Chinese merchants have been cooperating with Japanese in smuggling Japanese goods into the Chungking-controlled interior in large quantities by means of postal communication and the situation has become so unfavourable that the Chinese authorities are paying serious attention to the matter. Difficulties are still to be overcome by Chinese officials, as the smugglers have changed their methods.
The above information is contained in a report from Foochow published by the "Shun Pao" in which it is} asserted that, although it is difficult to smuggle Japanese goods into the Chungking-controlled interior on a big scale because of alertness of the Chinese authorities who maintain boycott offices in districts along the Fukien coast, Kulangsu; which is} Occupied by the Japanese, has been made the pivot of smuggling activities.
Using several newly established pharmacies as the starting points of i their" activities, the smugglers first mailed large quantities of valuable medicines, including tonics, to districts near the coast where Chinese receivers sold them at very cheap prices og a bait, it is stated. The goods were first sent to Tungan and Haicheng, just opposite Amoy and Kulangsu, and then sold to small Chinese medicine shops in districts further in the interior. Chinese merchants in the interior repeatedly remitted money to the two pharmacies asking for more such goods.
Text read from the printed page and cleaned; old type leaves the occasional error.