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Some time ago, as you are doubtless aware, attempts were made to obtain a reduction of the lekin dues on tea, in order to enable this trade to compete with the Ceylon and Indian growth, and shipment by junk, at lower rate of duty, has, to a very appreciable extent, alleviated the burden then complained of.
THE HONGKONG WEEKLY PRESS AND
cent. greater than that on chow-chow (or general) | firms in the Colony, pointing out that the cargo, the rate charged being $1.00 as against 30 | carrying trade was being very largely diverted cents per ton; it therefore follows that, were the from foreign steamers to native junks in conse. whole volume of the various exports taken into quence of the granting of these duties, which consideration, the proportionate difference in the they contended was a direct infringement of amount of the interests at stake would be more treaty rights-a contention which the Com- striking.
mittee of the Chamber were asked to support, and in which they fully concurred. Subse- quent correspondence showed that the action taken by the Chamber in endeavouring to get these duties abolished was approved of by the Foreign Office, and also elicited the fact that the Ministers of the Tsungli Yamén had admitted their irregularity. Mr. T. H. Sanderson, writing to the Chairman of this Chamber on 20th May, 1892. by direction of the Marquess of Salisbury, stated-"I am to request that you will inform your Chamber that Her Majesty's Minister at Peking brought this subject verbally efore the Ministers of the Tsungli Yamén at an. interview with them on the 18th of March last, The Chamber is well aware of the difficulty of He represented that this inequality of taxation the task, but that is no reason for not attempting "was opposed to the spirit of the treaties between its accomplishment, and the Chamber would Foreign Powers and China, and claimed that gladly co-operate in any efforts to secure a re- the native tariff could not, as regarded produce sult so much to be desired, which would un- carried coastwise between treaty ports or be- doubtedly be for the best interests generally.-Itween a treaty port aud a foreign country, be so am, &c.,
manipulated as to place native vessels on a more favourable footing than foreign vessels.
I would, in conclusion, suggest that the course of action open in the matter, which would satisfy the shipping interests and not curtail the bene- fits now enjoyed by the export trade, would be to prevail upon the Chinese Government to bring down the duty levied on goods by foreign bot toms to the level of that charged on goods by native craft.
HERBERT DENT, Chairman. To the Chairman, Hongkong General Chamber
of Commerce, Hongkong. EXPORT OF TEA (PRINCIPALLY JUNK CARRIED) SHOW
ING THE AMOUNT EXPORTED BY CANTON TIRMS.
1892. -1893- 1894- Firms.
Total. 1893. 1894. | 1895. Deacon & Co.... 48,149 38,772 32,238 119,159 H. Dent & Co. 88,944 85,623 56,046 230,618 Rowe & Co...
91,861 57,758 54,434 207,053 F. O. Seaton
35,248 54,067 49,897 139,212 Reiss & Co..
113,180 51,737 30.225 195.142 380,382 287,962 222,810 891,184
....72 per cent., ....28 per cent
Canton Firms, Firma in Hongkong and Agency in Can-
ton
THE HONGKONG CHAMBER TO THE
CANTON CHAMBER.
Hongkong General Chamber of Commerce. Hongkong, 12th March, 1895. Sir-In begging reference to your esteemed communication of 26th November, I must ex- press my regret that the reply to the question of the granting of preferential duties by the Hoppo of Canton with which it deals should have been allowed to stand over so long.
Commenting on this Chamber's letter of 1st September to Her Majesty's Secretary of State for Foreign Affairs, you express an opinion that the suggestion contained therein to pass all cargo intended for export to foreign ports through the Imperial Maritime Customs virtually means an insistance upon the payment to the Chinese Government of the maximum rates of imports allowed by treaty. The suggestion in this instance, I may point out, was intended as an indication of bow duties might be collected rather than a reference to the equity or other wise of preferential duties, which was fully dealt with elsewhere in the letter..
The native Customs concerns itself exclusively with purely Chinese cargo (to be dealt with Bolely between natives and in transit to non- treaty ports), but all other cargo, native and foreign, is under the control of the Imperial Maritime Customs, whose tariff is regulated by treaty, and it was only cargo coming under that category the Chamber suggested should be so treated.
Though there is no explicit provision made in any of the treaties to guard against the intro- duction of lower duties into the tariff, this Chamber cannot agree with you in considering that so doing is not an infringement of treaty rights, because; as has been previously pointed out, to charge lower duties on junk carried cargo is obviously the same, in effect, as to impose higher daties on cargo carried by foreign vessels. The contention of the representatives of the Steam- boat Companies has all along been that granting of preferential duties to cargo in native bottoms places these companies at a disadvantage as public carriers, and is a departure from the terms of treaties which were framed with the view of placing all those trading at the open ports on an equal footing.
The Chinese Ministers admitted that the action of the Hoppo had been irregular, and stated that they had already written to the Government of Canton on the subject. Only a few days previously they had received a telegram from the Viceroy, stating, on the authority of the Hoppo, that the reduction in the native tariff no longer existed.
[May 1, 1895,
to the date of their letter the entire export of tea had been carried by native oraft, the reason alleged being the inducement offered to native traders by the Hoppo of Canton to ship their tea by junk and pass it through the native Custom House, by charging a much lower duty than would have been imposed by the Imperial Maritime Customs had the tea been carried by foreign vessels. Subsequent events have fully justified the truth of this allegation, but the devious ways in which the system is carried out renders proof as difficult now as it was formerly."
The chief sufferers by this change were, of course, the River Steamboat Companies by direct loss of freight, but the Ocean Steamship owners were also adversely affected by the ir- regular and uncertain connection between the tea-laden junks and their steamers. If the jaok arrived some days in advance of the homeward bound steamer (touching at Hongkong for cargo) the tea had to be stored and insured at the ex- pense of the owners until she was ready to receive or if the junks made a long passage the steamers were often delayed until their arrival, or expenses were incurred in sending steam- launches to meet and tow them down. In the case of mail steamers having a fixed date for leaving, the junks on several occasions arrived after the departure of the steamers, and the freight on the cargo for which space had been reserved was consequently lost.
the Committee had been asked to support, and The contention of the steamship owners which
in which they fully concur, is that the granting of such duties is in opposition to both the text and the spirit of the treaties entered into be- tween the Foreign Powers and China, and is a direct infringement of the rights of those trad- "The Viceroy had added that if any irregu-ing under these treaties, more particularly as larities were still practised they must be due regards Articles XIV. of the French Treaty of to unauthorized action on the part of the Hoppo's 1858 and III. of the American Treaty of 1880, subordinates."
which are applicable to all the different treaties under the favoured nation clause. The Committee cannot agree with Sir Chaloner Alabaster, late Consul-General at Canton, in the following opinion expressed by him Office" With reference to your appeal to the when in communication with the Foreign United States Treaty of 1880, that the United States have never themselves claimed the full extent of the third Article, which is quoted in your letter of the 23rd September to Sir J...“ Walsham, and he appears to think that there would be great practical difficulty in carrying it completely into effect." That the Americans should have failed to avail themselves to the full extent of Article II. cannot be considered to have in any way invalidated that clause or lessened its effec's either as regards America herself or other nations who may choose to avail of it.
The figures put forward, for which the Cham- ber begs to thank you, showing a gain of $23,212.00 in the tea trade for 1894-95 are in- teresting, but it seems very doubtful how much of this benefited foreigners and how much natives, While referring to the subject of statistics I may mention that you are under a misappreher. sion in supposing the Chamber had advanced the statement that it represented probably nine tenths of the commercial interests of Canton.
If, as you suggest, the Chinese Government could be prevailed upon to lower the duties on cargo carried by foreign vessels to the level of that carried by junks, and provided that the duties by both were permanently the same, an easy solution of the vexed question of preferential duties would be arrived at; but as similar concessions would without doubt be demanded at all other ports, it seems unlikely that the Chinese would be found willing to submit to so serious a deduction from their Customs revenue.
The Chamber would very willingly avail of your offer of co-operation, but as revision of the tariff in the direction of higher duties is reported to have been already mooted, it would bo desirable to await the issue of present com- plications between China and Japan before agitating for a reformed tariff.-I remain, &c.,
J.J. KESWICK, Chairman. Herbert F. Dent, Esq., Chairman,
Chamber of Commerce Canton.
THE HONGKONG CHAMBER TO THE HONGKONG GOVERNMENT. Hongkong General Chamber of Commerce, longkong, 19th March, 1895. Sir,-Begging reference to your esteemed communication of 13th December, which I al. ready have had the pleasure to acknowledge, referring to the action of the Hoppo of Canton in granting to the owners of junk carried cargo from that port a more favourable scale of duties than is charged on cargo shipped by foreign vessels, and requesting to be furnished with an expression of opinion from the Chamber on the subject a request to which I have much plea. sure in responding.
The question of these preferential duties was first brought to the notice of the Committee of the Chamber on the 10th September, 1891, by the representatives of some of the principal steamship companies trading with Hongkong The question of perferential duties was first complaining that tea, which had formerly been brought to the notice of the Chamber in a letter carried between Canton and Hongkong almost dated 10th September, 1891, signed by the re-entirely by foreign steamers, was being diverted presentatives of some of the leading shipping to junks, and that for some months previous
·
It has been contended that because there i no specific provision in any of the treaties" against lowering the scale of duties that, there fore, the Chinese are within their rights in granting preferential duties, but the granting obviously tantamount in its effects to imposing of lower duties on cargo by native craft is
and it has not been suggested that under any higher rates on cargo carried by foreign vessels,
circumstances could the treaties be construed to admit of higher duties being charged.
Her Majesty's Minister at Peking, who has evinced great interest in the question of pre- ferential duties, has expressed himself anxious to be furnished with positive proof that such con- cessions are made, but though it is an easy mat- ter to get particulars of many instances in which that has been done, it is impossible to get any Chinaman to substantiate these particulars, not only through dread of their own officials, bat also through fear that giving evidence of suol а bature might in some way however remote the contingency, work to his disadvant- age. This difficulty has not escaped the notice of your Excellency, nor is the absence of positive proof a matter of very great importance when there exists the admission of the Minister of the Tsungli Yamên before Sir John Walsham "that the action of the Hoppo had been irregular, and stated that they had already written to the Government of Canton on the subject. Only few days previous they had received a telegram from the Viceroy stating, on the authority of the Hoppo, that the reduction in the native tariff no longer existed.
"The Viceroy had added that if any irregula- rities were still practised they must be due to the
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