SWATOW

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cotton piece goods; and taxation by the provincial authorities. The value of importations of native rice rose from $4 million to $12 million. A decline in the value of arrivals of native beancake, however, from $13.3 million to $3.5 million partially offset this large increase due to rice. Importation of native wheat flour also showed a decline amounting to 800,000. Increases in arrivals of native goods were shown by sugar, cigarettes, ramie, cotton piece goods, cement, and matches. The export trade with foreign countries was most prosperous during the year. The main distribution to this increase was made by embroideries and drawn-thread work. The products of this industry sent abroad were valued at $11.2 million as against $7.4 million in 1935. The major portion of this work went to the United States of America, where, thanks to the lifting of the trade depression, demand for this goods was heavy. With few exceptions, all commodities produced in the district were exported abroad in greater quantities than in the previous year. This may be attributed to good harvests, although oranges suffered at the end of 1936 due to a very dry autumn, the low value of the local dollar, and good demand owing to a return of prosperity in the Straits Settlements and Siam. The most valuable export, apart. from drawn-thread work, was garlic; 125,586 quintals valued at $913,648 was exported abroad compared with 92,438 quintals in 1935. Exports of oranges were valued at $882,000 Compared with $735,000 in 1935. Other products of the district, exported in quantities higher than in the previous year were salted turnips, hemp-skin, fishing-nets, kittysols, 1st quality paper, fresh eggs, joss paper, goose feathers, hides, and fishery products. The lead in coastwise exports was taken by sugar, which increased from $13.9 million in 1935 to $16.3 million in 1936. A large amount of sugar is now manufactured and shipped coastwise by the Kityang Sugar Factory, constructed by, and under the auspices of, the Provincial Government at the end of 1935. Other large in- creases in domestic exports were joss paper, from $1.4 million in 1935 to $2.1 million in 1936, and old gunny bags, from $400,000 in 1935 to $1 million in 1936. Old gunny bags are imported into Swatow in large quantities from the Straits Settlements and Bangkok for re-export to the Yangtsze Valley, where a good rice crop creates a strong demand for them. The harvest of fresh fruits and vegetables produced in the district was excellent, and the export trade in these commodities benefited accordingly. Swatow is essentially an agricul tural centre, and there has been little large-scale industrial development. Even the embroidering of linen is for the most part a cottage industry. The Pro- vincial Government's sugar factory at Kityang is the only one in the district operated on modern lines, but there are numerous small native-style factories in the neighbourhood. Native refineries where kerosene is distilled from foreign fuel oil declined in number from 33 at the beginning of 1936 to 17 at the end of the year, due to the imposition, after the dissolution of the South- west Political Council, of full import duty on fuel oil. During the year the Eng Aung Tong Factory, where medicinal preparations are manufactured, expanded their premises, and their business turner during 1936 is stated to be $2 million as compared with half that amount in the previous year. Matches, canned goods, cotton thread, fish gravy, soap, and flashlight batteries are manufactured locally, but only in small factories. Development in road construction during the year was negligible in Swatow and the surrounding neighbourhood. A new bridge, instead of the present pontoon structure, is being built across a branch of the Han River to furnish access to the Swatow Station of the Chaochowfu Railway. In addition to national currency, there are also in cirkulation at this port Swatow local currency, issued by the Kwangtung Provincial Bank, and Merchants' Certificates. After the demise of the South-west Political Council the Central Government hoped eventually to establish national currency as the only legal tender, but the obstacles encountered proved very formidable, and at the end of the year Swatow currency had as wide a circulation as previously, whilst exchange stood at about Swatow $1,220 equivalent to Standard $1,000.

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