1953-10-12 — Page 9

Tel: 20051.

M

THE CHINA MAIL, MONDAY, OCTOBER 12, 1953.

MARITIMES German And Japanese

Competition Can Be Expected To Increase

MESSAGERIES

P.B. Box.68, Queen's Bldg.

M

“VIET NAM

To Marcelles

FAST PASSENGER/FREIGHT SERVICE

From Matullia

"CAMBODGE"

21 let.

Yokohama

Leave Marseille

live ....

Por

4 Oct.

•

1 Nov

12

Nov.

Leaves Hongkong

Doa Markolifes

"LA MARSEILLAISË”

21 Oct.

1) NOT.

*VIET-NAM

1 Nor.

26 Nov.

"CAMBODGE"

Dec. 2

Dec.

Vin

Halgon Saigon Salgen

Via Marielles to all Mediterranean & West African Porta

Vi■ Djibouti - to MadaganCAT.

FREIGHT SERVICE

Left

Die ILX. 23 ***Antwerp- 1,8ept.

Vel. .......Dunkirk-curly Qet, 21 Nov.

From Europe

"IRAQUADDY"

"MONKAY"

Те Енгарь

"COURSEULLES"

"AURAY"

"IRAQUADDY”

T.exves Reeling

30 1.

100

Ort

16 Nov.

Lenchu TK.

In

Port

3 Nov.

19

Nov.

Fot

Manila & Japan Manila & Japań

For

1

沓

Saigon, Singapore, Djibouti, Marseilles, Algiers, Oran, Tangkra

Casablanca, La flavte, Antwerp, Rotterdam & Dunkirk, Aubject to chango without Wolice,

EVERETT LInes

EVERETT ORIENT LINE

Fast regular freight-refrigerator-passenger Hervice to Koren, Japan, Philippines, Indo- China, Siam, Malaya, Rangoon, Calcutta and Chittagong.

"BRADEVERETT"

Arrives Sails

Oct. 19 from Manila.

Singapore, for Oct, 20

"REBEVERETT"

Arrives Salta

Rangoon

Oct. 31 from Singapore. Nuv, 4 for Kobe & (Accepting cargo for transhipment Kobe/Pusan and Kobe/Okinawa)

Penang. Cuteutta.

Yukobama.

EVERETT STAR LINE

Fast regular freight-refrigerator-passenger Bervice to Korea, Japan, Philippines, Indo-

Malaya, Colombo, China, Slam,

Karachi and Persian Gulf Ports,

"STAR BETELGEUSE”

Arrives Sails

“LAO

ham,

Bombay,

Del, 10 from Jappon. Oct, 20 for Singapore, Port Swetten- Penang. Madras, Colombo, Cochin, Bombay, Karachi, Pasrah, Khor- ramshahr & Bahrein.

Arrives Sails

Oct. 22 from Singapore. Oct, 23 for

Puson,

Kobe

&

Yokohama,

4

(Accepting cargo for transhipment Kobe/Pusan and Kobe/Okinawa)

EVERETT STEAMSHIP CORPORATION S/A

(Incorporated in the Republic of Panama

With Limited Liability

Queen's Building, Telephone 31206............... Chinese Department: Telephone 28293.

U.K. Steel

Industry'sTM Future

London, Oct. il The dangers of too ambitious developments

British of the

Statistical

BUYING

AGENCY

ENGLISH PAPER'S PLAIN SPEAKING

Producing More Cotton

in

From time to time concern has been express- ed in this country on account of the re-entry of Germany and Japan into world markets, says the Liverpool Journal of Commerce.

It has been suggested that exporters in these ex-enemy countries have adopted "unfair" trading methods in order to make inroads into markets which, since the end of the Second World War, have been held by British firms.

There may well be some truth in theso allegations, Xalthough it should not be overlooked that the term "unfair trading methods" is one which is difficult to define.

ac-

Raw cotton production Communted countries now coeds the pre-war level, cording to preliminary figures for the 1952-53 season recently Issued by the International Cotton Advisory Committee.

Production in these countries Is but at 6,020,000 bales, and though slightly under the 7,000, 000 bales harvested in the pre-

due

On the other hand, it is in- ing well abroad on merit, just teresting to note that although as Jagattese textiles are doing markets which are not there has been much criticism in

10 effectively barred to them by because of the lengths

Germans and import restrictions and crippling which the Japanese are prepared to KO cuties. with the object of altrecting It is true that production vious senson, shows the second custom, examples of the un-coots In both Germany and best total since the war jand compares with 8,135,000 bales for methods they have been Japan are lower than In Bri

this is mainly sald to employ are not usually tain, but for the 1938-39 season.

given by the critics,

to the fact that Germons and But whatever the truth may Japanese are prepared to work Russia supplies the largest

hours and longer portion at 4,000,000 bales, about be, whether our principal com- harder for

Britons. the same as in the preceding petitors are fair or unfair, there for less money than

They should not be criticised season, but well above earlier does not seem to be much that

we in Britain can do about it, on this score. post-war years, when the col-unless it be to fight them with

3- fon oulturn was under the

their own weapons. million

hales, Production in 1030-30 was 3.8 million bales.

season.

war

What Can be said with Is that Increasing on from Germany and Japan-and other countries. too, for that matter, since In- dustrialisation

gradually

dis-

In China, too, production has steadily risen since the war. I touched 3 million bales in the 1951-52 season, and according throughout the world to reliminary Agures,

be experienced as time around 2.0 million bales last goes on, and it is rather

In the 1938-30 season concerting to discern so much China produced 2.3 million defeatism among British manu- bales. For Eastern Europe, Д facturers, especially as tar os 15 concerned; Ja- figure. of 120,000 bales is cat- Germany mated, easily the best alace the panese competition seems to be war. For Communist countries confined mainly to textiles. generally, the Eastern European nations show the greatest per-.) centage increase of about 250 per cent on 1938-39 production, when only 34,000 bales were harvested.

With changed

NO GAINSAYING That the Germans produce goods engineering first-class cannot be gainsaid..

German-made private cars, for example, are now being Im- ported into Britain for the first time for 14 years and are being enthusiastically received.

does no

over cars of

be

British Shipping Industry

L

|

TRADE POLICY OF U. S.

Prosent Position

And A

May Change

Page

Pakistan Return To Solvency Admirable Feat

In 1952, friends of Pakistari were appalled at the spectacle of a great country galloping madly, and at times even gaily, to bankruptcy.

Her Government began the year in a mood of obstinate refusal to see the signs of the ap- proaching crisis and continued to spend as lavishly as though post-Korean prices would last for ever.

•

By SYDNEY S. GAMPELL Reuter's Financial Editor If, as appears, an utterly unhelpful U.S. import policy is to be aggravated by an actually disruptive U.S. ex- port polley, the outlook could become very black.

So far, everything has been lovely. In the second quarter Suddenly, about the middle of ginning to improve in that re

the year, belated realisation of spect and there is much scope for transactions with the. US. In- creased the net gold and dollar their parlous position drove British business in Pakistan's assets of foreign countries

by them into a wild panie.

development schemes,

On the Pakistan side, except 3030 million, a most gratifying gain, second only to the gain of The one man in the Cabinet for the import restrictions, which 3800 million in the first quarter who could have coped with the are recognised an unavokabic,

continuance of gains situation was seriously ill. and conditions in Karnehf, are dis. which have been going on ever in his absence the Government tinetly more favourable to the since April of last year. The wrbarked on drastic measures Brith businessman than they foreign countries used about which completely dislocated trade were last year. In the Depart $180 million to repay long and without radically improving the ments of Government there is short-term debts to the U.S., position. Foreign expkalists began

an obvious spirit of helpfulness and added $450 million to their to lose interest in a country whose inspired directly by the

new reserves. The gain of $830 mil-Government showed neither grip Prime Minister. Non exceeded the amount of nor understanding.

Delays in sanction to remit U.S. Government foreign aid by The Finance Minister, Mr profits were a matter of criticism more than $200 million. The

The Mohammed All, returned afte: last year. The position has now U.S. Department of Commerce is inness to a desperate situa- considerably improved and the points out that this does not tion. The measures which he State Bank and Finance Depart. imply that foreign countries could balance their dollar ac proposed required the backing of mert are making great efforts to z Government which knew its sort out some of the dimeult tea counts through commercial

own it and it may have been garden cases, transactions, because there are partly for this reason that the One trouble has been that

restrictions on foreign dol- Governor-General, zu!

himself

Pakistan tea companies have not lar payments and because more finence man, dismissed the Nazi- than $000

always understood the million of

prin- foreign muddin Government and ap- dollar receipts represent foreign pointed Mr Mohammed All-not ciple governing sanctions to re- expenditures by the U.S. armed to be confused with the Finance Investment must be kept intact mlitances-it is that Pakistan Minister-as Prime Minister.

as it was at the time of parti- tion. A

An understanding of this A NEW GRIP

principle, together with personal The business visitor to Karachi | discussions with the State Bank then $200 million in the second today is conscious that a now in Karachi in difficult cases, will quarter of this year. The IMF grip has been taken on economic produce the desired results.

The dissipation of believes that the suppressed de-fairs.

Pakistan's external resources has mand for dollar goods (sup-been checked, and though the

forces.

-30

nid,

The fact remains that, without Any

U.S.

Government foreign countyles would have had a dollar surplus of more

pressed by restrictions) may be smaller than is commonly posed. The US.

milltary penditures abroad are expanded

CX-

for the sake of US. strategy: they cannot be turned off like a tap. If and when they do de- iseline, there should be an offset

ting benellt, as the Department Commerce also points out, dollars

received

by foreigne countries from this source, un-

of

It must be recognised

INTERNAL FINANCE

As regards internal finance,

gress

The

The

PTO-

sup-gures are not as favourable ar

had at one time been hoped. It the budgetary position has been seems clear that Pakistan will distinctly improved, frat by the have a small favourable balance resolute pruning of expenditure, both civil and military, and of payments this year.

secondly, by the sole proceeds that RGUH

of Pakistan has achieved a genannt drastic reduction of the ureus

the American wheat. of payments by the unpleasant und method of buying very little from under Jute and the general contraction of trade will affect abroad.

The polley is not

revenue adversely, but on

this should be like pid, require the use of their tal can be continued Indefinitely tong-terin view

but I will serve unth two resources, which, in principle, at

10 factors begin more than offset by the many aneliorative least, would be available for the

in pro- Pakistan can and will development schemes oporate. production of export goods and become self-sufficient in coarse gress both in the publle and in services when the military de-cotton textiles and in food, cloth- | the

Private sectors of the mand dcolines.

marked Nevertheless,

there are some ing the great majority of her economy

people from domestle production

in the expansion less encouraging aspects. In by 1955.

| Chittagong, Port this year, the the conditions of ascendant U.S.

In food production, too, pro- fact that the Chandrakonn nationalism, fa which U.S.

abroad

mls will shortly be gress is being made, though here paper. milliary expenditures

the dimculties are perhaps grea-operating, and the starting of would be out, it would not be

ter. In years when the monsoon Sul gas are alléhcouragífic easy for foreign countries cor-

their poor, waters from the Indus enlarge

does not respondingly

group of rivers will bo export earnings of dollars, ta

sumleient for Pakistan's irrigde Pakistan is by any means out the U.S. or in competition with

tion needs unless great new of her financial dimculties. storage schemes are undertaken Until she can feed herself, and the U.S.: foreign countries might then be doing well if they suc-

waters satisfactorily until she can balance her pay- ceeded in maintaining the pre- and the

allocated by the World Bank ments without cutting imports scnt level of dollar export

Pakistan, too drastleally. between India and

there will earnings,

Nevertheless, it is not unduly continuing cause SERIOUS POSITION

for vigilance

The world must nevertheless the way the Finance

to

ures.

thean that

The efficiency of the Bri- tish shipping industry particularly difficult to assess from outside, since many of the problems of the industry

are unique to, it- self.

Thore are certain things which British political con-

stord

out. Very few difjor making it difculi fo

ships are laid up, while the

pul these countries to purchase US

United States has had 10 colton, it FCCINA fairly obvious

The enthusiasm would

about half Ita merchant ionnuge that the smaller Eastern Euro- greater if

the prices were in reserve. That is certainly a are making all lower, but a heavy import duty convincing sign of erinpetitive pean countries out efforts to grow more cotton.

Casures ton. of one-third

that on superiority. On the .her hand, Whether this is an economic price grounds the German pro-there has been a steady fall in proposition does not matter: the duct

gain any ad- the United Kingdom's ghore of vantage cotton is wanted, so these coun- van

similer the world thipping trade. Irics are bringing land under size and tot made in Britain;

addition, of

The article by the president of there In cotton cultivation which former-

course,

the Chamber of Shipping. M. ly was not used for that purpose,

are heavy transport costs.

But in overseas countries, Anderson, in the latest issue of But the Communist countries

foreign where all

are the National Provincial Bank cars are still not producing enough liable to the same ad valorent Review, contains much useful in-

their mills. Prell- duty, cotton for

German cars have

formation, particularly statistical, with minary estimates put total con-

considerable

on which a clearer judgment can Unfortunately, the

There

is still a serious maldis-optimistic to believe that by 1956 and even anxiety. sumption for lost season at sometimes to the detriment of be formed.

At at the latest, in a normal year reserves, tribution of gold 7,328,000 bales, against produc- those made in and exported conclusion of the article, which

foreign Pakistan wl be able to feed admire, presents the tose for depreciatiun the end of June, total ̈tion of" 0,020,000 bales. This is fromTM Britain.

on replacement cost rather than gold and liquid dollar assets, at herself while in-a-good-your-sho Minister-and-the-new-Govern the best post-war total but still

on historie, is given an excessive

about

millon, were may even once again be able to ment have tackled the frighten- $21,600 falls short of 1938/39 usage by

emphasis,

ing problems does

bequeathed not appear It

about $1,000 million higher than export cereals, about 400,000 bales,

them. In the Arst place, they are that at present the market fer

at the end of 1945, and

wem The Finance Minister's IMPORT POSITION gold said to be superior mechanical- | now ships can support any rise in as high as the monetary

next Job is, perhaps, to try to Sy, rul,

internal in the second. to be prices, and the argument for stock of the U.S. which Was

lower

commodity By 1055 or 1058, then, we can.

If he succeeds in thai, cheaper to buy and to run.

$12,500 million. But more than change in accounting procedure

prices. substantial improve Pakistan will be firmly on the expect a Compeition In this sphere is is less cogent now than at any $4,000 of the foreign gold and

similar to that

ment in Pakistan's foreign ex- dollar assets belong to Canada ex-time since the war. It would at probably

in many olliers. best provide one way in which

STILL SHORT. China

(last consumes season's estimate) about 3,100,- 000 bales, the

same as in the

сал

to

Move By Indonesia "friendly" countries. other

steel industry were stressed, in

Singapore, Oct. 11. article

the

Government The Indonesian Bulletin of the British Iron and has made a move to protect the Steel Federation.

country's rubber Industry by announcement that it is prepared to finance the forms don of a central rubber pur chasing 'agency:

The article stated estimate of 21,000,000

alecl for 1957-58

must

the an that

of tons requirements

be accepted as A reason- able basis for the intiustry's

$11

met

success.

NOTHING UNFAIR

►

IN A STRONG ships are now competing for the

POSITION

js

of

fallen.

NOT FAVOURABLE

nearly

Times.

be

to

and Switzerland. The remainder change position. In the mean-road to recovery-The Financial are held by countries with total time, we shall have to be content imports of about $47,000 million with what little relaxation in 1952 (omitting trade between Import restrictions the Finance aterling

countries) as Minister in able to give in spite against

Canada and | programme. Switzerland. So the distribution

area

million to imports of $15,000 of the beavy Goverment import

that агса

tho

Spinners' Federation Warning

Manchester, Oct. 11. The International Federation

preceding season, but still short perienced RUBBER

of the 1938/39 total of 3,295,000 There is nothing unfair about the challenge of growing com- bales

Russia, while increasing il, and German goods are sell-petition could be met. her consumption since 1945, has

As the article, in fact, shows, not got back to pre-war levels

the great problem is that more Lust season her mills used 3,150,000 bales whereas in the 1938/39

available trade. Germany and

of The position established #cason consumption totalled more than 3,8 million.

Japan are trying to recover in

of reserves is $20 billion for importers in extremely difficult. shipping, as in other trade, the

three countries with imports of Not only do they suffer from the Maybe her mills have kept down

$15 billion, and $17 billen for unavoidable output so that

position they held before the the raw cotton

reduction in war. Nelther country has yet countries with imports of about quanturn diverted be

The Hague, Oct. 10.

of imports, but they reached its full capacity, al- $47 billion (even supposing The Anancial position

ore also hit by the issue of trade within the sterling extremely though freight rates have already

licences direet to manufacturers, Dutch shipyards Eastern Europe, of course, has

and the strong.

of number

requires no backing of gold and little hope of being self sumelent orders booked guarantees

dollar reserves which is not

Representations are being made to the Government ab full

about this, raw Colton. Against employment for

quite true). at least two

cna It is to be hoped that at any estimated mill consumption of

to shipping years, according

In addition, the subsidisedMoreover thous to mod as rate those manufacturers who so of Master Cotton Spinners and 1,278,000 bales these countries circles.

fleets of France and Italy are

is not neatly so good wish may be allowed to endorse Manufacturers Associations has In the second quarter. One can only 120,000 bales.

competing for traffic. Other in-

their Import leences to the warned that stable world trade produce

never be sure of the current U.S. The value of orders placed dustries might face this com Consumption in this area, too,

figures, because US, gold losses established importers through would be endangered. if Japan has touched the best post-war with the three largest shipyards petition with equanimity, but

to the Genèrai are sometimes reported belated-whom they have always bought were admitted of rates ex-is as follows: De Schelde Ltd, shipping the reduction level and shows a marked

Agreement on Tariffs and Trade needed. florins, has

ly: But, as the figures sland, what they' no favourable effect on pansion on the 1938/39 Agure Vlissingen, 270 million

Pakistan has been fortunate in (GATT). the outflow of reserves from the Nothing the shipping when only 659,000 balts wer: Nederlandso Dok en Scheeps- turnover.

U.S. fell from $ith million In receiving a good deal of external bouwmaatschappij. Amsterdam: companies can do will increase

A Federation statement said Willon-the total trade to be carried by the fortnight ended August 20 did, and the British loan, which

had been As China is using more cotton aver 70.5 million and

and $97 million in the fortnight is to be infected into develop considerable anxiety

in 119.5 any substantial amount. Feyenoerd, It means

directly or in- expressed at its meeting ended September 9 to only $18 ment schemes

ended directly concerned with agricul- Copenhagen last month on the million in the fortnight September 23. If this, apparent ture, has been well received by discussions in Geneva about the trend continued to the not dis- a Government which is anxious admission of Japan as a a sub- tant point of an inflow of re-to strengthen trade relations be scribing member of GATT. serves to the U.S., it would between Britais and Pakistan.

The Federation decided that t It is now becoming clear that serious for the non-dollar coun- tries, and it might not take long the cotton deal between Pakistan would be "highly desirable for to react adversely on the United and Japan does not in any way all member associations to take States-Router.

A press

development planning over the Djakarta today next few years, though there

is

no guarantee that mistakes will meeting

not he made.

At the same time Council.

from despatch

said a special of the Monetary composed of the

usedi.

this 21,000,000-ion objective is Finance and Economic Minis- than she produces,

the President of the that other Communist countries million.

not fixed and Immutable. ters and

Though drastic changes in this Bank of

aps have to Indonesia have

direction are hardly possible in proved a draft budget of 40, the period under review, there 000,000 rupiah-for the project. is nevertheless an appreciablo element of flexiblllly in the in- dustry's plans.

The 1837-58 requirement is based on the national cosump tion of 18,000,000 tons 8,000,000 tons of exports.

and

tries.

presont

AS

by

Schiedam,

than hall of orders are for foreign account China Mail Special.

one

Indeci, the liner companies, these whose position is essentially that of common carriers, have Hmited competition under the conference arrangements, They compete, is sald, on quality and service. rather than on price. This is, of course, not possible for the trump freighters who face the heaviest competition and who have to keep their prices to the level the market will bear. They do have, however, a greater flexibility.

Best Since

The War

with

respective govern-

Indicate a desire in Pakistan to appropriate steps to keep the alter the pattern of trade, or to Importance of this question turn to Japan rather than Bri- before their tain. Pakistan's cotton crop last mente, year had to be sold, and Japan necessary was the only buyer. The deal taken." was thus Hobson's choice for Pakistan,

n view to the safeguards being

rely principally On More Rusla for their supplies. far as long-siaple cotton is con- cerned, however, they must look to other countries for thele The principal job of the new

material. For their medium agency, the despatch sold, will ma

are still be to buy up slabs and process stople varielles they

Maiden Voyage able to augment supplies them into blanket sheets. ported to Singapore and Malaya of the minor-producing present slabs are merely ex-purchases in Turkey and a few cout-

To Canada for processing.

The despatch sold

Incidentally, Russia still im-

Montréal, ött. 11, It is assumed, inter all, that plans called for the allocation ports cotton. She took about

Japan's admission, it was felt. The Japanese

A tramo without a carro 'can cargo liner economie activity will

Egypt last Fugiharu Maru,

might lead to her enjoyment of. continue of 100,000,000 rupiahs to An- 103,000 bales from

London, Oct. 10. of the wait for one; a iner without a at a high level throughout the ance the agency, 60,000,000 of season, which shows that she largest and fastest

most-favoured-nation treatment. motorships cargo or without passengers, has

Nearly a third of the cars

DELAYED DELIVERIES does want long-simple cotton from the Far East, has docked to keep to its scheduled route, exfibited at the 1993 Western world, permitting the which will be used to help the

- Motor

and no other member "country would be able Before long, however, Pakistan wollateral tariff defences against to employ maintenance of full employment organisation in whose interest and that the is not producing in Montreal on her maiden British tramps have, of course, Show which opens on October in this country, a high rate of the new agency will be created, any great amount of this type. voyage..

lost what used to be a great 21 will be sent by overseas will not need textiles from | TIM Her takings of Egyptian about capital investment and consider-

competitive advantage. The coal flizne.

Yapan, and she will then be Japanese goods produced under

low living condi further able

expansion

Meanwhile, foreign rubber matched those of the United The ship, Arst of the Sinnohon

Lake which they •ured to

American, Canadian, French, looking for a freak market for expanely exports sufficient quarters described last month's

In States. metal goods

and Russin Line vessels to reach Montreal, on the outward journey baya Cerman, addition

Italian

Spam her raw cotton. It is to be hoped lon.

The Föderation was convinced to ensure a substantial surplus rubber trade here as "dull and purchased about 64,000 bales of brought in a cargo of ore, open-been drastically reduced and ish mengaturOKS ого Cxthut Manchester will provide

ppatlietie" and gave little hope Pakistani cotton during the arting a now

service between many tramps have

to travel in balance of payments.

hibiting 00 of their latest that market in increased measure that the differences in standards for any reasonable price increase eight months of the past Canadian ports and Far Eastern ballast instead of carrying coul.models at the biggest Motor and that Pakistan will want her of living existing in Japan and These assumptions might be before the end of the year. season-the first imports of this ports and, including Yokohama While efficiency and modernisa- Show since the war.

no meet.

quality piece goods, for the other, exporting countries were

da lo. over optimlalic. regarded as

manufacturers,

will upper and middle classes in reso acuto and substantial

constitute in threat to stability The closing of the United growth for two years. At times und Kobe. There are somo economists who

turn, that show purchased

over 200 Line's representatives increased

of the industry must would argue that a combination Staice biggest aynthalle plats Russia has almo

of the most Prosperity of the

One obstacle on the British in international tracy moderato

amounts of Indian, all other Japanese ships the depend on a general. Incrpora bnd the

Thek silun- tulsionditi

The weeks

conséquences Bri racing earstide to the development of trade of circumstances so favourable in

before is unlikely. On the other hand, announcement of the, Rubber although, she did not take any, come to Bontréal

and would in world, track, even more than will be accompanied by an ex- between Britain and Pakistan tion in which so many countries: there are those who are in Study Group that its next con- last souson, but there is no close dr nervisokion clined to take an even more ference will be held this month record of purchase from any go to Hall fast and St John, New on anything the shipping.com-hibition of caravans motor has been the long delays in would be inhibited from im France have produced 20 reactions on other cotton-growing counteles, Brunswick ducky the winter part condo for themselves boats and motor products and deliveries by British manufacmediate defensive action could The Financial Times,

accessories, China Mall Special, lurers. Our position is now be be dissatros the marketUnited Press,

optimizile view

Presso

of

recent

Reuter,

Tho

tion art

cesar othe

to

British

Cary,

fine