1
423
4
do not encourage
it by establishing a monopoly, but tax the poppy in the growth; tax it so that the cost of placing the article on the market either brings down the profits to so low an ebb as to reader the production unprofitable, or makes the article such a luxury as to put it beyond the reach of the great majority; and from this taxation pay for the expenses of collecting the taxes. It has been stated above that the estimated production of the North Manchuria district is 5,000 pieuls of raw opium, or, putting it into pounds, 665,000 lb. The cost of 1lb. of opium in Harbin varies between At Changchun the cost is anything over 50 dollars. Say a tex of 50 dollars per lb. were imposed, the revenue would be 33,000,000 dollars. Admitting the production is only one-half of the estimate, the revenue would still he Bufficient to pay for all expenses of collection and still leave a very handsome surplus for other purposes.
30 and 50 dollars.
To put the proposition in definite form: the opium-producing districts are known. and it is suggested that they should be divided into five and be put under five foreign opium inspectors, whose sole duties would be to tour their respective sectors during the opinm-growing season and take accurate measurements of the various areas under poppy cultivation, The collection of taxes in no way concerns the inspector, who nerely would report to the commissioner the area under cultivation and the tax as-essable. With the foreign inspectors would be five Chinese co-inspectors, who alone would be responsible for the collection of the taxes according to the foreign inspector's assessment and for the transmission of such moneys to the commissioner. For each sector there should be at least 200 opium police, recruited if possible from the members of the labour corps which were in France during the war, who would enforce the payment of taxes and would serve as a guard for the inspector during his tours. The foreign and Chinese inspectors should be highly paid men, and the guards should be paid a salary of at least a dollar a day, with correspondingly more pay for the sergeants. All taxes should be paid before the capsules ripen. For the first year the tax per Ib, could be put at 100 dollars, to be increased yearly by 50 dollars. Until experience proves the contrary, one acre may be held to produce 16 lb. of raw opium and to be taxed accordingly. The payment of salaries to inspectors and guards would be in the hands of the commissioner, who would hold the 'surplus for such purposes as may be indicated. The movement of opium within the district would be unrestricted, and it would no more be the duty of customs officers to seize such opium. Only at the frontiers would the customs officers be on the alert for the prevention of the importation of foreign-produced opium. As the natural result of the taxation in North Manchuria would be an abnormal increase in the production of cheaper opium in the Ussuri district, the question of a frontier opium patrol would have to be considered. Any such foreign opium seized would be destroyed, and rewards on a generous scale could be given to those affecting the seizures.
The cost of such a proposal, taking it in all its branches, would be about 1,500,000 dollars yearly, with an additional 600,000 dollars for the first year (see appendix).
The surplus should not be expended out of the district, but should be made use of for such works as the improvement of the Sungari for navigation, the organised suppression of the robber pest, and the general improvement of the town of Harbin, or be given over to agricultural development and reafforestation,
During the winter months, naturally, the work of the opium guards would be reduced to a minimum, but it is suggested that the men would not be wasted if, during that period, they were put on police duty in the town of Harbin,
The foregoing outline of what could be done is admittedly against all principles laid down by the opium prohibitionists and probably would be condemned out of hand on that count alone; but it is put forward seriously and with a real conviction that not more than three years of such a system would see the end of the opium traffic as a paying industry in North Manchuria. The other methods have been given their trial certainly this system will not increase the production of opium were it adopted and. moreover, there would be coming out of evil a great deal of good if it should be possible to make use of the opium tax surplus-while it lasts to make very necessary improvements in this rapidly developing corner of the Empire.
Acting Deputy Commissioner.
5
Appendix.
Estimated Expenditure in connection with the Establishment of an Opium Tax Burenu for the Suppression of Opium.
Per mouth.
Yearly
Upium inspectors
10
Dollars- 1,500
Dollars.
180,000
Opium clerks
25
150
45,000
Opium guarda
60
500
30,000
Non-commissioned officers (for)
1,000
83
420,000
Frontier guards
10
500
50,000
Non-commissioned officers (for)
500
35
210,000
Equipment (uniformns, &c.)
1,500
1,500
100 200*
150,000
900,000
Pony upkeep (including all) Barracks
1,500
20
360,000
7
30,000
210,000
100,000
2,065,000
Ponies
Incidentals
• Per RDOUD,
Enclosure 2 in No. 1.
Memorandum for Commissioner.
WITH reference to the report on opium, &c.. submitted on the 9th instant, I beg to hand you three cuttings all taken from the "North China Daily News" of the 6th June, 1921, just to hand.
The first cutting is a leader, and gives publicity to the fact that opium growing and smoking in China is assuming very large proportions. The article speaks for itself, but I would add that the writer is wrong when he gives the impression that in 1917 the cultivation of the poppy was entirely suppressed. As far as North Manchuria was concerned this was not a fact, and I think I am not wrong in saying that the Fukien troops were, in that year, allowed to take their pay out of the poppy-fiekis.
The second cutting shows that North Manchuria is not the only place where poppy is extensively cultivated, and that opium inspectors and opium taxes are actually in existence, though the proceeds go all into private pockets.
The last cutting deals with one of China's crying wants which a tax ou opium might very well alleviate.
The whole are put forward in support of the contention that as opitum is openly and extensively cultivated throughout China, customs officers should no longer be called upon to carry on the useless work of seizing the opium as it circulates.
Enclosure 3 in No. 1.
Acting Deputy Commissioner.
Extracts from the "North China Daily News" of the 6th June, 1921.
(1.)
The Revival of Opium.
THERE are many unpleasant evidences that there is a revival of opium-smoking in China. Reports from the Mixed Court tell of continual prosecutions for smuggling, and those who are in a position to know declare that the amount of opium smuggled into the settlement is incredibly large. Those who, for business or pleasure, have occasion to visit Chinese restaurants and tea-houses inform me that the pipe is almost as much in evidence now as it was in the days before prohibition was enforced. Scarcely a bargain is struck or a contract signed without the document being first fumigated with the incense smoke from the little lamp that lights the path down the
road way that leadeth to destruction.
[6896 q-17
No comments yet.
Private notes are available after approval.