FO371-23514 — Page 213

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Page 213

3.

52

hard to substantiate.

6.

Messrs. Imperial Chemical Industries have

reported that two Japanese soap factories in Shanghai,

which are manufacturing soap for the Japanese army, are

receiving caustic soda from Japan duty-free. Both these

factories sell in the open market also. Messrs. Imperial

Chemical Industries are agents for the Corn Products

Refining Company of New York, and sell goods produced by

the Korean subsidiary of that firm, the Nippon Kokusan

Kogyo Kabushiki Kaisha. Although the prices at which

Messrs. Imperial Chemical Industries obtain supplies from

this concern are the lowest they quote to any customer,

they have recently found themselves underquoted in the

Shanghai market in respect of Liquid Glucose manufactured

by the Nippon Kokusan Kogyo Kabushiki Kaisha, which has

probably been imported duty-free on the plea that it is

a necessary foodstuff.

77. The conclusion is therefore that, although

conditions are much better than they were before last

June, various commodities are sold in considerable

quantities which show that they have been imported duty-

free by the Japanese on various pretexts.

I have the honour to be,

With the highest respect,

My Lord,

Your Lordship's most obedient,

humble servant,

Antal cast

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