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me know what are the measures respecting opium dens in the Settlement which it is proposed to take. I hope you will be good enough to deliberate upon the question and decide and give me a reply.
I have, &c.
Inclosure 2 in No. 1.
[This Document is the Property of His Britannic Majesty's Government,
CHINA TRADE.
CONFIDENTIAL.
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No. 1.
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[September 23d OCJ 07
SECTION 2.
Sir,
Shanghae Municipal Council to M, Siffert.
Council Room, Shanghae, July 22, 1907. I HAVE the honour to acknowledge the receipt of your letter of the 9th July, forwarding a communication from the Taotai in respect to the closing of opium houses.
When this matter arose for discussion in January last, the Council's opinion was communicated to the Consular Body, that the action which the Taotai desires to be taken in the Settlement should be deferred until a genuine endeavour was shown on the part of the Chinese Government to grapple with the opium question seriously. By this was meant not that the small number of public houses should be closed in the Shanghae city, but that some endeavour should be made to decrease the large areas in the interior under poppy cultivation.
The course which has been adopted in the city--that of converting opium-smoking bouses into shops for the retail sale of the drug-if adopted in the Settlement, would tend in no way to check the opium babit, but would have the unpleasant results of converting coolie lodging-houses into opium-smoking establishments and increasing the prevalence of the habit in private native residences.
The Consular Body recommends the Tantal's letter for the special attention of the Council, and I have the honour to state that not only this view of the case but all other facts bearing thereon are receiving the close attention of my colleagues and myself.
The view which we take of the matter at present is this: The opium habit has been and, perhaps with diminishing virulence, will continue to be strongly prevalent among the Chinese. As part of its obligation to maintain order in the Settlement, the Council is authorized under the Land Regulations to license, supervise, and control opium smoking in public. So far as can at present be observed, the necessity for this supervision is to-day as great as or greater than it has been in the past, and any measures tending to lessen the control now exercised would be fraught with the gravest conse. quences.
I have, &c. (Signed)
Inclosure 3 in No. 1.
DAVID LANDALE
Circular addressed to His Majesty's Consuls in China.
Sir,
Peking, July 31, 1907. WITH reference to the Imperial Decree of the 20th September, 1906, enjoining the prohibition of the consumption and cultivation of opium in China within a period of ten years, and the Regulations subsequently framed for the enforcement of that Decree, and to recent negotiations that have taken place between the British, Indian, and Chinese Governments on the subject, I beg to inform you that His Majesty's Government are of opinion that, if effective measures have previously been taken to close any opium shops and dens which may exist outside the limits of the various foreign Settlements and Concessions, the Municipal Councils of these localities should be moved to close such establishments as exist within the Settlement or Concession areas before being approached by the Chinese authorities, and I have to request that you will bring the views of His Majesty's Government to the notice of the Municipal Council at your port.
I have, &c. (Signed) J. N. JORDAN.
(No. 376.) Sir,
Sir J. Jordan to Sir Edward Grey-(Received September 23.)
Peking, August 6, 1907. WITH reference to your telegram No. 85 of the 12th, and to my reply No. 141 of the 16th July, regarding steps being taken by the Viceroy at Nanking for the institution of an opium monopoly at that port, I have now the honour to transmit to you herewith a copy of a despatch which I have received from His Majesty's Consul at Nanking forwarding a précis of proposals by the Kiangnau Revenue Department for a Government monopoly of the sale of prepared opium. These proposals, which appeared in the Nanking " Official Gazette" of the 31st May, 1907, received the general approval of the Viceroy, and, pending the settlement of details and a reference to the Governor of Kiangsu, the scheme was experimentally sanctioned. The proposals provided for the scheme being carried out by merchants under official control; but on the 19th July instruc- tions were issued by the Viceroy to the Financial Commissioner and a Taotai named Sun Ting-lin, who were charged with the establishment of the Kianguan Head Office for Government Monopoly of the Sale of Government Prepared Opium, appeared in the Nan- king "Official Gazette." These instructions were to the effect that the proposal to intrust the carrying out of the scheme to merchants under official control could not be entertained owing to the danger of invasions and pretexts for delay which the uncompromising nature of the Opium Edicts absolutely prohibited; that the Government must provide the necessary funds and establish au office for the purchase of raw opium and the boiling and sale of prepared opium with a view to the gradual enforcement of restrictions; and that the Financial Commissioner and Taotai must submit for approval detailed measures for the purchase of raw opium, the boiling and sale of prepared opium, the prevention of smug- gling, and the prohibition of the habit.
Two days after these instructions appeared in the "Official Gazette" Mr. Ker called
upon the Viceroy, who appeared to be very imperfectly informed on the question, and pointed out to his Excellency that the second of the proposals, which limits the trade in opium in Nanking to a certain number of licensed merchants, is inconsistent with Article V of the Nanking Treaty of 1842, which abolishes the practice of licensed hongs and permits British merchants to carry on their mercantile transactions with what- ever persons they please. His Excellency promised to look up the Article, and assured Mr. Ker that no infringement of Treaty would be permitted.
In accordance with a promise made by the Viceroy to Mr. Ker, Sun Taotai called at the Consulate on the 23rd July and submitted to Mr. Ker a revised 3rd Article of proposed Regulations for the Government Prepared Opium Office. This revised Article simply proposes to license without fee all the well-to-do opium importers to sell to the Government Prepared Opium Office exclusively, and to convert the smaller dealers into Government prepared opium branch establishments.
Under these proposed Regulations the authorities at Nanking would become the purchasers of all opium brought to the port, and importation would be restricted to dealers licensed to sell to the Government Prepared Opium Office, a restriction which amounts to an infringement of Article V of the Treaty of Nanking, while the monopoly of the preparation and sale of boiled opium would enable the Chinese authorities to place, through the licensed dealers their brokers--whatever restrictions they pleased on the importation of foreign opium irrespective of any measures that may be agreed upon by the British and Chinese Governments for limiting the export from India.
The proposed action of the Nanking authorities is a clear infringement of the spirit of the Treaty of 1842, and an objectionable precedent will be established if provincial Governments in China are to rely upon the sympathetic attitude of public bodies in England as a reason for disregarding Treaty obligations. I propose, therefore, to invite the attention of the Central Government to the matter, and to warn them of the danger of allowing provincial authorities to deal with a question which is under the considera- tion of our respective Governments.
I have, &c. (Signed) J. N. JORDAN,
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