CO129-394 - Governor Sir May & Public Offices - 1912 [12] — Page 168

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Memorandum.

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F. Peking December 10th., 1912.

The obstruction caused to legitimate British trading enterprise by the embargo on the quarrying and export of lime- -stone in the Province of Canton has formed the subject of numerous interviews and communications between the Wai Chiao Pu

and His Majesty's Minister, and Sir John Jordan deems it desirable to place on record the series of facts which have given rise to his representations.

For some twenty years past the Green Island Company procured through Chinese contractors from quarries on the North and West Rivers limestones for the manufacture of cement, nor was the export of the stone ever interfered with until the present year. On April 26th. last, however, the Canton Tutu issued a proclamation forbidding the unauthorised quarrying and export of limestone from any part of the province. The enclosed copy of the proclamation shows that the avowed object is to hamper the legiti- -mate trade of competitors of the Canton Cament Works. On July 23rd. the Commissioner of Customs received orders to prevent the export of stone unaccompanied by Government permits, and on July 25th. junks at Sans mi and Canton loaded with stone for Hongkong were seized, although duty had been paid thereon. Two boat-loads of stone thus seized were actually diverted by the Canton Authori- -ties to the Canton Cement Works.

The amounts of stone contracted for by the Green Island Cement Company prior to the issue of the Tutu's proclamation were communicated to the Wai Chiao Pu on the 7th. ultimo in the Aide- -lemoire which stated the willingness of the Green Island Cement Company to pay over the contract price of this stone to the order of the Canton Goverment provided they were allowed to take deliver forthwith.

The undelivered balance of the stone already contracted for amounts to 152,750 tons, and if the Company is permitted to take delivery of this amount at the original contract price, they are willing in making future contracts for the supply of limestone

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