MINUTES.
MINUTES NOT TO BE WRITTEN
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+ CONFIDENTIAL.
sir.
C
61908
GOVERNMENT HOUSE,
HONGKONG. 12th October, 1921.
186
34436
Rear
43594
I have the honour to acknowledge the receipt
of your Confidential despatch dated 31st July on the subject
2.
of the production of opium and morphine in Formoss.
As regards the suggestion that the tranship- ment at this port of Persian and Turkish opium for that destination might be checked, I would repeat what I have already stated in my despatch No.270 of 13th July, namely that Hongkong is now in no sense an entrepôt for this opium, the facilities offered being merely those of transhipment on through bills of lading; and that the importation into Formosa is not merely authorized by the Goverment of that island, but is actually a Government transaction.
3.
The result of any interference with this trade here would no doubt be an increase in the direct shipments indicated in the last paragraph of my previous despatch. It does not, therefore, seem that any useful purpose would be served by putting difficulties in the way of transhipment here, while to do so would place us in the invidious position of practically accusing the Government
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of our ally of being a party to smuggling of opium into China, Such an accusation might very possibly be true but
it seems undesirable to make it, if nothing is to be gained thereby. So far as the interests of this Colony are
THE RIGHT HONOURABLE
WINSTON CHURCHILL, M.P.,
&c.
concerned
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