been placed on the prohibition list three alone remain into which Indian opium still penetrates. These three provinces namely, Kiangsu, Kiangsi, and Kwangtung- with the international settlement and the French concession at Shanghai, now constitute the only legitimate outlets for the stocks.
Sir J. Jordan has been instructed to do all that he can to induce the municipal council to stop the issue of licences in the settlement, and it appears from Sir John's present despatch extremely probable that the three provinces mentioned above will have to be closed in the spring of 1915.
In these circumstances the proper course seems to Sir E. Grey to be that, as soon as the three provinces are declared to be closed and licences are discontinued in the international settlement at Shanghai, the opium merchants should be required to remove their stocks from China. Subject to the concurrence of the Secretary of State for India, Sir E. Grey proposes to instruct Sir J. Jordan to this effect, and at the same time to consult him as to the advisability of warning the opium merchants that the time is approaching when this must take place.
I am,
&c.
W. LANGLEY.
* Sir J. Jordan, No. 239, June 18, 1914.
[2205 -1]
213
J
T