CO885-(25-26) — Page 568

524

PUBLIC RECORD OFFICE

C.O.

Reference :-

885/25

PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO

46076

148

No. 38.

HONG KONG.

THE GOVERNOR to THE SECRETARY OF STATE.

(Confidential.)

(Received 18th September, 1917.)

Government House, Hong Kong, 26th July, 1917. - SIR,

I HAVE the honour to transmit the enclosed copy of a letter from the Hong Kong General Chamber of Commerce, to whom I referred the memorandum by the Secretary for Chinese Affairs forwarded in my Confidential despatch of the 3rd July, 1917.*

SIR,

I have, &c.,

F. H. MAY,

Governor, etc

Enclosure in No. 38.

The Hong Kong General Chamber of Commerce,

Chartered Bank Building, Hong Kong, 24th July, 1917.

I AM directed to acknowledge with thanks the copy of a memorandum by the Secretary for Chinese Affairs reporting the result of a reference to the District Watchmen's Committee enclosed your letter of the 4th instant.

My committee have read this report and also the copy of a letter from Mr. Chou Shau-son with great interest.

It may interest you to know that it is not admitted without considerable dissent that the British are not equally ready as their German competitors to endeavour to suit the taste and requirements of the Chinese, but there is practically unanimity in the belief that whatever faults may be found in this direction are the faults of the manufacturer and not the merchant who represents him in China.

The question of the cheapness of the article is, of course, another matter, and one into which the cost of production enters, and is again a matter for the manu- facturer and not the merchant. Moreover, low prices have been in considerable measure due to State aid and protection of the manufactures in the Continental country of production.

The opinion of the Watch Committee expressed in paragraph 2 of the Honour- able Mr. Hallifax's report is difficult to understand, both as regards the comparison of the manners of the average British and German merchant and also as to the Mr. Chou Shau-son also question of the knowledge of the Chinese language.

makes a great point of the knowledge of Chinese possessed by the Germans.

My committee do not think it can be justly contended that the manners of a British merchant very greatly suffer by comparison with those of his German com- petitor, although perhaps the former is naturally more reserved, and the Chinese may prefer a more familiar treatment. My committee agree that it would be better if the heads of British firms were more ready to personally acquaint themselves with their customers and deal direct with them.

My committee cannot substantiate the statement which appears in this report, and which seems to be so firmly rooted in the minds of officialdom, that the Germans in China possessed a considerable knowledge of the Chinese language. At least no evidence that the Germans had a better know- as regards South China there

ledge, generally speaking, than their British competitors; in fact, the evidence is to the contrary, for many of the locally-born Britons can speak Chinese fluently, and probably at least as many indentured Britons acquired a working knowledge of the language as did the Germans. My committee admit that, apart from any question of a comparison, it is highly desirable that a knowledge of the Chinese language should be acquired by the greatest possible number of Britons engaged in trade in China, and, in this connexion, it is a matter of peculiar satisfaction to them that even in these difficult times the Language School founded by the Chamber of Commerce is proving an undoubted success, and in normal times will be an even greater one.

The Honourable

The Colonial Secretary.

I am, &c.,

E. A. M. WILLIAMS,

Secretary.

46634

149

No. 39.

CEYLON.

THE ACTING GOVERNOR to THE SECRETARY OF STATE.

(No. 501.)

(Received 20th September, 1917.)

SIR,

Ceylon, 21st August, 1917. WITH reference to Mr. Bonar Law's Circular despatches of the 25th September* and 24th October, 1916,† relative to the question of the commercial and industrial policy to be adopted after the War, I have the honour to inform you that I am satisfied that the Government and Legislature will readily adopt any measures which commend themselves to His Majesty's Government for adoption. in the United Kingdom for the objects in view.

2. It is necessary, however, to bear in mind that Ceylon is not a manufac turing country, but a country where food and raw materials are produced. The only practical measures which appear possible would be the levying of special barbour dues on the shipping of present enemy countries and the prohibition or restriction, by means of a special export duty, of the supply of Ceylon products to present enemy countries. The latter would obviously be difficult to enforce unless it applied also to countries which are at present neutral.

3. Possibly something might be effected by preventing the inhabitants of present enemy countries from establishing themselves in Ceylon as merchants or traders and from acquiring land or buildings for manufacturing purposes or purposes of production.

I have, &c.,

R. E. STUBBS,

Colonial Secretary,

47481

No. 40.

WINDWARD ISLANDS (ST. VINCENT.)

for Governor, &c.

THE GOVERNOR to THE SECRETARY OF STATE.

(Received 25th September, 1917.)

(No. 96.)

FORWARDED.

(No. 89.)

SIR,

Grenada, 24th August, 1917.

G. B. HADDON-SMITH,

Governor.

Government House, St. Vincent, 20th August, 1917. I HAVE the honour to report that the Executive Council, having considered the Secretary of State's Circular despatch of the 25th September, 1916,* have embodied their views, in which I conour, in the statement submitted herewith.

I have, &c.,

His Excellency

Sir George Haddon-Smith, K.C.M.G.,

&c.,

&c., Grenada.

&c.,

ANTHONY DE FREITAS,

Acting Administrator.

* No. 1.

+ 45879: not printed.

* No. 82.