CO129-330 - Public Offices - 1905 — Page 341

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view to local requirements, and not as a substitute for a large scheme, which the Chamber submits it will be necessary to consider, either as an extension of the Mandalay-Kunlon Railway or in connection with one of the projects to reach China through the Burmese or Siamese Shen States, as originally proposed by Captain Sprye, and later by Messrs. Colquhoun and Holt Hallett.

The Chamber, therefore, begs most earnestly that your Lordship will give your personal attention to this very important matter for British trade, and inform them shortly what steps it is proposed to take, especially as they feel that if the great and populous provinces of Szechuan could be reached by railway, a very large and profitable trade could he developed, far in excess of that which is done with the same regions by water conveyance on the Yang-tse and other great rivers of China.

I have, &c.

Sir,

(Signed)

THOMAS H. BARKER, Secretary.

Inclosure 2 in. No. 1,

Liverpool Chamber of Commerce to India Office.

Liverpool, May 28, 1904,

I AM directed by the Committee of the East India and China Trade Section to refer to your letter of the 14th December, 1903, on the subject of the nxtension of the Mandalay Kunion Railway, and to ask what has been the result of the consultation of the Secretary of State for India in Council with the Government of India respecting the whole question of railway communication between Burmah and China.

The Committee have had again under their consideration the subject of the construc- tion of a light railway from Bhamo to Momein, recommended by them in their letter dated the 25th February, 1903, of which 1 inclose a copy.

i am to express the hope of the Committee that steps have been taken in the direction desired.

Sir,

I am, &c.

(Signed)

THOMAS W. BARKER, Secretary.

Inclosure 3 in No. 1.

India Office to Liverpool Chamber of Commerce.

India Office, September 2, 1904.

I AM directed by the Secretary of State for India in Council to refer to your letter of the 28th May last, the reply to which has been delayed pending the consideration of the views of the Government of India on the question of railway communication between Burmah and China,

The Government of India are still in consultation with the Burmah Government in regard to the project for a railway between Bhamo and Momein, and steps have, meanwhile, been taken to improve the roads between these places.

In regard to the larger schemes for a railway from Burmah through Yünnan to Szechuan, the Government of India have furnished an estimate of the cost of surveying the portion of the route between the Salween and the Mekong, and this estimate, which amounts to 1,50,000 rupees, has been communicated to the Foreign Office. The Government of India, however, are not willing to throw this expenditure on the Indian revenues, and the Secretary of State in Council, in these circumstances, cannot proceed with the survey.

I

ani, &c.

(Signed) HORACE WALPOLE,

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Inclosure 4 in No. 1.

Government of India to Mr. Brodrick.

334

Sir,

Simla, October 27, 1904. IN your despatch dated the 18th December, 1903, we were asked to furnish an estimate of the cost of examining the country between the Salween and Mekong Rivers, in order that you might be prepared with information for any British Company or Syndicate that might desire to undertake the construction of a railway into Yünnan. At the same time the proposal to make a railway from Bhamo to Momein (Têngyüeh) was commended to the consideration of the Lieutenant-Governor of Burmah.

2. With reference to the proposal to examine the country between the Salween and Mekong Rivers, we informed you in our telegram dated the 4th May, 1904, that a survey would cost at least 1,50,000 rupees, and that we deprecated the expenditure of this sum from Indian funds, as, from information already in our possession, the cost of construction is known to be prohibitive. For the sum named we believe that the country could be fairly well examined, but if a detailed location for the railway is required, the cost would be at least 3,00,000 rupees. The distance from the Salween to the Mekong by the Nam- Ting Valley, which we believe to be the only practicable route, is quite 160 miles ; and the cost, based on the cost of surveys already made, and allowing for the necessary escorts and the carriage of stores, &c., would probably be about 2,000 rupees a-mile.

3. We note with satisfaction that it is not contemplated to apply the revenues of India to the construction of such a line, and therefore that we shall not be culled upon to bear any portion of the cost of the survey, and we await further orders from you before taking any steps to put it in band. We have, moreover, no staff available at present for undertaking it.

4. The question of a railway from Bhamo to Momein (Têngyüeh) was referred to the Government of Burmah, and we inclose a copy of that Government's letter dated the 29th June, 1904, and inclosures. It will be noticed that neither Mr. Wilkinson, His Britannic Majesty's Consul-General at Yüunan-fu, nor Mr. Warry, the adviser on Chinese affairs to the Burmah Government, considers that a railway is required; while Mr. Litton, His Britannic Majesty's Consul at Momein (Têngyueh), strongly advocates the construction of the line, and in this is supported by the Lieutenant-Governor of Burmah, who recommends that the survey should be undertaken as soon as possible.

5. In paragraph 6 of the letter from the Government of Burmah it is estimated that the cost of the railway on the 2 ft. 6 in. gauge will be between 107 and 188 lakhs of rupecs, and that the gross earnings, upon the information furnished by Mr. Litton, might at first amount to 5,35,000 rupees. This, with working expenses at 75 per cent., would return only 124 and 071 per cent, respectively on the estimated capital outlay. Even with the gross receipts ultimately enhanced to double the amount the railway would not prove remunerative, and it is therefore improbable that either the Burmah Railways Company or the Irrawaddy Flotilla Company could be induced to join in carrying out such a scheme without a guarantee from Government. Sir Hugh Barnes, however, suggests that, if the money is found by the Imperial Government, it is probable that the Burmal Railways Company would be willing to undertake to construct the line on terms which would involve them in no pecuniary responsibility.

6. While, however, there are in India and in Burmah many productive projects which demand our attention, and which cannot be undertaken for want of funds, we trust you will agree that the question of the construction of the line from Bhamo to Momein, under any arrangement which would impose the entire pecuniary liability on the Government of India, should not in present circumstances be entertained. therefore think it would be premature even to undertake its location at present.

We have, &c. (Signed) AMPTHILL.

KITCHENER,

E. FG. LAW.

E. R. ELLES.

A. T. ARUNDEL.

H. ERLE RICHARDS.

J. P. HEWETT.

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