CO129-396 - Public Offices - 1912 — Page 142

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

OPIUM.

CONFIDENTIAL,

[41323]

(No. 372.) Sir,

C.O.

33132

RECR

RcG! 21 OCT 12

No. 1.

140

[October 2.1

SECTION 1.

Sir J. Jordan to Sir Edward Grey.--(Received October 2.)

Peking, September 14, 1912. AT the request of the Minister for Foreign Affairs, I have the honour to transmit to you herewith in translation a copy of a memorandum which I bave received from the Wai-chiao Pu, enclosing a copy of a despatch from the Commissioner of Chinese Customs at Lappa, on the subject of the opium trade in Macao, and requesting that His Majesty's Government will be pleased to urge the Portuguese Government to instruct the authorities of Macao strictly to prevent uncertificated Indian opium from finding its way into China through Macao, or take preventive measures in India itself, or adopt any other satisfactory method of dealing with the matter.

Since the signature of the opin agreement of the 8th May, 1911, when the import of opium into Macao was comparatively small, the import of avcertified Indian opium has increased far beyond local requirements and an alleged re-export to Mexico, and there can be little doubt that the great bulk of the present import is smuggled into Chinese territory to the detriment of the legitimate trade in certified Indian opium.

The Wai-chiao Pu have repeatedly during the past few months pressed this question upon my attention, and the Tuspector-General of Customs, with whom I have discussed it, has expressed his iuability with the means at his disposal to cope with the smuggling activities of Macao.

I have, &c.

J. N. JORDAN.

dia

Enclosure I in No. 1.

(Translation.) Sir,

Lu Cheng-hsiang to Sir J. Jordan.

September 7, 1912.

THE Commissioner of Customs at Lappa has made a careful investigation into the opium trade in the Portuguese territory of Macao, and has furnished this Ministry with a report thereon, I am now forwarding a copy of this report for your Excellency's perusal, and I would invite particular attention to the more important points therein as enumerated below:-

1. The total direct import into Macao from Singapore or Calcutta of uncertificated Indian opium between the 17th November, 1911, and the 30th June, 1912, amounted to no less than 1,035 chests.

2. The difference in the price between all certificated and uncertificated Indian opium and the present high rate of duty on foreign opium afford an exceptional oppor- tunity for the smuggling of the drug.

3. Although the Macao Government has given orders for an annual reduction in the number of opium shops and smoking saloons, and has issued regulations compelling smokers to take out smoking permits, no effective action has been taken with a view to

their enforcement.

4. The Macao Government has not yot taken effective steps to find funds to compensate for the loss in opium revenue, which makes it appear as though the Macao Government is still relying on this as a source of revenue for the future.

From the above statements, it would appear that the Macao Government have taken uo steps to abolish the opium trade and have no intention of restricting it. It is to be feared therefore that, if the present price of certificated Indian opium continue to rise, the import of uncertificated Indian opium not only cannot be diminished, but is likely to be considerably increased. Although this is mere hypothesis, its probability

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