1930-05-19 — Page 6

Aertex Cellular

Shirts-Underwear-Pyjamas

No matter how strenuous the activity, how oppres sive the climatic conditions, AERTEX will keep you cool and fit.

The principle on which AERTEX is constructed ensures perfect regulation of the body's temperature. The dangers of chill are almost obviated and maximum degree of comfort assured.

Complete new stocks of Day Shirts-Sports Shirts -Vests -- Trunk Drawers- Combinations-Long "» or Short Sleeping Suits-and the new Aertex Socks.

Mackintosh's

FIGHTING THE

MOTH

and other insects is source of trouble to most people. Motha are fond. of stains and spots. Even though the dirt may not show, it is there all the same.

Don't take a chance by stering dirty winter clothes. Send them to

be cleaned now.

10% Discount on all Drycleaning Orders during May.

THE STEAM LAUNDRY CO. SANITARY LAUNDRYMEN, DYERS & DRY CLEANERS. HEAD OFFICE & WORKS: MONGXox; Tel 57033. (KOWLOON HOTEL DEPOT HONG KONG DEPOT: 16, Stanley Street, Tel. 21270," (PEAK HOTEL DEPOT) PENINSULA HOTEL (Visitors only). HONG KONG HOTEL (Visitors only)

WHITEAWAYS

MEN'S OUTFITTING DEPT.

to

WHITE

Ready Wear GABARDINE

Trousers

TROUSERS

Men's ready -made Gabardine Cousers Quality light

White Fine

$24.59 PALE

GREY

FLANNEL

TROUSERS

Ready-made, Well Out and Tailored.

$16.50 To $22.50

BLAZERS

ETC. ETC.

WHITEAWAY, LAIDLAW & CO., LTD.

THE HONG KONG DAILY PRESS. MONDAY, MAY 19, 1930.

CHINA'S LIFE OR DEATH PROBLEM.

DEPENDENCE ON FOREIGN FOOD-STUFFS.

CHINESE BANKER ON "PAINFUL AND ALARMING’

K. M. A.

CERAMIC & REFRACTORY PRODUCT

FACTS.

CLINKER

PAVING,

BUILDING

The annual meeting of ahareholders in the Bank of China which was held in Shanghai last week was noteworthy for a striking speech by the chairman in which be dealt with economic and political evils sapping the life of the nation. He alluded to the disastrous fact that a sc called agricultural country is importing $200,000,000 worth of food-stuffs, and he referred to the failure of the authorities to curb banditry. Likewise, alluding to the drop in silver, he insisted: on the need of the country seeking a gold basis. The chairman was the general manager, of the Bank of China. Mr. Li Ming. Referring to poli-higher by 61,270,000 ounces than at tical conditions he said

Taking the whole country into consideration, the trade of China has in reality receded year after year. Unless the situation is im mediately corrected, the strain on the livelihood of the people may be stretched to the breaking point, and the consequent damage will be irreparable and beyond our in- agination.

"Alarming Imports of Food. In this connection, it is most painful and alarmning for me to tell you that, in 1929, China actually imported from abroad food-stuffs to the extent of over 200 million dollars, Chinese currency. I ven- ture to give below the principal items of these food-stuffs, and the quantity and value thus imported: Quantity Value

in

in RICE

Piculs. Hk. Tis. To Shanghai... 497,219

2,250,923 To Other Forte 10,326,348 58,738,162 20,694,033 69,986,033

WHEAT. To Shanghai. To Other Ports

Total

5,663,937 23,430,817

You will see that the silver stock in Shanghai at the end of 1929 was

On March 9, 1999, a special com- mitteo for the examination of re- serves against notes issued by the any time in the preceding year. Of Shanghai office was created with the total gross import of silver for the approval of the Ministry of 1899, ie 127,496, 870 ounces, we Finance. Since then, the reserve estimate that Shanghai alone abof this bank has been examined by sorbed 31,270,000; and the remain this committee once every month.. ing 78,226,680 ounces were taken The result is that the confidence of the public in this bank has been up by other provinces

World Production and dehsump

tion

The total quantity of the world's production of silver for 1029 was 236,500,000 ounces, in addition to 30 million ounces supplied from other sources, making a total of 311,500,000 ounces as the aggregate increase in the available supply of silver. Assuming that the silver production for this year will be the same as for last year, and that there will be no other available supply of silver for disposal, then the problem remains as to how to dispose of the additional increase of some 250 million ounces of silver during 1920.

|

greatly strengthened. The report of this committed at the end of 1929 states that the total amount of notes issued by the Shanghai Office alone was 8131,348,291.40, cent. in cash and 40 per cent in with a reserve consisting, of 00 per securities. Though many branches have not yet established a mittee of this nature, their cash

com-

reserve is all up to 60 per cent, as required. Therefore against the total

Rout of notes issued. $197,728,286.69, there is 8118,600,000 in cash under the reserve item.

The Year's Prof.

The net profit for the year 1920 is $1,062,414.21. After a deduction of $106,241.42, which is 1/10th of the net profit for the reserve fund as so provided ́in our articles of association, and a payment of 81,720,714.00 as "dividends to the shareholders on a 7 per cent. basis, there still remains a balance of 836,458,79 which is carried over to the undivided proât account,

It is estimated that the arts and industries of the world consumed nearly 43 million ounces of silver in 1828 Auming that, owing to 5,474,487 20,835,151 the present low price of silver, the

169,370

783,666 industrial consumption may be in creased to 60 or 70 million ounces,

From what I have just mention- there would still remain the huge jed, it is clear that the business of WHEAT FLOUR.

quantity of 180 million ounces of our bank in 1929 was undoubtedly To Shanghai... 295,418 1,569,330

silver to be disposed of. Last year, better than in the previous year. To Other Ports 11,640,030 01,335,334 India imported 70 million ounces This is due not only to the com

of silver. But now, with the im- parative political stability during 11,935,448 69,904,670

position of an import duty, the year under review, but also to 143,321,572 silver, India is practically no lon the steady and sound administra The total value of imported food-e a buyer of silver. Therefore tion of this bark. stuffs, e Haikuan Tls. 143,321,573, China is the only consumer of the when converted, is equivalent to remaining 150 million ounces of more than 500 million dollars, Chi- the white metal. nese currency... For China, known throughout its history, as an agri- cultural country, it is really absurd that we should have imported such an incredibly large quantity of food-stuffs from foreign countries. This. Gentlemer, is a life and death problem for our people.

Need of Gold Basis. Regardless of China's needs and the range of fluctuation in silver prices, as long as China remains on the silver basis, she will be the sole victim of violent fluctuations in the pries of silver. It is our fervent bope that the Government, will soon take all the necessary steps towards the final adoption of gold exchange standard, so as to remove this serious cause of uncertainly-

Yet "the authorities have failed to realize this grave situation, and because of petty differences continue to wage war against one another. They also failed lamentably in the suppression of bandits who prey. hindrance to foreign trade. Now upon innocent people tilling the that the Customs revenue is being and I fear that it will not be paid in gold units, the national in long before the very source of our come will be proportionately in- livelihood will be totally extinguishereased. It will be well to set ed and the entire structure of the aside this surplus revenue as a re- whole nation will collapse, unless, serve fund to show the earnest

efforts on the part of the Govern this state of affairs is brought to

ment towards the adoption of a an end.

gold exchange standard, for which it is absolutely necessary to build up an adequate gold reserve abroad. Without this reserve, all other measures and suggestions for.

The total imports of China have increased from Hk. Tis. 1,210,001,723 in 1978 to Bk. Tis: 1,281,673,408 in 1020. The exports also show an

increase from. Hk. Ths. 1,005,387,445 in 19 to Hk. Tis. 1,151,197,960 in changing to a gold exchange stand 1929. These figures show clearlyard will be entirely ineffective. that, given peace and stability. China's commerce and industries would fare much better.

The Tael CusTORLY.

On October 26, 1922, a new granted to the charter was Bank of China by the National Government, giving this bank a sounder position, while at the same time maintaining the spirit of in- dependence as enjoyed by us under the old charter. The co-operative spirit existing between the present Ministry of Finance and this bank can be readily seen by the fact that. we have been entrusted with the service of the following gold bonds issued by the Chinese Govern- ment':

1. The Franco-Russian Issue of Gold Loan of 1895.

2. The Anglo-German Issue of Gold Lean of 1998 and 1898.

3. 5 per cent. Re-organization Gold Loan of 1013...

a. entire portion of the Ger man Issue.

b. one quarter portion of the Ruslan Issue.

Customs Integrity.

& FIRE- -BRICKS

STONE-

-WARE

PIPES &

GLAZED

TILES

Ask for our Mastrated Catalogue-Compare our Prices --and Inspect our wide Range of Samples

THE KAILAN MINING ADMINISTRATION DODWELL & 00., LTD., Agents, Hong Kong,

NESTLES

MILK

"Twelve hours

in the studio straight,

and we're making a talkie

at that! And we wouldn't be here

this minute if the lights hadn't gone-

would we Dodo? We're the world's workers,

Dodo and I and we simply live on Nestlé's these days don't we darling ?”

NESTLE'S

MILK CHOCOLATE

Have you tried Nestle's "Gold Seal" Bonbons ? Superior Chocolates with a delightful variety of centres.

As long as the integrity of the Chinese, Maritime Customs remains

undertake the service of not only animpaired, our bank is able to the foreign but also domestic loans secured on the Customs revenue for the Government, irrespective of In conclusion, it has long been disturbed political condition. It suggested that the thel currency. would be a financial disaster, if po.. The Silver Problem.

should be abolished, and that only litical .circumstances were per-i Then the declining price of silver the dollar should be used as the mitted to damage the integrity of in 1929 had a very important bear-universal currency in China. This this service. In this connection, it ing upon our foreign trade Silver plan can be achieved with ease and is earnestly hoped that the inade dropped as low as 21 5/10 pence per success, compared with other more quately secured and unsecured loans sunce, setting a record for the last complicated problems. Unfortun will soon be consolidated, and half century. The total net import ately, for some reason or other, it that the surplus customs revenue of silver bars to China for 1999 was has been delayed time and again. will be totally appropriate to meet 127,408,670 ounces, equivalent to This step would be a welcome pre- the loan services, instead of being 105,823,976 Haikuan Taels in value. fiminary to the wider reform of the used for military and administra The following table, shows the an-currency which, it is hoped, will tive expenses of the government. úlysis of the silver imports and soon be put into effect. At the pre- In this way, Chias's credit abroad re-exports—AR

sent time, there are, as you will will be improved. T Imports Re-exports agree, a number of serious obsta The placing of the loan services COUNTRIES, H. TisHk. Tiscles which hinder the revival of with our bank has virtually China's trade and a return of pros-strengthened our credit standing.

As to other countries, our coursection prevailed in North China. Europe

7,066,916 America 80,497,921

perity, but at least the reform of abroad, thus enabling us to deve in establishing additional agencies The region about Balgan was Hong Kong... 22,312,430 15,116,018 the currency is a matter which can lop our foreign business as 40 aid or offices will be guided by the na-severely affected by the Sino- and should be dealt with without to the promotion of foreign trade tural development of our business Russian rupture; resulting in the. Saigon and

"Indo-China 799,030 1,405,082 further delay. Then foreign trade This is the practical application of In the meantime, however, we have suspension of remittance service. 623 will surely develop and prosper, the privileges and responsibilities already appointed a number of for and stoppage of freight traffic. In not only to the advantage of the assigned to us by the Government eign banics of good financial stand Tientsin several native banks fail- Bank of Ching as the international under the new charter Hereafter ing to act as our correspondents ed causing great uneasiness in the 390,498 exchange bank, but also for the we shall be in a position to concenin Europe, North and South Amer-money market. In short, the trade. good of the country as a whole. trate our efforts towards the pro- ien, and in the Straits Settlements. in North China suffered a severe

mimirutation":

motion of commerce and industry1n-brief, the Bank of China has set back ana basis for the foreign trade of

a network of branches, agencies As to Southern China, the pro 77,522 The total amount of notes in cir China

and correspondenta throughout the vinces of Fukien and Kuangtung: 155,253 | culation at the present time is

Bank's Burlness Abroad,

world, and is, thus able to Fender were frequently the battlefields for $187,700,000, an increase of

efficient service to the public contending armies, and were prey. ed upon by Communists. Under Total 121,420,514 15,003,538 $25,400,000; fixed loans have in In accordance with our business China's Foreign Trade.

wach circumstances, trade was creased by $2,690,000; call loans needs, the Bank of China, which

The various internal problems of turnily impossible and hence Deducting the re-exports from have also increased by $48,230,000, has been reorganized as an inter- the total gross-imports of the The, increase of investment in ac national exchange bank, established the Bank of China have already negligible in amount. Regarding above, table, there is a balance of curities is very little, being only its first agency in November, 1920, been referred to Now closely the Three Eastern Provinces eince 105,825,578 Haikuan taels worth of $800,000. On account of building in London the centre of the connected with our banking but the outbreak of the Bino-Russian silver as the der import into China warehouses to meet the need of world's finance. This agency has ness is the foreign trade and the trouble over the C. E. R. question, in 1923. Therefore the stock of merchants, the bank premises show been established with view to relative ratio between silver and both "Teng Pian" (notes issued by silver in Shanghat at the end of an increase of 82,400,000. Cost of taking care of the service of for- gold. Therefore I venture to re- the Provincial Bank of Mukden) 1920 established a new high-record notes written af in 1929 i 8860,000. eign loans, to provide adequate view. China's foreign trade and the and Harbin dollars depreciat the folkwang dramatiese Ding how YÊN CUT 299,00 KNY Betin" for the promotion for Mer glaustion considerably causing chac

"India and

Burma

Singapore... Korea Dutch Indies Japan and

な

,330

Formosa E 905,313) Philippines.

d

Shanghai for the last

May 21, 1927 December 28, 2928, November 2, 1929

580,000 820,000

the principle of sapanting to het this item on the amet side of our balance sheet, therefore within a | year or tyo; we pro to write

it off

A

drastrada, and in aid the Chinese ball outgrad

conciation for this

overseas and travellers abroad. If je gratifying to note that the busi neat transacted in our London agency has been satisfactory and

progressive

money market Bimultaner Owing to political ungest infer price of gold fe ruption of communications, prevsl high point, and commodi enos, of banditry and poor TOPS, rose considerably. Fortunately business in the Yangtze Valley was however, a bamper crop saved the severely disturbed. The same situ people from complete ruin...