Japanese Activities in South China,

as reported in the Formosan preso.

(supplementary to remort of February 27th, 1939)

158

I.

CANTON

He

Recent visitors to Canton from Formosa include Mr.

Futami, Director of the Police Bureau of the Government

General, who appears to have found Canton not at all in

the derelict condition that he had expected, and was

much impressed by the setive work of reconstruction being

pushed forward by Japanese, both civil and military.

Another was Nr. Itagaki of the Monopoly Bureau, who states

that the honopoly bureau is planning to export cigarettes

export to Canton through Nanko Kashi, their active agents.

talks of having opened a branch in Canton on March lat,

(presumably on behalf of Nanko Koshi ). He says that

pipe tobacco is made locally, but cigarettes have hitherto

come from Shanghai, and are now very scarce. The

demand in the Japanese occupied zone is estimated at 50

to 60 million cigarettes a month, and he thinks there will

be no difficulty in starting the business with a supply

of ten million per month.

2. Mr. Fujiyama (or Toyama), President of the Dai

Nippon agar Kanufacturing Company, and also of the

Sugar Association, has been in Formosa, and hoped to pay

a flying visit to Canton, but it is not clear whether this

has materialised or not. He confirms that the Tokan

mill, whose capacity he puts at 50,000 piouls per annum,

is to be run by a joint organisation of the Association,

and states that it was to start sugar production from

March 10th

He gives an interesting analysis of the

Japanese supply and demand of sugar during the present

season, as follows:-

Supply

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