268b

THE CHEFOO CONVENTION.

The Customs shall then, if required, issue gratuitously to the owner a transit certificate for each such package, or one for any number of packages, at the option of the owner.

Such certificate shall free the opium to which it applies from the imposition of any further tax or duty whilst in transport in the interior, provided that the package has not been opened, and that the Customs seals, marks, and numbers on the packages have not been effaced or tampered with.

Such certificates shall have validity only in the hands of Chinese subjects, and shall not entitle foreigners to convey or accompany any opium in which they may be interested into the interior.

4.-It is agreed that the Regulations under which the said certificates are to be issued shall be the same for all the ports, and that the form shall be as follows :—

Opium Transit Certificate.

"This is to certify that Tariff and li-kin duties at the rate of taels per chest of 100 catties have been paid on the opium marked and numbered as under; and that, in conformity with the Additional Article signed at London the 18th July, 1885, and appended to the Agreement between Great Britain and China signed at Chefoo the 13th September, 1876, and approved by the Imperial Decree printed on the back hereof, the production of this certificate will exempt the opium to which it refers, wherever it may be found, from the imposition of any further tax or duty whatever, provided that the packages are unbroken, and the Customs seals, marks, and numbers. have not been effaced or tampered with.

"Mark.

X

"Port of entry, "Date

No.

00 packages.

Signature of Commissioner of Customs."

5.---The Chinese Government undertakes that when the package shall have been opened at the place of consumption, the opium shall not be subjected to any tax or contribution, direct or indirect, other than or in excess of such tax or contribution as is or may hereafter be levied on native opium.

In the event of such tax or contribution being calculated ad valorem, the same rate, value for value, shall be assessed on foreign and native opium, and in ascertaining for this purpose the value of foreign opium the amount paid on it for li-kin at the port of entry shall be deducted from its market value.

6. It is agreed that the present Additional Article shall be considered as forming part of the Chefoo Agreement, and that it shall have the same force and validity as if it were inserted therein word for word.

It shall come into operation six months after its signature, provided the ratifica- tions have then been exchanged, or if they have not, then on the date at which such exchange takes place.

7.-The arrangement respecting opium contained in the present Additional Article shall remain binding for four years, after the expiration of which period either Government may at any time give twelve months' notice of its desire to terminate it, and such notice being given, it shall terminate accordingly.

It is, however, agreed that the Government of Great Britain shall have the right to terminate the same at any time, should the transit certificate be found not to confer on the opium complete exemption from all taxation whatsoever whilst being carried from the port of entry to the place of consumption in the interior.

In the event of the termination of the present Additional Article the arrange- ment with regard to opium now in force under the regulations attached to the Treaty of Tientsin shall revive.

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