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Interference of Canton Customs Revenue Cruisers with

Junk Trade at Hong Kong.

1 4

7. The Government of Hong Kong having long complained of the interference of the Canton Customs Revenue cruisers with the junk trade of that Colony, the Chinese Government agrees to the appointment of a Commission, to consist of a British Consul, an officer of the Hong Kong Government, and a Chinese official of equal rank, in order to the establishment of some system that shall enable the Chinese Government to protect its revenue without prejudice to the interests of the Colony.

SEPARATE ARTICLE,

British Mission to Thibet.

Her Majesty's Government having it in contemplation to seud a mission of exploration next year by way of Peking through Kan-Su and Koko-Nor, or by way of Ssu-Ch'uen to Thibet, and thence to India, the Tsung-li Yamên having due regard to the circumstances will, when the time arrives, issue the necessary passports, and will address letters to the high provincial authorities and to the Resident in Thibet. If the Mission should not be sent by these routes, but should be proceeding across the Indian frontier to Thibet, the Tsung-li Yamen, on receipt of a communication to the above effect from the British Minister, will write to the Chinese Resident in Thibet, and the Resident, with due regard to the circumstances, will send officers to take due care of the Mission; and passports for the Mission will be issued by the Tsung-li Yamền, that its passage be not obstructed.

Done at Chefoo, in the Province of Shan-tung, this 13th day of September, in the year of our Lord 1876.

(L.S.) THOMAS FRANCIS WADE.
(L.S.) LI HUNG-CHANG.

No. 30.

ADDITIONAL ARTICLE TO THE AGREEMENT BETWEEN GREAT

BRITAIN AND CHINA SIGNED AT CHEFOO ON THE 13TH SEPTEMBER, 1876.

Signed at London, July 18, 1885.

Area of Exemption from Li-kin on Foreign Goods. The Governments of Great Britain and of China, considering that the arrangements proposed in clauses 1 and 2 of Section III of the Agreement between Great Britain and China, signed at Chefoo on the 13th September, 1876 (hereinafter referred to as the “Chefoo Agreement”), in relation to the area within which li-kin ought not to be collected on foreign goods at the open ports, and to the definition of the foreign Settlement area, require further consideration; also that the terms of clause 3 of the same section are not sufficiently explicit to serve as an efficient regulation for the traffic in opium, and recognizing the desirability of placing restrictions on the consumption of opium, have agreed to the present Additional Article.

1.* As regards the arrangements above referred to and proposed in clauses 1 and 2 of Section III of the Chefoo Agreement, it is agreed that they shall be reserved for further consideration between the two Governments,

Treatment of Foreign Opium.— Import and Li-kin Duties.

2. In lieu of the arrangement respecting opium proposed iu clause 3 of Section III of the Chefoo Agreement, it is agreed that foreign opium, when imported into China, shall be taken cognizance of by the Imperial Maritime Customs, and shall be deposited in bond either in warehouses or receiving-hulks which have been approved of by the Customs, and that it shall not be removed thence until there shall have been paid to the Customs the Tariff duty of 30 taels per chest of 100 catties, and also a sum not exceeding 80 taels per like chest as li-kin.

Opium.Repacking in Bond. 3. It is agreed that the aforesaid import and li-kin duties having been paid, the owner shall be allowed to have the

* To remain in force on expiration of this Additional Article, see p. 106.

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opium repacked in bond under the supervision of the Customs, and put into packages of such assorted sizes as he may select from such sizes as shall have been agreed upon by the Customs authorities and British Consul at the port of entry.

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The Customs shall then, if required, issue gratuitously to the owner a transit certificate for each such package, or one for any number of packages, at the option of the owner.

Such certificate shall free the opium to which it applies from the imposition of any further tax or duty whilst in transport in the interior, provided that the package has not been opened, and that the Customs seals, marks, and numbers on the packages have not been effaced or tampered with.

Such certificate shall have validity only in the hands of Chinese subjects, and shall not entitle foreigners to convey or accompany any opium in which they may be interested into the interior.

Regulations as to Issue of Transit Certificates.

4. It is agreed that the Regulations under which the said certificates are to be issued shall be the same for all the ports, and that the form shall be as follows:

Opium Transit Certificate.

“ This is to certify that Tariff and li-kin duties at the rate of taels per chest of 100 catties have been paid on the opium marked and numbered as under; and that, in conformity with the Additional Article signed at London the 18th July, 1885, and appended to the Agreement between China and Great Britain signed at Chefoo the 13th September, 1876, and approved by the Imperial Decree printed on the back hereof, the production of this certificate will exempt the opium to which it refers, wherever it may be found, from the imposition of any further tax or duty whatever, provided that the packages are unbroken, and the Customs seals, marks, and numbers have not been effaced or tampered with.

No.

00 packages.

“ Mark.

X
“Port of entry,

“Date

Signature of Commissioner of Customs."

Taxation of Opium on opening of Packages at Place of Consump

tion. -National Treatment.

5. The Chinese Government undertakes that when the package shall have been opened at the place of consumption the opium shall not be subjected to any tax or contribution, direct or indirect, other than or in excess of such tax or contribution as is or may hereafter be levied on native opium.

In the event of such tax or contribution being calculated ad valorem the same rate, value for value, shall be assessed on foreign and native opium, and in ascertaining for this purpose the value of foreign opium the amount paid on it for li-kin at the port of entry shall be deducted from its market value.

Additional Article to form Part of Chefoo Agreement

Ratifications. 6. It is agreed that the present Additional Article shall be considered as forming part of the Chefoo Agreeinent, and that it shall have the same force and validity as if it were inserted therein word for word.

It shall come into operation six months after its signature, provided the ratifications have then been exchanged, or if they have not, then on the date at which such exchange takes place.

Duration of Additional Article. 7. The arrangement respecting opium contained in the present Additional Article shall remain binding for four years, after the expiration of which period either Government may at any time give twelve months' notice of its desire to terminate it, and such notice being given, it shall terminate accordingly.

Termination of Additional Article. It is, however, agreed that the Government of Great Britain shall have the right to terminate the same at any time, should the transit certificate be found not to confer on the opium complete exemption from all taxation whatsoever whilst being carried from the port of entry to the place of consumption in the interior.

In the event of the termination of the present Additional Article the arrangement with regard to opium now in force under the Regulations attached to the Treaty of Tien-tsin shall revive."

* See p. 94.

Modification of Additional Article. 8. The High Contracting Parties may, by common consent, adopt any modifications of the provisions of the present Additional Article which experience may show to be desirable.

Smuggling from China into tlong Kong. 9. It is understood that the Commission provided for in clause 7 of Section III of the Chefoo Agreement to inquire into the question of the prevention of smuggling into China from Hong Kong shall be appointed as soon as possible.

Ratifications. 10. The Chefoo Agreement, together with, and as modified by, the present Additional Article, shall be ratified, and the ratifications shall be exchanged at London as soon as possible.

In witness whereof the Undersigned, duly authorized thereto by their respective Governments, have signed the present Additional Article, and have affixed thereto their seals.

Done at London in quadruplicate (two in English and two in Chinese), this 18th day of July, 1885, being the seventh day of the sixth moon in the eleventh year of the reign of Kwang-Sii.

(L.S.) SALISBURY. (L.S.)

TSENG,

The Marquess of Salisbury to the Marquis Tséng. M. le Ministre,

Foreign Office, July 18, 1885. I HAVE the honour to address the present note to you in order to place on record the fact that, with the view of carrying out the proposal made by your Government, the following understanding has been come to between the Governments of Great Britain and China in regard to the Additional Article to the Chefoo Agreement relative to opium which has been signed

this day :

It is understood that it shall be competent for Her Majesty's Government at once to withdraw from this new arrangement, and to revert to the system of taxation for opium at present in operation in China, in case the Chinese Government shall fail to bring the other Treaty Powers to conform to the provisions of the said Additional Article.

It is further understood that in the event of the termination of the said Additional Article, the Chefoo Agreement, with the [536]

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