CO129-348 - Governor Sir Lugard - 1908 [7-10] — Page 77

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Sir,

Peking, Harch (224th), 1908.

29050

Red

P 10 AUG 08

I have the honour to refer Your Excellency

to your note of January 30th. on the subject of the prohibition of the trade in prepared opium between China and Hongkong. (His Majesty's Minister's note of January 30th. quoted at length).

As the prohibition of the import of Chinese

opium into Hongkong could only be made effective if the local

officials were made responsible for its enforcement, the Board requested the Viceroy at ganton to take active steps to put the

prohibition in force. His Excellency in his reply, states

that he is in receipt of the following report from the Commis-

-sioner of Customs at Kowloon whom he had directed to investi-

-gate the matter:-

*The trade in prepared opium at Hongkong

-

*

is a monopoly, in the hands of certain merchants, and the

import of prepared opium from other places is already prohibit-

-ed; an extremely strict system of Customs inspection is in

force and there is no open importation into Hongkong. As how-

ever prepared opium sells at over $3 an ounce in Hongkong

twice the price paid in the interior of China it is inevit-

-able that some smuggling should go on for the sake of the

profit obtainable. Most of this prepared opium is brought from

Shanghai, Swatow and the West River by steamships and sailing

vessels of various classes, which anchor in British waters

where we are unable to search them".

The Viceroy states that he has ordered all

Customs and likin stations, as well as the Commissioners of Customs and local authorities, to take preventive measures and has issued a proclamation in explicit terms with a view to

putting a stop to the illicit trade in opium.

On the 22nd. instant the Board presented

♣ Memorial to the Throne stating that the British Government