CO129-326 - Foreign Office - 1904 — Page 674

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(This Document is the Property of His Britannic Majesty's Government.)

C.O.

37319

[October

1670

CHINA TRADE.

CONFIDENTIAL.

No. 1.

India Office to Foreign Office.--(Received October 22.)

(B) Sir,

India Office, October 20, 1904. IN continuation of my letter dated the 20th instant on the subject of the proposed taxation of opium in China, I am directed by the Secretary of State for India in Council to forward, for the information of the Marquess of Lansdowne, a letter on the same subject which he has received from the Government of India.

Although the Government of India accept the interpretation placed on the additional Article by Sir E. Satow, Mr. Brodrick remains of opinion that, before it can be confidently accepted and acted on, further inquiry of the British Minister at Peking, and possibly a reference to the Law Officers of the Crown, are desirable.

It will be observed that the Government of India consider that the proposed tax will not fall equally on native and foreign opium. The Secretary of State for India is of that opinion, and agrees with the Government of India that the scheme should be strenuously resisted, if necessary--by a threat to abrogate the additional Article.

I am, &c. (Signed)

A. GODLEY.

Inclosure in No. 1.

Sir,

Government of India to Mr. Brodrick,

Simla, September 22, 1904.

HIS Britannic Majesty's Minister at Peking has forwarded to us a copy of a despatch No. 242 dated the 7th July last, and inclosures, which he has addressed to the Marquess of Lansdowne on the subject of a proposal made by the Provincial Government at Canton for increasing the revenue which is at present derived from the internal taxation of opium. The scheme provides for the taxation of all prepared opium, whether manufactured from the native or from the imported drug. Sir E. Satow contends that the arrangements proposed by the Viceroy at Canton constitute an infringement of the provisions of the additional Article to the Chefoo Convention, inasmuch as no provision is made in the draft Regulations to insure that native opium must first have paid duty at the rate of 110 taels per 100 catties before any additional taxation is levied on the imported drug,

2. We concur in the view expressed by Sir E. Satow that, before foreign opium can be taxed in the manner proposed, native opium must first have paid 110 taels per 100 catties, this being the amount of the consolidated duty leviable on imported opium. We are also of opinion that the proposal should be strenuously resisted on the grounds that the tax, if imposed, would not in fact fall equally on native and foreign opium, and that equality of incidence could not in any case be secured with the fiscal machinery at the disposal of the Chinese Provincial Governments. The provisions of Article 5 of the additional Article to the Chefoo Convention could not be satisfied, and the scheme proposed by the Viceroy at Canton is therefore, in our opinion, inadmissible.

3. We trust that His Majesty's Government will be disposed to accept these views, and that they will protest strongly against the introduction of a system which, if accepted, will undoubtedly result in the differential taxation of Indian opium in China.

We have, &c. (Signed). AMPTHILL.

KITCHENER.

E. FG. LAW. E. R. ELLES.

A. T. ARUNDEL.

H. E. RICHARDS.

J. P. HEWETT.

(9206 --

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(This Document is the Property of His Britannic Majesty's Government.) C.O. 37319 [October 1670 CHINA TRADE. CONFIDENTIAL. No. 1. India Office to Foreign Office.--(Received October 22.) (B) Sir, India Office, October 20, 1904. IN continuation of my letter dated the 20th instant on the subject of the proposed taxation of opium in China, I am directed by the Secretary of State for India in Council to forward, for the information of the Marquess of Lansdowne, a letter on the same subject which he has received from the Government of India. Although the Government of India accept the interpretation placed on the additional Article by Sir E. Satow, Mr. Brodrick remains of opinion that, before it can be confidently accepted and acted on, further inquiry of the British Minister at Peking, and possibly a reference to the Law Officers of the Crown, are desirable. It will be observed that the Government of India consider that the proposed tax will not fall equally on native and foreign opium. The Secretary of State for India is of that opinion, and agrees with the Government of India that the scheme should be strenuously resisted, if necessary--by a threat to abrogate the additional Article. I am, &c. (Signed) A. GODLEY. Inclosure in No. 1. Sir, Government of India to Mr. Brodrick, Simla, September 22, 1904. HIS Britannic Majesty's Minister at Peking has forwarded to us a copy of a despatch No. 242 dated the 7th July last, and inclosures, which he has addressed to the Marquess of Lansdowne on the subject of a proposal made by the Provincial Government at Canton for increasing the revenue which is at present derived from the internal taxation of opium. The scheme provides for the taxation of all prepared opium, whether manufactured from the native or from the imported drug. Sir E. Satow contends that the arrangements proposed by the Viceroy at Canton constitute an infringement of the provisions of the additional Article to the Chefoo Convention, inasmuch as no provision is made in the draft Regulations to insure that native opium must first have paid duty at the rate of 110 taels per 100 catties before any additional taxation is levied on the imported drug, 2. We concur in the view expressed by Sir E. Satow that, before foreign opium can be taxed in the manner proposed, native opium must first have paid 110 taels per 100 catties, this being the amount of the consolidated duty leviable on imported opium. We are also of opinion that the proposal should be strenuously resisted on the grounds that the tax, if imposed, would not in fact fall equally on native and foreign opium, and that equality of incidence could not in any case be secured with the fiscal machinery at the disposal of the Chinese Provincial Governments. The provisions of Article 5 of the additional Article to the Chefoo Convention could not be satisfied, and the scheme proposed by the Viceroy at Canton is therefore, in our opinion, inadmissible. 3. We trust that His Majesty's Government will be disposed to accept these views, and that they will protest strongly against the introduction of a system which, if accepted, will undoubtedly result in the differential taxation of Indian opium in China. We have, &c. (Signed). AMPTHILL. KITCHENER. E. FG. LAW. E. R. ELLES. A. T. ARUNDEL. H. E. RICHARDS. J. P. HEWETT. (9206 --
Baseline (Original)
: (This Document is the Property of His Britannic Majesty's Government.] C.O. 37319 [October 1670 CHINA TRADE. CONFIDENTIAL. No. 1. India Office to Foreign Office.--(Received October 22.) (B) Sir, India Office, October 20, 1904. IN continuation of my letter dated the 20th instant on the subject of the proposed taxation of opium in China, I am directed by the Secretary of State for India in Council to forward, for the information of the Marquess of Lansdowne, a letter on the same subject which he has received from the Government of India. Although the Government of India accept the interpretation placed on the additional Article by Sir E. Satow, Mr. Brodrick remains of opinion that, before it can be confidently accepted and acted on, further inquiry of the British Minister at Peking, and possibly a reference to the Law Officers of the Crown, are desirable. It will be observed that the Government of India consider that the proposed tax will not fall equally on native and foreign opium. The Secretary of State for India is of that opinion, and agrees with the Government of India that the scheme should be strenuously resisted, if necessary-by a threat to abrogate the additional Article. I am, &c. (Signed) Inclosure in No. 1. A. GODLEY. Sir, Government of India to Mr. Brodrick, Simla, September 22, 1904. HIS Britannic Majesty's Minister at Peking has forwarded to us a copy of a despatch No. 242 dated the 7th July last, and inclosures, which he has addressed to the Marquess of Lansdowne on the subject of a proposal made by the Provincial Government at Canton for increasing the revenue which is at present derived from the internal taxation of opium. The scheine provides for the taxation of all prepared opium, whether manufactured from the native or from the imported drug. Sir E. Satow contends that the arrangements proposed by the Viceroy at Canton constitute an infringement of the provisions of the additional Article to the Cheloo Convention, inasmuch as no provision is made in the draft Regulations to insure that native opin must first have paid duty at the rate of 110 taels per 100 catties before any additional taxation is levied on the imported drug, 2. We concur in the view expressed by Sir E. Satow that, before foreign opium can be taxed in the manner proposed, native opium must first have paid 110 taels per 100 catties, this being the amount of the consolidated duty leviable on imported opium. We are also of opinion that the proposal should be strenuously resisted on the grounds that the tax, if imposed, would not in fact fall equally on native and foreign opium, and that equality of incidence could not in any case be secured with the fiscal machinery at the disposal of the Chinese Provincial Governments. The provisions of Article 5 of the additional Article to the Chefoo Convention could not be satisfied, and the scheme proposed by the Viceroy at Canton is therefore, in our opinion, inadmissible. 3. We trust that His Majesty's Government will be disposed to accept these views, and that they will protest strongly against the introduction of a system which, if accepted, will undoubtedly result in the differential taxation of Indian opium in China. We have, &c. (Signed). AMPTHILL. KITCHENER. (9206 -- E. FG. LAW. E. R. ELLES. A. T. ARUNDEL. H. E. RICHARDS. J. P. HEWETT.
2026-06-02 07:20:12 · Baseline
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(This Document is the Property of His Britannic Majesty's Government.]

C.O.

37319

[October

1670

CHINA TRADE.

CONFIDENTIAL.

No. 1.

India Office to Foreign Office.--(Received October 22.)

(B) Sir,

India Office, October 20, 1904. IN continuation of my letter dated the 20th instant on the subject of the proposed taxation of opium in China, I am directed by the Secretary of State for India in Council to forward, for the information of the Marquess of Lansdowne, a letter on the same subject which he has received from the Government of India.

Although the Government of India accept the interpretation placed on the additional Article by Sir E. Satow, Mr. Brodrick remains of opinion that, before it can be confidently accepted and acted on, further inquiry of the British Minister at Peking, and possibly a reference to the Law Officers of the Crown, are desirable.

It will be observed that the Government of India consider that the proposed tax will not fall equally on native and foreign opium. The Secretary of State for India is of that opinion, and agrees with the Government of India that the scheme should be strenuously resisted, if necessary-by a threat to abrogate the additional Article.

I am, &c. (Signed)

Inclosure in No. 1.

A. GODLEY.

Sir,

Government of India to Mr. Brodrick,

Simla, September 22, 1904.

HIS Britannic Majesty's Minister at Peking has forwarded to us a copy of a despatch No. 242 dated the 7th July last, and inclosures, which he has addressed to the Marquess of Lansdowne on the subject of a proposal made by the Provincial Government at Canton for increasing the revenue which is at present derived from the internal taxation of opium. The scheine provides for the taxation of all prepared opium, whether manufactured from the native or from the imported drug. Sir E. Satow contends that the arrangements proposed by the Viceroy at Canton constitute an infringement of the provisions of the additional Article to the Cheloo Convention, inasmuch as no provision is made in the draft Regulations to insure that native opin must first have paid duty at the rate of 110 taels per 100 catties before any additional taxation is levied on the imported drug,

2. We concur in the view expressed by Sir E. Satow that, before foreign opium can be taxed in the manner proposed, native opium must first have paid 110 taels per 100 catties, this being the amount of the consolidated duty leviable on imported opium. We are also of opinion that the proposal should be strenuously resisted on the grounds that the tax, if imposed, would not in fact fall equally on native and foreign opium, and that equality of incidence could not in any case be secured with the fiscal machinery at the disposal of the Chinese Provincial Governments. The provisions of Article 5 of the additional Article to the Chefoo Convention could not be satisfied, and the scheme proposed by the Viceroy at Canton is therefore, in our opinion, inadmissible.

3. We trust that His Majesty's Government will be disposed to accept these views, and that they will protest strongly against the introduction of a system which, if accepted, will undoubtedly result in the differential taxation of Indian opium in China.

We have, &c. (Signed). AMPTHILL.

KITCHENER.

(9206 --

E. FG. LAW. E. R. ELLES.

A. T. ARUNDEL.

H. E. RICHARDS.

J. P. HEWETT.

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