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No objection was raised to the transit of the consignment through Hongkong, because shipment was allowed in Bombay, and, if permission had been withheld, the opium would have been carried in a British bottom to Kobe direct.
4.
The Goverment of Hongkong is doing every- thing in its power to prevent the muggling of opium into the Colony from China and elsewhere with very satisfactory results, but it is clear that the Government must have in
its possession as a corollary to these measures a sufficient
supply of Indian opium to meet the legitimate requirements
of the population. The strict preventive action taken during
the last two years, combined with severe punishment of
smugglers and those found in possession of non-Government
opium, shows that the amount required to meet legitimate
demende varies from 28 to 32 chests a month, the demand being
in direct ratio to the risk attaching to the use of contraband opium. If the supplies of Government opium were materially curtailed, there would at once be a recrudescence of smuggling on a scale with which it would be impossible to cope satisfactorily. I have, therefore, suggested the fixing of a maximum amount of 400 chests a year and though this figure may rarely be reached it is essential to be in a position to meet all legitimate demands.
6. The only really effective method of reducing and possibly putting an end to the consumption of opium for other than medical purposes is that constantly advocated by this Government, namely, the prohibition of export from the producing countries except in the small quantities required for such purposes. The action taken in Great Britain with regard to the smuggling of opium in vessels bound for the East has practically put an end to this illicit trade, and if action could be taken to prevent the export of opium from ports in the Persian Gulf and else- where, in quantities for which there can be no legitimate
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