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THE OPIUM MONOPOLY
BY ELLEN N. LA MOTTE
IX -- SHANGHAI
IN the New York Library there is an interesting little book, about a quarter of an inch
thick, and easy reading. It is entitled: "Municipal Ethics: Some Facts and Figures
from the Municipal Gazette, 1907-1914. An Examination of the Opium License policy of the
Shanghai Municipality. In an Open Letter to the Chairman of the Council, by Arnold Foster,
Wuchang. For 42 years Missionary to the Chinese."
Shanghai, being a Treaty Port, is of two parts. The native or Shanghai city, under the
control and administration of the Chinese. And the foreign concessions, that part of the
city under the control and administration of foreigners. This is generally known as the
International Settlement (also called the model settlement), and the Shanghai Municipal
Council is the administrative body. Over this part the Chinese have no control. In 1907,
when China began her latest fight against the opium evil, she enacted and enforced drastic
laws prohibiting opium smoking and opium selling on Chinese soil, but was powerless to
enforce these laws on "foreign" soil. In the foreign concessions, the Chinese
were able to buy as much opium as they pleased, merely by stepping over an imaginary line,
into a portion of the town where the rigid anti-opium laws of China did not apply.
Says Mr. Arnold, in his Open Letter: "It will be seen that the title of the
pamphlet, Municipal Ethics, describes a situation which is a complex one. It concerns
first the actual attitude of the Shanghai Municipal Council towards the Chinese national
movement for the suppression of the use of opium. This, we are assured by successive
Chairmen of the Council, has been one of "sincere sympathy...... the greatest
sympathy," and more to the same effect. Certainly no one would have guessed this from
the facts and figures reproduced in this pamphlet from the columns of the " Municipal
Gazette."
"The second element in the ethical situation is the actual attitude of the Council
not only towards the Chinese national movement, but also towards its own official
assurances, protestations and promises.
"It is on this second branch of the subject before us that I specially desire to
focus attention, and for the facts here stated that I would bespeak the most searching
examination. The protestations of the Council as to its own virtuous attitude in regard to
opium reform in China are made the more emphatic, and also the more open to criticism, by
being coupled with some very severe insinuations made at the time, as to the insincerity
and unreliability of the Chinese authorities in what they were professing, and in what
they were planning to do in the same matter of opium reform. It so happens, as the event
proves, that these sneers and insinuations were not only quite uncalled for, but were
absolutely and utterly unjust. When a comparison is instituted between (a) 'official
pronouncements' made two years ago by the Chinese authorities as to what they then
intended to do for the suppression of the opium habit, and (b) the 'actual administrative
results' that in the meanwhile have been accomplished, the Chinese have no cause to be
ashamed of the verdict of impartial judges. What they have done may not always have been
wise, it may sometimes have been very stern, but the outcome has been to awaken the
astonishment and admiration of the whole civilized world! When, on the other hand, a
comparison is instituted between (a) the fine professions and assurances of the Shanghai
Municipal Council made six or seven years ago as to its own attitude towards the
'eradication of the opium evil' and (b) the 'actual administrative results' of the
Council's own proceedings, the feelings awakened are of very different order. Here, not to
mention any other consideration, two hard facts stare one in the face: First, in October,
1907, there were eighty-seven licensed opium shops in the International Settlement. In
May, 1914, there were six hundred and sixty-three. In 1907 the average monthly revenue
from opium licenses, dens and shops combined, was Taels 5,450- In May, 1914, the revenue
from licenses and opium shops alone was Taels 10,995. The Council will not dispute these
figures."
At the beginning of the anti-opium campaign in 1907, there were 700 dens (for smoking)
in the Native City, and 1600 in the International Settlement. The Chinese closed their
dens and shops at once. In the Settlement, the dens were not all closed until two years
later, and the number of shops in the Settlement increased by leaps and bounds. Table I
shows an outline of the Municipal opium-shop profits concurrent with the closing of the
opium houses-and subsequently:
Year Month Dens Shops Monthly revenue, shops only
1908 Jan. 1436 87 Taels, 338
Oct. 1005 131 623
1909 Jan. 599 166 1,887
Oct. 297 231 2,276
1910 Oct. Closed 306 5,071
1911 Oct. 348 5,415
1912 Nov. 402 5,881
1913 Dec. 560 8,953
1914 March 628 10,111
April 654 10,772
Mr. Arnold quotes part of a speech made by the Chairman of the Municipal Council, in
March, 1908. The Chairman says in part: "The advice which we have received from the
British Government is, in brief, that we should do more than keep pace with the native
authorities, we should be in advance of them, and where possible, encourage them to follow
us." It must have been most disheartening to the native authorities, suppressing the
opium traffic with the utmost rigor, to see their efforts defied and nullified by the
increased opportunities for obtaining opium in that part of Shanghai over which the
Chinese have no control. A letter from a Chinese to a London paper, gives the Chinese
point of view: "China . . . is obliged to submit to the ruthless and heartless manner
in which British merchants, under the protection of the Shanghai 'Model Settlement' are
exploiting her to the fullest extent of their ability."
There is lots of money in opium, however. The following tables compiled by Mr. Arnold
show the comparison between the amount derived from opium licenses as compared with the
amount derived from other sorts of licenses.
1913. Wheelbarrows Taels, 38,670
Carts 22,944
Motor cars 12,376
Cargo boats.... . . .. 5,471
Chinese boats 4,798
Steam launches.... . 2,221
Total, 86,480
Opium shops 86,386 Opium, 86,3 86
Another table shows the licensed institutions in Shanghai representing normal social
life (chiefly of the Chinese) as compared with revenue from opium shops:
1913. Tavern Taels, 16,573
Foreign liquor seller.. 19,483
Chinese wine shop.... 28,583
"" tea shop.... 9,484
"" theater. . . . . 8,74
"" club 3,146
Total.. 85,983
Opium shops 86,386
Treaty Ports are those cities in China, in which the foreign powers have
extra-territorial holdings, not subject to Chinese jurisdiction. Shanghai is one of them,
the largest and most important. The Statistical Abstract Relating to British India for
I903-4 to I912-I3 shows the exports of British opium into these Treaty Ports.
1903-4 1,610,296 pounds sterling
1904-5 1,504,604
1905-6 1,130,372
1906-7 1,031,065
1907-8 1,215,142
1908-9 2,703,871
1909-10 1,234,432
1910-11 2,203,670
1911-12 3,64,887
1912-13 3,242,902
It was in 1907 that China began her great fight against the opium evil, and enacted
stringent laws for its prohibition on Chinese soil. On page 15 of his little book, Mr.
Arnold quotes from Commissioner Carl, of Canton: "The 1912 figure (for the
importation of foreign opium) is the largest on record since 1895. The great influx of
Chinese into the foreign concessions, where the antiopium smoking regulations cannot be
enforced by the Chinese authorities, and where smoking can be indulged in without fear of
punishment, no doubt accounts for the unusual increase under foreign opium."
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