CO129-587-9 Smuggling of kerosene oil and other commodities into China 22-4-1940 - 19-6-1940 — Page 15

COPY.

Enclosure No.1.

The Honourable

The Colonial Secretary,

HONG KONG.

Kowloon No.1537/ H.K. Gov't.

Office of Chinese Maritime Customs for

Kowloon and District,

4th Floor, Marina House,

15-19 Queen's Road Central.

Hong Kong 9th April, 1940.

16

Sir,

The Hongkong Government for many years past

have demonstrated, both in word and in deed, their desire

to institute such measures as are possible to mitigate

smuggling from Hongkong to China and thus protect China's

revenue and assist her in the prevention of the importation

of contraband goods, and, in this knowledge, I have the

honour to approach you on the subject of the immense volume

of smuggling, especially of kerosene oil, into the Mirs

Bay districts, that has grown up in the past twelve months.

The hostilities unfortunately prevailing in

China, resulting in the destruction of both railways and

highways, have caused a deflection of trade from the normal

routes to new channels, not least among which are those

leading to the hinterland through Shauchung in Mirs Bay;

at this latter place there has been witnessed a growing

and healthy trade between Hongkong and China, which it has

been the aim of the Chinese Customs Administration to

foster and encourage, but, as a counterpart of this

legitimate trade, smuggling has followed, although of

course at points of entry in Mirs Bay other than Shauchung

or those authorised for foreign trade. At first it did

not assume undue proportions and was of the normal kind

between conterminous countries with which the Chinese

Customs Administration are well able to cope, but the ease

with which smuggled goods may be transported to any place

of landing in Mirs Bay without interference by the Customs

the waters of the Bay being British up to high water mark

has so encouraged this illegal trade that it has gone

beyond my control, to the grave detriment not only of