CO129-382 - Public Offices - 1911 — Page 374

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[This Document is the Property of His Britannic Majesty's Government

OPIUM.

CONFIDENTIAL.

[3070]

No. 1.

[January 26.j

SNCTION 2.

372

-21 FEB 1

(No. 16.) Sir,

Sir J. Jordan to Sir Edward Grey.-(Received January 26.)

Peking, January 10, 1911. I HAVE the honour to transmit herewith the copy of a despatch from His Majesty's consul-general at Canton, covering the translation of regulations* issued at Canton providing for the transference of the levy upon prepared opium from the Kuang Yuan office to the Canton Opium Guild, Mr. Jamieson's letter of protest to the Acting Viceroy, and the latter's minute signifying his formal approval of these arrangements.*

This new departure was first brought to my notice by the Hong Kong General Chamber of Commerce by telegraph on the 10th December, and was represented by them as constituting a continued breach of the treaties and interference with trade. They begged me to urge the suspension of the regulations and the levy of the tax pending a final agreement of the whole question between the two Governments. They subsequently developed their views in a letter, copy of which I have the honour to enclose.

It appears that the proposal emanated from the guild of raw opium dealers themselves, who desired to have the collection of the tax in their own hands, and thus to appropriate the profits which have hitherto found their way into the coffers of the Kuang Yuan office. As you are aware, the guild have all along been loud in their protestations against the Kuangtung regulations, and since their chief interest lies in fostering the trade in the drug, it is rational to assume that they will not use their power, if it is definitely transferred to them, to restrict the traffic in Indian opium. On the other hand, the regulations themselves, as has been repeatedly pointed out to the Chinese Government, are an infringement of treaty provisions and of the friendly agreement between the two Governments for the gradual reduction of the import of opium. The essential illegality of the position will remain the same whether their enforcement be entrusted to the guild or left in present hands, and I have therefore deemed it advisable to enter a protest on broad grounds against any such body being empowered to collect a tax upon an article of foreign import. A copy of my letter to Prince Ching is enclosed herewith. I propose to suit my future action to the requirements which the further development of the question may impose in the interests of British merchants.

I have, &c.

Enclosure 1 in No. 1.

J. N. JORDAN.

(No. 45.) Sir,

Consul-General Jamieson to Sir J. Jordan.

Canton, December 22, 1910. HAVING reference to the telegraphic correspondence which has passed between the legation and this consulate-general on the subject of the proposed transfer to the Opium Guild of the collection of the levy on prepared opium, I have the honour to enclose herewith text and translation of the draft regulations submitted to the Acting Governor-General by that body, as well as of his Excellency's minute on the petition accompanying the same.*

As you will observe, the provisions of the former do not differ materially from those hitherto administered by the Kuang Yuan office. There are, however, four points to which I would venture to draw your attention.

The first is an embodiment (section 3, regulation 12) in concrete form of a proposal originally emanating from the taotai in charge of the Opium Prohibition

(1857 CC -2]

* Not printed.