Mvcu has been said as to the impolicy of HE. Liu Ming-elman's government of Formosa, his over-development of the north and his neglect of the south of the island. He will be able to defend himself by pointing to the returns of trade last year; for Mr. Chalmers is able to write from Tamsui that "the statistics of 1888 must be regarded as more than usually satisfactory, and us evidence of a real and well-founded prosperity while Mr. Lay, whose re-ort, for the information in which he is indebted to a resident merchant, is almost entirely devoted to sugar, notes under the head of Revenue that at Takow "the total collection exceeded that of 1887, the figures under all the headings except 'T'ransit showing an increase."
The report of Mr. Chalmers is much the more interesting of the two, and it shews how great the resources of Formosa are, when so good a result is achieved although the entire agricultural population was upset last year by a complete revision of the system of land taxation, and its work hindered by a severe epidemic of cholera in August and September, which was estimated to have destroyed some 2,000 lives, and by an exceptionally large mortality from other ailments. Through all this the Governor has pressed on his railway from Taipei, his new capital, to Kelung. Its completion awaits the boring of the tunnel through the range of hills which hems in the town of Kelung on the south, which is by no means an inconsiderable work; but Mr. Chalmers expects that the end of another year will see it accom~ plished. Meanwhile passengers can tra vel eight miles and back from Taipei for ten cents; and the passenger tickets are the handsome adhesive stamps which the Governor obtained from England for his new postal service, but which were found not adaptable to his postal regulations and therefore serve a new and unin= tended purpose; "a vicissitude," says Mr. Chalmers, "which is perhaps unique in the history of postage stamps." Railway companies at home might take a hint from this for the benefit of that regular proportion of passengers who lose their tickets before they arrive at their destination, It is interesting to lean that the progress of Taipei and Kelung is not so far interfering with the prosperity of Twatutia and Tamsui. The former is the open town that has never been formally opened, is the centre of the Formosan tea trade, and is nominally a part of its sea-port tamsui, Here we read that the foreshore between the foreign hongs and the river has been filled in and bunded by Chinese capitalists, who are covering it with buildings for European residences, godowns and offices. The railway from Taipei to Changhua is to pass through Twatutia, and a bridge is being constructed across the river at the latter spot.
As regards the actual trade of Tamsui and Kelung in 1888, we note that while foreign imports generally increase with the increase of prosperity, cotton and woollen fabrics exhibit no such tendency. his is explained by the better conditions under which native cloth can be imported. It avoids the tariff duty by coming in junks, and, as there is no likin on imports in Formosa, passes into the interior completely untaxed. It is noticeable that north Formosa, fertile as it is, depends to a considerable extent on China for its food supplies, which goes to indicate that it raises profitable more valuable products.
The chief of these products in value is Tea, and tea in China, however anxious plant it may be in India, is like charity and never fails. he natives prophesied last year—and such prophecies are remunerative when. ey obtain credence—that the crop would be a short one but "similar predictions of a deficient supply have been made in former years and have been similarly unfulfilled. The fact is that with the constantly increasing area of production such an event is highly improbable."
Camphor is the second great crop of Tamsui, and the conditions of the harvest are peculiar. It is a government monopoly; as to which Mr, Chalmers ventures no criticism, but states that the monopolist has set his face against adulteration, and for a time improved the mode of packing. 'The collectors of camphor, however, have to be protected by soldiers from' the attacks of the savages, and as the soldiers were engaged in quelling disturbances last year, the camphor crop was restricted. As' the pacification of the island proceeds, these interruptions to the trade will cease. Meanwhile nearly all the other, minor, productions of North Formosa shew progressiveness, As regards the coal
Text read from the printed page and cleaned; old type leaves the occasional error.