There are rumours in Nanking that powerful Cuban sugar interests are negotiating with the. Chinese authorities for the investment of between G4300,000,000 to G.$500,000,- 000 in industrial enterprises in China. The Cuban sugar combine is stated to be principally interested in sugar monopoly ani the construc~ tion of highways and railways in China. These reports, however, cannot yet be confirmed in official quarters, Mr. Ricardo Grave de Peralta, ported to be a prominent financier in South America, recently arrived in Nanking with two legal advisers jand some Chinese assistants, In his conversations with the Government leaders here Mr. Peralta proposed that the Cuban sugar interes should put up a capital of 6.§20,00 000 for the development of. the sugar refining industry in China. 'The 'National Government was also urged to take an active part in the proposed project. All. Cuban raw sugar to be imported into' China, according to his plans, was to be exempted from duty, The Cuban combine and the Chinese Gove ment were to share equally the profit, and the combine be granted a 20 year monopoly of the China sugar market. At the end of the 20-year Period, the National Government could take over the property and interests of the enterprise in this country' without compensation.
This proposal, however, was rejected by the Chinese authorities on the ground that China imports about Taels 100,000,000 worth of sugar every year. The Govern ment collects about M.$15,000,000 every year from sugar duties, and it was considered the project of the Cuban combine would not bring any additional revenue to the Chinese Government, 'The terms of the pro~ posal, therefore, have since been greatly revised,' Tt is rumoured that the Cuban combine has. agreed to put up, G.$99,000,000 solely to fine ance the sugar refining industry in is country. Cuban sugar will be taxed in the usual manner and there will be-no Cuban sugar monopoly in China, The Cuban combine, how= ever, is to get 5 p.c. of the profit of the proposed enterprise.
It is understood that no agree ment has yet been reached and that negotiations have not yet gone be~ yond the preliminary stages.
Mr. Peralta is also collecting data regard to highway and railway development. While the Cuban sugar cornbin velopment of the sugar refining me istry in China, it fs also making: plans to invest millions of gold dollars in other reconstruction pro= sects in this country—Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.