CO129-521-12 Chinese Customs- proposed agreement with Hong Kong 2-4-1930 - 16-6-1930 — Page 42

PERSONAL

Fri 14

42

69

16 June, 1930.

My absence from town on a short holiday has

prevented my sending an earlier reply to your letter of the

30th of May, in which you wrote to me about the negotiations

now in progress between the Government of Hong Kong and the

Chinese Imperial Maritime Customs.

I was interested to read the extract from the

letter from Swires. I admit that the position at present is

one of considerable difficulty, and I am in general agreement

with the view expressed in your letter that the principle of

giving all reasonable assistance to the Chinese Customs is

one which should be accepted by the Hong Kong Government;

but, of course, you will realise that there are considerations

on their side also which should be borne in mind.

The position briefly is that, with the considerable

increases in the Chinese Tariff, the Chinese Customs found

reason to suspect that considerable smuggling was being

developed of dutiable goods from Hong Kong into China.

They

accordingly