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PUBLIC RECORD OFFICE

Reference :-

PC.O. 882

6 PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC-

COPYRIGHT PHOTOGRAPH-NOT TO

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No. 30.

MR. LYTTELTON to GoVERNOR SIR M. NATHAN.

(Sent 3.25 p.m., December 8, 1904.) TELEGRAM.

Referring to your telegram of December 2.* All foreign countries already reported in enclosures in circular despatches of 30 July, 19 December last year, 18 May this year,† except Peru. In addition Bolivia, Brazil, Greece, Guatemala, Haiti, Honduras, Nicaragua, Paraguay, Philippines, Portugal and certain Portu- guese territories. In case of Japan refined candied sugar only is declared bounty- fed; in case of Haiti only refined sugar. Is it necessary to issue order prohibiting importation from countries which never send sugar to Hong Kong? Despatch follows by mail.

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SIR,

(No. 392.)

No. 31.

GOVERNOR SIR M. NATHAN to MR. LYTTELTON. (Received December 10, 1904.)

[Answered by No. 40.]

Government House, Hong Kong, November 5, 1904. REFERRING to your despatch, No. 195, of the 24th of June last, and to previous correspondence on the measures to be adopted in Hong Kong for giving effect to the provisions of the Brussels Sugar Convention which apply to the Crown Colonies, I have the honour to submit, for the signification of His Majesty's pleasure, Ordinance No. 14 of 1904, entitled An Ordinance to give effect to Article VIII. of the Brussels Sugar Convention, 1902," together with the usual report by the Attorney-General.

1

2. I also transmit a draft of regulations which will be brought before the Executive Council for enactment under Section 3 of the Ordinance on the first opportunity.

3. The prohibition embodied in the Ordinance, the regulations for its enforce- ment and the heavy penalty involved by a breach of these regulations will practically ensure the desired object of preventing sugar derived from bounty-giving countries passing in transit through, or after being refined at, Hong Kong to countries which have adhered to the Convention. The bulk of the sugar sent to Hong Kong from abroad is for importation into China, and arrives in Hong Kong in ocean steamers consigned to firms who would not run the risk of detection by the Police or Harbour Department in an illicit trade.

4. Though the point was only incidentally touched upon in the discussion of the Legislative Council, it has since been brought to my notice that the Ordinance, which contains no provision for sugar from bounty-giving countries being landed in the Colony in transit, will result in vessels carrying such sugar (and with it other merchandise) to China from one of the bounty-giving countries, avoiding in the future the port of Hong Kong, which has hitherto allowed, without any except police restrictions, the importation and transit of every article of commerce except opium, the execution of the laws with regard to which is watched by the staff of the opium farmer. At the present time, according to the returns furnished to the Superintendent of Imports and Exports, little sugar from bounty-giving countries passes through Hong Kong, but these returns have not hitherto been required by law, nor have they been checked, and they cannot therefore be looked upon as accurate. Further it is possible that the importation of sugar into China from Russia, which, according to page 10 of Diplomatic and Consular Report No. 3253 is already an important commerce,, may greatly increase in the future and he largely by sea. It has always to be borne in mind that it is the commerce with China that is the main consideration at the port of Hong Kong,

• No. 20.

↑ Not printed.

‡ No. 25.

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5. The difficulty in making provision for the placing in bond of sugar in transit is the want of a Customs Service to take charge of it, as is done in England. This might be overcome by some such arrangements, to be carried out by the Harbour Department, with the assistance of the police, as are detailed in the enclosed draft regulations for the warehousing of sugar landed in transit. These regulations might, if thought desirable, be simplified by arranging with 'a warehousing_com- pany of proved respectability, like the Wharf and Godown Company, to warehouse in their godowns all sugar in transit landed in the Colony. The company, in return for the monopoly, would no doubt be willing to give a substantial bond for the security of the sugar against interference while in their custody, and further safeguards might be imposed.

As to sugar in transit not landed in the Colony there would be little difficulty in placing a guard of police on board the vessel containing it as long as she was in the waters of the Colony, while the unloading and loading of sugar in transit could likewise be supervised by the police.

6. A relaxation of the absolute prohibition on the importation of sugar from bounty-giving countries to allow such sugar passing through the Colony in transit is, as I have stated, not provided for in the Ordinance. If, however, you consider that, combined with the certificates of origin which, in accordance with the regu- lations now to be enacted under the Ordinance, would be issued by the Superin- tendent of Imports and Exports, the arrangements set forth in paragraph 5 of this despatch would properly fulfil the obligations imposed on the Colony by the Brussels Convention, then I suggest that you should instruct me to amend the Ordinance so as to provide for bounty-fed sugar passing through the Colony in transit under proper safeguards to be set out in regulations made by the Governor in Council in that behalf. This would make the Ordinance much more acceptable in the Colony, which, from its special position as a free port, is naturally nervous of limitations to its trade.

I have, &c.,

(No. 14 of 1904.)

M. NATHAN,

Governor, &c.

Enclosure 1 in No. 31. HONG KONG.

AN ORDINANCE to give effect to Article VIII. of the Brussels Sugar Convention,

(L.S.)

M. NATHAN,

Governor.

کر

1902.

[31st October, 1904.]

Whereas on the 5th March, 1902, a Convention between His Majesty the King and divers Foreign Powers was entered into at Brussels in relation to sugar; and whereas pursuant to the said Convention a permanent commission (referred to in this Ordinance as the Permanent Commission) has been established to watch the execution of the provisions of the said Convention; and whereas it is desired to give effect in this Colony to Article VIII. of the said Convention; and whereas for that purpose it is expedient to prohibit the importation of all bounty-fed sugar;

Be it enacted by the Governor of Hong Kong, with the advice and consent of the Legislative Council thereof, as follows:--

Short title.

1. This Ordinance may be cited as the Sugar Convention Ordinance, 1904. 2. When it has been reported by the Permanent Commission and notified in Prohibi- the Gazette that any direct or indirect bounty on the production or export of sugar tion of is granted in any foreign country, no sugar from such foreign country shall be import of imported into the Colony. Any person importing into the Colony sugar from such bounty-fed foreign country shall be guilty of a breach of this Ordinance.

sugar.

Power of

3. It shall be lawful for the Governor in Council, from time to time as he shall think fit, to make, revoke and vary regulations for the purposes of this Ordinance, Governor and in particular for the purpose of requiring that the origin of all sugar imported in Council into the Colony shall be proved by such certificate or other evidence as the said to make.

regula- D tions.

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