Besides Viceroy Tsang Kwoh Fan, whom I counted upon to back me in furthering the scheme, Ting Yih Chang, an old friend of mine, had become an important factor to be reckoned with in Chinese politics. He was a man of progressive tendencies and was alive to all practical measures of reform. He had been appointed governor of Kiangsu province, and after his accession to his new office, I had many interviews with him regarding my educational scheme, in which he was intensely interested. He told me that he was in correspondence with Wen Seang, the prime minister of China, who was a Manchu, and that if I were to put my scheme in writing, he would forward it to Peking, and ask Wen Seang to use his influence to memorialize the government for its adoption. Such an unexpected piece of information came like a clap of thunder and fairly lifted me off my feet. I immediately left Suchau for Shanghai. With the help of my Nanking friend, who had helped me in the work of translating “Parsons on Contracts,” I drew up four proposals to be presented to Governor Ting, to be forwarded by him to Minister Wen Seang, at Peking. They were as follows: FIRST PROPOSAL The first proposal contemplated the organization of a Steamship Company on a joint stock basis. No foreigner was to be allowed to be a stockholder in the company. It was to be a purely Chinese company, managed and worked by Chinese exclusively. To insure its stability and success, an annual government subsidy was to be made in the shape of a certain percentage of the tribute rice carried to Peking from Shanghai and Chinkiang, and elsewhere, where tribute rice is paid over to the government in lieu of taxes in money. This tribute rice heretofore had been taken to Peking by flat-bottom boats, via the Grand Canal. Thousands of these boats were built expressly for this rice transportation, which supported a large population all along the whole route of the Grand Canal. On account of the great evils arising from this mode of transportation, such as the great length of time it took to take the rice to Peking, the great percentage of loss from theft, and from fermentation, which made the rice unfit for food, part of the tribute rice was carried by sea in Ningpo junks as far as Tiensin, and from thence transhipped again in flat-bottom boats to Peking. But even the Ningpo junk system was attended with great loss of time and much damage, almost as great as by flat-bottom scows. My proposition was to use steam to do the work, supplanting both the flat-bottomed scows and the Ningpo junk system, so that the millions who were dependent on rice for subsistence might find it possible to get good and sound rice. This is one of the great benefits and blessings which the China Merchant Steamship Co. has conferred upon China. SECOND PROPOSAL