Silver is bound to rise. I have not the slightest hesitation in saying so, but then the question arises: What. is China going to do if silver rises jeonsiderably? We are divorced from vis-a-vis foreign countries. We are positively on a paper basis; therefore, T do believe that if silver does rise, we must very slowly follow, but do not expect a very high level, Yet we have seen on Wednesday and Thursday a panic caused by spe-curators covering their oversold posi tion.
It may be healthy and good to be on a very low level, buf I do not believe it will help export in such a manner, or to such a degree, as to bring China out of her dimeulties.
There are many plans which have been suggested for assisting her in this problem, and Ihave a plan, which is: Prohibit the import of rice, It imports of rice into China should be stopped I think the unfavourable trade balance would disappear. The imports of rice into China during the last three oF four years averaged, in "round figures, $10,000,000; thir alone would help the trade balance sufficiently, and silver would not interfere with it, and to my mind it is a remedy which could be effected without causing starvation among the population, It is a well-known and established fact that one hectare, or mow, of rice land in China produces about halt of that which is produced in Japan, which shows that the methods used here and the lack of modern fertilizers Is $0 great as to cause a tremendous deflelency which could be easily obviated, Furthermore, the lack of transport, and the insecurity of transport in China prevent the free movement of rice. T have it on first rate authority that to bring rice from Rangoon to Shanghai is cheaper than to bring it from) Wusih to Shanghai, These facts are closely connected with our Jsubject to-day.
Furthermore, another point is that in an attempt to deal with this serious currency crisis foreign capital should be brought into the country, Unfortunately, T feel that everything done to discourage the invest ment of foreign capital in China, I am very pro-Chinese, and that is the reason Iam entitled to speak ¢o frankly. You have read and heard about the various Chinese Chambers Jof Commerce objecting to the establishment of foreign factories here; they do everything they can to discourage them, and advocate the imposition of special taxes on forelygn concerns, which T think is a very short-sighted policy, especially when China is suffering from such a serious financial crisis as we see to-da:
Remedy ts Suggested We are now in the midst of this currency crisis, and it is a question of what we should do. Personally, T believe that if we keep our heads we can easily revert to a basis of, say, between 1/5d. or 1/6. to our dollar, a basis which think would be fairly satisfactory fo. the trade of the port. This can be very easily obtained, and I think the authorities would welcome it, too, If we keep cool heads, that is to say, for panic is bound to destroy the best plan, and I would appeal to all of you not to believe those many rumours which are going about in the market, and to abstain from joining in panic, Personally, I feel convinced that there is nothing serious, in our present situation, based on clrcum~ stances and conditions as we seo them to-day. If new methods, new Jaws and new regulations were to be put into effect to-morrow, the old situation would be changed, of course, but T sincerely feel that there is no cause for alarm in the present situation, and I appeal to all of you to assist In the maintenance of cool heads, which is most essential for the critical time that we sce now confronting."
The speaker here concluded his address, and after numerous questions had been asked and answered by members, the meeting terminated with a hearty vote of thanks being accorded to Mr. Krinn.
Text read from the printed page and cleaned; old type leaves the occasional error.