Matters have now reached the aye where the Japanese have fected a complete stoppage of all British exports from Tsingtao waist new contracts, unless such contracts are financed through the inese Banks or in Yen, Exports financed through the Urilish banks in Tsingtao by means A Chinese National Currency are wut "now permitted. Tt has been uuxested, though not in writing, by the Japanese Consul that exporters auld export to Shanghai by means Yen drafts drawn on Shanghai, he exporters disposing of their goods wom there as they think fit, and lating these Yen drafts through he foreign banks. Such a procedure in effect the same as negotiating Luk through the Yokohama Specie link as the Yen is not an a par with Chinese National Currency Dollars. The official quotation of the Yokohama Specie Bank for 4 m/s credit "bills on London is 1/23/32d. werees at the present time the wwe National Currency Dollar rotation for similar bills is about lid. To do business on a Yen basis, therefore, involves the exporter ronviderable loss as. the official quotation is much lower than the nen market rate prevailing here, at tsin and at Shanghai.
The action of the authorities munts to exchange control which ix turn gives control of trade and ommereial enterprise with coneauent hindrance to free competi-between Japanese and Third Power nationals. ment have prohibited the export of hides, ete. (see Customs Notification No. 733 of 38/38)
This action by the Japanese not: only excludes British exporters from this trade, but must seriously affect the sale of British tanning materials which are now imported from the British Colonies.
Matches.—Only such Chinese match factories as have agreed to Japanese! nationals participating, with a con trolling Interest, are permitted to operate their factories. Under order issued by the Peiping Provisional Government dated October 27, 1098, no matches may now be sold in North "China except through a special office set up for this purpose. This same order prevents any new match factories from operating. The Yearly output of matches in China mounts to 200000 tons, according, to 2 recent statement by the Japanese authorities, of which 80.0C0 tons are produced! in Shantung.
Flour Mills—All Chinese operated four mills have been taken over by' the Japanese, either by outright purchase at Japanese valuation or with' 'Similarly. diMiculties are being placed controlling interest. inthe way. of British wholesalers in marketing flour: ie. Australia and' Canada will be affected. 3 fervour Lighterage—British ships etude rom. the use of the "nares and a monopoly has been Created by the Japanese in the trans-coot of goods io and from British
Text read from the printed page and cleaned; old type leaves the occasional error.