CO129-521-13 Chinese Customs- proposed agreement with Hong Kong 27-8-1930 - 16-10-1930 — Page 96

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SECTION 2 (a)

THE HISTORY OF THE "FISCAL BLOCKADE AND THE ESTABLISH VENT OF A CUSTOMS OFFICE AT KOWLOON.

(extracted verbatim from Governor's despatch Secret No.71 of Aug.13, 1927).

5.

The island of Hong Kong lies much

closer to the mainland of China than the

Isle of Wight to England. The eastern

entrance to the harbour is only 600 yards

wide, and, until 1899, the whole northern

shore of the harbour was under Chinese

jurisdiction.

So it was a very easy matter

for junks to slip from British to Chinese

waters and, as Hong Kong was a free port,

it inevitably became the centre of an active

Suggling trade into China. Outside the

waters of Hong Kong, in the early days of

its history, fiscal jurisdiction was

exercised by the Canton Hoppo (Yueh Hai-kuan),

or Administrator of the Canton Customs.

This official was a direct representative

of the Emperor and entirely outside the

provincial hierarchy, taking rank with, but

after the Viceroy of the Liang Kuang

provinces. He was in charge of all the

customs offices in the province of Kuang-

tung. The customs duties and their

evasion concerned him, partly as

representing his government, but much more

in the interest of his own pocket.

Now it

was estimated, in 1868, that, owing to

smuggling, more than half the import duties

on opium were lost to the revenue, and from

other.