File No. 774/6–34–635.

Minister Rockhill to the Secretary of State.

No. 1163.]

Sir: I have the honor to transmit herewith, for your information, copy in translation of a memorial recently submitted by the acting viceroy of Yunnan on the subject of the prompt suppression of opium cultivation and the creation of a new source of revenue to supply the place of that lost thereby.

The memorial gives also the text of an imperial edict of March 15 last, calling for memorials on the subject, which shows the serious apprehension the Imperial Government entertains as to the possibility of promptly accomplishing the desired ends.

Independent foreign observers have within the last year repeatedly reported that the progress made in the Province of Yunnan in doing away with poppy cultivation has been exceptionally great; that more has been accomplished in that direction in this district than in any other of the Empire. It is sincerely to be hoped that the present efforts of the provincial authorities to develop the mining industries of the Province may prove successful, as they should if properly conducted.

I have, etc.,

W. W. Rockhill.
[Inclosure—Translation.]

memorial.

Subject: Opium prohibition and the opening of mines in Yunnan.

Submitted by the acting viceroy of Yunnan. Imperial rescript issued April 29, 1909, “Let the boards concerned report.”

This memorial is submitted in compliance with the imperial command to report on the aspects of opium suppression in Yunnan and in order to ask that instructions be issued to the boards concerned to foster the mining industry, so that a revenue may be derived therefrom to take the place of the tax on opium. The memorialist was telegraphically apprised of and reverently noted the imperial edict of March 15, 1909, as follows:

Edict regarding the suppression of opium. The present day is one of exertion toward solid achievement in governmental matters and the prosecution of great schemes for education and betterment. The suppression of opium smoking and cultivation and the raising of revenue to take the place of that formerly derived from the tax on native opium comprise the essential points of this question. Yunnan and other Provinces have memorialized us asking that all cultivation of opium be terminated within one year. But will this be attempted with sincerity; will the local officials be able to persuade the people to substitute the cultivation of crops useful for their clothing and sustenance; can they command the enthusiastic support of the common people? The form of revenue to be abolished is the main support of military establishments and the increased tax on salt is very inadequate. This question occasions the Throne much disquietude. We are issuing repeated commands to the opium-suppression commissioners, to other officials concerned, [Page 105] and to the viceroys and governors, to interdict the use of opium, pointing out that it is incumbent on them to seek out efficacious prescriptions, to open bureaus and issue remedies. In the matter of the prohibition of opium cultivation we have directed the viceroys and governors and others to issue such directions to their subordinates leading to the total termination of opium production and the substitution of beneficial crops for this deleterious one as a consideration of the circumstances may lead them to think advisable. The task of devising revenues to replace the opium revenue we have intrusted to the board of finance and directed the viceroys and governors, also, if they are cognizant of any advisable methods to submit them to the Throne for consideration. At the same time all Government offices in and out of Peking are commanded on the receipt of this edict to submit plans for the accomplishment of the above ends.

From the above the memorialist reverently observes that the Throne considers it a matter of great importance to abolish this poison and in its abolition to devise new benefits for the people. The perception of this arouses inexpressible gratitude.

Opium suppression in Yunnan had its inception in a memorial by the late Viceroy Hsi-liang, wherein he advised that the period within which the total suppression of opium was to be accomplished be shortened to one year. He immediately issued very specific and complete proclamations. Under his direction a colloquial newspaper was started and leaflets were issued with explanations and illustrations. He sent literati to various places to lecture on the subject and urge the people to substitute for opium other crops, such as beans or wheat or mulberry trees for the nourishment of silkworms. In the autumn renewed instructions were issued to the local officials, and deputies were sent to instruct the people. Thus the country people were led to a knowledge of the harmful character of opium, and, awaking to this realization, gladly acceded to the viceroy’s wishes. On the border of the Province and among the aboriginal tribes, whose nature is corrupt, opium is still privately grown, owing to the fact that in neighboring Provinces suppression has not been complete, or to the idea that their territory is safe from intrusion. But throughout the Province the amount of opium grown is now one or two tenths of what it was. In the memorial of the late viceroy was contained the statement that it was to be doubted whether in the space of one year the suppression could be made absolute, this reservation being made to obviate the possibility that he should be accused of false pretenses.

When the present memorialist assumed temporarily the duties of viceroy he issued orders to the local officials and literati to investigate the subject of suitable crops. But as the memorialist feared that it would not be easy for the people to procure good seed the same was selected and distributed at Government expense, and organizations for the prosecution of agricultural and stock-raising enterprises were encouraged. It was thought that in this way rapid progress would be made, the people being led along, the poison would for once and all be got rid of and increased profits would be obtained from the soil. These are the circumstances attendant upon the prohibition of opium (growing) in Yun-nan.

As for the inhibition of the use of opium the following observations may be made: It has already been ordered categorically that no more opium may be produced, and it has also been ordered that by certain definite dates all opium in stock must be exported. A petition has been submitted to the Throne that no more taxes on native opium may be collected; that the importation of opium from neighboring Provinces may be stringently prohibited; and that if any illicitly stored or transported opium be discovered, the same shall be confiscated and destroyed. It is now almost two years since opium-suppression bureaus were established throughout the Province. Remedies have been distributed and report has been made of the cure of more than 50,000 people. The size of the Province, the multitude of the people, and the short period of one or two years that has elapsed have made it almost impossible to effect a complete suppression. But who is not influenced to reform? The terrible results of the use of opium are pointed out, gracious kindness and stern reproof are mingled; appearances indicate that by these means complete interdiction will by degrees be consummated. This is the condition of the suppression of the use of opium in Yunnan at the present time.

A large deficit has been caused in the poor Province of Yunnan by the loss of the revenue formerly derived from native opium, for this constituted its main fiscal dependence. This has occasioned the memorialist and the Government officials much anxious thought. Various expedients for making good this present deficit are being suggested, such as the inauguration of a stamp tax, the increase of the imposts on tobacco and wines, the increase of the salt gabelle, or what would be even more stringent, the augmentation of the land [Page 106] tax in various Provinces, but there is not one of these increased charges that would not be paid by the common people and the merchants, in effect, “cutting off good flesh to cure an ulcer,” and this can not be regarded as expedient. The common people throughout the Empire are poor, and this is true especially in the frontier Provinces. In these there are no large commercial establishments and exactions from the people are with difficulty borne by them.

But it is evident that Yunnan is a Province rich in minerals—the five metals are all present. The Annam-Yunnan Railway (Tien-Yüen) within the present year will be extended to the provincial capital and the relation of this railway to the mines will be one of reciprocal benefit. No delay should be permitted. The memorialist has been in Yunnan over a year and has made careful investigation among the literati; it has developed that the mines of Yunnan are at present all worked on a modest scale, the capital employed being small. The methods of excavation and extraction from the ore are all crude and of local character. The results of the separative processes are not complete. Financial loss is constantly reported. For instance, the Ke-chiu tin mine is an exceptionally successful venture. Yet foreigners of different nationalities have inspected the mine and report that not more than two or three tenths of the metal is extracted. This is to be regretted. Successive viceroys and governors endeavored to interest private capitalists in the working of mines, but they consider that the local methods are not profitable enough, not to mention the fact that there often actual losses. Hence they have foreborne to engage in these enterprises.

The late Viceroy Hsi-liang, thinking that the Ke-chiu mine was the chief source of revenue in Yunnan considered it incumbent upon him to devise some way of improving it. He dispatched two expectant tao-t’ais, viz, Wang Keng-ÿu and Miao Kuo-chün, to Penang to examine tin mines on the spot and buy machinery and also to enlist Chinese capital there. The rich Chinese capitalist Chien-t’ai and others have subscribed capital and engaged the services of a mining engineer named Lu Ts’an-kuang. Him they have sent to Yun-nan to undertake the working of the tin mines adjacent to the Ke-chiu mine. Their efforts in this direction have been strenuous.

It is difficult to collect any large amount of capital for the working of other mines than the above. If at the present time a large amount of capital could be enlisted and thoroughly competent mining engineers engaged to select and work, according to western methods, the richest mines, mining operations could thereafter be gradualy extended. In this event not only would an unparalleled source of profit be developed for the locality concerned but the nation itself would be provided with extremely remunerative assets. The great difference between the above projects and the imposition of further taxes deleterious to merchants and people is sufficiently manifest.

The memorialist reverently presents these projects and asks that if they be approved instructions may be issued to the boards of agriculture, industries, and commerce, and of finance to dispatch graduates of foreign mining schools, who are thoroughly conversant with the subject, to come to Yunnan to conduct investigations and the subsequent operations. Adequate capital should be subscribed, the best locations selected, and machinery purchased. If able men are secured the memorialist ventures to guarantee that the profits will be amply sufficient to make good the deficit referred to (in the first part of the memorial). The object of the memorialist is to enlarge the revenues and improve the means of livelihood of the people.

This statement of the case is reverently submitted to the discretion of the Throne, and it is hoped that the boards concerned may be instructed to acquaint themselves with it and take action.