2
this territory. I am not in a position to deny categorically that such is the case, but I have to confess my inability so far to obtain any tangible proof of it. There is of course the question of railway freights, the preferential nature of which the Japanese deny, but these rates, whether justifiable or not, are directed against a port, Newchwang, and not against foreigners generally.
Early in the spring I was assured by a foreign merchant here that he had seen at Harbin a freight receipt for certain goods transported from that town, via Mukden, through the Mitsui Bussan Company's agents, and that the rate the Mitsui Bussan charged was a much lower one than any his own firm could obtain from the railway authorities. A copy of this receipt he promised to obtain for me; but he has never succeeded in doing so, and I am consequently quite unable to put any reliance in the correctness of his assertion. It is this habit of indiscriminate accusation without valid proof in support which seems to me regrettable, and I do not understand why, if, as is asserted, a policy of discrimination really exists, foreign merchants are not at greater pains to secure proof of its existence. As far as my experience goes, I can recall only one instance of a foreign firm being, to my own knowledge, unfairly treated. This was the Manchurian Trading Company, a concern registered locally as Japanese. The Managing Director of the Dairen branch, a British subject, applied to the local authorities for the lease of a piece of land for business purposes.
After protracted delay a site was assigned him, and he was requested to furnish plans of the buildings he proposed to erect. To this he replied that, in view of the very uncertain nature of the tenure possible under the Land Regulations in force, it was not his intention to invest at the moment more capital in his land than was necessary for the construction of an ordinary warehouse. The Japanese at once retorted with a demand that he should build a house or offices of the value of 20,000 yen at least, and on his refusing to do this they promptly cancelled his lease. Such action was not only high-handed but inequitable, because no such conditions are to my knowledge imposed on Japanese, and the number of buildings on which that amount has been spent might almost be counted on the fingers of one hand.
It is possible, too, that some understanding exists between the Railway Company and the Mitsui Bussan Kwaisha, who are by far the most important traders here, on the subject of a preferential rate when large quantities of the latter's goods are transported over the line; but, if so, no proof of it has yet come to light.
All that can be said on the subject of this policy of discrimination is that no proof of its existence is yet forthcoming, and I am of opinion also that this system of accusation absolutely unsupported by proof is calculated in the long run seriously to prejudice the cause of the accusers,
I have, &c. (Signed)
HAROLD G. PARLETT.
[This Document is the Property of His Britannic Majesty's Government)
CHINA TRADE.
CONFIDENTIAL.
[34668]
No. 1.
339
[October 21.]
}
SECTION 1.
Sir J. Jordan to Sir Edward Grey.-(Received October 21.) (No. 421.) Sir,
Peking, September 3, 1907. I HAVE the honour to transmit to you herewith a Report upon the Province of Shan-hsi by Lieutenant-Colonel Pereira, Military Attaché to this Legation.
I have, &c. (Signed) J. N. JORDAN.
Inclosure in No. 1.
No. 44.-Report respecting a Journey in Shan-hsi (July 22 to August 18, 1907), by Lieutenant-Colonel Pereira.
(Confidential.)
1. The Journey.-I proceeded by train from Peking as far as Shon-yang Hsien, in Eastern Shan-hsi, taking the new Shan-hsi Railway from Chen-t'ou, a few miles south of Cheng-ting Fu, in Chih-li. From Shou-yang Hsien I proceeded by the usual uncomfortable methods of native transport to T'ai-yüan Fu, where I stayed five days, and then, proceeding northwards to Ta-t'ung Fu, I returned to Peking by Kalgan.
2. Tai-yüan Fu--On my arrival in the capital, I found the officials inclined to view my arrival with anxiety, and I believe they were under the impression that I had come to discuss the affairs of the Peking Syndicate. However, as soon as they found that I had come simply to inspect their somewhat primitive military institutions, they appeared to be very much relieved, and readily gave me permission and assistance to visit everything I wanted to see.
I am informed on good authority in Peking that there is not an undue proportion of Manchu officials in China, and outside T'ai-yüan Fu I found that the Magistrates in every city I passed through were Chinese, but in the capital itself the Manchu element was predominant among the higher officials, and the following belonged to that alien rače, viz. :-
The Governor (En-shon), who is reported to be well disposed, but timid and of a weak character.
The Treasurer (Pao-fen).
The Acting Judge (Chih-lin) and Head of the local Foreign Office, a young
man of 30.
The Director of Education (Hsi-ku).
3. Feeling in the Province.-I everywhere found the people perfectly harmless and friendly. Mr. Sowerby, the senior baptist missionary, and the only one present at the time in the city, told me that everything was perfectly quiet, and that the animosity aroused by the action of the Peking Syndicate had quite died out. He said that last year, when the agitation was on, the movement was headed by Chinese students in Japan, and their action stirred up the students in the T'ai-yüan Fu University, who openly accused the Manchus of truckling to the foreigners, and talked of destroying the Manchu Settlement (a mud-walled inclosure containing some 1,500 Manchus) inside the city.
The Governor sent soldiers to the scene of the disturbance and threatened to fire on the students, but they defied him, and it was only with great difficulty, and at the intercession of the Provincial Judge (Ting-pao-ch'uan), that quiet was restored.
Mr. Sowerby was of opinion that the people are now satisfied that the Syndicate claims will no longer be pushed, but he thinks that if they are pressed very serious
results will follow.
In 1901 I accompanied a party of missionaries to Tai-yuan Fu on the termination of the Boxer movement, and they stated that, until the advent of the notorions Yu Heien as Governor, the Shan-hisi people were amongst the least anti-foreign of the
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