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[This Document is the Property of His Britannic Majesty's Government.]
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line of argument the Directorate-General cannot help recognising the great disproportion which in reality exists between the limit fixed for the preparation of opium for consumption and exportation at Macao and the revenue from the monopoly, and, .on those grounds, it accepts in principle the necessity of reducing the limit of the new adjudication to be effected in 1913 by modifying the regulations concerned, in accordance with the resolutions of the International Hague Conference, by establishing heavier fines for infringements, and by modifying the system of supervision, which could be removed from the port captaincies and placed under the exclusive charge of the Inspector of Finances. The Governor of Macao, in making his calculations of the present averages, corrected by an appreciable reduction, alleges that the limit should be of 380 chests for local consumption and 460 for exportation, which would give a total of 840 chests. This Directorate-General would feel inclined, in a loyal and sincere spirit, still further to modify the above limit by bringing it nearer to that of Hong Kong, in consideration of the fact that in the latter colony the consumption exceeds the exportation, while in Macao the exportation exceeds the consumption. But a doubt arises which this Directorate-General would be glad to have cleared up: In the Hong Kong contract the wording of clause 2 tacitly admits the possibility of the limit being exceeded by a special concession of the governor of the colony. Has such a case arisen, and is this the explanation of the large revenue of 1,200,000 patacas which the monopoly there has attained. On the other hand, the result of a study of statistics is that, notwithstanding all the restrictions on the opium traffic, the value of the exports from British India during the last three years has considerably increased, as may be seen from the following note published in the Economiste française" of the 27th July last regarding the exports of opium from British India :---
1908-1909 1909-1910
1910-1911
£
6,283.000
6,209,000
8,509,000
The ideas and suggestions of this Directorate-General having been clearly and plainly expressed in the sense of continuing sincerely and honestly to co-operate in the gradual restriction of the opium traffic in Macao, at the same time protecting, as far as possible, within the bounds of reason and justice, the important revenue accruing from the monopoly, it hopes that the British Minister will not fail to recognise the legitimate interests taken by us in the defence of the interests of Macao, the more so, when he can have no doubt as to the reality of the endeavours which the colony of Hong Kong has exerted and is exerting to guarantee and defend its own interests. This Directorate- General has also reason to believe that the interests of Macao do not clash with those of Hong Kong, there being no possible antagonism either in this or any other question of a commercial character between the two neighbouring and friendly colonies, each one keeping within the bounds of its own sphere of activity and resources, and, though jealous of its rights, fully conscious of its duties.
Fraternal salutations.
Lisbon, September 6, 1912.
FREIRE D'ANDRADE,
Director-General.
OPIUM.
CONFIDENTIAL.
[39982]
C. O.
33132
REC
REGS 21 OCT 12
[September 23.]
SECTION 4.
or
No. 1.
Messrs. E. D. and Messrs. David Sassoon and Co. to Foreign Office,— (Received September 23.)
Sir,
17, St. Helen's Place, E.C., September 23, 1912. WE have the honour to acknowledge receipt of your letter dated the 11th instant, and are not surprised at the information conveyed to us, as it is the usual Chinese style of shirking responsibility.
We beg to direct your attention to the following cables received from our houses in China:--
No. 1-"Canton notify will not renew smokers' licence after December.
Represent Foreign Office instruct British Minister take up the matter.'
No. 2." We have telegraphed to Minister, Peking, as follows :-
16
"Proclamation issued, Anhui, prohibiting importation Indian opium and establishing monopoly for sales of present stocks in provinces. [? Anking] authorities have forcibly seized and destroyed by fire seven cases Malwa opium [ taken] from China Merchants' Steam Navigation Company's hulk. Such oppressive and high- handed measures have caused utmost consternation amongst all dealers and merchants, and we respectfully request prompt protective actions.'
"Take immediate action on your side."
No. 3.--"National Assembly, Peking, passed second reading Bill for entire suppression of opium traffic end next year. You must arrange existing stocks should
be cleared before prohibition comes into force."
way,
for
On telegrams Nos. 1 and 2 it is unnecessary for us to comment, but with regard to telegram No. 3, we cannot too strongly urge the necessity for His Majesty's Govern- ment to make adequate arrangements about the stocks in China, and ou the the protection of British merchants, before total prohibition comes into force. May we beg that His Majesty's Government will give this very important question their careful consideration.
We have, &c.
É. D. SASSOON AND Co. DAVID SASSOON and Co. (Limited).
Ved
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