CO129-372 - Public Offices - 1910 — Page 516

5

4

from the Opium Prohibition Board. Under the circumstances, therefore, I do not propose, unless instructed to the contrary, to take action. A copy and a translation of the regulations are enclosed.

It

interest may

you to know that, on the authority of the farmer, opium smoking in Canton amongst the well-to-do classes has not sensibly diminished, and amongst the lower classes only to the extent of 50 per cent. The former are willing to pay any price for their favourite drug, and are commencing to hoard opium against the time when total suppression comes into force. It is with a view to endeavouring to check this propensity, and to retain raw opium under observation, that the authorities are calling for a return of sales effected by the wholesale dealers. Prepared opium will not keep, and has to be consumed within a reasonable time.

I have, &c.

(Translation.)

Enclosure 3 in No. 1.

Regulations respecting Opium.

J. W. JAMIESON.

THE following regulations regarding the tax on prepared opium licences are respectfully submitted:-

1. The honourable merchant Liang Chao-t'ang, of the Kuang Jung Yuan firm, has been instructed to open the Kuang Yuan office and undertake the collection of the licence tax throughout the province of Kuangtung. He has been given a seal as evidence of his office.

2. The object of this licence tax is to obtain a record of the amounts sold, to prevent accumulation of stocks, and to restrict the number of opium smokers, in the hope that within the fixed period the habit may be entirely eradicated.

3. Raw opium merchants, when importing the drug after having paid the duty thereon, must report to the office the amount of the raw drug entering their godowns; and, when a sale has been effected, must similarly report to the office. They will then be permitted to remove the drug from their godowns. This procedure will facilitate a

check on the amounts sold,

4. Prepared opium merchants, when purchasing raw opium, must first report to the office the quantities they desire to buy, and must also enter into a bond that they will boil down the opium within the prescribed time, that they will not be guilty of the offence of illegally storing the drug for an excessive time, and that, when the opium has been boiled down, they will pay the due licence tax. These formalities having been complied with, they will receive a boiling opium certificate and a purchasing opium certificate when they will be permitted to remove the opium for boiling.

5. Raw opium merchants must satisfy themselves that purchasers have obtained boiling opium and purchasing opium certificates before selling. From time to time they must report to the office the amounts sold and ask that such amounts against their names be cancelled, thereby facilitating supervision.

6. Every tuel of boiled opium shall pay a tax of 30 cents, and this tax shall be duly collected by the Kuang Yuan office. Although this tax is levied on all firms buying raw opium and selling prepared opium, it is really ultimately paid by the opium smoker, so that the trade in raw and prepared opium will in no way be interfered with.

7. Purchasers of raw opium shall convert the whole amount into prepared opium within three days, and shall not illegally store it for an excessive time, thereby frustrating the work of the suppression of opium.

8. The Kuang Yuan office shall establish sub-offices in the prefectures, depart- ments, and districts throughout the province, to administer these regulations in a uniform manner. The raw and prepared opium merchants are forbidden to cause trouble. The whole responsibility will thus rest on one body, and uniformity will be secured.

9. Raw and prepared opium merchants who already hold trading licences must change them; those who do not already hold licences must obtain them within five days from the date these regulations come into force, after which only the closing of shops will be allowed and not the opening of new ones. Persons not holding licences will not be allowed either to buy or sell opium.

10. Persons not holding licences to buy raw opium will not be allowed to buy raw opium; persons not holding licences to boil opium will not be allowed to boil opium. (Should they infringe this regulation they will be severely dealt with.

11. Should any bad characters among the merchants be guilty of any offence against these regulations his licence to trade will be cancelled, and he will be compelled to close his establishment and an exemplary fine will be imposed.

12. One tael of raw opium shall be calculated as producing half a tael of propared opium. Thus, for instance, should a merchant report now that he had bought 1 tael of raw opium, later, when he had boiled it down, his tax would be calculated on half a tael of prepared opium. With this determined as an average it will be easy to know in future the amount of prepared opium sold and consumed. Besides, when collecting the tax, vexatious disputes as to the amount, more or less, of the prepared opium will

be obviated.

13. The raw opium merchants, on the day when these regulations come into force, must report to the office the amount of raw opium in stock before such day, so that a check may be exercised on the amount sold thereafter. Should any breach of this regulation be discovered it will be severely punished.

14. In the event of any matter not being covered by these regulations, amend- ments and improvements will be suggested from time to time so that they may attain to efficiency.

Respectfully drawn up by the Prepared Opium Licence-Tax Office for the province of Kuangtung.

Enclosure 4 in No. 1.

Extract from the "Capital and Commerce" of June 17, 1910.

MISREPRESENTATION,

A FALL in prices of 900 rupees or 601. per chest at the Calcutta auctions of the 1st June, and that in a month, is an event which caused consternation among the opium-merchants, who have for some time been buying heavily at very high prices in the hope that the demand for opium must revive sooner than later in China. The stock in the godowns in Hong Kong and Shanghai is very heavy-7,983 chests Malwa and 8,671 chests Bengal---and after several months the Chinese dealers got tired of buying 450 chests. Whatever may be the success which has attended the efforts of the Chinese Government in the suppression of the native opium, they have surely put as many impediments as possible in the way of the sale of foreign opium, so much so, the Chinese dealers absolutely refuse to buy a commodity the possession of which in the interior is attended with heavy penalties. It is no wonder that those who bought heavily, and attempted to corner opium in the auctions should be anxious to have the sales suspended for some time.

Renter's telegram relating to the opium trade, however, leads one to certain misconceptions about the present position of the trade. The telegram runs thus :-----

convention.

The Imperial and Indian Governments are exchanging communications in reference to the Canton opium monopoly, which is regarded as a violation of the The Bombay opium-merchants declare that the situation is most critical and that the effect upon the Indian trade is tremendous. Merchants, it is stated, are losing heavily. They urge the Government to suspend sales pending an enforcement of treaty rights."

We have referred to the Canton monopoly in a previous issue, and condemned it in no measured terms; and refer to it at present so that there may be no misconception of our meaning, when we say that the opium-merchants themselves, more than the Canton monopoly or any other violation of the treaty rights, have caused the present situation. Governments and public bodies may be actuated by philanthropic motives, but not the trader in his business, and least of all the dealer in opium. He started ou a fundamentally opposite point of view to that of the Chinese and British Governments, and the public bodies that have been working in the noble cause of the suppression; he never believed in China's sincerity or ability to rid herself of the opium evil. He laughed at the conventions and conferences, and hoped to reap a good harvest in the

[2812 -2]

512