March 11, 18971
hich was
CHINA OVERLAND TRADE REPORT.
from seven shill the 30th of pence a word.
With regard to the assurance said to have given in 1890 that no convention between Telegraph Companies and the Chinese inistration would be ratified without pre- vious reference to the representatives of the commercial communities in China and Hong kong, it is presumed that reference is intended to the statement of Sir James Fergusson in the House of Commons on the 8th of May, 1890 when he was Under Secretary of State for Foreign Affairs, to the effect that "the consent of Her Majesty's Government would not be given to any such agreement without full consideration of all the interests involved and consultation with the representatives of British commerce.
In considering the new Convention Her Majesty's Government could not but recognise that since 1890 the circumstances had entirely changed. In 1890 there was an expectation in mercantile circles that effective competition with the Cable Companies might arise through the opening of new lines, already in contempla tion, across the land frontiers of China. Special importance was attached to the projected route via Helampo, which offered the prospect of communication with Europe through Russia without touching the cable systems at any point. But it proved to be the settled policy of the Chinese and Russian Administrations not to use this route in competition with the Cable Companies at a lower tariff; and in 1892
the two Administrations entered into a con- vention under which the through rate to Europe via the Chinese and the Russian land lines was fixed at the same amount as that
charged via Vladivostock and via Hongkong. The arrangement was in harmony with the International Telegraph Convention; and Her Majesty's Government, on being urged by (amongst others) the Hongkong Chamber of Commerce and the China Association to take action with a view to prevent the ratification of the Convention, felt bound to reply that there was nothing in its provisions which furnished a ground for protest.
ve shil
and six
the re
red to
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Colon
There will, moreover
as an outcome of the negotiations relating to the new Convention, lonies. be numerous reductions, many of consider obedient servan able amount,
in the local rates between places on the Eastern Extension Company's system. For example, the rates from Hong The Secretary, Chamber of Co kong to Jaya, Singapore, and British India, which amounted on the 1st of January, 1896, to one dollar eighty cents, one dollar forty cents, and one dollar eighty cents, respectively, will be reduced from the 1st of January, 1897, to one dollar twenty-five cents, ninety cents, and one dollar fifteen cente, respectively, while the corresponding rates from Shanghai will be reduced from one dollar seventy-nine cents to one dollar twenty five cents, from one dollar forty-nine cents to one dollar fifteen cents, and from two dollars twenty-four cents to one dollar fifteen cents. In addition there will be substantial reductions in the rates between Europe and Japan and between Europe and the Straits Settlements, Labuan, and the French, Dutch, and Spanish possessions in the Far
East.
allowed to
occur.
the petition on een re- r the Cos
AETS
the
THE POSTAL SUBSIDY.
Colonial Secretary's Office, 3rd February, 1897 Sir,-am directed to forward for the con sideration of the Chamber of Commerce the enclosed copy of a letter from the Lords missioners of Her Majesty's Treasury Colonial Office on the subject of the portionment of the cost of the service, together with a report o the Acting Postmaster-General you will observe that that offer, so far as the information at his disposal enables him to estimates this colony's share of the expenditur if the proposed basis be adopted, at £17,367 as compared with £6,000, the amount at present contributed.
The opportunity of securing this beneficial arrangement would have been lost if the delay attending a reference to the various ropresen tatives of commerce in this country and the Far East had been It was necessary for Her Majesty's Govern- ment to arrive at a decision without loss of time; and, as ever since 1890 they had been kept well informed of the views of the mer The Secretary, Chamber of Commerce cantile community on the whole question, there would have been no advantage in inviting a fresh expression of opinion.
I am to request that the Chamber of Commerce.
will be so good as to favour this Government with its views on this matter as soon as possible, as the Secretary of State for the Colonies las the Governor.I have, &o., asked for an early report from His Excellency
J. H. STEWART LOCKHART. Colonial Secretary.
It will thus be seen that, apart from collateral advantages, Her Majesty's Government, by promptly acting in defence of the interests of the commercial community, secured the in- sertion in the new Convention of provisions binding the Companies to a reduction in the charge from this country to China of one shilling and sixpence a word, while preventing a large increase of the amount to be collected in local currency in China.
On the questvu of & cable across the Pacific, it would be premature for Her Majesty's Gov- (be-ernment to express an opinion while the matter is being investigated by the Committee re- presenting the United Kingdom, Canada, and Australia, which is now sitting.
When therefore the new Convention tween the Companies and the Chinese Admin istration) came before Her Majesty's Govern- ment, it was clear that the agreement to charge a uniform rate must be regarded as an existing fact governing the whole situation.
To the desire of the Companies to modify the amount to be collected in China, as the equivalent of the exchange, this country, as a member of the International Telegraph Union, could offer no opposition. It is stipulated in the International Telegraph Convention that the charges in international telegrams must be the
same in both directions, and one of the regulations of that Convention provides for the settlement of the international accounts on
the basis of effective francs in gold. It follows that the charges should be collected on the basis of the actual value of the francs in local currency
cy. There are several countries, including
British India, and the Straits Settlements, in which the charges have from time to time been revised on a gold basis in view of fluctuations in the currency; and this course, by a regula- tion adopted by the recent International Tele- graph Conference of Buda Pesth, was made in cumbent on every State adhering to the Union. In these circumstances, what the mercantile community had to contemplate was the raising of the charge of two dollars (a charge admittedly far short of the proper basis of collection) to the full equivalent of the rate of eight francs fifty centimes- rate which would have re- mained unchanged for an indefinite period.
Owing to the recent action of Her Majesty's Government," this state of affairs will be, ob Tiated. The rate wall, it is true, be uniform,
Treasury Chambers,
31st October 1896. Sir-With reference to the letter from this
Board of the 9th September last, I am directed by the Lords Commissioners of Her Majesty's Treasury to request you to inform the Secretary of State that before accepting the tender of the Peninsular and Oriental Co. for the Eastern mail service, it will, in their Lordships' opin- ion, be desirable to settle the apportionment of the cost of the subsidy between the different contributory Governments.
***
I am to transmit two statements showing (1) - the general principles which have hitherto been adopted for the apportionment, and (2) statis- ties of the correspondence exchanged in the year ended 31st March, 1896.
My Lords trust that these documents may be accepted as the basis of the future arrangement. The exact amount of the several contributions cannot be decided until the tender has been definitely accepted and the assumed post of the Australian portion of the service has been fixed; but if an agreement is arrived at on the principles to be adopted, the figures can be subsequently supplied without diffionity.
With regard to the reduced rate charged for telegrams in Chinese, a matter to which the Shanghai Chamber of Commerce has referred in correspondence with Her Majesty's Minister at Peking, I am to observe that the arrange ment has not been brought about by the new Convention. It has, the Postmaster-General is informed, been in force for many years; it is a purely local affair; it is one to which China attached much importance; and it does not
The Secretary of State is no doubt aware appear that Frer Majesty's Government would that the total contribution received from the be justified in making representations to the three colonies of Ceylon, the Straits Settle- Chinese Government on the subject:-I am, sir,ments, and Hongkong has hitherto been less your most obedient, humble servant.
FRANCIS BERTIE, The Secretary to the Hongkong General
Chamber of Commerce.
Hongkong General Chamber of Commerce
· 1st March, 1897. Sir-I beg leave to acknowledge receipt of your letter of the 14th December last in reply to a letter addressed by this Chamber to the Most Noble the Marquis of Salisbury, Her Majesty's Principal Secretary of State fo Foreign Affairs, and am instructed by my Com- mittee to tender their hearty thanks to his lordship for the careful consideration given to the question of the increase of their rates by the Joint Telegraph Companies after the con- clusion of the Telegraph Convention at Peking in July last. I have the honour to be, sir, your most obedient humble servant,
R. CHATTERTON WILCOX.
Secretary
sion is made for the collection of the lent in local currency; but the rate itself will be reduced from eight francs fifty To Francis Bertie, Esq., Foreign Office.
cont
1897
francs from the 1st July,
will the merchants in.
om-an increase of unt cor-
sterling | ini
than one half of the amount with which they can probably be debited on account of the ser vice, the difference having been borne by the Imperial Exchequer. But My Lords have no doubt that the Secretary of State will agree. with them that the time has now arrived the Colonies may fairly be expected to pay full share of the cost of the service. — I am, eto,
FRANCIS MOWATT The Under Secretary of State, Colonial Office.
EASTERN EMAIL SERVICE. PRINCIPLES OF DIVISION OF COST A.—Ascertain the number of miles traversed annually upon each section of the service.
B.-Ascertain, the cost of each section
dividing the subsidy proportion to annual mileage
C Charge to the United
esch
st of each and divide half between India, Ceylon, Straits Hongkong and t
ding to the
nges
THE LIGHT DUES.
I am direct
Colonial Secretary's Office,
30th January 1897 1
to acknowledge the re- f you letter of the 21st instant and to you in reply that, in accordanoð
Co
of A
prop
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on foreign
apan
kexpenses)
oth
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