CHIEFOO
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brought negotiations to a standstill. Another pressing need in Chefoo is a good water supply. The Chefoo-Weihsien motor road was opened to traffic in 1923 and, although very unsatisfactorily metalled, is nevertheless very popular.
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An enterprise was established a few years ago by a wine company of sub- stantial standing; the soil of the locality lends itself to such an industry. Chefoo is noted for its large and increasing fruit-growing industry, supplying Shanghai, Vladivostock, Kobe and other Eastern ports with foreign fruits, which grow well with care and attention in that part of Shantung-the native fruit-growers having received foreign instruction-so that which was at first a hobby is now a paying industry. Other very important industries are the manufacture of foreign. silk and hand-made silk laces, which in the hands of foreigners promise to assume large proportions. Silk thread and silk twist are largely made and exported from here to France and America. Chefoo uses a large percentage of the cocoons from Korea and Manchuria that come to China. The port was connected in 1900 by telegraph cables with Tientsin, Port Arthur, Weihaiwei, Tsingtao and Shanghai,
TRADE IN 1929
The involved political situation in and around Chefoo, the insecurity of com- munications, and general uneasiness were again responsible for the lack of any real trade revival during 1929. Prospects appeared favourable when the year opened, but a period of some months iminediately followed during which trade suffered from existing chaotic conditions, and it was not until the end of April, after protracted fighting, that Government forces resumed control of the district. Conditions subse- quently improved, and comparative peace was enjoyed during the second half of the year. Enduring harm, however, was done by the constant presence of so many troops, and merchants were called upon to contribute to their upkeep in money and in kind to an unprecedented degree. Owing to the imposition of a provincial goods tax, Chefoo is fast becoming an expensive port and losing, in consequence, the prominent place it has so long occupied, and its hinterland is gradually finding it cheaper and safer to obtain supplies from Dairen and Weihaiwei. At the same time the number of steamers berthed at the wharf shows a steady increase and justifies the Harbour Improvement Commission's contention that the time has come to provide extra berthing space if the advantages accruing from direct foreign trade are to be maintained and improved. Ocean steamers have been induced to call, mostly for cargoes of groundnuts, but space for one liner only at a time is undoubtedly insufficient, and on several occasions ships have been subjected to regrettable delays. Plans for increasing the berthing frontage, so as to accommodate two liners together, and for constructing an additional cargo shed and railway track from wharf to mole base have been prepared, but financial con- siderations have arrested their execution. There is little to note under the heading of imports, but kerosene oil companies have found it advantageous to retain stocks at Dairen and Kiaochow and transport them by junk as required instead of by steamer, and importations have accordingly decreased. The spring silk crop again failed, mainly on account of excessive dryness during the rearing season, but the autumn crop was excellent as regards both quality and quantity. Considerable progress has been made by the Silk Improvement Commission, which has been responsible for the distribution, free of charge, of large quantities of disease-free layings, acorns, saplings, and ungrafted trees and has carried out propaganda work demonstrating the advantages of disinfection of rearing-rooms and equipment and of correct ventilation, temperature, humidity, and feeding. The quantity of pongee silks shipped was substantially the same as in 1928, but the quality showed improvement in lustre, weave, and general appearance. India took a good proportion of Shantungs, but otherwise little interest was shown abroad in this class of silks, once so popular. The export of groundnuts was adversely affected by the new high American tariff. The advantages, as regards exports, of a low rate of exchange are not so real as might at first sight appear, as groundunts and other export produce are paid for in copper coins, which have appreciated considerably of late. The trade in hair-nets, once so flourishing-the offspring of fashion but also its victim, -shows some improvement, the demand being for a larger size of cap. Excellent work was done by the International Committee in repairing various roads, and the Kung An Chu in other sections of the town has achieved results on which it is to be highly congratulated. Traffic by junk through the Native Customs was not marked by any special features. Although the number of motor fishing vessels increased, business was affected by increased taxation, and several owners evinced a desire to convert their craft into small traffic vessels.
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