HART AND THE CHINESE CUSTOMS 95 morning after an exhausting journey.The officials insisted on the ambassador proceeding immediately to an audience,and when Lord Amherst remonstrated on the grounds of great fatigue,lack of suitable dress,and absence of his credentials,they had.all the material they required for their charge of gratuitous insult.Unlike his illustrious father the Emperor Ch'ien Lung,the Emperor Chia Ch'ing was not a man of quick intelligence,but shone more as a patron of actors and mountebanks than as a statesman or even a clear-sighted man of affairs. He accepted his courtiers'representations,and forthwith dismissed the mission with contumely.Cordier does not exaggerate when he characterizes this whole incident as-"L'etape la plus peinible de l'Angleterre dans le Celeste Empire." Once more the officials had scored a victory,but it remained to be seen how the English traders,especially the Company,would take it.As president of the Select Committee,Sir George Staunton had strongly advised Lord Amherst to make no concessions in point of ceremony or reception which might diminish the prestige of the English at Canton. Was the Company prepared to accept the consequences of that advice and to call upon the Home Government to demand an apology,and if that were refused to wipe out the affront to the King's representative by force of arms,and to obtain at the same time by treaty reasonable conditions of trade;or was it prepared to quit Canton bag and baggage and so prove to the Chinese by abandoning the trade that there are some things the English prize more than commercial gain Neither of these alternatives was adopted.Sir George Staunton returned to England with the Ambassador,while the Company and the private traders remained at Canton to carry on as before.Not quite as before,however,for while it may be admitted that the Ambassador's firmness at Peking was another illustration of that"firm adherence to principle which distinguishes the British character"-a trait which had engendered "that confidence which we have with considerable success established at Canton,"yet the local officials drew their own conclusion,a conclusion at that time not far from the truth,namely,that the English would endure almost any rebuff rather than sacrifice the trade.For the moment economic considerations were held to outweigh in importance those of justice and of national honour. In spite of restrictiogs and exactions that trade had flourished exceedingly.From a modest return of three Company ships in 1716, totalling in all a little over a thousand tons,British trade could boast in 1816 of a fleet of Company owned or chartered,and of licenced "country"ships numbering sixty-seven,totalling over fifty thousand tons. In that year there were also at Canton seventeen American,two Dutch, and one Danish ship.The three ships of 1716 had on board for Canton 1,01g pieces of English woollens-a compulsory export from England at that time-120 tons of lead,some amber,and about f85,000 in various silver currencies for investment in Chinese produce.One of these ships carried away a full cargo of copper,spelter,sugar,alum,quicksilver,and camphor for Madras;and the other two full loads of tea,silks,chinaware, spelter and sago for England.In 1816 the Company's ships brought,as usual,woollens,tin,lead,and iron from England,and cotton from Bombay.The silver specie brought by these ships for investment in
HART AND THE CHINESE CUSTOMS 35 morning after an exhausting journey. The officials insisted on the ambassador proceeding immediately to an audience, and when Lord Amherst remonstrated on the grounds of great· fatigue, lack of suitable dress, and absence of his credentials, they had· all the material they required for their charge of gratuitous insult. Unlike his illustrious father the Emperor Ch'ien Lung, the Emperor Chi a Ch'ing was not a man of quick intelligence, but shone more as a patron of actors and mountebanks than as a statesman or even a clear-sighted man of affairs. He accepted his courtiers' representations, and forthwith dismissed the mission with contumely. Cordier does not exaggerate when he characterizes this whole incident as-" L'etape la plus peinible de l'Angleterre dans le Celeste Empire."9 Once more the officials had scored a victory, but it remained to be seen how the English traders, especially the Company, would take it. As president of the Select Committee, Sir George Staunton had strongly advised Lord Amherst to make no concessions in point of ceremony or reception which might diminish the prestige of the English at Canton. Was the Company prepared to accept the consequences of that advice, and to call upon the Home Government to demand an apology, and if that were refused to wipe out the affront to the King's representative by force of arms, and to obtain at the same time by treaty reasonable conditions of trade; or was it prepared to quit Canton bag and baggage and so prove to the Chinese by abandoning the trade that there are some things the English prize more than commercial gain? Neither of these alternatives was adopted. Sir George Staunton returned to England with the Ambassador, while the Company and the private traders remained at Canton to carry on as before. Not quite as before, however, for while it may be admitted that the Ambassador's firmness at Peking was :mother illustration of that "firm adherence to principle which distinguishes the British character"-a trait which had engendered "that confidence which we have with considerable success established at Canton,"lO yet the local officials drew their own conclusion, a conclusion at that time not far from the truth, namely, that the English would endure almost any rebuff rather than sacrifice the trade. For the moment economic considerations were held to outweigh in importance ·those of justice and of national honour. In spite of restrictioes and exactions that trade had flourished exceedingly. From a modest return of three Company ships in 1716, totalling in all a little over a thousand tons, British trade could boast in 1816 of a fleet of Company owned or chartered, and of licenced "country" ships numbering sixty-seven, totalling over fifty thousand tons. In that year there were also at Canton seventeen American, two Dutch, and one Danish ship. The three ships of 1716 had on board for Canton 1,013 pieces of English woollens-a compulsory export from England at that time-1!w tons of lead, some amber, and about £85,000 in various silver currencies for investment in Chinese produce. One of these ships carried away a full cargo of copper, spelter, sugar, alum, quicksilver, and camphor for Madras; and the other two full loads of tea, silks, chinaware, spelter and sago for Erigland. In 1816 the Company's ships brought, as usual, woollens, tin, lead, and iron from England, and cotton from Bombay. The silver specie brought by these ships for investment in
36 HART AND THE CHINESE CUSTOMS HART AND THE CHINESE CUSTOMS 31 China was well over three and a half million dollars,or approximately The sums actually paid as measurement fees ranged from Tls.400 to Tls.28g0. It f8go,000.Of exports,the Company's ships took away about 275,000 sometimes happened that a ship would be called on to pay a measurement fee piculs of tea lbs.36,657,000),some 660 piculs of raw silk,and different from what she had paid on a previous trip 227,000 pieces of nankeens.From India the "country"ships brought 3- MoRsE,H.B.The Chronicles of the East India Company Trading to China; some 334,000 piculs of raw cotton and between four and five thousand ·1635-1834. Vol.V,P.98. chests of opium,each chest containing Ibs.160 if from Bengal,and 4.Tbid.Vol.I,p.195. lbs.135 if from Malwa.To balance this they took away a limited amount 5 Ibid.Vol.V,p.go. of tea-as the Company,holding the monopoly in this article,put severe 6. restrictions on its export by "country"ships-considerable quantities of JAMEs FLINT was first brought to Canton as a boy,in 1786,by Captain Rigby of the Normanton,whose intention was that Flint should devote himself to the study of raw silk,silk piece goods,nankeens,and spelter,and to square the Chinese.Three years later Captain Rigby was lost at sea,whereupon Flint applied account,in the absence of bank bills,silver dollars.This was where the to the East India Company's council of supercargoes for assistance,undertaking to shoe pinched.The Chinese had now the evidence of their own eyes that make himself proficient in Mandarin as well as in Cantonese.With the backing of the Court of Directors,who had heard of him,Flint became the first student foreign trade,tolerable when it brought in a steady stream of silver,was interpreter of the Company.In 1742,when Commodore Anson visited Canton,on now,through the import of this pernicious and forbidden drug,not his round-the-world voyage,and had an interview with the Viceroy,Flint acted as interpreter,much to the Commodore's satisfaction.A few years later he was only demoralising the people but also draining the country of its silver appointed official interpreter to the council of supercargoes,and his services were in currency. constant demand.The Company hoped much from this development.trusting that in time it would enable their supercargoes to have direct access to the Viceroy,and. to continue the experiment,sent out in 1753 two youths,Messrs.Bevan and Barion. to study the language at the Company's expense.Bevan later on became official NOTES TO CHAPTER I interpreter for the council of supercargoes,and remained 'so for over twenty years. 1.In 16og the Company obtained from James I a charter making their monopoly It was in the same year (1753)that the Hoppo ordered the arrest of a Chinese who had assisted Flint in the drafting of a petition.Two .years later,after the vovage perpetual,and successive charters were issued by Oliver Cromwell in 1659.and by Charles II in 1661,1677,and in 1683,when he granted permission to the Company of the Earl of Holderness to Ningpo,the Chinese teacher of Messrs.Bevan and to establish a mint at Bombay,to exercise jurisdiction over English subjects,to make Barton,was ordered to cease giving instruction to those young gentlemen.After the peace and war,and to enter into alliances with Indian rulers.His successor James execution of the Chinese who was accused of having transcribed Flint's petition to II granted the Company a charter with powers so wide as to lead the directors to the Emperor,an order was issued that in future Chinese were to refrain from believe that they were empowered to lay 3the foundation of a large,well-grounded, degrading themselves by teaching their language to foreigners. sure English dominien in India for all time to come."In spite of strong opposition 7. HUNTER,W.C.The Fan Kwae at Canton,p.40. from rival commercial interests the Company,by heavy bribery among prominent politicians,secured a renewal of their charter in 16gs from William and Mary,and 8.Ibid,p.50. Letters Patent were issued empowering the Company to increase the capital by almost 9. CoRDIER,H.Histoire Gendrale,op cit.Vol.III.p.415. three-quarters of a million Pounds.Five years later the rivals of the Company-by raising a strong agitation against monopoly,by exposing the bribery that had taken 10.MoRsE,H.B.The Chronicles of the East India Company,op.cit.Vol.111. place in 1693,and by advancing a loan of two million Pounds to the Government- P.304.Minute of Sir George Thomas Staunton. succeeded in having an Act of Parliament passed authorizing the Government to charter a rival Company with the title-The English Company trading to the East Indies.For a decade the rivalry between the two companies was intense,but finally in 1708-to avoid the catastrophe of English trade being driven completely out of India by the French-union of the old "London"and the new "English"Companies took place.Thenceforward the Company became known as the United East India Company,and set out on its amazing career of acquiring control not only of almost all of India's,and the lion's share of China's,seaborne trade,but also of the empire of the Grand Moguls. The Courteen Association,in which Charles Iasshareholder.to whichhe granted a charter in 16g5,and which sent out the Weddell expedition to Canton, was absorbed by the East India Company in 1649. s.Measurement fees varied according to the dimensions of a ship's deck.To ascertain this a ship was measured for length from the centre of the foremast to the centre of the mizenmast,and for breadth just behind the mainmast.The product of these two measurements-made in Cantonese feet (coveds cf.Port.couddo)of 14.1 Eng.in.-divided by ten gave the number of units determining in which of the three classes the ship should be graded for taxation.The tariff for these three classes was Ist class-1.74 coveds,or over Tls.7.777 per unit. and class-1.174 coveds b,22-93m T1s,7,149n” srd class-1.65-71 coveds,or under b.40-22 T1s.5000
36 HART AND THE CHINESE CUSTOMS China was well over three and a half million dollars, or approximately £830,000. Of exports, the Company's ships took away about 275,000 piculs of tea = lbs. 36,657,000), some 660 piculs of raw silk, and 227,000 pieces of nankeens. From India the "country" ships brought_ some 334,000 piculs of raw cotton and between four and five thousand chests of opium, each chest containing lbs. 160 if from Bengal, and lbs. 135 if from Malwa. To balance this they took away a limited amomit ot tea-as the Company, holding the monopoly in this article, put severe restrictions on its export by "country" ships--:-considerable quantities of raw silk, silk piece goods, nankeens, and spelter, and to square the account, in the absence of bank bills, silver dollars. This was where the shoe pinched. The Chinese had now the evidence of their own eyes that foreign trade, tolerable when it brought in a steady stream of silver, was now, through the import of this pernicious and forbidden drug, not only demoralising the people but also draining the country of its silver currency. NOTES TO CHAPTER I 1. In 1609 the Company obtained from James I a charter making their monopoly perpetual, and successive char~ers were issued by Oliver CrOI:m:ell in 1659, and by Charles Il in 1661, 1677, and'm 1683, whel). he granted permlsslOn to the Company to establish a mint at Bombay, to exercise jurisdiction over English subjects, to make peace and war, and to enter into alliances with Indian rulers. His successor James II granted the Company a charter with powers so wide as to lead the directors to believe that they were empowered to lay ·~the foundation of a large, well-grounded, sure English dominien in India for all time to come." In spite of strong opposition from rival commercial interests the Company, by heavy bribery among prominent politicians, secured a renewal of their charter in 1693 from ,\Villiam and Mary, and Letters Patent were issued empowering the Company to increase the capital by almost three-quarters of a million Pounds. Five years later the rivals of the Company-by raising a strong agitation against monopoly, by e.xposing the bribery that had taken place in 1693, and by advancing a loan of two million Pounds to the Governmentsucceeded in having an Act of Parliament passed authorizing the Government to charter a rival Compant with the title-The English Company trading to the East Indies. For a decade the rivalry between the two companies was intense, but finally, in 17oB-to avoid the catastrophe of English trade being driven completely out .of India by the French--':union of the old "London" and the new "English" Compames took place. Thencefonvard the Company became known as the United East India Company, and set out on its amazing career of acquiring control not onl.j' of almost all of India's, and the lion's share of China's, seaborne trade, but also of the empire of the Grand Moguls. ~ _ The Courteen Association, in which Charles I 'was a shareholder, to which ·ne granted a charter in 1635, and which sent out the Weddell expedition to Canton, was absorbed by the East India Company in 1649. 2. Measurement fees varied according to the dimensions of a ship's deck. To ascertain this a ship was measured for length from the centre of the foremast to the centre of the mizenmast, and for breadth just behind the mainmast. The product of these two measurementS-made in Cantonese feet (coveds cf. Port. covddo) of 14.1 Eng. in.-divided by ten gave the number of units determining in which of the three classes the ship should be graded for taxation. The tariff for these three classes was-- 1st class--l. 74 coveds, or over } Tls. 7.777 per unit. b. ' 23 2nd c1ass--l. 71:74 coveds } Tls. 7.14!l b. 2!l-23 " 3rd class--l. 6S-71 coveds, or under } Tls. 5.000 b. 20~22 " HART AND THE CHINESE CUSTOMS 37 The sums actually paid as measurement fees ranged nom Tls. 400 to Tls. 2890. It. sometimes happened that a ship would be called on to pay a measurement fee different from what she had paid on a previous trip ! 3· . MORSE, H. B. The Chronicles Of the East India Company Trading to China; 1635-1834. Vol. y, p. 92. 4. Ibid. Vol. I, p. 195. 5· Ibid. Vol. V, p. 30. 6. JAMES FLINT was first brought to Canton as a boy, in 1736, by Captain Rigby of the Norman ton, whose intention was that Flint should devote himself to the slud,' of Chinese. ' Three. years later ,Captain. Rigby was lost at sea, whereupon Flint apI)lied to the East IndIa Company s councIl of supercargoes for assistance undertakm<T to make himself proficient in Mandarin as well as in Cantonese. With the backin';:. of ~he Court of Directors, who had heard of him, Flint became the first student lI~terpreter of the Company. In 1742, when Commodore Anson visited Canton, on !IIS round-the-world voyage, and had an interview with the Viceroy, Flint acted as mter~reter, m:uch. to the Commodore's satisfaction. A few years later he was appomted offiCIal mterpreter to the council of supercargoes, and his services were in ~ons.tant .demand. The C0r:tpany hoped ,much from this development, trusting that m tIme. It would enable theIr supercargoes to have direct access' to the Viceroy, and, to contmue the experiment, sent out in 1753 two youths, Messrs. Bevan and Banon. ~o study the language a~ the Company's expense. Bevan later on became 'official mterpr~ter for the counCIl of supercargoes, and remained 'so for over twenty years, It was m the same year (1753) that the Hoppo ordered the arrest of a Chinese 'rho had assisted Flint in the drafting of a petition. Two ,years later, after the voyage of the Earl of Holderness to Nirigpo, the Chinese teacher of Messrs. Bevan 'aIlt! Barto~, was ordered .to cease giving instruction to those young gentlemen. After the e.xecutIon of the Chmese Who was accused of having transcribed Flint's petition to the Emperor, an order was issued that in future Chinese were to refrain from degrading themselves by teaching their language to foreigners. 7· HUNTER, W. C. The Fan Kwae at Canton, p. 40 • 8. Ibid, p. 50. 9· CORDlER, H. Histoire Gentfrale, op cit. Vol. Ill. p. 415- 10. MORSE, H. B. The Chronicles of the East India Company, op. cit. Vo!. Ill. p. 304. Minute of Sir George Thomas Staunton
CHAPTER II Opium,and the first trade war.The settlement under the early treaties. The medicinal use of the seeds of the opium poppy was known in China as far back as A.D.973;but it is not until towards the close of the sixteenth century that we have the first known Chinese description of how to prepare opium from the juice of the scored capsule.The practice of smoking opium-at first probably as a febrifuge and as a prophylactic against malaria-was prevalent in Java,and was introduced into China in the seventeenth century through the Dutch when they were masters of the island of Formosa.It is more than probable that it was Arab traders coming from India who first brought opium into China;but it was the Portuguese,trading from Goa and Daman,who towards the end of the sixteenth century,first began to bring the drug to the shores of China in fairly large quantities,thus starting Macao on its career as an opium depot,principally for the Malwa and the Persian varieties.Although the Emperor Yung Cheng had issued an edict in 1729 forbidding the sale of opium for smoking purposes and the opening of opium-smoking divans,there was no prohibition against the import of the drug for medicinal purposes;in fact,from the end of the sixteenth to the beginning of the nineteenth century it continued to be a tariff-listed article.Up to 1773 the bulk of the importation remained in the hands of the Portuguese,but some was undoubtedly brought in by servants of the Company,trading on their own,and by private British merchants. In that year the import of the drug into China had reached the figure of 1,o0o chests,and in that year the British,who had now political control over the whole of Bengal,on the suggestion of Warren Hastings, then Governor,officially dissolved the group of Patna merchants,who had up till then practically engrossed the lucrative Patna and Benares opium trade,and established instead a monopoly under the Bengal government.It was thus that the opium industry of Bengal came under the protection of the East India Company.Through its agents it controlled the entire process of producing the drug from the preparation of the ground for seed to the sale of it by auction at Calcutta.There the Company's interest ceased;except for one unfortunate shipment made on its own account to China in 1783 the Company followed the policy of indifference as to the final destination of the drug;although it was well aware that the "country"ships,whose right to trade between India and China lay in the holding of the Company's licence,were making untold profit from the opium trade alone. Long before the seventeen seventies it was clear to everyone, officials and traders alike,that the growing import of the drug into China was not simply to supply the apothecaries and medicine vendors..The officials especially had ample proof that it was being sold for the very purpose which had been condemned by the emperor Yung Cheng in 1739. In practice the edict was being ignored;but officially,insistence on its continued validity could be made a duty which would bring both moral and material reward.To effect this,the foreign traders concerned must 38
CHAPTER II Opium, and the first trade war. The settlement under the early treaties. The medicinal use of the seeds of the opium poppy was known in China as far back as A.D. 973; but it is not until towards the close of the sixteenth century that we have the first known Chinese description of how to prepare opium from the_juice of the scored capsule. The practice of smoking opium-at first probably as a febrifuge and as a prophylactic against malaria-was prevale.nt in Java, and was introduced into China in the seventeenth century through the Dutch when they were masters of the island of Formosa. It is more than probable that it was Arab traders coming from India who first brought opium into China; but it was the Portuguese, trading from Goa and Daman, who towards the end of the sixteenth century, first began to bring the drug to the shores of China in fairly large quantities, thus starting Macao on its career as an opium depot, principally for the Malwa and .the Persian varieties. Although the Emperor Yung Cheng had issued an edict in 1729 forbidding the sale ot opium for smoking purposes and the oBening of opium-sinoking divans, there was no prohibition against the import of the drug for medicinal purposes; in fact; from the end of the sixteenth to the beginning of the nineteenth century it continued to be a tariff-listed article. Up to 1773 the bulk of the importation remained in the hands of the Portuguese, but some was undoubtedly brought in by servants of the Company, trading on their own, and by private British merchants. In that year the import of the drug into China had reached the figure of 1,000 chests, and in that year the British, who had now political control over the whole of Bengal, on the suggestion of Warren Hastings, then Governor, officially dissolved the group of Patna merchants, who had up till then practically engrossed the lucrative Patna and Benares opium trade, and established instead a monopoly under the Bengal government. It was thus that the opium industry of Bengal came under the protection of the East India Company. Through its agents it controlled the entire process of producing the drug from the preparation of the ground for seed to the sale of it by auction at Calcutta. There the Company's interest ceased; except for one unfortunate shipment made on its own account to China in 1782 the Company followed the policy of indifference as to the final destination of the drug; although it was well aware that the "country" ~hips, whose right to trade between India and China lay in the holding of the Company's licence, were making untold profit from the opium trade alone. Long before the seventeen seventies it was clear to everyone, officials and traders alike, that the growing import of the drug into China was not simply to supply the apothecaries and medicine vendors .. The officials especially had ample proof that it was being sold for the very purpose which had been condemned by the emperor Yung Cheng in 1729. In practice the edict was bei~g ignored; but officially, insistence on its continued validity could be made a duty which would bring both moral and material reward. To effect this, the foreign traders concerned must 38
HART AND THE CHINESE CUSTOMS 39 be given clearly to understand that as this import of opium was obviously for smoking purposes it was contraband,rendering trading in the drug liable to punishment,and that no security merchant,as such,could help them to dispose of it.Should these foreign traders,however,persist in bringing in the stuff,as beyond doubt they would as there was a growing demand for it,and much money to be made from it,then the business would have to be conducted through channels other than those recognized by officially promulgated regulations.And that was precisely what happened.The Company's supercargoes,standing for law and order, and fearful of anything that might tend to upset either their trade or their authority,sent frequent reminders to the Court of Directors that the import of opium was prohibited,and kept urging them to issue strict instructions forbidding the sending of the drug on any of the Company's owned or chartered ships.From 1783 onwards the Company-except for its one lapse in 1782,when it shipped opium to Canton in a desperate effort to fill the depleted treasury there-as a Company kept itself severely aloof from the conveyance of the drug to China.On the other hand,the owners of the "country"ships,whose licences permitted them to carry only Company-auctioned opium,continued to bring their consignments in ever-growing quantities to Macao,then to Whampoa-to prove to the Portuguese that they could not engross the trade-and after 1831,when Whampoa was closed to them,to Lintin.In spite of prohibition edicts, which from 1798 onwards came with ever-increasing frequency,these country"ships had no difficulty in disposing of their opium freights. Chinese merchants not in the cohong who specialized in opium came down to the anchorage,made their purchases on board the importing vessel-or,later on,from the receiving ship at Lintin,-paying spot cash. and then conveyed the stuff up to Canton by means of fast,well-armed native boats,built for the purpose,carrying from sixty to seventy rowers apiece,and provided with auxiliary sails.Once the importing ship was clear of the drug,the security merchant could step in and,with his hand on his heart,swear that there was no opium on board,after which discharge of other cargo could proceed as usual.Transport of the drug from the ship to Canton was carried out in broad daylight.No attempt was made to evade the authorities as no such evasion was necessary.The firearms on board were not for the purpose of resisting Customs and police authorities,but as protection against opium"bootleggers." All. from highest to lowest in the official hierarchy,shared in the spoil.The Hoppo drew from it enormous fees,which had to be shared with his colleagues at Canton and his patrons in Peking,while his underlings and the underlings of every yamen that could claim an interest,had their recognized scale of remuneration on every chest.In view of such open and willing official co-operation,to apply the term "smuggling"to such a trade is misleading.It was an officially prohibited traffic,but it was equally also officially connived at. By 18og the demand for opium required 4.500 chests a year to satisfy it,and in that year the Viceroy issued one of his oft repeated warnings that the trade was contraband;but what distinguished this warning from its predecessors was that on the very same day of its issue an edict was promulgated strictly forbidding the export abroad of "this
HART AND THE CHINESE CUSTOMS 39 be given clearly to understand that as this import of opium was obviously for smoking purposes it was contraband, rendering trading in the drug liable to punishment, and that no security merchant, as such, could help them to dispose of it. Should these foreign traders, however, persist in bringing in the stuff, as beyond doubt they would as there was a growing demand for it, and much money to be made from it, then the business would have to be conducted through channels other than those recognized by officially promulgated regulations. And that was precisely "what happened. The Company's supercargoes, standing for law and order, and fearful of anything that might tend to upset either their trade or their authority, sent frequent reminders to the Court of Directors that the import of opium was prohibited, and kept urging them to issue strict instructions forbidding the sending of the drug on any of the Company's owned or chartered ships. From 1733 onwards the Company-except for its one lapse in 178~, when it shipped opium to Canton in a desperate effort to fill the depleted treasury there-as a Company kept itself severely aloof from the conveyance of the drug to China. On the other hand, the owners of the "country" ships, whose licences permitted them to carry only Company-auctioned opium, continued to bring their consignments in ever-growing quantities to Macao, then to vVhampoa-to prove to the Portuguese that they could not engross the trade-and after 18~ 1, when \Vhampoa was closed to them, to Lintin. In spite of prohibition edicts, which from 1798 onwards came with ever-increasing frequency, these "country" ships had no difficulty in disposing of their opium freights. Chinese merchants not in the cohong who specialized in opium came down to the anchorage, made their purchases on board the importing vessel-or, later on, from the receiving ship at Lintin,-paying spot cash, and then conveyed the stuff up to Canton by means of fast, well-armed native boats, built for the purpose, carrying from sixty to seventy ro,,"ers apiece, and provided with auxiliary sails. Once the importing ship "was clear of the drug, the security merchant could step in and, with his hand on his heart, swear that there was no opium on board, after which discharge of other cargo could proceed as usual. Transport of the drug from the ship to Canton was carried out in broad daylight. No attempt was made to evade the authorities as no such evasion was necessary. The firearms on board were not for the purpose of resisting Customs and police authorities, but as protection against opium "bootleggers." All, from highest to lowest in the official hierarchy, shared in the spoil. The Hoppo drew from it enormous fees, which had to be shared with his colleagues at Canton and his patrons in Peking, while his underlings and the underlings of every yamen that could claim an interest, had their recognized scale of remuneration on every chest. In view of SUcll open and "willing official co-operation, to apply the term "smuggling" to such a trade is misleading. It was an officially prohibited traffic, but it was equally also officially connived at. By 1809 the demand for opium required 4,500 chests a year to satisfy it, and in that year the Viceroy issued one of his oft repeated warnings that the trade was contraband; but what distinguished this warning from its pr~decessors was that on the very same day of its issue an edict was promulgated strictly forbidding the export abroad of "this
畅 HART AND THE CHINESE CUSTOMS HART AND THE CHINESE CUSTOMS 41 Country's silver and gold."Evidently,in the mind of the Chinese dealing between the foreign trader and his customers threatened the officials there was a close connection between the opium trade and an volume of their perquisites,then resentment was aroused and conscience apparent'outflow of silver.Up to 1806 the Company's supercargoes had, awakened.While the loss to their pockets was painful it was yet a by arrangement,used the opium deals of the "country"ships as a means private one;but there were two consequences affecting the public welfare of providing them with much-needed specie in Canton,but after that which could,perhaps,be so played upon as to restrain these headstrong year the "country"trade,both in raw cotton and in opium,had so foreigners,and maintain the trade in the old position of being officially flourished that it became possible not only to provide sufficient cover for connived at,so long as that connivance brought no change for the worse all Company requirements in Canton but also to leave a balance for in rewards.One of these consequences was the growing disorder with remittance in Calcutta and London.It was this remitted balance of which the trade was being carried on.The traffic lent itself to lawless- British trade that alarmed the Chinese authorities.If they hadhad the ness.The swift passenger boats-"fast crabs"and "scrambling dragons" data and had been statisticians enough to have struck a balance not as they were called-on their way up river with their valuable freight simply for the foreign trade of Canton but for the foreign trade of the were a desirable prey,both to piratical and to official marauders,the latter, whole country,which included at that time a small overland trade at no doubt,animated by a desire to make sure of what they considered various frontiers and a very considerable junk-borne overseas trade to their legitimate share.Armed encounters took place,and such would such places as the Philippines,Java,Borneo,Tongking,Cochin China, have to be explained to Peking.The second consequence was equally Sumatra,and Siam they would have found that the position was still serious.It was an undoubted fact that silver,mainly in the form of strongly in China's favour.Even a properly drawn balance sheet of dollars,was leaving China.In the American trade the inflow of treasure Canton's foreign trade in foreign bottoms alone would have shown them kept on steadily till 18go,though much reduced from what it had been that China was not then suffering depletion of her silver supplies.But in the early twenties;but in the British trade the outflow from 1835 the relative positions were soon to be reversed.During the years 1811 to onwards was heavy,touching the peak of $6,735,o00 in 1830,the annual 18zo the average yearly import of opium into China was about 4,500 average for the quinquennium ending with that year being S5,135.o00 chests;but in 1831 a change took place,and during the next decade the (say,f1,150,000),a figure which shows clearly the heavy liability which average rose to over 11,000 chests,while in the year of the outbreak of China was obliged to liquidate in silver.Apart from the question of the the war against Great Britain the import stood at 40,o00 chests.The balance of trade as a whole,-an economic subtlety not within the ken change in 1821 was that,owing to the exposure of official corruption in of the Chinese officials of the time-there was the indisputable fact that the opium traffic,an exposure arising from a quarrel among the grafters silver was being shipped from China in large quantities,and that it was themselves,Whangpoa and Macao were no longer regarded as safe being removed in the ships which had brought in opium.Moral anchorages for ships carrying opium.This led to the selection of the considerations were not the only ones which moved those among the roadstead at the island of Lintin as a convenient anchorage,which by a Chinese officials who were opposed to the trade. polite fiction was considered to be in the outer waters.The removal to During the last three years of the Company's rule in China the Lintin gave the trade a distinct fillip.It did more;it provided the balance of trade was definitely unfavourable to China to the extent of opportunity for establishing opium-receiving ships which remained at from $6,500,o00 to $8,500,o00 to be met yearly by shipment of silver as Lintin during the winter season,and moved for safety's sake to such the only available method of settling the account.This state of affairs anchorages as Capsuimoon and Hongkong during the south-west was entirely due to the opium trade.How could it be rectified There monsoon.The facilities of Lintin,and the rapid growth of the demand were two possible remedies.The one was to restrict the trade in the hope for opium led in 1824 to the next development,which was the cruising that equilibrium would be attained,or perhaps in the more illusory hope of the opium ships along the coast to the east and north for the direct that the silver set free would be used by the Chinese to purchase more supplying of the markets on the seaboard.This direct approach,besides British imports.China at that time offered a strictly limited market for widening the market,enabled the foreign traders to eliminate the European goods,especially for English woollens,but an expanding Cantonese middlemen and the harpies battening on them,and thus to market for Indian raw cotton and opium and for sundry minor products reap a quicker and a larger profit.So profitable,in fact,was this direct such as spices.Restriction,too,was a procedure easier to talk about dealing on the coast that the opium traders now decided to apply this than to apply.The other remedy was to increase the outfow of the only method of direct approach to the numerous towns and villages in the exports representing China's purchasing power in goods,namely,tea estuary of the West River and on its banks up to Canton itself.For this and raw silk.The Chinese would have accepted that solution gladly, purpose they used fast passenger boats,under the control of armed but the decision rested on the consuming power of the foreign,especially foreigners,which plied between the opium-receiving ships at Lintin and. the British,market.Foreign trade in China had reached a critical the purchasers on shore. juncture induced by the opium trade,and that juncture synchronized So long as the effect of these new developments did not involve too with the controversy whether British trade in China was to be carried serious a decline in the emoluments falling to the share of the officials on under a system of monopoly or of free trade. and their satellites,all was well;but as soon as it became clear that direct The final victory fell to the free traders.The controversy thrashed
40 HART AND THE CIllNESE CUSTOMS Country's silver and gold." Evidently, in the mind of the Chinese officials there was a close connection between the opium trade and an apparent·outflow of silver. Up to 1806 the Company's supercargoes had, by arrangement, used the opium deals of the "country" ships as a means of providing them with much-needed specie in Canton, but after that year the "country" trade, both in raw cotton and in opium, had so flourished that it became possible not only to provide sufficient cover for all Company requirements in Canton but also to leave a balance for remittance in Calcutta and London. It was this remitted balance of British trade that alarmed the Chinese authorities. If they had had the data and had been statisticians enough to have struck a balance not simply for the foreign trade of Canton but for the foreign trade of the whole country, which included at that time a small overland trade at various frontiers and a very considerable junk-borne overseas trade to such places as the Philippines, Java, . Borneo, Tongking, Cochin China, Sumatra, and Siam they would have found that the position was still strongly in. China's favour. Even a properly drawn balance sheet of Canton's foreign trade in foreign bottoms alone would have shown them that China was not then suffering depletion of her silver supplies. But the relative positions were soon to be reverl1ed. During the years 1811 to 1820 the average yearly import of opium into China was about 4,500 chests; but in 1821 a change took place, and during the next decade the average rose to over 11,000 chests, while in the year of the outbreak of the war against Great Britain the import stood at 40,000 chests. The change in 1821 was that, owing to the exposure of official corruption in the opium traffic, an exposure arising from a quarrel among the grafters themselves, Whangpoa and Macao were no longer regarded as safe anchorages for ships carrying opium. This led to the selection of the road stead at the island of Lintin as a convenient anchorage, which by a polite fiction was considered to be in the outer waters. The removal to Lintin gave the trade a distinct fillip. It did more; it provided the opportunity for establishing opium-receiving ships which remained at Lintin during the winter season, and moved for safety's sake to sucll anchorages as Capsuimoon and Hongkong during the south-west monsoon. The facilities of Lintin, and the rapid growth of the demand for opium led in 1824 to the next development, which was the cruising of the opium ships along the coast to the east and north for the direct supplying of the markets on the seaboard. This direct approach, besides widening the market, enabled the foreign traders to eliminate the Cantonese middlemen and the harpies battening on them, and thus to reap a quicker and a larger profit. So profitable, in fact, was this direct dealing on the coast that the opium traders now decided to apply this method of direct approach to the numerous towns and villages in the estuary of the West River and on its banks up to Canton itself. For this purpose they used fast passenger boats, under the control of armed foreigners, which plied between the opium-receiving ships at Lintin and. the purchasers on shore. So long as the effect of these new developments did not involve too serious a decline in the emoluments falling to the .share of the officials and their satellites, all was ·well; but as soon as it became clear that direct HART AND THE CHINESE CUSTOMS 41 dealing between the foreign trader and his customers threatened the volume of their perquisites, then resentment was aroused and conscience awakened. While the loss to their pockets was painful it was yet a private one; but there were two consequences affecting the public welfare which could, perhaps, be so played upon as to restrain these headstrong foreigners, and maintain the trade in ~he old position of being officially connived at, so long as that connivance brought no change for the worse in rewards. One of these consequences was the growing disorder with which the trade was being carried on. The traffic lent itself to lawlessness. The swift passenger boats-"fast crabs" and "scrambling dragons" as they were called-on their way up river with their valuable freight were a desirable prey, both to piratical and to official marauders, the latter, no doubt, animated by a desire to make sure of what they considered their legitimate share. Armed encounters took place, and such would have to be explained to Peking. The second consequence was equally serious. It was an undoubted fact that silver, mainly in the form of dollars, was leaving China. In the American trade the inflow of treasure kept on steadily till 1830, though much reduced from what it had been in the early twenties; but in the British trade the outflow from 1825 onwards was heavy, touching the peak of $6,735,000 in 1830, the annual average for the quinquennium ending with that year being $5,135,000 (say, £1,150,000), a figure which shows clearly the heavy liability which China was obliged to liquidate in silver. Apart from the question of the balance of trade as a whole,-an economic subtlety not within the ken of the Chinese officials of the time-there was the indisputable fact that silver was being shipped from China in large quantities, and that it ·was being removed in the ships which had brought in opium. Moral considerations were not the only ones which moved those among the Chinese officials who were opposed to the trade. During the last three years of the Company's rule in China the balance of trade was definitely unfavourable to China to the extent of from $6,500,000 to $8,500,000 to be met yearly by shipment of silver as the only available method of settling the account. This state of affairs was entirely due to the opium trade. How could it be rectified? There were two possible remedies. The one was to restrict the trade in the hope that equilibrium would be attained, or perhaps in the more illusory hope that the silver set free would be used by the Chinese to purchase more British imports. China at that time offered a strictly limited market for European goods, especially for English woollens, but an expanding market for Indian raw cotton and opium and for sundry minor products such as spices. Restriction, too, was a procedure easier to talk about than to apply. The other remedy was to increase the outflow of the only exports representing China's purchasing power in goods, namely, tea and raw silk. The Chinese would have accepted that solution gladly, but the decision rested on the consuming power of the foreign, especially the British, market. Foreign trade in China had reached a critical juncture induced by the opium trade, and that juncture synchronized ·with the controversy whether British trade in China was to be carried on under a system of monopoly or of free trade .. The final victory fell to the free traders. The controversy thrashed