683
[This Document is the Property of Her Britanic Majesty's Government.]
C. O.
32755
CHINA TRADE.
CONFIDENTIAL.
[August 5.]
REC SECTION 25 NOV 19
No. 1.
Memorandum by Mr. Jamieson on the West River Inland Navigation Regulations.
IT seems to me that the permission applied for by the Shipping Companies might well be granted so far as regards their Canton-Wuchow steamers.
The difficulty from the Chinese point of view seems to consist in this: that they have two fiscal systems—the Imperial Maritime Customs which levies duties on steamers trading from one Treaty port to another, and the li-kin or Native Customs Administration which levies duties on traffic carried on licensed steamers under the Inland Navigation Rules; and they do not see how the same steamer can be partly under the one system and partly under the other. Consequently they deny to inter-Treaty port steamers (say Canton to Wuchow) the rights which licensed steamers have of calling all the way up and down, and they deny to licensed steamers the rights which inter-port steamers have of carrying cargo from one Treaty port to another. The former reckon solely with the Imperial Maritime Customs, and the latter with the provincial li-kin Administration.
It thus comes about that we have on the West River two sets of steamers both running over exactly the same ground and both seemingly having a grievance—each complaining that they are debarred from certain trade which is open to the other.
The foreign flag inter-port steamers have the further grievance that coming under the Treaty Tariff cargo shipped by them must pay 7 per cent. duty, whereas cargo shipped in the licensed steamers pays under the local Administration a sum varying with the distance, but which on such a short transit is much less than 7 per cent. Consequently, they say, but for the direct foreign trade with Hong Kong and passengers, their steamers run empty, as the local Tariff goes exclusively by the licensed boats so as to take advantage of the lighter Tariff.
The remedy which I would venture to suggest, and which seems to be pointed out by the circumstances, is to make the locality and not the steamer the criterion of the dues to be paid. The inter-port Tariff of 71/4 per cent., commonly called the coast trade duty, while reasonable enough between distant places such as Canton to Tien-tsin or Newchwang, 1,500 miles apart, becomes unreasonable, and, indeed, prohibitive, when applied between ports in the same province, such as Canton to Samshui or Wuchow. It was never intended that it should be applied to such purely inland traffic as that on the West River or on the inland waters of Shanghai, which has always paid dues to the Provincial Administration, and experience has shown, both at Canton and Shanghai, that such traffic refuses to come under the inter-port Tariff.
Mr. Hosie, for instance, Her Majesty's Consul at Wuchow, speaking in a recent Report of the satisfactory growth of revenue at that port, says:—
“The trade of which this represents the revenue was nearly all with Hong Kong, for native exports and imports to and from Canton and Samshui are too heavily handicapped by the coast trade duty to admit of their being carried by steamer.”
The suggestion, then, which I would make is, that all steamers running between Canton and Wuchow should be permitted to register under the Inland Navigation Regulations, and pay duties under the local Provincial Administration on all cargo that does not claim Treaty privileges; and conversely that the present licensed steamers plying from Canton be at liberty to trade at all the Riverine Treaty Ports, so long in each case as they confine themselves to inland waters. The two sets of steamers would thus be put on identical terms, artificial restrictions would be removed, and trade would flow in the channel which best suited it.
The publication of the Li-kin Tariff Regulations asked for in the Shipping Companies' letter of the 28th March last, should, of course, be insisted on without delay; but it would appear from Mr. Mansfield's comments that it is actually under way. Its promulgation will simplify matters, and it is to be hoped it will be as moderate and simple as possible. If it proves cumbersome and restrictive, we could press for its being replaced by a general inland Tariff, based on but not exceeding li-kin rates. In any case,
[2095 d-1]
Page 683
...
Page 683
.......
683
[This Document is the Property of Her Brine 45 gs H.
C. O.
32755
CHINA TRADE.
CONFIDENTIAL.
[August 5.1
REC SECTION 25 NOV 19
very
No. 1.
Memorandum by Mr. Jamieson on the West River Inland Navigation Regulations.
IT seems to me that the permission applied for by the Shipping Companies might well be granted so far as regards their Canton-Wuchow steamers.
The difficulty from the Chinese point of view seems to consist in this: that they have two fiscal systems--the Imperial Maritime Customs which levies duties on steamers trading from one Treaty port to another, and the li-kin or Native Customs Administra- tion which levies duties on traffic carried on licensed steamers under the Inland Naviga- tion Rules; and they do not see how the same steamer can be partly under the one system and partly under the other. Consequently they deny to inter-Treaty port steamers (say Canton to Wuchow) the rights which licensed steamers have of calling all the way up and down, and they deny to licensed steamers the rights which inter-port steamers have of carrying cargo from one Treaty port to another. The former reckon solely with the Imperial Maritime Customs, and the latter with the provincial li-kin Administration.
It thus comes about that we have on the West River two sets of steamers both running over exactly the same ground and both seemingly having a grievance--each complaining that they are debarred from certain trade which is open to the other,
The foreign flag inter-port steamers have the further grievance that coming under the Treaty Tariff cargo shipped by them must pay 7 per cent. duty, whereas cargo shipped in the licensed steamers pays under the local Administration a sum varying with the distance, but which on such a short transit is much less than 7 per cent. Consequently, they say, but for the direct foreign trade with Hong Kong and passengers, their steamers run empty, as the local Tariff goes exclusively by the licensed boats so as to take advantage of the lighter Tariff.
The remedy which I would venture to suggest, and which seems to be pointed out by the circumstances, is to make the locality and not the steamer the criterion of the dues to be paid. The inter-port Tariff of 74 per cent., commonly called the coast trade duty, while reasonable enough between distant places such as Canton to Tien-tsin or Newchwang, 1,500 miles apart, becomes unreasonable, and, indeed, prohibitive, when applied between ports in the same province, such as Canton to Samshui or Wuchow. It was never intended that it should be applied to such purely inland traffic as that on the West River or on the inland waters of Shanghac, which has always paid dues to the Provincial Administration, and experience has shown, both at Canton and Shanghae, that such traffic refuses to come under the inter-port Tariff.
Mr. Hosie, for instance, Her Majesty's Consul at Wuchow, speaking in a recent Report of the satisfactory growth of revenue at that port, says :--
"The trade of which this represents the revenue was nearly all with Hong Kong, for native exports and imports to and from Canton and Samshui are too heavily handi- capped by the coast trade duty to admit of their being carried by steamer.”
The suggestion, then, which I would make is, that all steamers running between Canton and Wuchow should be permitted to register under the Inland Navigation Regulations, and pay duties under the local Provincial Administration on all cargo that does not claim Treaty privileges; and conversely that the present licensed steamers plying from Canton be at liberty to trade at all the Riverine Treaty Ports, so long in each case as they confine themselves to inland waters. The two sets of steamers would thus be put on identical terms, artificial restrictions would be removed, and trade would flow in the channel which best suited it.
The publication of the Li-kin Tariff Regulations asked for in the Shipping Com- panies' letter of the 28th March last, should, of course, be insisted on without delay; but it would appear from Mr. Mansfield's comments that it is actually under way. Its promulgation will simplify matters, and it is to be hoped it will be as moderate and simple as possible. If it proves cumbersome and restrictive, we could press for its being replaced by a general inland Tariff, based on but not exceeding li-kin rates. In any case,
[2095 d-1]
No comments yet.
Private notes are available after approval.