1935-04-26 — Page 11

HONG KONG TRADE RETURNS

Statistics For March

The Statistical Office of the Imports and Exports Depart- ment reports that during the first quarter of 1935 the combined- values of Imports and exports of merchandise amounted to a de- clared value of $172.1 militons (£15.9 millions), as compared with $173.3 millions (£129 milions) in the corresponding, period of 1934, representing a decrease in terins of Hong Kong 'currency of 0.7 per cent. and an increase in terms of Stering of 33.3 per cent.

Imporia totalled 597.3 millions (£9.0 millions), as compared with $95.8 millions (£7.1 millions), a dollar increase of 1.6 per -cent; whilst exports totalled $74.8 millions (£6.9 millions), as compared with $77.5 millions (£5.8 millions), a dollar decrease of "3.5 per cent.

0

millions, this figure also repre- senting the total for March, 1934; but the sterling values of imports and exports increased from £4.8 millions in March, 1934 to £6.1 millions in March|| 1935: an in- crease of 32.8 per cent.«

During the twelve months' period, ended March 31, 1935, imports of Inerchandise amounted to $417.4 millions (£33:5 millions), as com pared with 3463.9 millions (£32,5 millions) in the twelve months' period ended March 31, 1934: a de-

Imports of merchandise amount- crease in terms of 'local currency of 10.0 per cent. and an increase

ed to declared value of $34,2 of 3.1 per cent in sterling. Ex-millons (£3.4 millions), as com- ports

merchandise of

totalled nared with : $33.8 millions (£2,5 $322,4 millions (£25.9 millions), as millions), whilst exparts totalled compared with $375.2 millions $27.4 millions (£2.7 milions), as (£26.3 millions), a decrease of

compared with $27.9 millions (£2.1 14.1 per cent, in terms of local cur- millions). rency and a decrease of 1.5 .per cent. In sterling.

The following comparative tables show total imports and exports of merchandise and treasure during "the twelve months' periods ended

March 31. 1934 and 1935:-

IMPORTS

Merchan-

dise

❖ *

1933-193+ 1934-1935

$463,888,515 $417,388,945 (£32,542,653) (£33,515.832) Treasure $ 39,371.430 $ 80,828,348

(£2,761,938) (£ 6,483,147)

Total

In terms of local currency Im- ports increased by 1.8 per cent, and exports declined by 18 per cent.. whilst in terms of sterling values Imports increased by 36.0 per cent. and exports by 28.6 per cent.

The "followng table shows com- parative figures of imports and ex- ports of Merchandise and Treasure during the months of March, 1935 and March, 1934:-

IMPORTS

HONG KONG DAILY PRESS, FRIDAY, APRIL 26, 1935.

OBITUARY

Mr. W. J. Shenton

Of Canton

It is with deep regret that, we have to announce the death on Wednesday at Canton of Mr. Wil- Ham James Shenton (aged 50), manager of Messrs, A. S; Watson's aerated water factory in that part. The deceased had been in perfect- ly good health and his death, which occurred suddenly, came as a great shock to his many friends. The deceased came out to Hong Kong from England in August, 1919, and joined the local branch of A. S. Watson & Co., as manager of the Hong Kong Dispensary. He was subsequently appointed mana- ger of the Aerated Water factory and was transferred to Canton In 1931 to act in the same capacity. He was extremely popular both in Hong Kong and Canton and was regarded as á great asset to his Arms because of his clear mind and genial disposition.

He took a great interest in most forms of sport."

The deceased is survived by the widow and two young children who only left for Home last Satür- day by the sa. Corfu. To then the deepest sympathy of a large circle of friends is extended.

DONATIONS

Sir William Peel Fund

The Hon. Treasurer, of Sir Wi- liam Peel Fund for the Protection of Children acknowledges receipt of the following further dona- tions:-

28

Previously acknowledged... $14,750 March, March.

Mr. H. S. Hil's.............. 10 1935

1934

Mr. and Mrs. P. S. Cassidy Merchandise $34.175,095, $33,638,848 Treasure $503,259,945 $498,217,793

3,716.424

Staff of Lane, Crawford, 4,137,183 :(£35,304,591) ( £39,998.779)

EXPORTS

Total

1933-193+ 1934-1935

Merchan-

dise

$375,238,878 $322,419,091 (£26,309,690) (£25,860,898) Treasure $126,359.706 $117,138,881

(8,859,266) £9,395,498)

Total

Ltd:

Mr. M. W. Lo

$37,891,519 $37,776.031

Mr. Wong Tak Kwong Mr. A. Brearley

Mr. W. B. Finnigan

Mr. B. B. Sayer' "Anonymous". 'S'

EXPORTS

March, March,

1935

1934 Merchandise $27,368,852 $27.867,023 Treasure

4,617,112 10,229,185

Total

he

W 31

THE TRADE DEPRESSION

IN HONG KONG

Another Chapter Of The Commission's Report

The value of and investment in property.. in Hong Kong was also gone into at great length by the Commision" appointed by His Excellency the Governor, Sir William Pool, K.C.MG, KRE. to enquire into the causes and effects of the Present trade de- pression in Hong Kong and make recommendations for the amelioration of the existing position and for the improvement of the trade of the Colony whose report was issued a few days

ago.

1

Below we publish the recommendations made by the Com- mission in regard to Property in Hong Kong.

The value of and investment in and rapid fall in the exchange property, as a general rule depends value of the locat dollar, from two upon the prosperity of the com- shillings to ander elevenpence munity. The attractions of the within the brief period of twenty locality, either for trading, Indus-

months in 1929-1931, produced in trial, or social purposes create the Hong Kong all the effects of an demand which determines the inflation of currency. A wave of value. Other factors however ob- excessive optimism swept the Co- tala in Hong Kong which tend lony, and large areas of Crown abnormally to enhance or depre- land were sold by Government að clate values. By reason of the | public auctions Ext high prices, Colony's security, and freedom from mostly for the purpose of building undue taxation as compared with Chinese tenement houses. These the unrest and insecurity existing sales all carried with them.coven- at times in South China, property ants which have now been or are for many years has been a favour-being fulfilled, in the shape of a Ite investment for the Chinese in very large number of bulldings for the

neighbouring provinces of which there is no suficient de- China. This state of affairs has mand, even at rentals well below undoubtedly tended to create ab-'j that 'which would furnish an normally high values, bearing little economic return on the cost of relation to their present economic | construction, Hence the large worth, and in times of depression number of empty Chinese houses these values naturally depreciate and flats at the present time. rapidly thereby resulting in the freezing up of large assets savings of the community.

and

The accompanying table 'shows the growth of the rateable value of the Colony during the past twenty years. In 1934 the rateable value stood at $38.841,856. This 25 Agure capitalized on the basis of 25% per annum represents an 50 Investment in rateable property of 10 no less than $550,000,000. This 10 huge sum, large as it is, does not 50 include very considerable property owned by the loca Government, the $14,986 Navy or the War Department, or all gratefully similar property which is not in cluded for Assessment

Donations will

·$31,985,964 $32,096.218 acknowledged by the Hon. Trea-

surers:

Mr. A. McKellar. c/o Mackin- non Mackenzie & Co. P. & D. Building.

MONTHLY FLUCTUATIONS Since March, 1934, total Imports of merchandise into Hong Kong fluctuated from the lowest Hong Mr. Kwok Chan, c/o The Ban-perty, a comparison of this fore-

de Kong dollar value (28.8 millions) { que

whilst

Exports fluctuated from

L'Indo-China,

$501,598,584 $439,557,772 (£35,168,936) (£35,256,198)

Statistics for the first quarter of 1935 show that, as compared with the corresponding period of 1934. China, Japan. U.S.A., French Indo-in February, 1933, to the highest. Road, Central. China, Germany, British Malaya. (39.7 millions) in August, 1934; Australia and Belgium enjoyed in- creased shares of the import trade. chiefly at the expense of the United Kingdom, Netherlands East Indies, Siam and India. The share of the import trade enjoyed by the United Kingdom has steadily de- clined from 14.8 per cent. in the Arst quarter of 1532 to 12.0 per March per cent in 1933, 8.8 per cent, in 1934 and 7.5 per cent. in the first Aptl quarter of 1935; whilst the shares.

$20.6 millions in February, 1935 to BN. Boraço. $29.7 millions, in October, 1934.

The Agures are given below, with the sterling equivalents, at month-

brackets:--

S. Africa

y average rates of exchange, in w.*Africa

EXPORTS $27,867,023

1934 IMPORTS $33,838,848 (£2,522,914)

of China and Japan have consis May tently, appreciated, as will be seen from the following table:-

June

1st 1st 1st 1st 1st. 182 Qr. Qr. Qr. Qr. Qr. Qr. July 1931 1932 1932 1933 1934 1935

per per per per per per August cent cent cent cent cent cent China 26.9 27.2 25.4 28.8 33.5 33.8 Japan 9.3 3.4 2.7 4.2 8.1 10.3 N.E.

→ 144.527

(123,507)

92,300 (40,288)

W.. Indies

(£2,090,026)- B.E. Others

(-) 33,503

(34,691)

Belgium

580,878

$32,127,612 $26.541,120 (£2,342,638) (£1,935,290) $32,799,925 $27,022,079

- $34,834,795

Queen's

An excess of office building In the central portion of the Colony is also becoming noticeable, but for quite different reasons. Whereas the older office buildings in this area seldom exceeded four stories in height, the newer ones which have been and are being erected in their place rise to eight and more stories, with a consequent doubling of the available accommodation on the same area.

Insofar as the surplus accommo- dation conduces to lower rentals, a certain degree of superiulty is beneficial to the community at large in that it reduces the cost of Hring.

As it is not generally appreciated

(b) Excessive charges for Water, how large a portion of the wealthIn a separate chapter the ques of the Colony is invested in pro“.

tion of water charges is gone into

going figure with some of the other large categories of Investment-may be of value.

very fully, Suffice it to say here that the charges for excess water, which (when compared with the return on Chinese tenement pro- For example, the total market perty) may be fairly described as value of the shares of focal com- unreasonably high, have had a 46,566 panies (other than, financial insti- ¦ serious effect in making such pro- (47,139) tutions) listed by the Stock Ex-perty unsaleable, Clearly some

30,668 change amounts to approximately relief here is overdue. (31,628) | $150,000,000, although an apprecia (c) Building

7,472

regulations and

ble portion of the assets of such restrictions-A further deterring (258) companies is represented by pro-influence is the increasing number 91,485 perty. Similarly, the estimated of Government regulations and (28,556) total value of money invested in restrictions in regard to building

· 149,948. Chinese factories or in Chinese in- construction, tending to discourage (122,884 dustry in the Colony amounts to investment in property by Chinese

14,080 about $50,000,000 which is only a investors, Property owners contend- (£2,289,161) (1,885,016 China, North... 5,322,995

(345,588) (391) comparatively small sum. Here, that while many such regulations 2,712,206 again a subatantial portion of such are reasonable and proper there $26,083,095

(5,408,688) ·(2,424,115) (£2,415,608) (£1,859,710) China, Middle 517,714 2,047,855

money is undoubtedly represented are many others which place an by the property or buildings of undue burden $29,705,534 323,240,797:

on property and ; (670,883) 12,054,040), such factories (£2.181.500) (£1,706,746) China, South 4,214.288 10.113,218

render it impossible to obtain an $39,724,787 $27,788,719

The total note issue, which is economic return on cost of con- (4,697,127) (0,835,722) (£2,939,701) (£2,091,391)

backed by sliver and by sterling struction.. 11,211 Sept. $37,153,882 $29,432,184

securities, amounts to about $180,- (£2,883,294) (£2.284.060)

(8,088)

000,000, but even this sum, large as October $36,721,817

111,378 $29,655,084

It may appear, is for the most part Indies 10.9 9.9 8.3 7.1 9.0 5.6

(131,415) (£2,983,648) (£2,409,524)

held outside the Colony and only a U.K. 10.6 12.3 14.8 12.0 8.8 7.5

309. $38;811,414 $29,474,552

small portion (authoritatively esti- [.6.A. 7.8 7.4 8.9 9.0 5.9.8.4

(£3,184,024) (£2,402,483)

mated at 25%) is owned within the Indo-

$38,253,151 $28.405,160

Colony. China 7.1 8.4 9.5 8.3 7.6 8.6.

(£3,227,810) (£2,396,585) Siam 6.4 4.3 7.9 10.0 7.9 5.2 1935 IMPORTS EXPORTS Germany 5.1 4 3.8 3.7 29 4,1

January $34,274,109 $26,842 125 Malaya

(£2,990,059) (£2,341,096) (Br) 1.9 1.5 1.4 1.1 1.1 1.9 February $23,300.844 $20,584,724 India

Germany" 2.3 2.8 2.3 4.8 3.2 2.4

(£2,387,576) (1,849,409) Australia 0 1.9 1.6 1.8 1.6 2.1 March $34.175,095 · $27,368,352 Holland Belgium 2.0 2.0 20 15 1.0 2.0

(£3,390,810) (£2,715,503) | Mean rate of Exchange for March,

1935, HK$=1s. 11.13/184,

"

The following table shows the quarterly values or imports and exports of merchandise since 1932 in £'s and $'s. millions:-

1st Quarter £118

IMPORTS

8.5

Nov.

Dec.

.

Cuba

I.

C. America-

Denmar

(503,840)

665 (16,015)

4.128

Egypt.

France

DRYGIN

LONDO

if it's

IF

Gordon's

GIN

you know what you're drinking

MATTER

COLOURINGTM M

NO INJURIOUS INGREDIENTS

WHITEST

PUREST

&BEST

The Largest Gin Distillers in the World

Bong Kong Weekly Press

&

i

CHINA OVERLAND TRADE REPORT

"The Weekly with the Yellow

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Cover "

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OUTPORTS & FOREIGN=-

$18 PSE ARUM INCLU. ING POSTAGE 1. 9.8ix MoRİKE

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THE HONG KONG DAILY PRESS, LTD., TONG KONG.

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ADDRESSED AS FOLLOWS:

PROFIT SHOWN FOR YEAR

(Continued From Page 7)

For Balance Sheet purposes this year the Exchange .... Fluctuation. Account has been uti ised for this contingency for which it was created, and the reduction of $23.808.12 made therefrom repre sents the Difference in Exchange arising on conversion of the Shanghai Assets and Liabilities. at rates conforming to recognis

(d) Rates--Bome years ago the rates on property were raised from 13% to 17% on the ground that the low exchange necessitated an in- creased revenue to cope with the (9,282) (39,430)

large portion of the Colony's ex- 8,042 70,283

penditure which is based on ster- planta. The other items of eddied Accountancy practice having (15,081) (7,138)

These comparative figures serve ling. Since then exchange. has tion to this account relate to regard to the adverse trend taken 298,403271,259 (157,481) (276,909) to make it abundantly clear that arisen again to its former level and cooking ranges obtained for Hong by Shanghai currency during the Indo-China "4.588,068 1,655,992

very large portion, if not the bulk, property owners, who have suffered Kong and certain modern furni- year, and the Excharge Rate rul- (2,958,308) (1,501,308)

of the wealth of the Colony is very heavily in the depression, are ture necessary for Shanghai Es-ing at the date of the Balance

Sheet: looking to Government to effect a tablishments, 1,333,299

represented by property. 140,068 (839,207). (404,435) That this must be so is hardly reduction in rates to the former

stores standing at

The "Repairs and Renewals Ac- 189,177 20.639

surprising in a territory where level of 13%. While it may not be $296.787.59 are $90,000 below the counts" has suffered depletion toy (202,767) (118,009) there is little agriculture, almost a Possible to restore the old rate of amount on hand at the 31st De- the extent of $5,800.92 during the

255,093

taxation, we consider that in view cember, 1933. Sundry Debtors al year. This utilisation covered the .2,169

complete absence of any trace of of the severe depression in pro- so stand at a Agure redaced by cost of overhaul and repair work (182,679)

(2,850) mineral wealth, and where indus-perty it should be. Government's approximately $40,000 as against to certain Kitchens, and Cold

try is still only in its infancy.

VALUES BY COUNTRIES The total values of Imports and Exports of merchandise are shown | Kwong Chow

Italy

Japan

3,765,268 (3,407,665)

Wan

Macau

Norway

1932 1933 1934 1935 below by countries, the figures. for

7.1 9.0

March, 1934, being $170.7·132.8 95.8 97.3

brackets:

8.5 7.1. $164.7 128.1 99.7

given

મ

IMPORTS EXPORTS

S 2,540.340 627,849 (2,811.838) - (439,020) | NE. Tridles.

599,909 · 130,840

2nd Quarter £10.2

4th Quarter £ 9.6

3rd Quarter & 93 8.5 8.1 $142.4 122.1 108.6 3.4 9,4 $146.2-199.8*113,8 EXPORTS 1932 1933 1934 1935 1st Quarter £8.8 6.8 3.3 8.0 $127.0.105.3 77.5 · 74.8

UK

Australia

Burma

Canada

(254.464) (133,130) Philippines

55,582 133,440 1115,107) (135,789) Blam

371,489 281,558

(457,134)

(194,779) S. America

Ceylon

22.277

62,565

(5,972)

E. Africa

India

19,679

(83,077) | Sweden

19,880

(21,935)

270,158 161,099

Mayala

(British)

2nd Quarter £ 1.1 -12° 57 $115.3 1082 79.6 3rd Quarter 7.2 - 68° 6.1 $110.0 95.5 80.5 4th Quarter 2 79 88, 7.2

$119.8 '98.1 87.5/

MARCH FIGURES

The combined values of Imports

and exports of merchandise' dur-

ing the month of March, 1935 New Zealand amounted to a' value of $81.5

(23,510) Switzerland

(516,279) || (222,384) | Spain

#96,563 1,614,460 | 12HA-

(499,720) (1,961,075)

15,824 30,768 Others (22,028) (27,707)

THE CAUSES

Stocks of

aim to bring about some reduction the amount outstanding or the at the earliest possible moment. 31st December, 1933, a notun- Table showing the rateable value pleasing feature in these times. of the Colony, for the past twenty

years.

Year.

1,099,004

(854,325)

413,343 851,348 At the present time, property (480,010) (130,223) values are very depressed and it is 687,072 1,291,991. extremely difficult to negotiate the (684,336) (1,669,400) sale of any property, There are

· 59,590. 6,788 many reasons which have contri∙1915-18 (31,080) (245) bitted to this state of affairs. 1918-17 1,322,303 421,300

1917-18 Among these may be mentioned: (3,492,260) (559,064)

1918-19 1910-20

110,014 387,535

(140.421) (434,800)) 1,834,624,829,427 (2,762,082) (1,386,900)

12,915 #34,939 (7,000) (89)266) 88,271

(a) Overbuilding:

(1) Excessive charges for water 1820-21 (in the case of Chinese property). 1921-22 (c) Building regulations --and | 1922-23- restrictions.

-1923-24. (d) Rates

1924-25 4,951 We propose to deal with these 1925-28 (1,929): -factors in the above order.

-1926-27: 200 (3) Overbuilding. During the 1927-28 (28)| period of low exchange (Le, 1930-1928-29 3.435 1932) which corresponded with the 1929-30 72,249) --- (2,412) | carly years of the world depremine, 1930-31 3,251,825-1,880,922 large sums of money were remitted | 1931-32 (1,380,388) (1,965,207)^{ from abroad for investment in the 1932-33- Colony, which had not yet begun 1933-34 ✅(66,722) ⠀⠀⠀ (118,317) to feel the depres The violent 1934-35

(211.280)

5,898 (7,188)

$7,568

143,792 72.338

THE LIABILITIES

Storage Chambers."""

Notwithstanding the poor work- ing results upon which I have commented, the Company's Mort gage indebtedness" has been re- Rateable Value.

With regard to the Laibilities duced during the year from 14.287,285 set out in the Statement, the item figure of $873.982.82 to $454,396.83, 14,282,188 "Echange -Fluctuation. Accourt” a reduction of ap 14,410,153 and the appropriation therefrom, $419,500.00. Further, 15,638,736 | requires explanation. You will indebtedresa to Trade: Cre 16,304,801 recollect that Balance Sheets sub- ́efc. at $320,443,14, beari 17,408,059 mitted in previous years have I able comparison with the 18,696,600 | been compiled on the basis of Agure of 1301164.00 19,805,929 | conversion of "Ahanghai - figures of some: $71,000.00 45 21,059,700 into Hong Kong Dollars at par, In relat 23,147,951 and Balance Sheets Issued were facts, I feel I can 27,287,862 accordingly annotated. At the conndence that 27,998,237 Last Annual Izeeting, Andrehald- 29,016,439ers approved 30,385,447 | of, $109,5

Hom

with

rent working esan