Directory_and_Chronicle_1908 — Page 809

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KIAOCHAU

this step lies in the removal of Customs control from the railway stations to the free area, and the consequent freedom of goods and passengers to pass in and out, from and to the hinterland, without hindrance or control of any kind-a traffic simplification from which a considerable increase in trade was expected. This expectation has already been realised during the first year. The total value of the import and export trade of the year-30.5 million Haikwan taels-shows an increase of 8.2 millions, or 33 per cent., over that of the previous year; of this amount, 25.4 million taels is the value of the trade carried on in vessels of foreign type, and 5.1 millions the value of the junk tradle. While the latter has remained stationary as in previous years, the foreign trade shows an increase over the figures for 1905 of 8.4 million taels, or of nearly 50 per cent. The import of foreign goods has increased from 10.8 million taels in 1905 to 17 millions, or nearly 60 per cent., while the value of direct exports to foreign countries-3.5 million taels-shows again the very satisfactory increase of nearly 50 per cent, over the total of 1905. All considered, the year's trade and its development under the new Customs arrangement has been most satisfactory. Merchants are satisfied with the results, although profits have been curtailed here, as probably generally in China, by the fluctuating exchange. Another feature deserving of record in this connexion is the influx of Chinese. The new arrangement has inspired confidence in the stability and future of the port and is attracting artisans, traders, and wealthy Chinese firms, which last, hitherto dealing with Chefoo, have until now kept aloof from this place."

The Bay of Kiaochau is an extensive inlet about two miles north-west of Cape Evelyn. The entrance is not more than 13 miles across, the east side being a low promontory with rocky shores, with the village of Tsingtau ("green island," from a small grassy island close to the land) about two miles from the point of the peninsula. On the west side of the entrance is another promontory with hills rising to about 600 feet. The shore here is rocky, and dangerous on the west side, but on the east side is a good stretch of sandy beach. The bay is so large that the land at the head can only just be seen from the entrance (about 15 to 20 miles away), and the water gradually gets shallower as the north side of the bay is approached. Kiaochau city stands at the north-west corner of the bay. There are two anchorages for big ships; the larger and better is round the point of the east promontory, on the north side, and the other, smaller one, at Tsingtau on the south side. A new mole was "opened" on March 6th, 1904, which accommodates five vessels with berths. A second mole, connected by an iron pier, was opened a few months later. Both have direct connection with the railway. The hills are nearly bare rock of granite and porphyry, but an extensive scheme of afforestation has been decided upon. The soil of the valleys between the ranges and the plain country on the north-east is alluvial and very fertile, and is carefully cultivated. Wheat, barley, millet, maize, and many other grains in smaller quantities are grown. The foreign residential quarter at Tsingtau has been well laid out, and there is a good foreign Hotel. The first sod of the Shantung Railway was cut by Prince Henry of Prussia in October, 1899, and the line to Chinanfu was opened on the 1st June, 1904. It did a prosperous business in 1905, and the returns for 1906 showed an increase of 30.4 per cent. in goods traffic and 6.2 in the passenger traffic. The passengers carried numbered 847,379 and weight of goods carried was 448,941 tons. The coal mines are progressing favourably. The output of the Shangtung Mining Co., at Fangtse in 1906 was 163,233 tons. Silk factories, a brewery, soap factory, and & tannery are in full work. Fruit grafting is just becoming a promising enterprise. The development of the town of Tsingtau has made considerable progress; the town is partly lit by electricity, houses are springing up in all directions, and a system of water supply has now been completed. The new harbour works are progressing. The outer break- water and two piers are completed, and have been in use since March, 1904. The dry dock commenced operations in October, 1905, and was busy during the winter. The dock employs 36 Europeans and during its first year of operation found employment for an average of 1,000. Chinese workmen. There are two German newspapers published, a weekly paper called the Deutsch Asiatische Warte and a daily paper called Tsingtao Neueste Nachrichten. The climate is temperate, and it is expected that the Bay will in course of time become & summer resort for the residents of Shanghai, there being an excellent bathing beach. The net value of the trade of the port for 1906 was Tls. 30,572,381, against Tls. 22,322,680 in 1905, and Tls. 18,863,808 in 1904. These figures illustrate the way in which Kiaochau is advancing to the front as a trade emporium. Kiaochau has become the principal

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