1959-03-13 — Page 10

THE CHINA MAIL, FRIDAY, MARCH 18, 1959.

ASIA AND THE FAR EAST IN 1958

Political Moves In

Thailand

The government, composed of jen nasembly entirely elected by members of the National Social- the people.

ist Party, which was formed Economic conditiona were after the elections in December severely affected by the drop In 1937, never seemed to be parti-export earnings cularly secure in the suddle and

Field Marshal Sarit Thanurat, returning suddenly from Eng- land, assumed absolute power on October 20 and suspended the constitution of 1932. At the beginning of this year an interim constitution was promulgatad and constituent assembly was appointed, composed of no- minated members, to prepare a fresh constitution. Field Marshal Thanan meanwhile headed a new Cabinet and stated that improvement of the nation's ad- ministrative machinery would be one of the main tasks of his government,

Personalities

an Increase

A

NEW CONSTITUTION India-

FOR SINGAPORE

The constitution for the State of Singapore was published at the end of the year and elections for the fifty-one-member Legislative Assembly are expected to be held in May, with the constitution coming into force on the Monday after the election day. The new State will have full internal self-government but defence and external affairs will romain' tho responsibility of the United Kingdom.

ping lines to European destina-recul de cards which are tlons and exports were better although than was expected, they fell off at the end of the year as the market in Europe is reported to be over-stocked.

·

Living Costs

to be about average, but indica- tions so far in 1959 zem to show that the price is not com- pelitive in world markets. It is hardly suprising, in view of what I have mentioned above, that importers are being cau- tious about entering into new commitments.

new

the

Asia's Most CEYLON'S Stable Democracy TROUBLES

CONDITIONS

IN BURMA

The dissolution of the civil administration by the rioting, which occurred in May, The civil strife and comenuriali military in Pakistan has naturally been a matter of lively left a ecar which will take m interest to India, and the general trend in this direction long time to heal amt it has not in this part of the world is being carefully watched, not peal the stats of emergency. yet been found possible to 10- without a certain amount of apprehension.

The passing of the bill to pros vide. for "the reasonable use at Tamil" is a step towards a solui- Lion of the langungo question but this measure suffers from tho usual defoela of any compro- mise. Lobour relations have been most unhappy end the long | lino of, wailing ships, which has been such a' familiar sight on tho Calombo skyline for most of the year, is practiest evidence of the'. The dissensions within the conditions in the past. Anti-Facist People's Freedom. At the turn of the year the League, which had been banks were involved in n strike simmering beneath the surface which had some rather uplex- for some time, finally erupted sont features but, as a settle in April when

the party was ment of the matters under dis pinte two factions. The pute has now been teached, I do one of these factions, was able comment on our particular ex- to reorganise his Cabinet in perience. There is, however, June but the loss of the supe richly endowed by nature as little doubt that oven a country por port of his former deputies seriously wealotned his position Carion is cannot afford on in- defnito continuance of the racial in the country. In an effort to and labour troubles which have regain his former authority he been such a feature of 1958. proclaimed a general amnesty,

was onco Ex- raised

with the object of bringing to Budget Deficit

trudget for the coming.

The an, cnd the activities of the in-

which caused adverro in the

On the whole this constitu- [ other hand, have alrendy shows, It is quite understandable balowee of trade. Experts of tion, which has been arrived at by their success in the City that there should be growin All has not been plain. by September 1958 the disen-rice and ti were reduced by after a considerable period of Council elections, the degree of concern about the danger of sailing for the central "gov. sion within their ranks and the 400,000 tons and 5,000 tons ros-

internally during worsening economic situation pectively, and, while shipments nesolation, should meet the efficiency which their party unemployment, which is probament

machine has achieved,

ably the most serious threat to the past year; relations, with Whichever should be auccess Singapore's future, and

stato that the made it likely that some change of rubber were higher than just needs of the people of Singapore,

government in year, earnings were less. Tim- while at the samo time granting fal, two important would be made, This took a

objDotives there should be the wish to take Kerala remain difficult, quarrels ber benefited for a lime from the United Kingdom Govern- would seem to be worthy of some

positive sction to between ministers and party somewhat unexpected form as

the freight war between ship-

a high degree of priority-the encourage the setting up of local leaders in the Punjab have been required. The sense urgency, first to maintain overseas con- Industries. It is, however, ques- frequent, demonstrations have which a few years ago per-fidence in Singapore to avola tionable whether protection, been organised by the extreme mealed all discussions on singe- any damage to the entrepot with the Inevitable increase in Hindu right-wing in Caleutta pore's future, was Jess in trade, and the second to move the cost of living which will and Delhi, while the pressure evidence last year, while there forward with the ultimate aim follow, is in the best interests for the division of Bombay are signs that all parties have of forging closer links with the of the people as a whole, and State remains very active. · retreated somewhat from the Federation of Malaya Thare this point was made by A extreme positions they

The realisation that Mr Nehru, once are already signs that the number of speakers in held and are showing a greater necessity for Singapore and the debate. Unless export markets who threatened to resign during sense of responsibility. This is The new rice crop is expected) a most significant development Federation marching in stop is are developed by the new in- the year, may wish to lay down Prime Minister, U Nu, who led not propose to make any further

becoming rare generally ap dustries at a fairly early stage office sooner than which,

If it should continue, preciated in both territories, and the duties will require to be pected has naturally will do more than anything else I hope that nothing will be continued almost indefinitely, na speculation about his successor to allay any feelings of appre done to prevent this feeling the market in Singapore itself and seems to have resulted in hension as to the future which from gaining strength,

would seem to be too small to factions developing within the a constitutional change is bound

enable costs in most cases to Cabinet. Notwithstanding the Difficult Year to ralse.

be competitive with similar various troubles with which the

The main contenders at the

Economic conditions were not coods manufactured elsewhere. country has bad to content, and 0s good as in previous years

Pan-Malayan total external the continuing challenge by clections seem likely to be the due to smaller shipments of trade showed a drop of nearly Communism, India has good An Economic Advisory Com-

party formed by the tin. a less favourable price for per cent with the adverse claims ́to be considered to burgents, but this task, which year showed a deflclt of nearly mitice, got up immediately after present Chief Minister, Mr Lám rubber and a falling off in the balance increasing by over a the most stable democracy in It is perhaps unwise to Heck the poup d'etat, made a deter- Yew-hock the

the unlied party found beyond Rps.500 millions, and to meet Singapore transit trade with Indonesia. third compared with last year Asia and the future of parlia their powers, proved even more part of this gap an increase in too close a parallel in the estab-mined effort to reduce the cost People's Alliance art the The improvement in the price to M$364 million. Exports mentary Institutions in this Intractable after the split. Hahment of this military regimo (of living and then

direct taxation was proposed, turned its People's Action Party.

of rubber was, however, begin- showed a drop of 10 per cent part of the world seems likely with similar changes that have attention to the

the former have con-

In September he handed with the introduction of a com promotion ufalms

ning to have its effect at the in value while imports fell by to depend on how they develop over the Fremiership to the pletely new range of taxes on occurred elsewhere, as politics industry and encouragement ei) siderable support umonget

turn of the year, and I think 7 per cent. Trade for the year within her borders. In Thailand have always to a foreign

of the gifts, wealth and expenditure. investment. The budeertain section of the communi-

it is true to say that, on the was in fact

supreme commander the lowest since

proposals, met with an large dient been dependent on get, the introduction of which ty, but strenuous efforts will whole, Slagapore weathered a 1934.

army, General No Win, who These

unfavourable reception from the personalities rather than оп bas once again been postponed, have to be made in the short difficult year very well. Labour

formed a caretaker govern commercial community, but so parlles; nevertheless the will no doubt eventually be time still available to build up relations, it is encouraging to

ment which was intended to far the dance bill incorporat- suspension of the 4832 constitu- conditioned to a large extent by a more stronger organisation note, show a great improvement.

vemain in office until Apriling them has not been published tion will postpone for an in the

The drawing down of the recommendations Of this than ut present exista.

The budget for 1980 is ex-

when fresh elections would be and it is thus difficult for tax- foraign doânite period the formation of | committee.

People's Action Party, on the pected to be in balance due

exchange reserves, held. These seem likely to be payers to estimate the liability. which was such sa 011 increase in company tax

in postponed, and the constitution

Preliminary figures show that similar to the Federation and

Negotiations on the proposed portast feature of the Indian has recently been amended to trede was almost in balance last

have continued economy in a rise both in Income tax, on constitution

1957, continued permit General No WIT to year, with imports somewhat graduated scale, and in the during the year and it seems during 1958 although at n some continue as Primo Minister, below the previous year's level. duty on cigarettes. With the likely that a deputation wil be what slower pace, as the ba- notwithstanding the fact that The ten crop was a record but object of leaving the incoming going to London shortly to dis- latico of trade WAS

more he is not a member of parlia- | conditions in the port government a free hand, deve-cusa outstanding problems. New favourable than during the pre- ment.

Colombo held up shipments, lopment expenditure has on immigration laws came into vious year. This was due to

and

one time there the whole been restricted to force which restricted the auto-

Active Steps

a dunger the completion of existing com- matic right of entry and resid- not only reduced the level of

that plucking and manufacture would conse, Ax- mitments, These are consideredence to members of the State's imports of consumer goods but to be within "the limit of what indigenous races. Persons who of Taw materiais as well. In-

This basically military porta of Gallo and Trincomalee rangements made to utilise tha The first full year of indepen-, ment Loan Fund to develop part and the future

prospects are can be ananced with safety and did not qualify, but had lived dustrial production as a result ernment has in

a short time averted this stoppage, which dence has been extremely en-fuellitles in the north Klang | good. A great deal of the certainty in

1059," and more In the Stato for the previous showed a slight falling of in rought about

considerable

would have been, a divister to couraging and the government | Strafle and a larger Joan of credit for its state of affairs ambitious plans will depend to seven years, were eligible to comparison with the steady an- throughout the country,

Improvement

conditions

the island's economy, and nearly have tackled realisticnily the US$35 million from the Inter- 17 due lo Tengku Abdul a great extent on loans,

apply for permanent residence qual rise which has

Prices one-third of the year's exporta problems which faced them both national Bank for the Cameron Rahman, whose resignation The Financial Secretary, how permits.

have been reduced as a rosult were shipped through consistent for the

these at Home and overseas. The Highlands hydro-electric scheme.

Itom the post of Prime ever, pointed out that the pros- Revenue is expected to be years.

part low of Relive stops being taken ports. The price obtained for Alliance still continues to retain | In this lalter loan we have

Minister Was

announced last peet of raising loans at the pre- slightly less in the coming year

against hoarders, a drive has high grown tens showed a the confidence of the majority agreed to a small participation month. His withdrawal from seat time can hardly bo ćơn- į due mainly to reduced produc In August a meeting of the been instituted to clean up alightly higher average than of the people and their pros in some of the earlier maturl-

Active part In the sidered bright due not only to a tion of oil and lower prices, but countries most directly con- Rangoon city and many Indus in 1857 but sellers of other pects for the elections, which tles.

government will be a loss to lock locally of available re- the State is sull very fortun-cerned was held in Washington | trial projects, which seemed grades had to accept less will be held later in the year,

his country but there are, in-sources but also to the disutely placed. The main expen- under the aegis of the Interna-kely to be a strain on the favourable terms. dications that this decision muy inclination of investors to com- dilure under pubile works is on tional Bank, and arrangements copnomy, have been abandoned,

MALAYA'S FIRST FULL

YEAR OF INDEPENDENCE

zeem at the moment tu be good. the end of the year for the re- Legislation was passed toward Considerable progress has been

of banking and the made in the battle against the gulation terrorists,

in Salabilahment of the particular

in

Central

Johore and Parak, where until Bank of Malaya, which opened

for business on

not be permanent.

The

靄

The

Tin And Rubber January Wilcocit, The reduction in industrial of years 20, 1959. Mr W. H.

who has been banising ad-activity in

the United viser to the government, was States and Europe resulted in appointed the Orst

quite recently they were very active-a culmination of effort by men and women many nationalities. The les- sening of the milliary danger

does not give any grounds for complacency, however, as the threat

of internal subversion has if anything increnard, hul The government seem to be fully

the conscious

of

necessity to guard against this dan- ger and have taken a number of steps to this end.

Independent

both

at

BRUNEI

+

Slower Pace

sovero import licensing, which

to down

been 時

the

a in

by

and the volume financed the commercial banks in November compared with the some month in 1957 was only about one-third.

The import restrictions

FUTURE OUTLOOK

of

mit themselves until the futur: the very necessary programme were made to provide credit to Trade has, however, suffered, political outlook is clearer. The for further road development. cover India's foreign exchange needs of this mainly young Опе of the main events of commitments until March 1959. population, on the other hand, local interest was the opening A further meeting will be held require continuing expenditure of the magnificent now mosque shortly at which the more dif such things as housing, In the capital which has taken ficult problem of finding on education and hospitals, which about five years to complete. money to carry out the last two

was performed years of the second five-year which were introduced with Governor, the price of tin remaining weak, emphasises the importance of This ceremony

As usual I have tried to givp. The Centrat Bonk has been and a large part of the restrict political stability with a sails by the Sultan, in September, in plan will be discussed. I tho object of halting the shareholders a brief review of granted the usuni powers rted experts was absorbed by the factory climate to encourage the presence of leading repre- seems likely that some arrange drop in the foreign ca- the main events in the castorp

such an institution,Buffer Stock and subsequently

Investors both local and foreign.

sentatives from neighbouring ment will be arrived at which hange reserves were extremely territories in which we are in- quired by and in addition there is 3 by the special fund set up Encouragement territories.

will enable the plan to bo com- Kuccessful, and Almost the terested. Economically the year clause which leaves the way largely by producers' contribu

{pleted, if not in such an ombi- | whole of the loss sustained inhas not been too favourable for open for the accession of other ions,

In the closing sessions of the The position

SARAWAK tous form was once hoped, 1937 tas been recovered. The these countries but on the whole was present. Legislative Assembly territories Included in these aggravated by Jorge stocks

several measures received up-

at least with the main essentials rice crop is expected to be good they have managed to bear wh powers is the right to isauc which camo on the market proval which were intended to

Our office in Kuching was basically unaltered. This will and there are estimates of on the burden of low commodity currency, although it is not from Russian sources, and

give encouragement to local opened in April and has got off only have been achieved at a exportable surplus of two million prices without any serious dia- Intended to do so at this stage, the end of August the United

location. The future outlook Industry, These comprised the to a good start in spite of the considerable cost, as not only tons in 1959, although market- and the Currency Board will Kirgdom atnounced a quota on setting up of a People's In-fact that trade decreased during have the sterling balances been ing may not be BO easy with seems brighter but much will continue to be responsible for Imports from Russia, a lead

vestment Corporation which, the year by about 18 per cent run

almost below large murpluses elsewhere. The depend on the speed with which the note issue as in the past. which other countries followed. with locally raised capital The Governor in ho bud safety level but a large formign future economic outlook must industrial production rises This I think is a wise move, Unfortunately this action seem subscriptions limited to M$500 get

particularly address

that debt bas, been incurred which depend to a large extent on polio West, ulated as it will Hivo breathing ed to have been inken too late per person would participate the policy for 1950 was one of will be a burden to service fleet conditions but, if the Europo, and the strength of the

sent dimeulfins, prevent the and in the middle of Septem. In the manufacture of cigarettes "consolidation rather than ex- much less to repay. space and may

should be ro- competition from: China which irrevocable severance off the ber the Buffer Stock Manager and matches; legislation to pension" and that the rate of

solved, an improvement in trade | the rice producing countries should result even If progress at may have to face. currency arrangements between was forced to withdraw support control manufacturers and to expenditure could not continue the Federation and Singapore, from the market, which caused encourage

first may be slow.

(Continued from Page 11, Oel, By industries; at the same level as proviously. which would I am sure not be la sharp drop although the price and an Amendment to the It was deelded to impose a cess policy is not possible and in the best interests of either quickly recovered. While there Customs Ordinance to enable of two cents a pound on rubber Development, however, is a eccording there is no form of fortiorys no doubt that the heavy les titolo be imposed on cer- exports to raise revenue for the continuing proceze while can

on Rursian account were the tain imported goods to give rubber diplomatic relationship with the

replanting scheme, to not be halled in midstream and main cause of tho fallure of this protection to local Industries. mest Communist countries. The

the increpaed, cust" of the rising population is already latest effort at Federation has played an active

stabilising the Free trade has been for so long plainting materjal

dus

to resulting ́un increase in un- part in the United Nations and

price of tin, the stecision of the auch autografeature of the tax imposed on the employment which-shows-how- International Tin Council other International organisations

raise the floor price in March development that the criticish of Malaya." On

to Singapore's whole economic export by the Foderation necessary it is for there to be and, at the meeting of the Inter-

1957 has been criticised.

the whole the no turning back. Consideration national Bank in New Delhi,

which greeted the introduction year has not been an easy one is already being given to the was asked to provide an exccu-

of this last measure was bord but the government have made third five-year plan, and there tive director for the coming

ly surprising, and the govern-overy effort to improve the lot are Indications that many year.

number of amendments.

In foreign policy an mdepen- dont atillude has been adopted, the only commitment being the mutual defence treaty with the United Kingdom. On the other hand there seems generc) agree- ment that as long as the Emer- gency romains in force a neutral

It is unfortunate that this new country has had to face so soon

the

Now Industries

with the object of offering inducements to new Industries, Planoer Industries Or- dinance, providing for tax con- cessions to be granted in such cases, was introduced and It is hoped that this measure will provide an attraction to poten-

lal Investors. It is the policy year

the

investment

of loreign

Price Rises

decline in revenue due to the lower price of rubber and the reduction under the International Tin Agreement of the expart of in. A deficit of M$90 million is expected for 1938 and It is estimated that this followed by a slightly higher venue necessitated an increase second quarter of this year only.

from 80 cent to 40 per cent.......

Since the beginning of the the tendency has been of the government to encourage The agreement reached with firmer due greater demand. capital, and on the whole they Russia to limit exports to 13,500 tons for 1950 naturally assisted are doing their best to create a

this upward movement, but suitable climate, but it Was

even the increase of 3,000 tons that unfortunate

the many

in the export quotes be cluims un the

for the reduced re-

per

delcit in 1060.

will

Basically the in company tax

financial position of the Federa- ion is sound as, although the revenue account will become

balances in other accounts more } the needs of

cause

temporary reaction, At the end of last month the l

Pioneer

Continuing

The Outlook For Indonesia

ment were obliged to accept a of the people with the resources favour a more ambitious edition ful in withstanding the military until it is

· The government were success¬"|"take some time to replace had,

available.

Satisfactory Year For North Borneo

15,000

found possible to of the second, with concentra- tion on the construction of fur-threat from the rebel forces in maintain a greater degree of order, produce from ther large-scale industrial enter- Sumatra and North Celebes and Law and

in regaining possession of the ibo estates will not be able to prises.

major towns, but it question; reach, the ports. This would be a further step blo whether their writ runs for

• Not Promising along the path

India very large in the neighbouring which

-The budget for the coming: wishes to tread, but I wonder countryside. The rebel leaders whether the Inflationary press remain at large and it has year estimates, a dolcit of Rp. sure will not prove to be too been found necessary for the 8,000 millions, advances to top

conlinusto parti-government by. Bank Indone great unless self-inaumelency in military to North Borneo has had on the Development Corporation, an food grains has been achieved. late, to a considerable ·wx= |sia - have risen in twelve price reached the level at which whole a very satisfactory year RIOR

from Rp. in the Keningau Plain It is true that the present har-tent, in the running of the civil months

developed, While there is no doubt of in in the Buffer Stock may be and in spile of lower com will be

with veat is a good one but planning administration and of the commillions to nearly Rp. 26.000 ..planting of one cannot depend on the vagaries mercial enterprises taken over mullons, and the note lasus ka overdrawn by the end of this the necesally to set up local sold and, with the statistical modity prices has found the year, there are substantial credit industries it seems evident that position greatly improved, the possible to balance the budget thousand screa of rubber and of the monsooft, nor can the from the Dutch; while the State increased by Rp. 5,600 millions Bufer Stock Manager should be without Higher taxation, while the setting up of a central country continue indefinitely ned until December 1980, and at rain at about the same level a

of emergency, has been extend- Formign exchange reserves... TÂY than sufficient to cover. Never-1 population, will require the deable to exercise considerable increased by about 7 per cent) | dustry, has also done well and imports. Would it not be bet-the end of last month", it twGS | A STOLE BRO +but, - this has or

the growing

the value of foreign trade has rubber factory. The timber in the present austerity level of theless the continuing deficit on velopment of some of the many

influence on the market.

Agricultural development meer last year provided the most ter as a first step, to conden would return to rule by Procentage of dover for the note announced that the country course tilted in the pers During the first half of the likely for many years to come to valuable single export. concorn, and a progressive re- | Billi

trate on a well-planned presidential decreo. Jargely unexploited. A duction, in the words of the certain

{dosud | being reduced. It Ɛhap? ecodemic

More The shortage of labour has gumene of agricultural develop- amount is belog done steady at Minister of Finance, would in this direction.

an average of 70% progress and the government been commented on frequently ment in conjunction with neieved in the control of the to arent two sailles of Eme success han boens therefore been round necesary. but the pace Leents, but in July it started to re making every effort to ep in these reports and was in active campain appear to be the major task ol

to improve barter trade between Buspatra Indonesia, one which laid down). is Bill too slow, The condict-rise, mainly on Russlan buying, courage a greater variety of fact one of the main capon in existing farm methods? 1900."

of agricultury, Demand fuctuated during the crops. Progress continues in the past for the slow pace of would give the necessary base from the Celebes still continues cover to be inaintained ripamat Thi and Singapore, although Copa minimum foreign exchango ing claime forestry and mining, and the following months but Russia the growing of hemp, and very development For this reason I thout which rapid foul to be exchanged for cureaner the note aste and the offer problem of reconclling with a came in again as a buyer in the favourable reports have beer was Interested to see that the triallation can hardly hope to goods. Certain steps hay also which limited the leral or adh national polley the jealously last quarter. which caused received on the possibility of Governor in his budget address succeed, namely, steadily rising been taken, which should go vances to the governament In view of the country's pre- guarded rights of the States to prices for a time to rise to over large-scsto, production of cocon, was able to mate that, today agricultural production, zent Anapolal position the deve control their own land, are 00 centa, with an average of while plans for the establish there is no shortago whatsoever

(-) monze" way to meet the com-

plaints of the outer islands that Restrictions - on" privato jopment estimates for the cian, | some of the difficulties that will" 834 cents for the second half, ment or all palm plantations of labour for our current menden Unfortunately the recent de- they do not receive their fair ports continue to be ing, your · are... samund M$150 | require to be overcome, but the of the year. Pan-Malayan: pro- oro promessing, well..

This is apparently due to the cistons at the Congress Part share of the foreign exchange o

and, Wike"""Tutura milton only, or at about the importance of agricultural de- duction Inczansed by 4 per cent The abandonment of the oil infitur of gesponsored Indo- conference, ak Natpur are not cake. seno, jeum as in 1966, but in velopment to the whole future compared with 1857 and De drilling project at Hankin Shont poslan Immigrants and the Inte ensquerading, norite the proposal view of the long term loan of of the country makes it essen-cember was a record month, has been a solback, but hopes provement in the labour, mitus: to appows an immediate calling whin the political situation, res M100 million, which ban singe Kal that some solution should which shows that the replante a fading oil on the cost don, coupled with the greater, on fand holdings, with the mining disturbed combina bron, arranged with the Gloves; |||bu.founder mpongiosam, Ing programmes situp the war elsewhere. have not by say mumber of technically trained: pina being vuur by: pasiens commonefiona have tem a fram ment of Brmel, it may be poedingungen

Are now beginning to yoki mong boog, abandoned. Rubber personnal

forwarde open ivou, likely; to remilf in happy The krim on the Dine rour, qur plan to pocelmcube the pace A 55 Taking everything into aereatifs. The volume of expoct! ropiahlings contingens for 2 be should's manble. Syages.30, DNÍ KON

oom, lau arvonent fi mined constal loan or US$10 million has been count – the present position of- was alightly higher than • last vigorously encou obtained from the U.G. Develop- ] the Tederation is a happy ano [year.

revenue account is a matter for tracks of virgin lantt which escar tho pries, of, rubber was} be tha, mainstay of

Port Facilitios

It is hardly surprising that the activities of our

Hardi

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