Directory_and_Chronicle_1940 — Page 772

A390

FOOCHOW

have stopped running since the Sino-Japanese war, the ships plying between Foochow and other ports are mostly British-owned. In spite of the unstable situation, the Provincial Government is doing its utmost to improve the tea, timber and paper trade. Bureaux for control of methods of production of timber and paper, and then sale, have been established. Foochow and its ad- joining districts, had very rich harvests in 1938.

TRADE IN 1938

While the year 1938 was not a satisfactory one for Foochow, the statistics of trade show a smaller decline than expected. General uneasiness prevailed throughout the district during the first half of the year as a result of inter- mittent air raids, while the fall of Amoy aroused apprehension that an attack on Foochow might follow. Local trading conditions were unsettled, banks restricting their loans to commercial enterprises, and merchants, consequently, being under the necessity of confining their trading to immediate require- ments. The Provincial Government also had perforce to curtail their reconstruction programme, but with the object of encouraging trade they established bureaux to control the marketing of several of the principal commodities of the district, notably tea, timber, paper, etc. The

The crops in the northern districts were good, a healthy sign, but there was no improve- ment in purchasing power. Prices, however, remained generally steady. and in the later half of the year confidence began to return, the year closing with increasing movements of cargo. The trade figures were as follows: direct foreign imports, $6.9 million in 1938 as against $6.3 million in 1937; coastwise importations of Chinese merchandise, $17 million as against $21 million; direct exports to foreign countries, $5.3 million as against $6.4 million; and coastwise exportations of Chinese produce, $16.9 million as compared with $17.6 million. The low rate of the national dollar and the campaign for economic self-sufficiency naturally affected the volume of direct foreign imports, imports of fishery and sea products dropping in value from $307,925 to $129,419; sulphate of ammonia from 79,078 to 46,298 quintals; and kerosene oil from 6,621,614 to 3,573,791 litres, a decline indicating a forced reversion to native oils for illumination purposes. The remainder of the petroleum products, however, showed substantial increases, especially in the case of liquid fuel and gasolene, the latter advancing from 841,398 to 2,425,532 litres as a result of the coastal blockade which brought into greater use vehicular transportation. Tinned plates declined approximately 50 per cent owing to the removal of the tea market to Hongkong, while machinery, dyes and cement, the latter doubtless for protective purposes, all showed considerable improvement over the preceding year's figures. Imports of wheat flour advanced in value from $312,748 to $483,823, offsetting the decline in coastwise importations resulting from the destruction of factories at Shanghai during the hostilities there. There were also heavier importations of rice from abroad, the greater portion being imported for Chüanchow, a district not self-sup- porting and usually supplied from Foochow in normal times. Owing to the destruction or closure of many factories in Shanghai and its neighbouring districts, the local production of cotton cloths underwent considerable ex- pansion, resulting in increased imports of native cotton yarn, these advancing in value from $715,244 in 1937 to $1,425,501 during the year under review.

Under direct exports abroad, the principal to be affected were tea, all kinds (dealt with below): dried, fresh and preserved fruits: timber which, having lost the Formosan market since the outbreak of hostilities, has dwindled in value to $98,402; and paper which fell precipitately in value from $332,881 in 1937 to $21,759 only owing to more attractive markets being found in China, coastwise exportations of paper totalling for the year $2,428,371 as against $1,791,640 during 1937. Both kittysols and mushrooms found good