PROPOSED TAXATION OF SALT.
The objections to the proposed taxation of salt in the in erests of China are:-
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It will not provide Hongkong with any addi ti onal revenue a p2 worth mentioning.
It involves an increase of some 250% in the price of a common necessary of life. It is true that the average Chinese con- sumes but little salt as such and that a special rate has bee provided for the salt used in one of his principal arti cl es of diet, salt fish: but at the same time it can hardly be doubted that the tax will result in a further increase in the already much enhanced cost of living and even a few extra "cash"daily are a serious matter when the total food- bill đầr the month is between $4 and 5.
Its effect on the trade of the Colony in general are by no means der tain, No provision is made in the Agreement for any special terms to "pickle factories" (tseung yuen). There is a considerable number of these in the Cology and a very substantial export trade is done in various kinds of "preserved" produce in which salt must be important in-
gr edi en t It would be no mean losa if the factories were removed to Macao or Kwong Chau Wan. Jurther even the re- duced rate may be sufficient to divert much of our fishing fleet to these placen.
the
Macao and Kwong Chau Wan are not only plafes to which taxation in Hongkong might drive our sal t-using trades.
From enquiries made among the salt dealers of the Colony
4 it seems, ol ear that salt can be obtained in fairly large quantities along the coast of China between Hongkong and Swatow at a tax of 40 cents per pioal or even tax-free. Taxation in Hongkong is proposed for the purpose of pre- venting salt fra be:
would be to promote
Hongkong.
Before
smuggled into China. Its effect
uggling of salt from China in to
ur assistance the Gabelle
should
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