1941-04-26 — Page 9

HONGKONG DAILY PRESS

JAPAN'S ECONOMIC FAILURE IN 1940

FINANCE & GENERÁL

Finance and Commerce

NEW AMERICAN

TAX. BILL

“A SMALL PRICE TO PAY FOR SECURITY”

NEW YORK, Apr 25 (Reuter)—

YUNNAN'S MINERAL

EXPORT IN 1940

Mineral "products, including tin, tungsten, antimony and mercury exported from Kunming last year were valued at up- wards of $16,000,000. Tin topped the list at more than 3,000 tons followed by over 400 tons of tungsten.

SATURDAY, APRIL 26,

1941. -PAGE 9

EVERYBODY'S

Favourite

WASHINGTON (By Clipper): Continuation of the conflict in Chiun and repercussions from the European war have resulted in an intensification of Japanese efforts to establish a highly organis- ed national defence system and create a "Greater East Asia Co- prosperity Sphere," according to a report completed by the Division of Regional Information of the United States Department of Com- merce. The object of this "sphere" is to establish an independent and self-sufficient economic bloc comprising an extensive but as yet" undefined, area in Asia, dominated by Japan, with the Japanese- "Manchukuo"-China bloc forming the nucleus of the larger unit.

The transportation and exportation of Yunnan's minerai 'pro- ducts are handled by the Mineral Products Transportation and Reviewing Japan's economic dif-1940, and the financial situation "A small price to pay for American

Distribution Bureau established in Kunming by the National Aculties in 1940, the report says was further complicated by Euro-security" was the description given

Resources Commission of the Ministry of Economic Affairs. "Despite progress made in 1940 in pear war developments. During by Mr. Henry Morgenthau Secre- was tary of the Treasury, of the re- strengthening State, control over the year the government

Tung oll and hog bristles are tion. The amount of tung oll ex- every phase of the nation's life obviously determined to conscript quest to Congress for $350,000,000 two other outstanding export items ported last year from Tengyueh a recession was clearly discernible all available funds for wartime in-in hew taxes for greater defence of Yunnan. "These products are totalled 5,818 tons.

handled

The by the Foreign Trade

collection, transportation in every phase of business activity dustries and for the purchase of production.

In a formal statement to the Commission of the Ministry of and exportation of tea in Yunnan and in the state of internal pres- national bonds.

"Due to the greater scarcity of House of Representatives Ways and Finance through the Machsing are handled by the China National perity. The protracted struggle in

companies. The Tea Fooshing

Corporation which has a China has resulted in serious foreign exchange, issuance of ex-Means Committee, Mr. Morgenthau and shortages of essential materials, change. permits for imports of said: "We are faced with a greater former is responsible for collection branch in Kunming.

FOR AND WAX labour and electric power, and a non-military materials was stop-challenge than any in the history of such goods and the latter for nore of the Republic. It calls for a their transportation and exports- further decline in industrial em-ped almost entirely, and

Other Yunnan export products the con-rigid supervision over, all exchange much greater response than is yet

centred at Kunming include medi- clency. Limitations in

cines, fur, wOX, tobacco, timber, trolled economy also are retarding transactions with enforcement of made. The American people are

ard feathers. Thess the majority policy of expanding additional control measures were prepared to make such a response be raised but he said: "The new silk, eggs the nation's productive capacity, initiated.

willingly.

taxes will seem & small price "In general, commercial rela- Econòmic penetration into China

"How much is it worth to De freu pay for the nation's security. tions with foreign countries were men living in a has as yet shown little profit.

free land? The

FOUR ADVANTAGES unsatisfactory during 1940.

The American people are willing to pay

Mr. Morgenthau said that the wide variety of that price"

Exports from Kunming go U.S.A placed a

tax programme (1) Presented the through three main Customs bar- essential products under export

Mengtze, method of paying as you go" forters.

Tengyueh control, materially reducing such

and WEEKLY RETURNS AND with attendant difficulties, the Ja shipments to Japan in the latter Mr. Morgenthau, added: "We reasonable proportion of expen- Szemao. According to Customs panese cotton spinning and weav- part of the year. Trade relations simply cannot carry on business as diture; (2) Was designed so that officials, the export figures at

BANK OF ENGLAND ing industry operated on a greatly with Soviet Russia showed no ap-usual and the Government as usual fall sections of the people would Mengtze during the frst six reduced basis during 1940. SUK

preciable improvement.

from now on and still take ade- bear a fair share of the burden; months of 1940 were record-break- closure of the textile production, however, ad-

quate care of our defence needs. (3) Would help the United States ing. After the vanced on heavier demand as a

"The Imperative need for foreignIt will be a tragic error to assume resources for defence by reducing Burma Road, however, the figures substitute for cotton goods, Smal-

defence the amount of money spendable on dropped abruptly. ler purchases of American cotton rice supplies gave added signi- that we can expand our also are anticipated during 1941, ficance to the military advance production on a colossal scale and less important things: (4) Was dramatic increase was registered. exports from Tengyueh French Indo-China. Closer still go on our usual way as the designed to prevent a general rise in the attributable to a displacement by into

of prices by keeping purchasing after July, 1940: Exports from Was made with the Government or, individuals." Brazilian and Indian growths and contact

He made no specific recommen-power from out-running produc- Tengyueh in 1940 totalled 9.546 a smaller total consumption of all Netherlands Indles to insure ade-

tons. Exports that went through quate supplies of oil and other dations how the new taxes should tion.

Szemao were only one tenth of the types.

and steel industry, products, and more strenous ef- "The iron

total amount of the three Customs although subjected to intensified forts were directed toward ⚫ im-

barriers. (Central News), official regulation and control dur- proving trade relations with South'

REDUCED BASIS

"Due chiefly to a loss of markets'

European hostilities, caused by

+

IMPERATIVE NEED

DEFENCE NEEDS

ing 1940, with the object of obtain America and Mexico. Trade with HONGKONG SHARE

efficiency.

its

Buyem

Balleri

Balot

Nominali

was the British Empire, however, con-1 STOCK EXCHANGE ing maximum

important. despite seriously handicapped by a short- tinued age of materials. The virtual ces- dwindling volume and restrictions sation of scrap "imports after ap-on exports to Japan from Canada, plication of the US. licensing Australia, and India. system was an important factor in the problem.

dustries.

wage

."Exports likewise were disap- pointing, with a gain of only 1 "A perceptible decline occurred per cent, and with a larger per in the rate of increase in employ- centage going to yen-bloc areas. ment in Japanese industries dur- while shipments to foreign cur- ing the year, with such small in- rency countries declined. Imports with pur- creases confined to large-scale in-were up 19 per cent,

rates and chases from foreign Both

currency earned income rose slightly as a countries, "particularly the United result of longer working hours, States, about 7 per cent, above 1939. but were significantly below the During the latter part of the year. rise in living costs of the working trade declined substantially with classes. The rising costs of vital imports confined almost entirely

to war materials and supplies. foreign raw materials were direct-

"The merchandise - ly responsible for the higher pro-

import duction costs in industry. which balance

foreign currency resulted in higher commodity pri- countries for 1940 is estimated at ces and living costs.

880,000,000 yen (U.S. $202,400.000) against 405,000,000 yen (U.S. $93,-| 150.000) in 1939. Invisible trade receipts, are expected to fall far below 1939, due to the cessation of tourist travel, departure of many foreigners, curtailment in shipping activities and the decline in for- eign merchandise trade." (Cen- tral News).

"Official subsidies were set up to compensate producers for higher costs of material required in the iron and steel industry and were also granted to prevent increas ing production costs from being passed on to consumers of coal and matches.

ALL TYPES

declined, "Agricultural Income owing to the shortage of fertilisers and labour, unfavourable weather conditions, and the establishment of maximum official prices for all Through commodities. types of

with

H.K. Stock Exchange

The market has eased and deals mainly subject to negotiation.

planned production, improvement of Willable land and increased pro- duction of fertilisers, it is hoped are increase agricultural output during the current year, but no Impressive results are expected.

to

"Raw silk prices dropped during the first six months of 1940 from a high of 2,410 yen (US. $554.30) per bale to a low.of 1.350 yen (U.S. $310.50), the price at which gov- ernment purchases were made in order to stabilise quotations. Ex- ports of this item also declined, with a decrease in shipments to the US.A. of 23.1 percent from 1939, and an even higher, decline in exports to other countries.

"Various governmental efforts were made during 1940 to insure the people against a serious rice shortage as a result of the low 1939 crop and small carry-over. ) Large-scale foreign rice purchases: "were made, the use of substitutes for domestic consumption encouraged, further curtailments were effected in the production of Japanese rice wine, and local ra tloning systems were established in various areas, with a nation- wide ticket system anticipated for 1941.

FINANCIAL STRAIN

BUSINESS DONE DURING THE WEEK.

H.K. Banks, $1340. Union Ins., $425. HK. Fire Ins., $187. Wharves, $851.. Hotels, $2.90. Humphreys, $6.70. Trams, $18.

Lights Rts.. 60..40 cts. Lights (O), $5.90. Electrics Rta., $142, $141. Lane Crawfords. $74. Wm. Powells, $13.

BUYERS Bank of East Asia, $70, Indo-Chinas (Pref.), $60. Hotels, $2.80. Lights (O), $5.75,

Macao Electrics X.D. $17. Entertainments, $6.35.

SELLERS

H.K. Banks, $1340, Trama, $18.20. Electrics Rts., $14.50.

SALES

Docks, $15. Lights (0), $5.90...

HONGKONG

SHAREBROKERS'

ASSOCIATION

"Financial strain was evident during the year, with an increase in note circulation, a decline in the rate of national bond absorp- tion, and a rise in the national debt. Taxes were substantially heavier, the import excess in merchandise, trade with foreign H.K. Docks currency countries increased, and HK. Electric Rts.. gold exports were, reduced by 508'ha Wing On percent. The China incident had

Volame of Business Transacted on Friday, April 25, 1941.

... 100 $15.00

970

TTRINI ⠀⠀⠀

118 11

*** :!

$80

QUOTATIONS

to goods may be exported by com- mercial concerns with the permis- sion of the Kunming office of the Foreign Trade Commission.

SHAREBROKERS,

ASSOCIATION

FRIDAY

Вкуст

Beliers

Sales Xomina

25 APRIL.

Banks

H.K. Banks

Do. Col. Rog.)

£8t

1663

$1340

78

由自汇

£76

£71

Do. (Lon. Bag.) ....

£8

Chartered Banks

E22

Mercantile Ekı. "A"

el

Mercantile Bks." "O"

Bank of East Asia..............

$70

N. O. & B. Banka..... Insurances

*IE DUHE

$2.80 22.00

$33

$228) Canton Insurances.....

8426 Union Insurances.......

$1 Underwriters.......

$187 H.K. Fires..

Shipping

$135 Douglases

#81

$60

40/7

Stesbeste

Indo-China (Pref.))

Indo-Chinas (Del.)

Shells

16.55 Waterbosta

Godowns, etc.

!!!!!!

$427+

1188

Meantime a

FUKIEN, CHEKIANG, REFUGEE RELIEF

CHUNGKING, Apr. 25 (Central) In addition to $100,000 previous- ly appropriated. the National Re-

has #1340 Hef Commission"

allocated $50,000 for the relief of the war refugees in Fakten. Mr. Chen Pel-kun, member of the Fukien Provincial Relief Commission, has been asked to provide accommo- 15 ct.dation for the refugees from Foo-

chow, Lienkong and Changloh. $1221 An appropriation of $120,000 has been made for the relief of the 180 cts.

$187 refugees in the Chekiang coastal

£11

regions.

$125

$60

$60

40/7

"BLACK&WHITE"

LONDON, Apr. 24 (Reuter).

Public Deposita Other Deposits:—

Bankers

Other Accotinės *Total

-

REPORTS

Apr. 17

(000's. Omitted)

Apr. 34

14.870

16,130

115,150

112,520

53.410

52,210

163.560

164,730

Government Securities

132,690

132,170

Other Securities:----

Discounts and Advances

40,780

38,240

Securities

18,400

18,070

Total

69,180

57,310

Notes and Coins

6.230

9.060

Total Bullion

1,430

1,510

Notes in circulation

40,780

38,240

Ratio of Reserve to Liabilities

9.03%

5.00%

186/-

SYSTEM

Apr. 18.(1940) Apr. 17.

Apr. 24

(000's Omitted,

*

US Securities held

Federal Reserve Ratio

2,467,000 2.181.000 88.06% 91.00%

Federal Reserve Credit Outstanding. 2,514,500 2,286,000 Monetary Gold Stocks

2,284,000

91.21% 2,239,000

Industrial Advances

18,831,000 23,421,000 9,852,000 2,479,000

1.

22.482.900

1.491.000

Price of Gold at which holdings are valued ... 168/-

FEDERAL RESERVE RETURNS

NEW YORK, "Apr. 24, (Reuter),

Bills Bought,

PRE-PAID ADVERTISEMENTS.

The following classes of advertisements are charged at the price given below --- SITUATIONS VACANT.

HOUSES AND APARTMENTS TO BE LET. MISCELLANEOUS WANTS.

Announcements not exceeding 25 Words are inserted under this heading at a Pre-paid

Rate of $1.50 for THREE INSERTIONS.

If Charges collected, $2.00.

Docks, Wharves.

$85-1

R.K. & K. Wharves...

$5

Providents................

$42

$18

H.K, Dock (Old).... H.K. Docks (Not).....

$154

HOUSES AND APARTMENTS WANTED.

8244

Mining

14/0

$8

##

$241 +8hanghai Docks......

14/0

45

Kailang

Baubs

1oHong Kong Mines.....

Lands, Hotels and

Bulldings

H.K. & 8. Hotels...... H.K. Lands........ $971 Do. 4% Debentures...

$18.60 Shanghai Lands.......

***

H.X. Realtics..

$8.70 Humphreys........

$99

Chinese Estates.

..: Cotton 'Mill.

$37 Ewo (S.)

8400

47

S'hai Cottons (8)... Zoong Sings (B.)...... Wing On Textiles. (8.)

Public Utilities

$16.20 $16

H.K. Tramways........

$7

Peak Trams (vid).... Peak Trams (new)...

$0.80

$5.90

$26X.Rta.

325

#144

I.D.

### 11

!!!

$52

Star Ferries............ #231 T'mati Ferries.....

China

Lighta (0)...... China Lights (New)... H; K. Electrics (Old)... H. K. Electrics(New)... H.K Electrio (Ris.) Macao Electrics (Old) Macao Electrics (New) Sandakan. Lights...................... 823 Telephones fold).......

Telephones (pew)...................

$12

Industrials Cold, Macg. (Ord.) B.

Cald., Macg. (Pref.)

$51

H

Hä:

$2.85

$33

#97

$1.70

$371

200

$125

18.15

$251 $25 8144

$30

125

Canton Icat.............

$15

Cements ....

$15

$7

Н.К. Коре

$7.15

·HE, Gört. Lom

896 81%

"

(1934)

E+L

பகுப்

$6.25

$97 4% Loan

$24 81%

(1940). Miscellaneous

$17Dairy Farms..

Entertainment

$1,80 Constructions. (old)...

Constructions (new).........,}

Lane Crawfords........ Nanyang Tobacco......

am- qu@rate the l⠀

TO LET

HOTELS

TEA DANCE DAILY

Shop space, with window, in best district, early next month. Reply giving line of business to box 200 H K. D. P.

WANTED TO BUY

FÜR JADED APPETITES:

#

REAL RUSSIAN FOOD

Tiffin $1.20

Dinner $1.50

METROPOLE HOTEL

WANTED KNOWN

"WE PAY HIGH PRICES for all gold and silver articles. Jade diamonds, jewels, watches, fountain pens. Apply Far East Experienced Book-keeper Wants Diamond and Gold Refining Co. 8tudents to form a class. Guaran- $234 Room 621, China Building, 6th tee students to keep a whole set of floor. (Store will open on Sun-books after completion of a course. days and Holidays).

$9.30

76 ota

***

84

of 6 months. For Term and Par- ticulars. Please Apply to:-Box

General Agent: Chan Che Kee No. 483 a/o H.K.D.F No: 4, Lyndhurst Terrace. Tel 26402.

WE PAY HIGH PRICES for all gold and silver articles, gold bars, diamonds and Jewels.. Apply China Gold Refining Co. Pedder Building, 2nd floor, Room 6.

WE OFFER HIGH PRICES for 97. any

amount of gold articles, diamonds, silver, jewels, etc. No [holidays. Apply China Building, 17th floor. Tel: 30727, Eurasia Gold

Refining Co.

$42

BUTTERICK

Expert Ladies. Tailor New Style Ready Made Dresses,

Overcoats and Costumes⠀

FOR SALE.

16. Wyndham Street,

ENGRAVERS

Tel. 23615

FEI FEI & CO. Photo Engravers

18, Cochrane Street, Telephone No, 2224.

AUCTIONEERS

GREATEST COLLECTION HE BARGAINS IN TOWN!

Dr. Wong Wen-hao, Minister of Economic Affairs, Dr. Manlin Chiang, member of the "Executive Council of the National Southwest. Associated University, and Dr. Zen Hung-chium, former President of the Szechwan University, will be hanoured by the Hongkong alumni [of the National Peking" Univeraltý | Roma

at luncheon at Cafe Windsor today.

(Centrall

""

LAMMERUS MCERIN KOUM

EXCEPT MONDAYS

5 to 7.30 PM:

AT

Jimmy's

Help Your Friend and his Hobby by giving

POSTAGE STAMPS

for

bis COLLECTIONS snd SEEDS for

his GARDEN We can supply the goods of his and your' want

GRACA & CO.

Dealers in postage stamps and

garden seeds, etc.... No. 10. Wyndham Street. Established 1896

TRONG KONG

WANT-ADS ARE SEEN.

$172

$1.65

$76

#7

K

$2.18 Sinceres

$2.90

894

Watsons"MANA MEETS AN

$0.20-

28

Ch. 0.5% 192hG §Bda,

28

$39

H.K. Wing

On

Ehai Wing Onli

Marsinans Inv. (Lón,)

87.80 Vibro Piling

8/3

30 Maramans Iny. (H.E.)

Wm. Powell..........

Lights Rts...

• +Bale to Shanghai

300 14.25

800

3.40

#1

cost Japan over 18,000,000,000 yen (17.2. $5,680,000,000) by the end of

140 cta,

1,000

The total value is $7,815.00...