May 28, 1895-1
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ÕHINA OVERLAND TRADE REPORT.
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means probably only a short delay, for the British Government will no doubt now insist on the concession. The present is a favourable. time for urging on China such concessións. as can reasonably be demanded, and advan tage should be taken of it to secure amongst other things the opening of the West River, which would be a benefit alike to China and to foreign trade. It is no use deferring any longer to the obstructiveness of Chinese officialdou. The utter corrup tion and hollowness of the administration bas been exposed by recent events though it was well known without the exposure and compulsion should now take the place of argument when any foreign Powers has a just demand to prefer.
THE HONGKONG SUGAR INDUSTEK,
local stock-market.
Sugar re
to prevent. Japan becoming a continental maries of it that have been previously pub- Power, close to the eastern terminus of her lished, except as regards the commer great Trans-Siberian railway, and as likely cial clause (VI.), in which there are. to constitute a standing menace to the in- some important variations. A treaty of com- dependence of Korea. But the former might merce and navigation and a convention have been arranged by a rectification of the "to regulate frontier intercourse and trade,' Siberian frontier, the latter will exist so as it is expressed in one translation, or a long as Korea is under a Japanese pro- convention regarding "overland communica- tectorate, which is generally admitted to be tions and trade," as the term is rendered in necessary. Russia would, however, prefer another, are to be concluded hereafter. The to administer Korea herself, and may yet convention regulating the frontier or over- find a pretext for intervention in the affairs land trade was presumably projected with of the Hermit Kingdom. The way for this reference to the trade between Japan's pos- is to be prepared by the cession of a strip of sessions on the mainland and China, but after Korean territory and a port to Russia. Ac- the retrocession of the Liaotung Peninsula counts vary as to the sise of the territory to there will be no occasion for such a conven- be acquired, but there seems no doubt Russia tion and that point may therefore for all is to receive something as the price of practical purposes be considered eliminated her acquiescence in the terms of the from the treaty signed on the 8th inst. The Treaty as
amended by the excision of treaty of commerce and navigation will the clause ceding the Lisotung peninsula refer to the trade conducted through the to Japan. It is possible that the two other open ports, and it is on this that the main in- China Sugar Refining Co., Limited, would The present quotation for the shares of the protesting Fowers, in their desire to outbid terest of merchants and manufactures centres. each other for the friendship of the Great The commercial treaty may carry matters a
seem to show that the Hongkong investing Bear, may have joined in the protest with- good deal further than the main treaty does, the prospective competition from Japan, and, public attach an exaggerated importance to out any actual stipulation as to their re-but the agreement as outlined in the latter indeed, the whole history of this Company. ward, and Bussis, may have considered that does not secure such large advantages for affords a striking illustration of the vagaries the satisfaction attending a good action foreign trade as had been expected and hoped of our would be all they could possibly crave. At for. The following cities, towns, and ports fining is our principal local industry and any rate, it would seem as though no definite are to be opened, namely, Shashih in the pro- the following figures of the net earn proposal had been made to benefit either vince of Hupeb, Chungking in the province ings and the dividends paid by one of France or Germany, and as the former covets of Szechuen, Suchow in the province of Kiang- the two companies engaged in it may bể Formosa she is presumably greatly disap-su, and Hangchow in the province of Chekiang; found useful, for the future must be read pointed that the chief hopey getter did not steam navigation is to be permitted on the in the light of the past. The China Sugar lend assistance in this direction. Meantime Upper Yangtsze as far as Chungking and Refining Co., Limited, was formed in 1878 it is plainly apparent that the Japanese on the Woosung River and Canal to Su-with a capital of $600,000. The capital hat Government do not intend to be "ohoused chow and Hangchow; Japanese subjects been from time to time increased, as the out of the possession of the "Beautiful (and therefore the subjects of all the Treaty growth of the business rendered extensions Island" either by Chinese revolt or foreign Powers) purchasing goods or produce in the interference. They have, it is reported, interior of China or transporting imported The net carnings and dividende have been as
necessary, an
and it now amounts to $2,000,000. firmly insisted upon the island being handed merchandise to the interior are to be entitled over without delay, and the Chinese Govern- to "temporarily rent or hire warehouses for ment, in spite of their proverbial procrastina-" the storage of the articles so purchased or tion, will be compelled to surrender it or transported without the payment of any take the consequences. There are many taxes or exactions whatever;" and Japanese thousands of Chinese soldiers in the island, subjects are to be free to engage in all most of them in a state of revolt, but the kinds of manufacturing industries in Japanese will not be deterred from entering all the open cities, towns, and ports of into possession by the fear of an un-China, and to import into China all kinds of disciplined mob of "braves," who are machinery. It will be observed that there is equally rebels against the Emperor KWANG no provision for the abolition of likin, but SU and the MIKADO and will receive short when the commercial treaty comes to be shrift unless they lay down their arms and concluded it will no doubt be provided depart peacefully for China. The English that no irregular squeezes are to be and German fleets have landed some marines levied. The qualification by the word to protect British and German subjects attemporarily" of the right to rent ware, the Formosan ports, and it is reported the houses in the interior makes the provision French have landed a body of blue jackets, vague and is to be regretted. Would it be but, as there are no French merchants in permissible to rent a warehouse on a long Formosa, it is difficult to say for what legiti-lease? Persons doing a regular business mate object. We only hope that the French with particular districts in the interior would Admiral will have the good taste and com- naturally desire to make arrangements for mon sense to avoid coming into collision the storage of their goods that should with the Japanese Authorities in Formosa, have some measure of permanence, for for if any disturbance between them arose business of this class would be almost as he would undoubtedly be responsible if he impossible as at present if special arrange- has landed the men without having any ments as to warehousing had to be made in re- French interests to protect. We should be ference to each consignment. This matter also sorry indeed to see a new quarrel arise out will therefore require more precise regulation the greed or jealousy or imprudence of any in the treaty of commerce. The establishment Western Power, more especially as it seems of the hitherto disputed right of foreigners now entirely and easily avoidable. If any Power had a right to intervene it was Great Britain, who has large commercial interests in the island, and as she does not see fit to protest, France certainly has no locus standi
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in the matter.
to establish manufactories in China and to import machinery is a substantial gain and will probably have large results. The right of steam navigation on the Upper Yangtsze and to the towns of Soochow and Hangchow will also prove valuable. It will be noted, however, that no mention is made of the THE CHINA-JAPAN TREATY.
opening of ports on the West River or the The text of the treaty between China and establishment of steam navigation on that im- Japan will be found reproduced in another portant waterway. It was reported that the column. It includes, of course, the agree towns of Shuibing and Wuchow were to be ment as to the surrender to Japan of the opened and that steamers were to be allowed Liaotung Peninsula, the retrocession of that to ply to those places. This would have been an territory being provided for in a supple important gain to Hongkong and disappoint mentary agreement not yet published. In ment will be felt that the report has turned the main the text corresponds to the sum-lout to be incorrect. The omission, however,
follows:-
Net Divi. earn. dends
Net Divi carn. dénda: ings. per cent./ $107,370 12
ings, per cent.
1878
$58,248 8.
1887
1879
182,915 10
1888
225,040 14
1880
149,796 12
1829
874,722-23
1881
138,865 10
1890
124,967 9,
1832
124,270 12
1891
175,797 11
1883
-151,113 12
1892
289,783 14-
1884
32,645
1893
460,031 19
177
1894
234,485. 12..
1885
1886
148,330 12
After the Company had been in existence for two years the shares were saleable at 100 per cent. premium, and continued in that neighbourhood for some time. Then another Company was started. It was thought that ployment for two refineries, and the condi- the market would not afford profitable em- tions for profitable working being for a time unfavourable the stock sustained a heavy fall, the quotation dropping considerably be low par. It was soon seen, however, that the gloomy forebodings were not justified by the facts, and in 1889 the dividend resched the remarkably handsome figure of 251
per tion was indulged in, the quotation finally cent. On the strength of that wild specula- touching 200 per cent. premium, a rise which before, for it was not to be expected that was as unjustified as the fall of a few years
a dividend of 25 per cent. could be per manently maintained. When the share crisis of 1889 took place the stock fell from its inflated quotation, and after considerable fluctuations it is now down again almost to par. In an industrial concern of this kind it must of course be expected that there will occasionally be a year of phenomenal profits and occasionally a year of small profits or even a loss, but the past varia- tions shown in the profit and loss account cannot be held to justify, on sound business principles, fluctuations amounting to over 200 per cent in the quotations for the shares. During the past ten years the earnings of the Company have amounted to more than its pre- sent capital and its average dividend has been over 18 per cent. We are not concerned i