'P. 3 733/1904. Muscat :- Commercial Treaties.' [‎311r] (207/286)

Z. ’ '■ '
The Marquess of Salisbury to Sir H. MacDonell.
No. 11 (Commercial). Foreign Office,
Sir, 7th May IBIS.
I informed you in my Telegram No. 1 (Commercial), of the 6tli
instant, on the subject of the commercial negotiations, that Her Majesty’s
Government could not undertake to give an assurance that the duties at
present levied on all Portuguese articles of import into the United
Kingdom should remain unaltered during the continuance of the Agree
ment, hut that they are prepared to assent to the exclusion of the
Portuguese Colonies from its operation.
With regard to the first point, you should explain to the Portuguese
Government that, in agreeing to the terms of Article 5 respecting the
duty on v ines from Oporto, Her Majesty’s Government have made a
very large concession which, however, they are not in a position to
extend to other imports.
Their inability to meet the wishes of the Portuguese Government in
this matter arises, less from the amount of duty at issue in the case of
Portugal than from the consequences, involving the gravest incon
venience, which the giving of such an undertaking would entail in
dealing with other Powers under the most-favoured-nation clauses.
Exclusive of wine, the total value of dutiable articles imported into
this country from Portugal was (in 1896) under 112,000/., the duty on
which was just over 31,000/. The value of dutiable articles, other than
wine, imported from other countries than Portugal in 1896 was nearly
21,000,000/., the duty on which was over 20,300,000/.
These figures are sufficient to show what a serious matter to the
finance of this country would be an assurance such as is asked for by
Portugal, which could and would be invoked by other countries in the
same manner as Portugal has invoked the concession granted in 1893 to
Spain.
That concession, however, you should point out, was granted for a
short period only, in a provisional agreement that lasted less than a
year, and it found no place in the arrangement subsequently arrived at
which is now in force.
As reported in your Despatch No. 11 (Commercial), of the 7th instant,
you have already explained to the Portuguese Minister lor Foreign
A If airs that no hostile or differential legislation need he feared in the
United Kingdom against the importation of cattle from Portugal, hut
you may, if necessary, renew that undertaking officially, subject, of
course, to the assurance Avhich was given to you by the Portuguese
Prime Minister in August 1896, as reported in your Despatch Ao. 58
(Commercial), of the 3rd of that month.
W ith regard to the second assurance desired by the Portuguese
Government, Her Majesty’s Government would have preferred to see the
Portuguese Colonies included in the Agreement, hut in deference to
the wishes of Senhor Gomes, they are ready to consent to their
exclusion. It would, however, hardly seem necessary to add a
declaration to that effect to the proposed Convention, as the terms of
Article 8 do not admit of the interpretation deprecated by the
Portuguese Government.
It is, as you are aware, the object of Her Majesty’s Government to
secure, by agreement of the character contemplated, the stability of
trade for as long a period as possible, and, for this reason, they would
prefer that the instrument should remain in force for ten years instead
of five.
You should therefore endeavour to obtain the consent of Senhor
Gomes to the last article of the draft enclosed herein.
The other alterations which have been introduced are of a formal
character and need not, I think, give occasion for objection on the part