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demand, this Colony would only have Chinese opium to deal with. At present there is no sign that the measures taken from time to time in China are having any success in reducing the production of opium, and until the Government of the Republic is in a position to enforce its decrees, the Government of Hongkong must continue to incur large expenditure on its preventive service.

6.

I much regret that I have been unable to agree to limit our monthly supplies to ten chests until after the meeting of the Opium Advisory Committee next spring but I think I have show clearly that to do so

would be contrary to the best interests of the Colony. The facts that I have stated are well known to those who are

deal ing with the matter, and the suggestions I have made

in paragraph 5 are not new ones, though recent events have made it advisable to repeat them. His Majesty's Government may rest assured that the Government of Hongkong will not

cease to relax the efforts now being made to restrict the

consumption of opium and to associate itself with any

effective policy adopted in producing countries to put an

end to the traffic.

I have the honour to be,

Sir,

Your most obedient humble servant,

Charleven

Officer Administering the Government.

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