Centralization of Control and Improvement of' Services Effective in 1933
While the activities of the Salt, tion and distribution by private mer-Revenue Service do not touch so chants, the collection of duty, etc, perceptibly foreign interests in Chu has been greatly simplified with reas do those of the Chinese Mant sulting peneft to all parties con-Customs and the Postal Administra-cerned in the salt trade, as well as tion, yet the returns of this second to the government's revenue.
"pillar" of Chinese finance are of very general interest as a barometer Eradication of Malpractices indicating variations in economic, Following the amalgamation of the social and political conditions, administrative offices ("Transporta~ throughout the entire country. tion Offices") with the Inspectorate The Salt Administration now func-organs ("Auditorates") in the four tions in every province, central and central Yangtze provinces in 1992, a peripheral, and its operations are [system of personal and unofficial meticulously recorded in the Chief fees, known as "loukuel," formerly Inspectorate offices at Nanking and collected in various guises by the Shanghai, Communist or bandit dis-'Transportation Offices was definitely turbances in Kiangsi or Szechuan, suppressed. Further steps were military emeutes in Fukien, floods in
practices, and so-called "perquisites" mentally ascertainable mal-taken during 1933 to eradicate funda Central China or Chihli, drought in Chekiang, each immediately affects the consumption of salt in such disin various districts where the ad-{riets and revenue collections reflect ministrative and preventive funethe disturbance of normal conditions, tions had been taken over.
It is against these local elements of Despite their deep-rooted and time-disruption which the Salt Admini-sanctioned nature, such malpractices stration must contend in maintaining fand the "loukuel" evil were eradithe revenue at the budgeted esti-leated in a very short time. The mates or better, loyalty of the sale revenue personnel this dim cult task has been highly Increase Over 1933, commendable. To prevent other Notwithstanding adverse condi-possible abuses, all salt refineries tions and increases in duty rates, throughout the' country, of which statistics prepared by the Chief In-there are now a considerable numspectorate of Salt Revenue disclose ber, were required to be total releases of taxed salt during the registered on the basis of quotas of year 1933, excluding Manchuria, as salt transported by them. approximating 38,000,000 Suma Galt) piculs, showing a gratifying Improvement of Preventive Service increase of about 1,400,000 Suma The re-organization and improve piculs as compared with 1992 re-ment of the salt preventive forces, leases. The salt revenue collections numbering over 20,000 officers and for the same period totalled apmen, has been one of the prime proximately $160,000,000 representing Jobjectives of the present administra-an Increment of $14,000,000 odd over tion. After the introduction of the the collections of' the preceding new system of revenue guards in the year. ten districts already described, fur-"The expenditures for the three dether efforts have been vigorously car-partments of the Administration, ried forward to improve the preven-Inspectorate proper, Administrative tive service by the complete removal and Preventive, including large dis-of undesirable elements, by rigid! bursements for the extensive con-training of revenue guards officers at struction programme of salt depots, special training institutes as at Sung-canals, roads, etc., aggregated some Kiang, by constant inspections by $17,006,000. This was less by about senior officers, and by stern en-$140,000 than the total expenditure of forcement of discipline and the reg-the year 1992. ulations relating to efficiency in, addition to conditions apcarrying out preventive work. proaching bankruptey In rural communities, industrial stagnation and Readjustment of Duty Rates widespread business depression The duty rates on salt, which throughout the land generally, the following centuries-old customs, still year 1993 was characterized by two vary greatly in different regions of other adverse factors, each having a the country, were readjusted during direct pearing on the salt trade and the year so as to be placed as far consequently the salt revenue. In as possible on a more equitable certain central China provinces an basis. 'The purpose was to prevent economic blockade, which included habitual invasion of salt from the alimentary salt in' the list of con-lighter into the heavier duty areas traband, was imposed through a by making rates as uniform as pos-military cordon drawn ti sible, reductions being made in some the districts infested by areas and increases in others. bandits."
Improvement of Sale System The northern consumption areas were similarly seriously affected by A characteristic feature of the! the increasing clandestine production transportation of salt by privileged of "earth salt" in inland alkaline merchants to the central Yangtze and by the invasion of valley has been the "pai chia" ut wut duty" salt from Manchuria, selling price fixed by the govern. these circumstances, it was, anticl~ ment. Consignments of salt have pated that consumption of taxed also traditionally been sold rigidly alimentary salt would show a decline.
In the order of arrival or by "rota However, the introduction of effection." Owing to the restrictions thus tive measures for improvement and imposed on wholesale prices for reform not only counteracted these Huai salt, destined for sale in the adverse factors but, as already four Yangtze provinces, merchants stated, resulted in an augmentation have not been able to compete freely of Issues of government taxed salt in the sale of this sea salt either at fas well as gross and net returns of the producing works or in the con. revenue sumption areas. This has resulted Tt is algo noteworthy that of the in gradual decreases in consumption total increase in salt releases and and large stocks of salt have re-revenue collections, by far the mained unsold in the government greater part was accounted for by supervised stores in Central China. the ten salt districts, where the ad-In order to stimulate consumption, ministrative and preventive func-it was ruled that the official selling tions, previously exercised by extra: price in force in both the producing Inspectorate authorities, had been and consuming districts. might be consolidated with the "Inspectorate taken as a maximum price, which service. With this partial unification merchants were allowed to' reduce of directional control, important re-their own discretion. Selling forms were rendered possible and agencies have also been established successfully introduced during 1993. in some places, whereby the mono: Among these were: poly transportation merchants ar: permitted to assign any consignment Simplification of Procedure of their salt to such agencies for Since the rehabilitation of the Salt free competitive sale without being Inspectorate in 1929, the Ministry of Subject to the restrictions of the Finance has adopted certain new rotation order. constructive policies. These include making the Inspectorate itself res-Construction of Salt Depots ponsible for the suppression of Control of the salt producing smuggling (a feature of the utmost works depends mainly, it has beea importance in the Salt administr found, upon the development tion where some 40 per cent. at least good ' storage and: communication of all salt consumed is calculated as facilities in the works areas. With escaping government taxation and this principle in mind, extensive control) and the assignment of ad-necessary construction works in the ministrative functions to the con-great salt producing areas of the current charge ofthe Inspectorate.
Huaipel (North Kiangsu)—district Such policies have been confined by were completed in this period. So way of experiment to the ten direct-successful have been the results of ly controlled districts of Shantung, the construction programme in Hual-Husipe!, Huainan, Sungkiang, Liang-el, that similar plans have been cheh, the four central Yangtze drawn up for the construction of provinces and Honan. As a result, salt depots in the districts of Shan-the procedure in connection with the official supervision of salt produc tung, Huainan (Yangchow), Liangcheh (Chekiang), Sungkiang and
Text read from the printed page and cleaned; old type leaves the occasional error.