CO129-360 - Public Offices - 1909 — Page 72

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Gentlemen,

2

Inclosure 2 in No. 1.

Acting Consul-General Fox to Messrs. D. Sussoon and Co.

WITH reference to my previous letter of the 1st instant, I now beg to inclose, for

Canton, October 19, 1908. your information, translation of a note which I have received from the Viceroy in reply to my protest on behalf of the Hong Kong opium merchants against the enforcement of the Regulations complained of in your joint letter of the 23rd September.

His Excellency points out that the licensing of shops for the sale of raw opium is a measure which is only in accordance with the Regulations drawn up by the Central Government for the enforcement of the Opium Edict of the 20th September, 1906, while the issue of licences to smokers is in accordance with established local procedure.

His Excellency explains that the Regulations apply only to retail dealings between the smoker and the opium shops, and that there will be no interference with the freedom of the wholesale business carried on between the native shops and the British importing firms. His Excellency deprecates any intention on the part of the authorities to create a monopoly, official or otherwise, and adds that he has issued orders for a supplementary notification to be issued clearly differentiating between the contemplated measures so as to remove any possible misapprehension.

His Majesty's Minister, to whom I referred the correspondence with regard to this question, informs me by telegram that he is inclined to doubt whether the Regulations as they stand at present can be regarded as establishing a monopoly. It is, however, conceivable that a virtual monopoly might be created, and the working of the system will have to be carefully watched.

Under the circunstances, in view of the Viceroy's assurances and in deference to the opinion of His Majesty's Minister, 1 do not propose at the present moment to take any further action in the matter, but will confine myself to watching carefully the working of the system so as to be ready to detect at the outset any tendency towards the creation of a monopoly. To this end I shall be glad if you will assist me with any observations which you may have to make from time to time.

I am, &c. (Signed)

H. H. FOX.

creating an official monopoly, and there is therefore no analogy with the attempted monopoly at Nanking, which was withdrawn under instructions from the Wai-wu Pa.

I have now instructed the provincial authorities to issue a fresh Proclamation, differentiating clearly between the Regulations concerning the limitation and registra- tion of licensed raw opium shops and the established precedents in Canton respecting prepared opium licences. Each matter will be dealt with separately and confusion avoided, that any misapprehension on the part of the British merchants in Hong Kong may be entirely removed.

I avail, &c.

Inclosure 4 in No. 1.

Acting Consul-General Fox to Sir J. Jordan.

(Seal of Viceroy.)

(No. 63.) Sir,

Canton, November 16, 1908. IN continuation of my despatch No. 53 of the 20th October, and with reference to your despatch to the Foreign Office No. 464 of the 21st October, 1908, on the subject of the new Regulations for the control of the raw opium trade, I have the honour to inform you that the promised Proclamation, defining the scope of the new Regulations, has not yet been issued.

I learn from Mr. Wei Han, the Viceroy's senior Secretary, that in all probability no further Proclamation on the subject will appear, as his Excellency has decided not to proceed with the registration of raw opium shops for the present, but will confine himself to enforcing those clauses in the Licensing Regulations which apply to the registration of smokers and the control of prepared opium shops.

Under these circumstances I do not propose, pending the receipt of further instructions from you, to press for the issue of the Proclamation above referred to.

I shall have early notice of any steps that may be taken with regard to the registration of raw opium shops, as a member of my Chinese staff is in close touch with one of the largest raw opium dealers in Canton.

Referring to the notice contained in my last Intelligence Report, I have now the honour to inclose, for your inspection, copy and translation of the new form of opium- smoker's licence, which is to come into use on the 1st of the 11th moon.

(Translation.) Sir,

Inclosure 3 in No. 1.

Viceroy Chang to Acting Consul-General Fox.

Canton, October 8, 1908.

I HAVE the honour to acknowledge the receipt of your despatch of the 26th September, in which you state that the registration of all shops selling raw and prepared opium will have the effect of injuring the British importers of raw opium in Hong Kong, and must be regarded as an attempt to create a monopoly. You further state that the proposed Regulations imposing restrictions on raw opium shops are contrary to Treaty, and that a similar measure at Nanking last year was ordered by the Wai-wu Pu to be withdrawn. You request accordingly that no action be taken on the Regulations.

Upon receipt of your previous note, dated the 24th September, I gave instructions to the Board of Reorganization, who submitted the Regulations for my consideration, and postponed temporarily the date on which they should come into force. The new Regulations, I find, provide for two kinds of licences to be issued (1) to registered raw opium shops, and (2) to opium smokers. The issue of licences without fee to raw opium shops is in accordance with the Regulations received last year from the Government Council respecting the prohibition of opium. The issue of licences to smokers is in accordance with the established procedure in Canton with regard to prepared opium licences, the fee for which is collected from the smoker himself.

The restrictions imposed extend only to the retail dealings between the smoker and the opium shops, and there will be no interference with the wholesale trade carried on between the native shops and the British importing firms. In the present case the registration and licensing of opium shops, in obedience to Imperial instructions, and the prohibition on opening new shops, have in view their gradual disappearance, and is an attempt to second the laudable efforts of the Indian Government to co-operate with China in abolishing opium-smoking, There is no intention of making a profit by

(Translation.)

I have, &c.

(Signed)

H. H. FOX.

Inclosure ō in No. 1.

Opium-Smoker's Licence.

Counterpart. (For reference in office) issued by

for the Province of Kwangtung.

APPLICATION having been made by---

Name

Age

Province and district

Residing at

Business

Daily consumption of opium

for a licence to purchase opium, the said of the habit in

*

Taotal of Police,

undertaking to break himself years, a licence in the proper form has been issued to him, of which this counterpart is kept for reference.

First reduction,

Licence No.

[2050

all--

-1]

Date

taels,

Inace,

candarcens.

B 2

71