Isth Murch.
Audi altera parted isn yood saying. In the articles and arguments which recently been placed before the public on the subject, the point of view hax been almost exclusively that of those who see in Sir James Mackay's proposals a menace to their interests. From the nature of the speeches made at the China Association meeting, and from other expressions of opinion, it would appear that this view is the outcome of vague and general apprehension rather than of close-reasoned leductions from admitted principles or established facts. For this reason it is proposed in the following artie'es to submit for the consideration of those chiefly concerned, i.e. the mercantile community. the other side of this important question. That there is another side must be admitted: no it unreasonable to claim for it a full sure of consideration. since the British orvigu Office in its instructions has avowedly followed the advice and Condensed the opi n of men who until now have been recognised as the leading authorities on Eh trade, administration, and finance.
Tt is obvious that the first essential, in discussing the new Treaty, is to have some definite knowledge of its tude, this. no doubt; 4 the resolution adopted by the late China Association meeting was discussed without such knowledge. It will be well, therefore, to state at the outset the chief features of the © Likin abolition " clause as which, we understand. has now been communicated to the China Association to serve as a basis of discussion at another meeting to ho held on this subject.
The avowed object of the proposed change is to remove such restrictions as Imittedly remain on the movement and sale of merchandise, provided that, the loss to the Tmperial and Provincial treasuries, resulti from the total abolition of inland taxa non trade, can be made good from other sources.
The abolition is defined pire ull intern xevigtion whether Iugperit Local oe Municipal, om Merchandise and pnveluee, tell ly tebether part, or Jor 6 Empire, cal eaupnges theal alkatiives: aul star Kind aul description for the lery of let Lien on merchundisi, except te Houses, shall be permanently ululished.
In return for such abolition, import would be required to pay in addition to the existing 7} per cent inclusive levy, plementary commutation duty equip per cent, but this would not apply fo goods imported duty-free prior to November 1901, which would continue to pay at the rate of 5 per cent.
The proceeds of "he above supplement taF¥ couffiutation would be handed over by the IM. Customs to the Viceroys and Governors of all the provinces in proportion to the amount of Likin reported as collected during the three years 1897-1899.
The British Government reserves the right to terminate this arrangement. a: any time aug to revert to the rates of Guties imposed under existing Treaties shawld it be found that the above pro-n for complete @hotition is not strictly adhered to in the spirit. and in the letter. Tu such easy British merchants would be entitled to refund of supplementary commutation duty on goods in their possession.
The Treaty is subject to the " most youred nation clause on both sides. and the above arrangements can only: become effective when these conditions are accepted by all the Treaty Powers.
When and if all Ty.aiy Powers give consent, a date would be named within one month from which permanent abolition would take plac Subject to the above conditions in regard to the levy of supplementary com-Inutation duty, it would be further agreed that for a period of ten years an additional duty equivalent to.:... per cent ad valorem (N. B. these figures are not given, but it is understood that in no case would reposals of the Chinese Government he entertained beyond an inclusive levy of 15 per cent) would be levied from the date at which the increased commutation at the end of this term of 10 years, an annual reduction of 1/2 per cent would be made in this extra duty, for a period of eight years when such reduction would cease.
Special clauses are inserted in the matter of the Salt and Opium trades.
Finally, there would be provision for free trade, without any duties whatsoever, between one Treaty Port and another on all inland waterways.
Let ts now esaanine these proposals and endeavour to form a just estimate of their probable results, The whole scheme, be it observed, is tentative; it depends inyoimis, upon the expressed consent of all the Treaty Powers before it. can become opera-at depends for permanence upon the British Government being hereafter sat~ istled that its provisions are carried out in the letter and the spirit in which they were framed. Herein can lie neither danger nor permanent loss. If there is one principle fully admitted by all concerned, it is that no partial abel taxation in China can be of any benefit to trade; no pledges in respect thereto could be acceptable as a yieil pro que for any concessions on our part. [te must be the whole evil system, or nothing: so long as the barriers continue to exist with hungry officials and underlings dependent on that system for a living. so ion will the "une ised exactions" of the interior is.
ase and multiply, Every student. of Chinese affairs must admit that this has been the view impressed upon the British jovernment. by leading authorities and writers, from Curzon, Chirol, Brenan, and jamieson downwards, for many years past; it has been the opinion of British wrchants, as ye Hobo China Association, and it is undoubtedly true. Moro-over, despite (he natural opposition of the Demetris whose craft is andian red, i has come 10 be the opinion of the most enlightened Chinese statement, Men the Nanking Viceroy and Shan ngpao, while recognising the initial difficulties, admit. that. therein lies the to rapid development of the resources and prosper Objectors allege that th 1 18 impossible, that, the bacrier sp n inoradieable evil, that the native official would never peaceably consent, Tf the barrier system is really immovable for all time, must be matter for regret: that the fact only recently been discovered and ad= mitted. How does such " reform compare, for instance, with one-tenth of the chamzes so effectively carried out in Japan? Suf-forers there would be. as there must be: wherever the old order changteh, but the elimination from Chinese polities ant tie nance of the likin officials and all the use~ less breed which battens upon honest hour, would not be a source of grief, much Joss of rebellion. in the worl anita, Tika Hih Provincial authorities, from whom serious opposition might otherwise be expected, would ho fully compensated, and the funds left in their hands by this Treaty would amply suffice for the needs of their administration, thus reformed. Thoeo say that: the barrier <ystem a aller exactions on trade are as the the Modes and Persians, say, in fact, that po of reformed government in China siiness and empty talk. To discuss gradual improvement, from Chinese initia-ive, is admittedly futile; the knife must applied at the root of the evil. and it is only by showing the patient that such heroic treatment i< for his immediate an be effectd, Men like Sheng and Lit Kun-yi have realised this simple truth.
Lot it not be forgotten. the British Government. is ande: to make this experiment. onto riudical reform, with the consent. and approval of China. On our side, what does iv involve? The present import duties amount, for inland trade, to 7! per cent: supposing that the proposed new duties brought the total up to 15 per cent (part of which increase would only be temporary) in return for the entire and effective abolition of all in-Jand taxation on merchandise. how would it affect British traders? In the first place (and here we dispose of one of the fal-
Text read from the printed page and cleaned; old type leaves the occasional error.