Page 31 - Gulf Precis (VII)_Neat

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Baron Bcuter, in ft letter, dated 12th November 1876, to the Earl of Derby,
submitted a proposal which ho contemplated making to the Persian Govern­
ment for the construction of a railway from Baghdad to Ispahan. A copy
of this letter was forwarded to the Govern­
Secret. June 1808, No. 42.
ment of India, by a despatch, dated 10th
December.1875, in which the Marquis of Salisbury referred to Lord North­
brook's minute of 20th May, and said ho had expressed to the Secretary of
Slato for Eoreign Affaire his concurrence in the viow therein expressed. He,
however, asked whether the Government of India contemplated that, under
any circumstances, the suggested encouragement and support should take the
form of a pecuniary grant from Indian revenues, either in the shape of subsidy
or otherwise. It was said—
*c The question does not aviso in connection with the particular scheme now put forward
by Baron K outer, which, though not without political recommendationn, scarcely provides that
direct communication botweon the Persian Gulf and the interior which Your Excellency regards
as of so much importance to Indian interests, hut as it is possible that proposals more nearly
affecting those interests may be submitted any day to Her Majesty's Government, either by
Baron Reuter in modification of his presout scheme, or by other persons independently, it is
important that I should bo placed iu possession, at an early date, of your viows on the point to
which I have adverted."
70. At this time Major Euan Smith attached to Foreign Office, made
some remarks on the case. He said that the question of opening up Persia
through British agency from the shores of the Oulf was one in which there
could he no doubt that British interests were directly involved, not only of an
Indian but an Imperial nature, and that it was the only way in which we could
expect to cope with the great strides that Russian commerce was making all
over Persia to the great disadvantage of the English trade.
“ In the Persian Gulf," he said, “ we have a field that everything seems to have marked
out for us as a natural bnfe for operations, whether of a hostile or comraeroial nature; a field
that is for the present under our absolute supervision, and ono in which, if we are wise, shall
never permit any one else to iutrude.
“ At any moment wo might bo compelled to send an armed force into Persia, and, unless
we have 6ome means of communication that will enable us to penetrate into the heart of the
country, how could we hope to compete with a possible rival, who has the Caspian for a base of
operations and a good highroad to Teherau ? It must be remembered that in the last Persian
war our troops never succeeded in reaohing even the foot of the passes that lead us to Shiraz."
71. In reply to the Secretary of State's despatch of 10th December 1875,
the Government of India forwarded copy
Secret, June 1876. No. 40.
of the following minute reoorded by Lord
Northbrook, in which all the members of the Government of India concurred,
with the exception of Sir W. Muir, who did not consider that the project of
establishing steam navigation on the Karun promised sufficient advantages
to India to justify expenditure thereon out of Indian revenues
"The proposal to whioh I alluded in last paragraph of my minute of the 20th of May
1875 is the establishment of 6team communication between Mohammorah and Shuster, on the
River Karun. Communications havo been addressed to Her Majesty’s Government upon
this subject by Messrs. Gray, Paul & Co., and by Messrs. Lvuch, which seem to show that
•there is a probability of tho line being opened out if the Persian Government would give their
consent. An article was, however, lately written at Vienna by a Dr. Poliak, for the purpose
of warning the Persian Government against the motives of the British Government, if they
should advocate such a measure. In the event of either of these proposals proceeding further,
I think it would be worth while for tho Government oF India to encourage it by some subsidy,
and Her Majesty’s Minister at Tehran might be instructed to ascertain whether the Persian
Government would bo prepered to support suoh a project without asking for any subsidy,
which the Persiun Government can hardly be in a position to give."
72. In a demi-official letter from Captain Napier, dated 8th January 1876,
be referred to several schemes which were
Secret. June 1870, No«. 47-61.
then before the Shah’s Council. One was
a project for the irrigation and colonization of certain tracts about Shuster with
the view of growing indigo for homo consumption. Another was the scheme
of Gray, Dawes & Co., which, lie said, was an honest and practicable one for
the navigation of the Karun and the opening of a new trade route into the
heart pf Persia the benefit of which, to the country, woul/1 be immediate and
appreciable. There was so much jealousy and suspicion'in the Persian mind,