844 FUNCTIONS OF THE 



They also meet to resist exaction or oppression on 

 the part of the officers of Government. In fine, it 

 is an association for the preservation and promotion 

 of the interests of the trade, and no more. Price is 

 not interfered with, and each individual maintains 

 a perfect independence in all his dealings. Further, 

 it appears to me, that the character and privileges 

 of the Hong merchant have in recent times been 

 greatly misunderstood. The term Hong merchant 

 is more especially applied to the particular class 

 of merchants connected with the maritime trade. 

 Properly considered, they are bonded warehouse 

 keepers, and not merchants. Occasionally they 

 act in both capacities. Nor is the term simply 

 confined to merchants trading or dealing with 

 foreigners. Each maritime province, I was in- 

 formed, has its regularly appointed and licensed 

 Hongs throughout the empire, through which all 

 goods landed or shipped must pass by a proper 

 document or clearance from the Custom House. 

 Thus the particular set of merchants who were ap- 

 pointed at Canton to be the sureties for the payment 

 of duties on goods connected with foreign vessels 

 were termed foreign Hong merchants, in contra- 

 distinction to those from Fokien or Tien-sins:, 

 who were designated Fokien or Tien-sing Hong 

 merchants. Now, the Chinese importer has com- 

 plete control over his own goods, sells and buys 

 in the open market, and pays his own duties. The 

 office and privilege of the Hong merchant is to 



