Consumer price indextit
490 484 488 483 490 512 568 473 489 469 511 345 205 173 243 299 262 273 168 146 141 216 210 226 557 544 539 550 359 560 557 561 572 594 579 $60 101 100 99 100 102 106 108 106 105 105 104 103
ttt Rangoon, 1958 = 100.
Į Savings bank deposits, cash certificates *
savings certificates.
5 Wholesale price index of agric. produce,
1938-40=100.
80 96 101 110 109 245 232 310 325 437
226 211 234 308 272 189 162 158 161 209 188 543 534 528 537 547 556 565 564 582 597 102 100 99 99 101 105 105 102 102 101 101
Tons '000. Unless otherwise stated, Source:
Central Statistical & Economics Department, Rangoon.
Previous indicators published on September 26 at page 82+.
October 31, 1963
producing capacity of the country to about 464,000 kw-from only 367,000 kw in 1961. (There was no increase in installed capacity in 1961, because none of the new power projects, mostly launched in 1960, was completed in that year.)
The new Samchok plant, the second such plant to be erected in that coal- mining and industrial town, was com- pleted three months ahead of schedule. The equipment for the plant was supplied by Hitachi of Japan, which also provided technical assistance in the plant construc- tion.
The plant cost US$5.5 million in foreign exchange and Won 478 million in local currency-for a total of $9.2 million. The entire expenditures were met by the South Korean Government. Slated for completion next year are: a 132,000-kw thermal power plant in April in Pusan (financed with credits by the U.S. Development Loan Fund, and equipped by General Electric of the U.S.); a 100,000-kw thermal plant in September in Yongwol, also a coal-mining town (financed by the Government, and equipped by a West German group); and a 57,000-kw hydroelectric plant
toward the end of 1964 near Chunchon.
along a tributary of the Han (financed by the Government; the supplier of the equipment yet to be decided).
With these, South Korea's installed power producing capacity is scheduled to rise to over 750,000 kw by the end of The peak output will then next year. increase to 710,000 kw, as compared to 558,000 kw in peak demand anticipated -thus leaving a surplus of 90,000 kw, even after a standby capacity of 66,000 kw is reserved. Prior to the completion of the Samchok plant recently, the country had an estimated power shortage of 200,000 kw.
The Government is planning to eli- minate totally various restrictions now imposed on the use of electric power next year-for the first time since pre-World War II days. There is a doubt, however, whether the Chunchon plant will actually be completed on schedule in the light of a delay in dam construction.
The prospects for continued develop- ment of electric power resources beyond 1964 are not rosy: most additional pro- jects have been delayed or cancelled owing principally to a lack of foreign exchange resources --- which has become the major barrier to South Korean economic development in general.
But at least one 66,000 kw thermal power plant is expected to be completed by 1966, the last year of the current Five-Year Plan, because the funds for this
plant, to be located in the port city of Kusan, have already been made available by the Development Loan Fund.
Although the Five-Year Plan had originally scheduled to increase the in- stalled power generating capacity of the country to one million kilowatts by the end of 1966 (a surplus of 68,000 kw in actual production), the aim has now been lowered at 810,000 kw.
Even so, the country will not likely have a power shortage in 1966 in the light of the current slowdown in indus- trialisation, caused principally by a foreign exchange crisis that cannot pro- bably be solved for several years to come.
Term of Profit
From Kazuo Takita Our Tokyo Correspondent FIFTY-FOUR major ship operating com- panies in Japan receiving Government interest-payment subsidy reported general during the first half (April-September) of improvement in their business returns
the fiscal year 1963. According to reports received by the Transportation Ministry, they registered more profits than their normally-required depreciation during the half-year, making the first such good showing in the past six years.
According to the Ministry, the com- bined semi-annual revenue of shipping companies still in chronic de- pression amounted to Yen 142,200 million, 35% more than the preceding six-month accounting period ended September 30. Against this, their combined expenditure for the same period totalled Yen 121,400 million (or 2.8% more).
the
The resultant pre-depreciation profits may be estimated at Yen 20,800 million, or Yen 3,400 million ahead of the preced- ing bookkeeping period. The figure is 1.7% larger than their normally-required amount of fixed asset depreciations for the period. These companies had never done so well through their past eleven semi-annual bookkeeping periods since April, 1957.
What will be left after normally-re- quired depreciation is completed will be used to fill part of the accumulated de- preciation shortage. Their once-mount- ing depreciation shortage at the end of September should have decreased about Yen 90,900 million, or Yen 5,400 million less than six months before because they have sold or dismantled many inefficient or superannuated ships.
to
Among the companies that predicted better business results are the Nippon
Page 297 273 Yusen Kaisha (NYK), Mitsui Steam- ship, Kawasaki Kisen K. K., Nitto Shosen K. K., Mitsubishi Shipping, Daiichi-Chuo Kisen K. K. and Taikeiyo Kisen K. K. Particularly, NYK estimated its earnings before deduction of deprecia- tion charges in the term under review at Yen 3,100 million. OSK's earnings before deduction of depreciation charges were placed at Yen 2,100 million and Mitsui's also at Yen 2,100 million.
The possible general improvement in business records is considered to have been brought about by a combination of several factors, including:
(1) increased tonnage of liner cargo hauled; (2) no strikes; (3) raised freight rates for tramp cargoes; (4) improved ship turnround ratio; and (5) the dis- posal of relatively large amounts of assets by various companies to ameliorate their financial status in preparation for the coming integration in the shipping in- dustry.
The estimates of results in the term re ported to the Transportation Ministry as of the end of September by principal shipping companies are as follows (all figures in Yen million; figures in brackets represent those for the previous term): Ship-operating firms (gross revenues, earnings before deduction of depreciation charges are given in the order mentioned): NYK 18,673 (17,660), 3,107 (2,624); OSK 14,571 (13,674), 2,100 (1,410); Mitsui 15.835 (14,471), 2,150 (1,402); Kawasaki 14,278 (13,497), 1,841 (1,507); Shinnihon 5,540 (5,455), 453 (414); Yamashita 7,652 (7,492), 702 (671); Shinwa 5,117 (4,654), 883 (539); Nissan 3,410 (3,464), 363 (429); Daiichi 3,446 (2,809), 430 (251); Hinode 1,431 (1.585), 41 (100); Nippon Oil Tanker 2,697 (2,442), 682 (597); Mitsubishi 5,030 (4,659), 710 (476): Terukuni 1,384 (1,300), 428 (316); Nitto 6,140 (5,898), 1,700 (1,605).
Daido Kaiun K.K.. which settles its accounts once a year, is not included in the above list. In sharp contrast, the companies whose main business is leasing ships generally forecast worse
the business records in
term under notice. Ship leasing firms (earnings before depreciation charges only are given): Meiji Kaiun K.K. 283 (301): Inui Kaiun K.K. 87 (94); Kyoci 231 (426); Sanko 348 (351);
Taiyo 150 (199); Tamai Kisen 92 (123);
Kyoritsu Kisen 88 (88). These estimates are usually nearly the same as the actual business results.
Merging into "Big Five" Meanwhile the Transportation Minis- try has provisionally approved final plans for reorganisation of the shipping in- dustry through regrouping of enterprises
to
prepare for liberalisation shipping operations. More than two major opera- tors with their subordinate companies are
each into required to merge groups pos sessing bottoms exceeding 1 million dead- weight tons.
Each group thus organised will be given financiabanpostfrom the Govern ment in the form of shelving past in-
274