QJarncU UniuctHitg BItbrarg Jftiiara, Kmo fork CHARLES WILLIAM WASON COLLECTION CHINA AND THE CHINESE THE GIFT OF CHARLES WILLIAM WASON CLASS OF 1876 1918 Cornell University Library HF 3776.B62 Report of the mission to China of the Bi 3 1924 023 448 420 Cornell University Library The original of this book is in the Cornell University Library. There are no known copyright restrictions in the United States on the use of the text. http://www.archive.org/details/cu31924023448420 -^'\ ^ i -^*-¥^^ .,.i.i':f I ^rv*'-J^ MAP A SKETCH MAP to ILLUSTRATE REPORT of M^ E. S. A. BOURNE H. M. COI 32- i03° 105° REFERENCE. B Capital of Proyince Q Prefecture 'Hl O Independent Subprefecture ting D Department "chaw o DisTrict Tisterh « WHage Route followed by the Mission Heights in English Feet Width of Rivers in Yards CHENS TU CHAO TUNG So tJdrijg-chen, FclUji, 30- 28 26 MAP A : KM. CONSUL IN CHARGE OF THE BLACKBURN COMMERCIAL MISSION Scale: 22B0960 or 1 inch Mi/es 50 *0 30 20 10 50 0960 or 1 inch =36 miles 50 100 ISO Miles REPORT OF THE MISSION TO CHINA OF THE BLACKBURN CHAMBER OF COMMERCE 1896-7 F. S. A. BOURNE'S SECTION. BLACKBURN : The North-East Lancashire Press Companv. 1898 CHINA. Consul Bourne to the Marquess of Salisbury. (Received at Foreign Office, January 21st, 1898). My Lord, In August, 1 896, at the request of the Blackburn Chamber of Commerce, your Lordship granted me leave of absence to take charge of the Commercial Mission which the Chamber proposed to send to China. Having now been requested by Mr. Henry Harrison, President of the Chamber, to address to you an account of such part of the information collected on my journey as might be of use to Her Majesty's subjects engaged in tlie China trade, with a view to the extension of commerce between the United Kingdom and China, I have the honour to enclose my Report. I have generally confined myself to the following matter : — (i) Some account of the less known parts of the country traversed ; (2) Means of communication by land and water ; (3) Inland taxation ; (4) Facts in regard to trade not generally known to our Manufacturers and Merchants at home nor treated in Consular Reports. I have, &c., (Signed) F. S. A. BOURNE. CONTENTS. Pages. I. — Shanghai 1-13 Shanghai a Port of Entry and Transhipment — Shanghai not the centre of Local Distribution it mightbe — Transit-pass explained — Likin defined — Fu-shui defined— Likin levied in the Shanghai Settlements — Lo-ti- Shui explained — Foreign Competition in the Cotton Trade — Japan — India — China — The future of Cotton and other Manufactures in China — Wages and Quality of Labour — Cotton Manufacture — Land— Raw- Cotton — Capital — Obstacles to the Import Trade — Lack of bonded Warehouses — Delay in paying Drawbacks of Duty — Differential Freights. f II. — Chin-kiang, Hankow, and I-ch'ang - - 14-28 Chinkiang, the British Concession — The plan of a Settlement preferable — Distributive Trade and Internal Taxation, Chin-kiang District — Obstacles to Trade in Chin-kiang — Steam Tug Traffic — Yang-tze Regulations — Wuhu — Kiu-kiang — Likin in the Province of Kiang-si — Hankow — The north-western Route — Hunan and the South-west — Lancashire Goods, how supplied to the Hankow Market — Unfor- tunate for our Import Trade that Lancashire Goods are not imported directly by British Firms established in Hankow — Taxation at Han- kow — Course of Trade and Banking at Hankow — The Government Cotton Spinning and Weaving Mill at Hankow — Opinions of Mr. Shaw — Complaints at Hankow — Ports of 'Call — Hulks might be Bonded — Abrogation of Yang-tze regulations — Sha-si — I-ch'ang — Taxation at I-ch'ang. III.— Ssu-ch'uan - - - - - 29-72 I-ch'ang to K'uei-chow Fu (K'uei Fu) — Navigation.of the Rapids — The Yang-tze at Ch'ung-king — Present Traffic — K'uei Fu Customs and Likin — Trackers — Wan Hsien — Weaving — Foreign Imports — Likinat Wan Ch'ung-king — Ssu-ch'uan Trade — A Ch'ung-king Merchant's account of the way Foreign Import Trade is carried on — Trade between Ch'ung-king and up-country Merchants : Terms of Payment Silver, Weight and Quality: Exchange on Shanghai — Trade Dis- counts — Comparison of Ch'ung-king with Shanghai Prices — Cotton Yarn and other Goods — Dyes and miscellaneous Foreign Goods — Banking — Taxation at Ch'ung-king— Trade Guilds— Kung-so Trade Associations — Exports — Silk — Wild Silk— Insect Wax— Wool, CONTENTS III.— Ssu-CH'uAN— Cont. - . - - 29-72 Bristles, Hides, Furs, and Feathers— Ch'ung--kingr to Ho-chow, four Stagres — Taxational Ho-chow — Ho-chow to Sui-ning^, five Stages- Huge Image of Buddha — Sui-ning — Sui-ning to Ch'eng-tu,ninestages — T'ung-ch'uan Fu — Tobacco — Ch'eng-tu — Taxation — Prices for Lan- cashire Eiece-goods at Ch'eng-tu — Brocade Weaving — Ch'eng-tu to Chia-ting Fu — Chia-ting Fu — Trade to the west of Chia-ting — Hsu Chow Fu (Sui Fu) — Sui Fu to the Yunnan border — Resume of Infor- mation in regard to the Province of Ssu-ch'uan — The Climate — Minerals — The People — Present State of our Trade with Ssu-ch'uan — What must be done to improve British Trade with Ssu-ch'uan. IV. — The Province of Yunnan - 73-98 Lao-wa-t'an, the great Yunnan Likin Station — The Country from Lao- wa-t'an to Chao-t'ung Fu, six stages — IVIr. Neville's Illness and the Charity of English Missionaries — Chao-t'ung Fu — Chao-t'ung Fu to T'ung-chuan Fu, five stages — Tung-ch'uan Fu— Copper Mining — Freight by Caravan — T'ung-chuan Fu to Yunnan Fu, seven stages — Poppy Cultivation and its Evils — Yunnan Fu, the Capital — Cotton — Foreign Cotton Yarn — Lancashire Cotton Cloth — Foreign Import Trade has shifted from the West River to the Tonking Ro\ite — Taxation in Tonking — Taxation at Meng-tzu — Freight from Hong Kong to Yunnan Fu — How can our Goods best reach the Yunnan Province — Way in which the Trade between Hong Kong and Yunnan is carried on — Payment in Foreign Goods Trade at Yunnan Fu, Silver, Cash, and Price of Food — Interview with a Chinese Banker — Likin — Recovery from the Rebellion — Yunnan Fu to Huang-ts'ao- pa, nine stages — General Remarks on the Yunnan Province — Taxa- tion — Communications — What can be done to Improve our Trade with Yunnan. V. — Province of K'uei-chow - 99-117 Unable to reach the West River from Huang-ts'ao-pa because of Brigandage — Huang-ts'ao-pa — Route followed by Foreign Goods Trade in Foreign Goods — Likin — Huang-ts'ao-pa to 'Ngan-shun Fu, nine stages — Weaving — Quicksilver Min6 — Statement by Hunan Merchants — K'uei-chow old men on Opium Smoking — The Country Ngan-shun Fu — Cotton — Lancashire Cotton Cloth and Indian Yarn Route followed by Foreign Imports — Taxation — Hunan Men — In- , formation Collected from Hunanese — Ng^n-shun Fu to K'uei-yang Fu, three stages — K'uei-yang Fu —Taxation — Freight — Silver — K'uei- yang Fu to San-chuo on the Ku-chow River — Meet the Lyons Mission — The Country — Likin Station at San-chuo — San-chuo to the Kwang-si Border — Ku-chow T'ing — General Remarks on the Province of K'uei-chow — The Country — The People — Taxation Communications — Exports — Wild Silk — Paper Mulberry — Vegetable Kingdom generally. CONTENTS. vii Pages. VI. — Province of Kwang-si - . . - 1 18-132 Bull Fig-ht — Ch'ang-ngan Ssu — English Calico — Yung Hsien — Carriage by Porter, costly — Liu-ch'eng Hsien— Liu-chow Fu — Magistrate on the Kwang-si People — Little Cultivation — Information obtained from Liu-chow Merchant— Larger Boats — Liu-chow Fu to Hsun Chow Fu — Hung-shui Kiang — Lu-t'an Rapid — Hsun-chow Fu — Trade of Hsun-chow — Hsun-chow to Wuchow — Reefs in the River — Arrival at Wuchow, the new Treaty Port — A British firm's Enterprise: this is what is needed— Account of Wuchow — Silver and Terms of Pay- ment — Taxation at Wuchow — Future of Wuchow — Depends upon Transit Passes — General Remarks on the Province of Kwang-si — Communications — Taxation. VII. — Canton and Hong Kong - - . - 133-144 Arrival at Canton — Supply of Native Cotton Cloth — Taxation of Imports Eit Canton — Likin tacked directly on to Treaty Tariff Duty by the use of the Foreign Customs Administration — Our Treaty Rights in regard to internal Taxation — What is the port area ? — Contention of the Chinese Likin Officials — How these Taxes have come into existence — What can be done ? — The Transit Trade from Caifton — Taxation of Transit Pass Goods after they have reached their Destination — Ring of Compradores and Likin Officials — Difficult position of H.M. Consul at Canton in maintaining our rights as to Inland Taxation of our Goods — Present organisation of the Import ' Trade in Hong Kong very unsatisfactory^Young Men coming out to a Career in Business in China should learn Chinese — Opinion of a Chinese educated in England on the Compradore System. VIII. — Conclusion ------ 145-152 To attain better results there must be a closer understanding between H.M. Government and the Mercantile Community — While the present methods of our Merchants obtain^ would the correction of existing abuses add very greatly to the volume of China's Foreign Trade ? — A great Improvement can only come from a revolutionary Increase in the value of Exports, and for this Foreign Capital and Enterprise in the Interior are essential — The Arguments generally adduced against Enterprise in the Chinese Out-ports — Silver — Competition of Natives — Supposed difficulty of Learning the Language — Security — Recapitulation — Some may think such a Programme too far-reaching. INDEX OF PLACES Mentioned in this Report, but not situated upon the Route followed by the Mission. Note. — The latitudes and longitudes are approximate only. Those places to be found on the maps illustrating this report are marked A or B. Name of Place. To be found on map. Approximate. Latitude. Longitude. Ch'ang-sha Fu 28- 1 2 112-47 Ch'ang-te Fu ... 2901 111-29 Chen-yuan Fu A 27'IO 108-25 Ch'ien-chiang Hsien B 2340 108-41 Ch'i-chiang Hsien A 28-56 1 06 '49 Ch'in-chow (close to Pakhoi) ... B 21-58 108-40 Chi-ning-chow 35-30 116-30 Chi-ngan Fu ... 2702 "5 Ch'ing-yuan Fu B 24-25 108-15 Ch'u-ching Fu A 25-32 103-50 Chung-pa A 31-40 104-45 INDEX, Index of Places — Continued. IX Name of Place. To be found on map. Approximate. Latitude, Longitude. Fan-ch'eng ... ... . ... o / 32-10 II2-IS Fat-shan B 2310 "3 Hai-chow ... 34-29 119-27 Hai-phong (Tonking) ... 20'50 106-40 Heng-chow Fu ... 26-55 112-23 Hsiang-t'an Hsien ... 27-53 112-42 Hsiang-yin Hsien ... 28-42 112-38 Hsiang-yang Fu 32-06 112-15 Hsi-ch'ung Hsien A 31-02 105-52 Hsing-ning Hsien ... 24 116 Huai-an Kuan ... 33-25 119-22 Hui-chow Fu ... 23 114-20 Hui-li-chow A 2634 I02'I2 Hung-chiang Ssu A 27 109-45 Huang-p'i Hsien ... 30-56 114-30 Jen-shou Hsien A 30-10 104-20 Jao-chow Fu ... 29 116-46 K'ai-feng Fu ... 34-52 114-33 Kan-chow Fu ... 25-50 114-50 X INDEX. Index of Places — Continued. Name of Place. To be found Approximate. on map Latitude. Longitude. Kuan Hsien A 30'59 103-42 Kua-chow ... 3220 119-25 Kuei Hsien B 2307 109-30 Kuei hua T'ing A 26 106-15 Kuei-lin Fu B 2513 IIO-I4 Kuo-chiu (tin mines) ... 23-25 .103-20 Lan-chow Fu 3608 103-55 Lao-ho-k'ou ... 32-25 "1-45 Loa-kai 2220 104 Lien-chow B 2 1 40 109-15 Lin-ngan Fu 23-37 102-45 Liu Hsu B 23-15 108-30 Lo-ku A 28-12 102-25 Lu-chow ... A 28-56 10533 Lung-chow B 22'20 106-50 Lung-chu-chai 33-45 II0-20 Man-hao ... 23 103-20 Mao-chow A 31-40 103-45 Meng-tzu ""' 23-20 103-20 INDEX. Index of Places — Continued, XI Name of Place. To be found on map. Approximate. Latitude. Longitude. Mien-chow A 3 1 -28 104-53 Nan-ch'ang Fu 28'33 11601 Ngan-king^Fu 30-32 117-07 Ngan-ning Chow ... A 24-50 102-30 Ning-yuan Fu A 27-50 102-12 Pai-ts'eng ... ... 25-30 106 Pao-ning Fu A 3132 105-59 P'ei-chow 34-30 118-26 Pin-chow ... B 23-15 108-30 P'ing-shan Hsien A 28-40 104-30 P 'ing-ting-hsia-ssu 26-25 107-45 Po-seT'ing B 23-45 105-56 Sing-yang (see Hsiang-yang Fu) Si-ngan Fu 34-17* 108-58 Soo-chow ... ... 31-28 120-44 Sui-ting Fu A 31-15 107-30 Sung-p'an T'ing 32-38 103-36 Ssu-mao T'ing 22-48 loi-io Teng Hsien 35-23 117-24 INDEX. Index of Places — Continued. Name of Place. To be found on map. Approximate. Latitude. Long-itude. T'eng-yueh Chow ... 2°5-02 ' 98-30 Ts'ao-chia-ch'i A 27-15 109 Tsun-i Fu .'. A 27-38 106-58 T'ung-chow . / 32 120-55 Tu-shan-chow A 25-50 107-30 Ya-chow A 30-04 103-04 Yo-chow 29-18 113-02 Yuan-chow A 27-25 109-25 Yueh-si T'ing A 28-50 102-45 Yu-lin Chow ... 2230 no Yung-ch'ang Fu 25-07 99-10 Yung-ning Chow 26 105-45 Yung Hsien 2250 110-30 L— SHANGHAI. Shanghai a Port of Entry and Transhipment— Shanghai not the centre of Local Distribution it niightbe— Transit-pass explained— Likin defined — Fu-shui defined— Likin levied in the Shanghai Settlements— Lo-ti- shui explained— Foreign Competition in the Cotton Trade— Japan- India— China— The future of Cotton and other Manufactures in China —Wages and Quality of Labour— Cotton Manufacture— Land— Raw- Cotton— Capital— Obstacles to the Import Trade— Lack of bonded Warehouses— Delay in paying Drawbacks of Duty— Differential Freights, I. Shanghai is the port of import from abroad, roughly speaking, of all China north of the 25th degree of latitude. It has unusual facihties for dealing with shipping; the moderate range of the tide admits of vessels discharging on to pontoons moored to wharves alongside the warehouses in which cargo is collected and stored, and cheap labour does this with greater speed, less damage to packages, and at less cc)St than cargo can be handled at any other port in the world. To give an example : a vessel will arrive from Tientsin in the early morning, discharge 1,700 tons dead- weight into warehouse, load the same weight and get away back next morning at daylight. There are four to five miles of such wharfage. Goods ^are here transhipped from ocean to river steamer, and conveyed for distribution to the ports we shall visit later. The trade is well ser^^ed by the British shipping companies running on the Yang-tze ; they are enterprising and well informed as to the requirements of the native mland trade so far as it concerns them. I know of only one complaint the home manufacturer can make against them, they have not yet attempted to run a steamer from I-ch'ang to Chung-king, although they have had the right since the Treaty of Shimonoseki, May, 1895. A 2 THE BLACKBURN CHINA MISSION. 2. Ihe difference between the import into Shanghai of grey shirtings, for instance, and the re-export to other open ports, was, in 1895, about 570,000 pieces. This represents goods — (i) Sent up country under transit pass ; (2) Sent up country under the system of likin, or smuggled ; (3) Sold retail for local consumption. In regard to (i) this report being written for readers in England, I must shortly explain what a transit pass is. After the outbreak of the Tai-ping Rebellion (185O) the Peking Government, being driven to straits for money, began to impose a small tax on goods moved internally — ^likin, mean- ing MOth per cent, ad valorem. The "kuan-shui" or up- country Imperial customs dues and "fu-shui," dues to each prefecture through which goods are transported, had been hurtful enough, but this likin became a great stumbling block to our traders, and Her Majesty's Goverrraient stipu- lated in the Treaty of 1858 that British subjects should have the option of freeing their goods from all inland taxation by the payment of one half the import or export dut}' when a transit pass should issue. The import and export duties having been calculated on a basis of 5 per cent, ad valorem, the transit pass duty is 2)^ per cent. Now to return to (i), only 4,556 pieces of grey shirtings went up-country from Shanghai under transit pass in 1895. The district imme- diately north of the Yang-tze seems to be supplied with foreign imports from Chin-kiang (lat. 32° 10', long. ii9<^ 29'), although much nearer to Shanghai ; thus, during 1895, 1 1,874 pieces of grey shirtings went from Shanghai to Chm- Iciang and came back to T'ung-chow (lat 32°, long. 120° 55') under transit pass. This is the more unreasonable as T'ung-chow is a port of call for the regular river liners. In regard to (2), the likin tax here is very onerous being about /. SHANGHAI. 3 1 1 tael cents* a piece, say 5 per cent, ad valorem every 20 miles or so. The transit pass trade, and therefore cheap distribution from Shanghai, seems to be hampered m some way, perhaps by monopolies engineered by the likin collec- torate and the guilds working together to the detriment of trade 'see next section). 3. On the opening of the port of Shangliai to foreign trade after the Treaty of 1842, a piece of ground measuring about a mile square was set apart as a British settlement, within the boundaries of which foreigners might buy land and live under their own municipal Government, no Chinese being allowed to be arrested therein by the native authori- ties without the assent of the British Consul. Immunity from squeezing and injustice has transferred all the trade from the native city to the settlement. The Chinese Government has always acknowledged that no tax can be levied on goods of foreign origin within the settlement except the treaty tariff import duty, and no likin is directly levied there, but the so-called Piece-goods Guild (Yang-huo Kung-so), an institutiori controlling the foreign piece-goods' trade, pays to the likin collectorate 7,150 taeis, (about ;£■ 1,000) per annum, to cover the sale locally in Shang- hai of 10,000 bales of piece-goods. The guild re- covers from the shopkeepers as follows : — The committee of the guild, consisting of four members and a secretary, assess eacVi shop to have sold so many bales during the year, and on this quantity the shop pays the guild 75 tael cents (about: 2s. 3d.) per bale. In regard to piece-goods sent to Soo- chow (lat. 31° 28', long. 120° 44') the same guild pays the Goverrmient 12,000 taels (about £\,'jo • • '• 857.891 ,, * I picul = i33lbs. avoir. The fact is that all over the West of China Indian yarn is 6 THE BLACKBURN CHINA MISSION. killing what little local cultivation of cotton there was, and, when woven, is encroaching on home-spun cloths and to a much less degree on imported grey shirtings. The Chinese masses have always worn home-spun cotton cloth for the most part, supplemented with imported drills and sheetings in the north and north-west, where it is cold, and where domestic weaving is not common ; the liner im- ported cottons, like shirtings, have been for the well-to-do only. About 25 years ago the import, of foreign yarn — English and later Indian— led to the weaving of a cheaper cloth, which is displacing more and more the native home- spun. Before the war with Japan, the Chinese were be- ginning to erect spinning mills, the enterprise being con- ducted in the half-hearted and incompetent way usual with them in large undertakings ; and when, by the treaty of Shimonoseki (1895), foreigners obtained the long-coveted right to manufacture in China, four foreign-owned mills were put up in Shanghai, and others will follow. By the end of 1898 there should be about 500,000 spindles running in China. Mills here run in day and night shifts of 21 to 22 hours out of the 24, in a year of 300 to 320 days, allowing for holidays. Taking the production per spindle at 10 oz.* 'per day of 24 hours in a year of 300 working days, we yrrive at an output of about 700,000 piculs of yarn. But considering that the operatives will nearly all themselves have to be first made out of raw hands that have never seen a power-machine, it can scarcely be expected that even this result will be reached for a year or two. The import of cotton yarn into China during i8g6 was 1,461,365 piculs. It might be expected that the native yarn would reduce this foreign import, and some day this will no doubt happen, but I believe not yet If the country were opened up by * The production of Hua-sheng Mill, Shanghai, is about 130ZS. and that of the Hupeh Mill, Hankow, about iiozs., chiefly of 14's, lo's and i6's, in each case in 24 hours. /. SHANGHAI. 7 the abolition or systematisation of inland taxation and by improved means of communication, its capacity for the absorption of cotton yarn would be enormous. In 1895 there was a difficulty in the way of the import of Chinese-spun yarn into the Prefecture of Huai-ngan Fu (lat 33° 25', long, 119° 22'); a syndicate had been formed in which the local im- porters and the likin officials were all interested, by which yarn spun at the Chinese Government Mill in Shanghai was excluded : when the difficulty had been overcome and the yarn admitted, this one district took the whole output of a mill of 6o,coo spindles for six months. This I heard on excellent authority. If greater facilities were granted, the same thing might happen more or less all over Southern and Western China. The import from Lancashire being of the finer counts v/ill not be lessened by the native mills ; on the contrary, it is probable that as the Chinese improve in hand-loom manu- factures and take to weaving finer cloths, the import from England may increase. The Indian import is of counts 8's, lo's, 12's, little of 14's, and a great deal of 20's. The Chinese mills spin mostly 14's, some lo's, and i6's, but not finer. It seems quite likely that local manufacture and Indian import may run on together at all events for a few years. Should Indian yarn improve in fineness it is possible that the hand- made cloth from this yarn may displace Lancashire shirtings to some extent ; but in the long run I am not apprehensive on this score. Even if the Chinese began to import fine enough yarn — 2 8's, 30's, and above — and this at present would have to come from England, their hand-loom fabrics could not have the finish of Lancashire clcth ; and as the masses began to wear finer home- spun, fashion would de- mand that the classes should wear something better, so that it seems probable the richer the Chinese get by what the 8 THE BLACKBURN CHINA MISSION. make themselves the more they will be able to buy of our finer fabrics ; only let us take care that our fabrics are finer, better woven, better designed, and especially that we have the organisation in China to bring our goods to the notice of those likely to buy them. The more of the commoner yarns iind cloths the J^i.panese have made themselves, the more of the finer they have bought from us ; there is every reason to suppose the same will happen in China. It must be re- membered that the Chinese do not use cloth. woven of Indian yarn because they like it, but because it is cheap and because they are very poor ■- they buy Lancashire cloth as soon as they can afford it. And it is better for Lancashire that coa,rse yarn should be spun by machinery m China and India tlian that it should be spun there by hand, for the enormous saving in spinning by machiiicry means increased power to pay for Lancashire goods ; still better is it than that it should be spun in foreign countries closed to our goods by hostile tariffs. The saving in weaving by machinery is relatively much less than that of spinning, and the day of the power-loom in China seems scarcely to have dawned. There are looms in several existing mills, but they seem to be little used, spinning being found more profitable. 5. The future of manufacture by Western methods in China is a subject of tlie utmost imporlance to every Eng- lishman. The following facts and opinions may help experts to a judgment In regard to wages employers in China are at a great ad- vantage. The wages of an adult man on the Lower Yang-tze for a day of 12 hours, for, say, 320 days in the year, in such industries as native hand-weaving and dyeing average, at the present gold price of silver, lOs. to 12s. a month all included. Wages may be expected to rise somewhat in the future for the more skilled classes of labour, as the number /. SHANGHAI. 9 actually efficient must be limited, at least until the system of apprenticeship, which is universal in China, has had time to take root in regard to the new industry, but any great change in the level of wages amongst the plain workers must be very slow, as the operatives will have pressing upon them the mass of millions of cheap workers with just as good capacity as themselves — unless, indeed, manufacture is congested in one place, and labour allowed to get into the power of Chinese middle-men. The truth is that a man of good physical and intellectual qualities, regarded merely as an economical factor, is turned out cheaper by the Chinese than by any other race ; he is deficient in the higher moral qualities, individual trustworthiness, public spirit, sense of duty, and active courage, a group of qualities perhaps best represented in our language by the word manliness, but in the humbler moral qualities of patience, mental and physical, and perseverance in labour he is unrivalled. Physically, he is a hard man — ^I am speaking of the labouring class — far from an Asiatic as we use that word in English. It seems probable that under the leadership of skilled European managers and foremen, of character and temper, firm, just, and reasonable, the Chinese coolie and his wife will malce excellent textile factory hands. European, superintendence is essential precisely because of their moral short-comings above stated. Judged by our standards, we must pronounce all organisations in China (with a few ex- ceptions noted in Sees. 34 and 36) above the family and the small business partnership, to be hopeless failures. The upper class seem to lack the moral tone to carry on big enterprises ; indeed the laws and the courts of justice are wanting as well as the men. Still, here, these millions of patient, reasonable workers are only wanting leaders to make them producers on a gigantic scale, and leaders they will most certainly find. 10 THE BLACKBURN CHINA MISSION. Whatever the future in politics of China may be here these workers must remain ; and they are, in my opinion, destined to modify profoundly the condition of the world's industries. To return to cotton manufacture, all Western employers and overseers of Chinese agree that they excel in lightness and deftness of hand, and that they are well suited in physique and intelligence for work in cotton mills. They show extraordinary powers of endurance ; for instance, boys in the Hankow mill work tlirough the whole night without leaving the mill, and with only a little rice congee by way of food. There may be temporary difficulties with labour. The Chinese have always practised a form of strike against bad government, directed at the officials, by ceasing to do business, shutting their shops, &c. ; but we hear Uttle of combinations of workmen directed against employers, pro- bably because these latter are many, scattered, and in a small way. It is probable that workmen employed in cotton mills will combine, but there is in China a dreadful poverty of the maisses due to rapid increase of population, wherever a district has been spared rebellion and famine for a few tens of years, and nothing can keep up the wages of common labour, which must remain, under the present system, close on starvation point. In regard to land the Lower Yang-tze Valley is as per- fect a site for manufacturing industries as can anywhere be found, with coal and iron in easy reach, a temperate climate, and good means of communication by water. I am told that the samples of Yang-tze cotton used in the Shanghai and Hankow mills will show that it is not capable of being spun into finer yarn than about 20's, nor is there much likelihood that the cotton plant will be shortly improved here by careful selection of seed and cultivation; the Chinese never try to improve the breed of animal or plant, and the farming class, small holders, is /. SHANGHAI. n very hard to move — ^witness their failure to grow and make tea to suit the altered taste of consumers in England. How far the cotton crop can be increased it is difficult to say, but it seems probable that it could be greatly increased, that is of cotton of poor quality Broadly speaking China derives her supply of cotton from the Yang-tze plain, i.e., 100 miles on either side of that river from I-ch'ang to the sea. Before the Rebellion, 50 years ago, China had many millions more to clothe, while she imported less cotton goods ; she then grew more cotton than she does now. In regard to capital, the third agent oesides land and labour in production, the Chinese have not sufficient to de- velop their country, even with the present backward methods of industry ; and interest is accordingly very high. The country does not now produce the precious metals to any extent ; and the Chinese have, it is believed, no more of silver and copper than is required for the ordinary circu- lation ; but they are likely to get ample capital for enterprises under foreign management from abroad, and there is no more promising field for the investment of English capital, no English money has been lost in China through the act of the Chinese Government, and little in any other way by bad business. In regard to the next few years it is to be expected, granting moderate taxation, that the spinning mills under foreign management will do well, and that those under native management will be driven to the wall. 6. Regarded by itself, axid not in connection with the interests of British trade generally in China (see Sec. 51), Shanghai is in a very prosperous condition. Still there are points of detail in which improvement is possible. The privilege of bonding is one that would greatly assist the import trade, with little expense or inconvenience to the Chinese Customs. One merchant told me that he had 12 THE BLACKBURN CHINA MISSION. £7,000 out in duties on Lancashire piece-goods. Should the duties be raised on a revision of the tariff, this burden would be proportionately more onerous. At present bonding is allowed only in the warehouses of the China Merchants' Steam Navigation Company, a Chinese Associa- tion of which the resources are not known, and which would have to be sued in a Chinese Court ; so that the more substajniial foreign houses make little use of the privilege. Instead, merchants charge, against the goods 6 per cent, on money out in duties. Small houses, chiefly German, bond sometimes ; they have little to lose and can run the risk. No one can wonder that the larger firms fight shy of bonding under these conditions. There is no cne to sue and no court to sue in; in case of difference there is nothing but the discouraging prospect of a pro- longed negotiation, followed even in the clearest case by a compromise.. But there is in Shanghai a British joint stock company, the Associated Wharves, with large capital, and able to give the best security both to the Chinese Govern- ment and to the merchants. It is difficult to see how the privilege of bonding can reasonably be denied to this company. It is understood that the interest on money lying to the customs credit in Shanghai goes into the pocket of the local authorities, while tlie increase in duties that may be expected to accrue from bonding facihties would go to the Chinese Government. There is a delay of from two to eighteen months before payment of drawbacks of duty after the re-export of the goods has been proved, the money being kept meeuitime by the Taotai. One English merchant told me he was 14,000 taels (about ;^2,ooo) out in this way. The local authorities lend this money on their own account to the native banks at 7 per cent per annum. Besides the loss /. SHANGHAI. 13 of interest, the foreigner and the native alike suffer from the poAver which the command of these large funds gives the local authorities of manipulating jthe native money market The head of the largest British shipping firm in Shanghai told me they themselves were out 15,000 tacls (about ;£'2,ioo) in drawback duty, but that their Chinese shippers were out 50,000 to 5o,ooo taels (about ;£'8,ooo). In Shanghai these drawbacks are for import duty, but at Hankow and the river ports the same firm were out in coast-trade .duty, i.e., 2^ per cent, ad valorem repayable if native exports are shipped to a foreign port, 20,000 taels (about ;£^3,ooo). Why canaot all drawback certificates be issued by the Customs within one month, and be available at once and in any hands for repayment of all duties including tonnage dues? I was told by one merchant that American drills pay 3d. or 4d. a piece less freight to China going in British ships by way of Liverpool than Manchester goods by the same steamship and under the same bill of lading ; and I was told that Dutch piece-goods from Antwerp and German from Hamburg have the same kind of advantage. Another merchant put the difference at 17s. 6d. a ton from New York and 30s. from Liverpool by the same steamer. There is much to be said from the shipowner's point of view, no doubt, but it certainly seems at the first glance an anomaly that a British line of steamships should give our rivals in trade so much better terms. 14 THE BLACKBURN CHINA MISSION. 11— CHIN-KIANG, HANKOW AND I-CH'ANG. Chinkiang, the British Concession— The plan of a Settlement preferable —Distributive Trade and Internal Taxation, Chin-kiang District- Obstacles to Trade in Chin-kiang— Steam Tug Traffic— Yang-tze Regulalions — Wuhu— Kiu-kiang — Likin in the Province of Kiang-si — Hankow— The north-western Route— Hunan and the South-west — Lancashire Goods, how supplied to the Hankow Market — Unfor- tunate lor our Import Trade that Lancashire Goods are not imported directly by British Firms established in Hankow — Taxation at Han- kow — Course of Trade and Banking at Hankow — The Government Cotton Spinning and Weaving Mill at Hankow — Opinions of Mr. Shaw — Complaints at Hankow— Ports of Call — Hulks might be Bonded — Abrogation of Yang-tze regulations — Sha-si — I-ch'ang — Taxation at I-ch'ang. J. On October 28th, i8g6, we left Shanghai for Chin- kiang and Hankow. Chin-kiang, situated at the junction of the Grand Canal with the Yang-tze, has, thanks to foreign trade, entirely recovered from its devastation by the T'ai-p'ing rebels in the fifties and has a most prosperous air, borne out by a study of lis trade returns. Owing to a vigorous move by our navy in 1868 transit passes are respected, and likin on foreign imports is unknown within the city area~ Condi- tions are as favourable for the extension of foreign trade here as in any place we visited in China ; however, the following notes may be worth recording. The land occupied by the British business community here is a Concession (so-called) to Her Majesty's Govern- ment, and not a Settlement as in Shanghai. A Concession is a piece of ground leased by the Chinese to Her Majesty's Government and sub-let to Western merchcints , while a Settlement is an area within which Occidentals may lease //. CHIN-KIANG, HANKOW AND I-CH'ANG. 15 land directly from the native proprietors This is usually done by perpetual lease. In both cases it is provided between the two Governments that the land shall be policed and controlled municipally by Her Majesty's Government, which delegates its right to a Council of Resident Mer- chants under municipal regulations. The area of a concession is necessarily small ; Her Majesty's Government stipulate in leasing that land is not to be sub-let to Chinese ; and where this rule is carried out, as, for instance, in Canton, the concession tends to become stagnant, being shut off from the wave of growing pros- perity around it, anl hampered by a cordon of likin surveillance. The plan of a settlement seems preferable in every respect except that of providing an area for the exclusive residence of Westerns ; and this want might be met in the case of a settlement by the provision of a special site for foreign residence. The point is that a sufhcient space should be provided for mamufacture, the preparation of such exports as silk, hides, wool, leathers, &c., for warehouses and for the residence of the body of Chinese engaged in foreign trade. Unless such areas are provided British merchants will never settle up country in China ; and, I submit, that without them the country can never be opened up to our trade. Here, in C.'iin-kiang, the rule that sub-letting to Chines.'^ is forbidden, had fallen into abeyance, to the annoyance of Western residents, but greatly to the advantage ot trade, for what the likin collectors could not do in the case of Chinese living on the concession, they could scarcely do in the city a few yards off ; the very small concession about 300 by 400 yards is covered with go-downs and Chinese residences ; Chinese come and go as they will. The limit of expansion seems to have been reached, and it would be much to the advantage of both Her Majesty's subjects 1 6 THE BLACKBURN CHINA MISSION. and the natives if a settlement were marlicd out that would give room for manufactories and the preparation of raw material exported. 8. The transit pass system works more efficiently here than at any other port in China. In 1896, of a total import of 723,882 pieces of Grey Shirtings, 531,775 pieces went up-country under transit pass. Of tius total, 116,497 pieces went to K'ai-feng (lat 34° 52', long. 114° 33'), the capital of Ho-nan, 97,759 pieces to Hai-chow (lat. 34° 29', long. 1 19° 27'), and 73,100 pieces to Huai-an Kuan (lat. 33° 25', long. 119° 22')- Po give an idea of the number of likin barriers in this district, I may mention that there are 12 between (]hin- kiang end the last-named place, Huai-an Kuan, on the Grand Canal, about 130 miles to the north, and that there are 36 customs and likin barriers on the Grand Canal between Chin-kiang and Cbi-ning chow (lat. 35° 30', long. n6° 30'). Goods pay likin at every other barrier unless under transit pass. The rate for a piece of G.rcy Shirtings, according to the Kiang-su printed likin tariff, is 140 cash (4. 2d.) a piece at every other barrier, so that one piece, value in Shanghai, say, 2 taels* (about Cs.), would pay between Chin-kiang and Huai-an, a distance of about 130 miles, 840 cash (about 2s.), or 53 per cent, ad valorem. No one would, in fact, pay so much ; the poor man might have to pay something near it, and " insiders " much less, a bargain being made on each occasion. An influential Chinese merchant told me he wotild himself expect to have to pay 20 per cent. This instance will give some idea of the hindrance to trade the likin system is. I may add here — and this has been pointed out again and again in Consular reports — that its worst effects result not from the actual amount of the tax, which if fairly levied all round ■* J tael = 3s. io|d. = 1,200 cash. //. CHIN-KIANG, HANKOW AND I-CH'ANG. 17 might affect the exchange of commodities very little, but from the attendant uncertainty and delays, and particularly from its tendency to foster monopoly through combinations with established interests to squeeze the poor and enter- prising. The Huai-an barrier was described to us as the greatest hindrance to trade in this part of China. Boats are often delayed there for days. Ten thousand men are said to live there on likin ; this is no doubt an exaggeration, 10,000 being a figure of speech in Chinese, but it is certain that this barrier is a scandal and a great obstruction to our trade. Of Grey Shirtings alone I should say 300,01)0 to 400,000 pieces going north by the Grand Canal pass it per annum, and an illicit squeeze is paid on all. Besides the regular hkin on transit, there is at Huai-an a loti-shui.or terminal tax of 3 cash a piece on Grey Shirtings. On transit pass goods, however, the squeeze or extra payment is at pre- sent moderate, being about i per cent ad valorem from Chin- kiang to Huai-an. It is levied as about 150 cash (about 4'/^d.) on each transit pass at each barrier. Besides this, between P'ei-chow (lat. 34° 30', long. 118° 26), in Kiang-su, and Teng Hsien (lat 35° 23', long. 117° 24'), in Shan-tung, three to five dollars are demanded on each boat-load of foreign goods. 9 Besides the strangulation caused by likin barriers, and all their attendant evils, the following points deierve attention : — Although the distribution of imports from Chin-kiang is for much the greater part on the north side of the river, which is here ever a mile wide, s<-eam launches and lugs- are not allowed to ply, so that with wind down stream, country boats often lie for days at Kua-phow on the opposite bank, unable to get across and enter the canal. If natives alone even were .allowed to use steam tugs, it would be a great advantage to trade. 1 8 THE BLACKBURN CHINA MISSION. The Yang-tze regulations, to which foreign trade and shipping have to conform, are utterly obsolete, and require revision. This has been pointed out by Mr. Brenan in his recent report, and I have little to add. Resident British merchants complain that, as importers of foreign goods, they suffer from the rule which makes all duties on imports from abroad payable in Shanghai. They have to employ agents, who are often their rivals in business, to open their cases and pass their cargo. The goods often arrive dirty or broken in consequence. There seems no -reason why cargo should not be transhipped in Shanghai, and the duty paid only on arrival at the port of destinatioa 10. The next open port on the Yang-tze, Wuhu, has a fair import of cotton piece-goods, and the transit-pass system appears to run smoothly. There is no likin nor other tax than import duty on foreign imports into the town itself; at Ngan-king Fu (lat 30° 32', long. 11;^° 07'), the capital of the province, there is a io-ti-shui of 4 tael cents a piece on grey shirtings, say 2 per cent ad valorem, and there is said to be a teiTuinal duty of about the same amount at every big town in the provinces of Ngan-hui, except Wuhu. 11. The next port, Kiu-kiang, might much increase its trade by the use of light-draft steamers and tug-boats to connect the port with the up-country districts of the pro- vince of Kiang-si by means of the Po-yang Lake and the rivers running into it. From Kiu-kiang to the capital of the privince Nan-ch'ang Fu (lat. 28° 33', long. 116° 01') there is 2 feet 6 inches of water all the year round, and 12 feet at summer high level ; from the capital to Chi-(Ki)-an Fu (lat 27° 02', long. 115° 00'), one foot odd at the lowest and 10 feet at highest water; from Chi-an Fu to Kan- chow Fu (lat. 250 50', long. 114° 50') there is said to be plenty of water in summer, but here the stream is scarcely //. CHIN-KIANG, HANKOW AND I-CH'ANG 19 navigable even for native boats in winter. From Kiu- Idang to Jac-chow Fu (lat. 28° 59', long. 116° 46') by n stream on the east of the lake, there is always 3 feet 6 inches of water — it is by this route that the product of the cele- lirated potteries of Ching-te-chen comes down to Kiu-kiang. And there are other streams flowing into the Po-yang Lake that could l^e navigated for some distance by light draft steamers 12. In Kiang-si goods have to pay at every barrier. Ihe likin tariff rate on grey shirtings is 30 cash (about id.) a piece. Practically, all cotton imports sent up-country go under transit pass. Broken bales, however, pay likm ; and this from Kiu-kiaiig to Nan-ch'ang Fu is 90 cash, i.e., 30 cash at each of three barriers, or in all about 3d. — 5 per cent, ad valorem. The distance is about no miles. 13. Hankow is the greatest centre of distribution in the Empire, and must have a great future when China's resources begin to be developed. We stayed here ten days, and received much kind assistance in our inquiries from both foreigners and natives. The country supplied with foreign goods from Hankow may be roughly divided as follows : — (i) The North- West, including the p]-ovinces of Hupeh, Shen-si, Kansu, and beyond towards Kashgaria ; and (2) The South-West, including Hunan and Kuei-chow. A larger value of foreign goods goes v/est to Ssu-ch'uan than in either of the above duections ; but this trade merely passes Hankow, the Ssu-ch'uan merchants making their purchases in Shanghai through their native agents sent down for the purpose. 14. Of the cottons and woollens imported into Hankow,, and of grey shirtings alone, 1,304,469 pieces came here in i8g6, about one-third follows this route, which supplies the the provincial capitals of Si-ngan Fu (lat. 34° 17', long. 20 THE BLACKBURN CHINA MISSION. 108° 58') and Lan-chow Fu (lat 36° 08', long. 103° 55'). The route follows the River Han for about 500 miles past Hsiang-yang Fu (lat. 32° 06', long. 112° 15') and Fan- ch'sng to Lao-ho-k'on (lat. 32° 25', long. 111° 45') up to which place there is 4 feet of water in summer and 2 feet in winter. Here goods are transhipped into smaller boats in which they reach Lung-chu-chai (lat. 33° 45', long. 110° 20'), 240 miles higher up, whence they go a hundred miles by pack animal to Si-ngan Fu. There is a lo-ti-shui of 50 cash (ij^d.) a piece on grey shirtings sold at Lao- ho-k'on, and 100 cash (3d.) at Si-ngan Fu. Transit-pass goods pay small squeezes ; but they cannot be very heavy, as we were told that 18 tael cents (6^d.), say g per cent ad valorem, would cover freight and taxation over and above import and transit-pass duty from Hankow to Si-ngan Fu. The Si-ngan Fu dealers have their own agents or partners living in Hankow to make purchases of foreign goods ; these agents live in inns, the owners of which act as factors, lodging guests, storing their goods and acting as their agents. The Si-ngan partner or agent remains in Hankow two to four years, when he returns west and is replaced. This north-western trade is, we were told, the largest in Hankow, all staples included, and might, I imagine, be greatly developed. Unfortunately we know ne ct to nothing of it. Roughly the exports are turs, caipets, wool, felt, native woollens, and the imports are foieign goods and cotton home-spuns. f.ao-ho-k'on is said to be a place of 100,000 to 140,000 inhabitants, Fan- ch ;ng of 80,000 to 100,000, and Hsiang-yang Fu of 30,000 to 40,000. It often takes four to five weeks for a boat to cover the 500 miles to Lao-ho-k'on, a place to whidi smill steamers might ply the greater part of the year;. Although the native merchants are all agreed as to the //. CHIN-KIANG, itANKOW AND i-Clt'ANG. 21 great advantage of transit passes, the number taken out for this trade to the north-west is very small ; it would be interesting to know the reason, which may be taken to be official obstruction of some sort. 15. A larger foreign trade still is that with Hunan, one of the greatest markets in China for Lancashire goods. The transit-pass system appears here to run smoothly. The largest markets are Ch'ang-te Fu (lat. 29° 01', long. irj;0 29'), Hsiang-t'an (lat. 2;° 53', long. 112° 42'), and Ch'arg- sha Fu (lat. 28° 12', long. 112° 47') the capital. Tie Ch'ang-te route supplies Western Hunan and Eastern K'uei-chow by way of the "Vuan River, the navigation of which is difficult and dangerous ; when in Kuei-chow I shall have more to say about this route. But the main artery of trade in Hunan is the Hsiang River, on which are the important cities of Hsiang-yin (lat. 28° 4.2', long. 112° 38'), Ch'ang-sha, Hsiang-t'an, and Heng-chow (lat. 26° 55', long. 112° 23'). I consider this one of the most promising fields for the development of the Lancashire trade, because Hunan is rich in minerals, coal and iron being widely spread in the Hsiang basin, in agriculture and above both, in the hardi- ness, enterprise, and industry of her sons. When the minerals are worked by modern methods, this may well be the richest region in China. But at present there are plenty of well-to-do people, and therefore a large demand for the better class of textiles ; and this is where our hope lies, namely, in the demand of the richer classes for cloth of finer texture and better design than can be made in China. There is no open port in this province, and if the Chinese Govermnent wishes to increase its customs revenue, and at the same time improve the condition of its people, it could take no more effective measure than the opening of Hsiang-t'an to 2i THE BLACKBURN CHlNA MISSION. foreign trade with Ch'ang-sha, Hsiang-yin, and Yo-chow (lat. 29° 18', long. 113° 02') as calling stations. Hsiang- t'an is undoubtedly the commercial centre of the province, and the best port to open, supposing there is sufficient depth of Water. I was told that boats drawing 3 feet could reach Hsiang-t'an all the year round, and that the main street of Hsiang-t'an is five miles long. There is an immense trade passing between the T'ung-t'ing Lake and the Yang-tze, and a very large business to be done both in passenger and goods traffic by Hght-draf t steamers. 16. The Hankow market is supplied with Lancashire goods by about 11 native firms with branches in Shanghai. They deal wholesale, supplying the needs of the local shop-keepers and of the up-country merchants. We called on one of the largest of these firms — the Jui-sheng-hsiang — and they gave us a friendly reception. They bought in Shanghai through their branch there, which employed a native " pigeon-English " speaking broker to go to the foreign importer and buy the particular "chop" they wanted. They received accounts of all auction sales of piece-goods in Shanghai ; I saw lying about recent issues of Messrs. Jardine, Matheson, and Co., Holliday, Wise, and Co., and Maitland and Co.'s auction sale catalogues, in Chinese, with prices filled in. They told us that the nortli- west route took large quantities of drills and sheetings, and of cotton flannel, the climate being cold. Shirtings went more to Hunan. 17. No doubt it is these big native merchants who have driven British firms in Hankow from the import trade. These British firms having been merely branches of Shan- ghai houses, the Chinese kept his branch (Section 28) much more cheaply than the Enghshman, and preferred to buy in Shanghai the larger market, no special classes of goods being offered him in Hankow. For some years after i860. // CHIN-KIANG, HANKOW AND t-CH'ANG. 23 when the port was opened, British firms imported all the piece-goods sold here ; now the whole import trade is in Chinese hands. From the point of view of the heme manufacturer this is decidedly a change for the worse, be- cause the Chinese is by nature and education always opposed to change, even to improvements unless they are forced on his notice, and long held before his eyes. The ambition of the celestial merchant is to make money easily, in a groove, in the way he has made it before ; while the younger men among foreigners, if engaged in the distribu- tive trade, would try to introduce variety and novelty. Why our merchants were beaten out of the local import trade is not a vain enquiry, for it may point to a means of recovering what must be regarded as lost ground. Apart from the high expenses due to the style of living of the China merchant of the olden time, expenses which the trade could no longer bear when competition became keener after the Treaty of i860, the chief reason seems to have been that the old Hankow merchant was, as stated above, really a Shanghai merchant with a branch in Hankow. His Chinese competitor was a Hankow mer- chant with a branch in Shanghai, and while the latter preferred to buy in Shanghai, where he had a larger market, and where he was able to get all and more than was offered to him in Hankow, the British Hankow merchant did not open up direct relations With the up- country native, but dealt only with the Hankow native importer, whose competitor he should have made himself, but to whom he thus left all the advantage of local know- ledge and connection. And in 1 876 the benefit which the British distributor might have had from the exclusive right to transit passes was taken away by the Chefoo Con- vention, which threw open the import transit pass to Chinese. 2f THE BLACKBURN CHINA MISSION. Under these circumstances, as soon as competition among the steamship companies upon the Yang-tze had resulted in excellent terms being offered to native shippers, whose interests the companies go great lengths to serve, and Chinese were able to get goods up from Shanghai to Hankow as cheaply as foreigners, the latter had to withdraw. 1 8. There is a lo-ti-shui in the cities of Han-yang and Wu-ch'ang, the latter opposite and the former alongside the Hankow Concession, of 40 cash (i.2d.) a piece on grey shiriings, and 60 cash (i.8d.) a piece on drills. ig. In the foreign cotton trade the local shopkeeper or the up-country merchant goes to the Hankow native mer- chant, and pays for goods by a four weeks' bill. If the goods are to go up country, he applies for a transit pass through an agency, under the protection of a foreigner, paying a small commission. Shops take the cash they have received during the day to the smaller bciuks, (cash shops) and buy therewith silver with which they repay their loans. If the banker holds a balance of the cus- tomer's money he allows him i to 2 per cent, less interest than he is then charging on loans — the usual difference between interest given and required is i li, or one- thousandth per month (equal to i 1-5 per cent, per annum). The interest paid by merchants to the silver banks varies from 5 to 18 per cent, and above, but is usually about 10 to 12 per cent, in the first six months of the year, and 12 to 14 per cent, in the later six months. Interest has lately been very high, and there is good reason to believe that China is suffering from a scarcity of currency both in good copper cash and silver. The tightness of the money market strangles domestic trade, but it has had the effect of compelling? the Chinese to find exports, thus, while we were in Hankow, November, 1896, they sold 400 tons of //. CHIN-KIANG, HANKOW AND 1-CH'ANG. 25 vegetable tallow to go abroad, at a much lower price than that ruling in the local market, and, getting the money, put up the price of the balance which they were then able to hold. 20. Crossing the river, which is here, 600 miles from the sea, more than a mile broad, past the city of Wu-ch'ang on the right banl<, with its squalid suburb, we mate out tall factory chimneys ahead, mucch out of keeping with the jumble of native houses we are passing, and the crenelated wall of a camp furnished with all the apparatus of ancient warfare. The mill was much like the Shanghai native - managed mills, except that no women or girls are employed, that being thought by the Viceroy to be against good morals and Confucian principles. The machinery is in a bad state, and there is much waste, disorder, and loafing, as might be expected imder native management. The hands looted well-clothed, clean, and happy. Work was going on with windows open, and at the natural tempera- ture. Messrs. Neville and Bell will report fully on this mill. I will therefore content myself with giving the opinions of Mr. Shaw, a Lancashire mill manager, who has been in charge of this mill for several years, and who gave us a very kind reception. Mr. Shaw said that traflfic from Hankow was entirely by water, and communication with the consuming districts was difficult in winter, as the smaller streams became unnavigable, and demand for their output accordingly fell off when the water was low, and rose again as the streams opened to traffic. What was wanted in Han- kow to improve the Lancashire import trade was that the representative of some good house should reside here, and iforward to his firm samples or descriptions of goods suited to the place and people, and that they at home should try to make exactly what was 26 THE BLACKBURN CHINA MISSION wanted, although something different from our usual style, make-up, and count or assortment of colours in bales. It is not enough to think " we produce the best goods : you may take 'em or leave 'em." Often the Chinese merchant did not want the best rToods, and would be satis- fied with inferior goods if his requirements were met in minor particulars. In regard to cotton used in his mill, 75 per cent, was good Shanghai cotton from T'ung-chow, and 25 per cent, local cotton from Huang-p'i Hsien (lat. 30° 56', long. 1 14° 30'). He considered the former capable of being spun into 30's yarn, but no finer. The latter was of much shorter staple, but it might be improved by cultivation. In regard to the mill his greatest difficulty was the multitude of useless people sent to him as supervisors — table-men he called them, because they sat at tables and did no work. They dismissed his trained hands, and put in raw ones— for a consideration. As that mill was run, he considered Chinese would work out at about the same price as English labour. But under foreign management Chinese labour should be cheaper, and such a mill should certainly pay handsomely. In regard to coal, there was abundance of cheap coal from Hunan, but he had seen none as good as the best Japanese. 2 1. The rules under which cargo can be shipped or landed at the ports of call on the Yang-tze, opened under the Chefoo Convention, are so unreasonable that no use is made of these ports. This is not the place to discuss the question, but I may note that it was suggested to me by experienced merchants that there might well be bonded warehouses or hulks at the ports of call, and that foreigners might be allowed to employ jiative agents at such places. And all hulks on the Yang-tze might be granted bonding privileges on due security being given. This would save much delay to the river steamers. Another necessary reform, referred to //. CHIN-KIANG, HANKOW AND I-CH'ANG. 2>j at Chin-kiang, would be the revision of the Yang-tze regula- tions, now quite obsolete, so that goods bound for the Yang- tze ports could be transhipped at Shanghai without examina- tion by the customs. The examination of goods in the absence of their owner, in a country like China, may well cause uneasiness. Packages are often tampered with, cargo arrives short, and packages are opened and carelessly closed so that ironwork is rusted and small pieces lost. Besides, as before explained, an importer has to disclose his business to the steamship companies, his agents for payment of cus- toms dues, and very likely his rivals in business. It would appear quite easy to permit the consignee to pay duty at the port of destination, whether the goods were or were not transhipped at Shanghai 22. The port of Sha-si has just been opened to foreign trade, and it is too soon yet to judge of its capabihties. It is the Manchester of Western China, where the native cotton cloth which supplies that district is graded, packed, and shipped away, the neighbouring country being the greatest centre of weaving in China. We saw Sha-si cloth at every village of Ssu-ch'uan and Yunnan. The export of cotton cloth reaches a total of over and perhaps much over 20,ooo,ooolbs. The Commissioner of Customs at Sha-si told us that he had on one day counted 1,500 junks waiting here for cargo. 23. As we approach I-ch'ang the river gets decidedly narrower, and hills of conglomerate or limestone take the place of the grey alluvial plain which has extended with little interruption from Shanghai, that is for 1,000 miles. I-ch'ang is important only as the place of transhipment from steamer to junk, and of re-packing into smaller parcels of the Ssu-ch'uan import trade. Bales of Indian yarn are divided into two, each weighing 20olbs. Grey shirtings are not re-packed, but we were informed that bales of 25 pieces would suit the trade better than bales of 50. Fancy cottons i8 THE BLACKBURN C It IN A MISSION. are tafeen from their tin-lined cases and packed into wooden boxes, each piece being wrapped in oiled paper. 24. There is a very small local demand, out such grey shirtings as go into the city of I-ch'ang pay a lo-ti-shui of 30 to 60 cash a piece, about 2 per cent, ad valorem. Other- wise the port meets the present requirements of the trade, although should it remain the port of transhipment for Ssu- ch'uan, further godown accommodation vill soon have to be provided. Some engineering skill and capital are required here to solve the problem of how to get goods most economi- cally from ship to godown upon a ?iver with an average difference of 40 feet between its sumnr.er an 1 v.'inter level. In the summer of 1 896 the Yang-tze here rose 5 1 feet above its winter low-water mark. ///. SSU-CH'UAN. 29 III— SSU-CH'UAN. I-ch'ang to K'uei-chow Fu (K'liei Fu)— Navigation of the Rapids— The Yang-tze at Ch'ung-king — Present Traffic— K'uei Fu Customs and Likin — Trackers — Wan Hsien — Weaving — Foreign Imports — Likin at Wan — Ch'ung-king — Ssu-ch'uan Trade— A Ch'ung-king Merchant's account of the way Foreign Import Trade is carried on — Trade between Ch'ung-king and up-country Merchants : Terms of Payment — Silver, Weight and Quality : Exchange on Shanghai — Trade Dis- counts — Comparison of Ch'ung-king with Shanghai Prices — Cotton Yarn and other Goods — Dyes and miscellaneous Foreign Goods — Banking— Taxation at Ch'ung-king — Trade Guilds — Kung-so Trade Associations — Exports — Silk — Wild Silk — Insect Wax— Wool, Bristles, Hides, Furs, and Feathers — Ch'ung-king to Ho-chow, four Stages — -Taxation at Ho-chow — Ho-chow to Sui-ning, five Stages- Huge Image of Buddha — Sui-ning — Sui-ning to Ch'eng-tu, nine stages — T'ung-ch'uanFu — Tobacco — Ch'eng-tu — Taxation — Prices for Lan- cashire Piece-goods at Ch'eing-tu — Brocade Weaving — Ch'eng-tu to Chia-ting Fu — Chia-ting Fu — Trade to the west of Chia-ting — Hsu Chow Fu (Sui Fu) — Sui Fu to the Yunnan border — Resume of Infor- mation in regard to the Province of Ssu-ch'uan — The Climate — Minerals — The People — Present State of onr Trade with Ssu-ch'uan — What must be done to improve British Trade with Ssu-ch'uan. 25. On November 22, 1896, we took native boat, and left I-ch'ang for Ch'nng--king, a distance of 400 miles. In a few hours we entered the I-ch'ang gorge ; and then for a hun- dred miles we traversed that magic region of rapids and gorges, a visit to which can never be forgotten. This report is not concerned with its weird fairy-land scenery and extra- ordinary method of navigation ; and I need only note, for the benefit of the public at home, that no steamer, great or small, pUes on the Yang-tze above I'ch-ang, although we have the treaty right to send steamers as far as Ch'ung-king, and although the Yang-tze is the only channel of communication between the forty millions of Ssu-ch'uan, and provinces of 30 THE BLACKBURN CHINA MISSION. the lower Yang-tze valley with which they do a vast trade. Whether a steamer could get over the rapids is a question for an expert ; I may be allowed to say, however, that we all thought no steamer could have stemmed the New Rapid* as we saw it in December, iSgS. But I feel sure that when China awakens to the immense advantages of steam navi- gation to her revenue and to her people, the Upper Yang- tze will easily be made navigable as far as Hsu-cho\7 Fu (Sui Fu) (lat. 28° 38', long. 104° 46'). A careful survey will be made, and a passage cleared by dynamite in the very few places where it may be found necessary. The Yang-tze at Ch'ung-king, above its junction n-ith the Chia-ling River, is a stream 300 yards wide with an average depth of 30 feet from bank to bank, and an average current of three knots at its winter level. Its flood level in samiuer is go feet higher, with an average current of, perhaps, five to six knots, and the river as then 630 yards broad, 'i'he fall between Ch'ung-king and I-ch'ang is about one foot per mile. It appeared to us that these so-called rapids are not so much due to a difference in level as to a contraction of the river channel, caused by masses of debris brought down by torrents from the mountains, and thrown athwart the main stream in the form of boulder beds. My conclusion is that there must be skilled control over the river chcinnel, with power' to do at once what may be necessary in the interests of steam navigation before a permanent steam tnffice can be expected. T.he traffic is now carried on by junks of an average capacity of 20 tons, the largest being of 80 tons. They are hauled up by main force of trackers, as many as 300 some- times to one junk. There arc a good many wrecks, when * See the New Rapid on the Yang-tze, by F. S. A. Bourne. " Royal Geographical Society's Journal," August, 1897. Page 195. ///. SSU-CH'UAN. 31 cargo is damaged by water, but. scarcely any is lost Prac- tically all the cargo that leaves I-ch'ang arrives at Ch'ung- king some day — condition very uncertain. Mr. Bell makes the freight on cotton goods between I-ch'ang and Ch'ung- king 68s. 3d. per ton. Commerce, the subject of this report, scarcely exists until Wan Hsien is reached, the district of the rapids being a very poor mountain region. K'uei-chow Fu was once an important fiscal position, where the huge trade going to and fro between Ssu-ch'uan and the Lower Yang-tze was bled ; but the establishment of the transit pass and chartered junk systems to Ch'ung- king has taken away the terrors of this post for foreign trade. Two descriptions of duty are levied, Kuan-shui, that is, native customs due, and likin ; they are under different ad- ministrations, but collect usually at the same tariff. Thus, kerosene, when not under transit pass, should pay 1 8 tael c. customs duty and likin of like amount, equal to about 20 per cent, ad valorem, but no doubt less is taken. Foreign imports almost entirely come by chartered junk or under transit pass, so that taxation here does not much concern us, butlto give an example of the elastic way in which the tariff is enforced at these native barriers, we were told that the rule had been for years :to pass 10 pieces of grey shirt- ings as seven, but that now, in consequence of the distress caused by the flood, 10 pieces were passed as three, Kuan-shui being 0.076 tael and likin the same, making about 5 per cent, ad valorem in ordinary times, and now 2j^ per cent. Chartered junks were passing freely without pay- ment, and transit pass goods easily, a squeeze of 264 cash (8d.) a boat only being paidj However atrongly a likin barrier is placed, a great deal of trade will escape it, because of the extraordinary exer- 32 THE BLACKBURN CHINA MISSION. tions to which a Chinese coolie is forced in order to earn his daily bread. Thus, in K'uei Fu, we came across a party 01 men who had carried Ssu-ch'uan opium over the moun- tains to Fan-ch'eng (lat. 32'' ic', long. 112° 15') on the Han River, where they sold it and brought back cotton, carrying 80 lbs. each by hill roads, avoiding all likin stations between Fan ch'eng and K'uei Fu. At Fan-ch'eng they paid 32 cash (id.) per load likin, and here 200 cash (6d.). Hence they go on by hill road to their native village in Chung- chow (lat. 30° 28', long. 108° 15') paying no more taxes. They pay :About i % per cent, ad valorem, lo the Govern- ment, or rather to the likin collectors, but then to escape so lightl}' tJiey must spend about two months toiling over mountains with lieavy loads ; and the likin system is causing this awful waste of human labour all o^•er Western China. In the above case, were it not for the likin barriers, both the opium and the cotton would have been shipjDed by the Yang-tze and the Han Rivers. K'uei Fu is interesting as one of the oldest sites of Chinese occupation in these parts. It was a fortified station at the beginning of our era. Geographically it marks the point of junction of the limestone mountains, athwart which the Yang-tze has forced a way in 100 miles of rapids and gorges, and the red sandstone formation of Ssu-ch'uan — the Red Basin, as Barcn von Richthoven, the greatest authoritv' on Chinese geography, so aptly calls it. From this point on the country is more open, and excepting only the New Rapid referred to above, which it may be hoped is only a temporary obstruction, and the Miao-chi-tzu Rapid, a few miles above K'uei Fu, where some dynamite may be needed, there is nothing to prevent fteamers going past Ch'ung-1-dng to Sui Fu. At K'uei Fu the worst of the tracking is over, and very glad we were, for it is most inhuman work From early ///. SSU-CH-UAN. 33 dawn to dark the trackers are tearing through the water, often swimming over sharp rocks, often falling and cutting themselves. No sljves ever did such work. The v/onder is that they are not brutalised by such a life ; it will scarcely be believed that these men are the most merry, good-natured creatures, with a quick sense of humour and of the ridicu- lous. They have one advantage — they are not pent up in rooms ; they sleep under a mat in the front of the boat, and live in the open air, summer and winter. But the work is inhumanely hard ; there are splendidly made men among them, but they are exceptions. 26. On December 1 2 we reached Wan Hsien, a prosperous town, with a large native trade, and a considerable import of foreign goods. The barren mountains are now behind us, and ahead the great basin of Central Ssu-ch'uan, in mineral wealth and agricultural productiveness one of the most favoured regions in the world. This district supports a population estimated at between 40,000,000 and 70,000,000, a)id yet the value of its exports exceeds that of its imports, and exchange between Ssu-ch'uan and the Lower Yang-tze is usually in favour of the Western Province. But one of the greatest necessities of Chinese existence, cotton, Ssu-ch'uan scarcely produces at all. This is im- ported from the East in the form of raw cotton, to be spun here by hand, of Indian yarn to be woven here by hand, of Sha-si native cloth, and of Lancashire piece-goods. The question of the Ssu-ch'uan cotton supply will be fully dealt with by Messrs. Neville and Bell : I need %z>/ little on that subject. In the town of Wan Hsien there are about 1,000 hand looms. The weavers are paid by the piece — about 30 feet long and 16 inches broad ; this it takes an average weaver two days to weave, working from daylight till 9 p.m , and for. this he gets 100 to 120 cash, being provided with food 34 THE BLACKBURN CHINA MISSION. which may cost about 40 cash a day, so that a weaver's wages may be put at 600 cash (is. 6d.) per week of six days, in wh:ch time he would produce 112^ square feet of cloth. Foreign goods for the most part come back here from Chung-king, 150 miles, and 10 to 20 days higher up the river. It is to be hoped that Wan will some day be a port of call for steamers. It supplies Sui-ting Fu, the eastern prefecture of the Red Basin, and its trade is quite large enough to make it an independent market. There is a route overland from Wan to Ch'eng-tu, the capital, but it is only followed by passengers and very light goods. Lancashire goc/ds for Ch'eng-tu go either by way of the Yang-tze and the Chia-ting River, or overland from Ch'ung-king. ~~The lo-ti-shui here is collected by a syndicate which charges the piece-goods shops i i-5th per cent ad valorem on their sales. This is on goods coming from Ch'ung-king, the regular trade : piece-goods imported direct from Shang- / ha i pay about 3 per cent, ad valorem. 27. On December 25 we reached Ch'ung-king, the com- mercial capital of Ssu-ch'uan ; the map will show the com- manding position it occupies in respect of the exchange of products between the Lower Yang-tze Valley and Ssu- ch'uan, with every considerable town in which it is cormected by water ; and it must be borne in mind that wholesale trade is carried on almost entirely here by boat. Exports bound for the Lower Yang-tze and abroad must pass it, and so must the imports brought up in exchange. The result is that, in regard to foreign trade entirely and in regard to inter-provincial trade to a very large extent, Ch'ung-king is the wholesale market for the province and the only one. Here it is that the merchant and shopkeeper of the whole province come to buy foreign goods. The city is as busy as any in the Empire, but it is confined within a narrow area by its physical conditions, though this area is very ///. SSU-CH'UAN. 35 thickly covered with houses ; it is built on a peninsula of sandstone hills l)'ing between the Yang-tze and its northern tributary, and rising gradually from lOO to 400 feet above the winter level of those rivers. As the Yang-tze rises here some 90 feet in summer above its winter level, the ground below this huge reef, if so it may be called, is flooded every year, and only accommodates mat-sheds. Warehouses and shops ha\'e to find room on the reef which is therefore very crowded. Ssu-ch'uan exports chiefly raw or half-manufactured pro- duce, as opium, salt, drugs, and raw silk. Her chief imports are r aw cotto n, native cotton cloth, and foreign goods, that is goods imported into Shanghai from abroad, of which Lancashire cottons constitute about 30 per cent., and Indian yarn 44 per cent. There are no returns to consult, but I will risk an estimate of the exports from the whole province of Ssu-ch'uan to the eastern provinces at ;£'3, 300,000.* Of the imports taken in return, cotton and cotton goods, I estimate to account for no less than £2,400,000! value. In regard to Lancashire goods to which our inquiries were chiefly directed, the following table shows the import of the most important items during the last three years: — * Opium £1,800,000 Salt 300,000 Drugs 400,000 Silk 200,000 Insect wax, tobacco, sugar, musk, wool, skins, hides, feathers, bristles, and other exports ... 600,000 £3,300,000 t Raw cotton (200,000 bales) £500,000 Native piece-goods, home-spun (300,000 bales) ... 1,000,000 Indian Yarn 600,000 Lancashire cottons 300,000 £2,400,000 The quantity of foreign (i.e., non-English) manufactured cottons : ported into Ssu-ch'uan is very small indeed, under £10,000 value. 36 THE BLACKBURN CHINA MISSION. Grey Shirtings .. Cotton Italians Cotton Lastings White Shirtings Cotton Prints .. 1894. Quantity. 1895. 1896. Pieces. 373.050 36,496 17,760 42,409 19,146 Pieces. 511.455 44,112 36,761 55.9J8 26,663 Pieces. 374.542 58.095 33.580 50.865 33.632 There is besides a small import of these goods to Wan Hsien from I-ch'ang under transit pass, and a small import into Ch'ung-king- from Hankow in the same manner ; no doubt some go by likin boat ; and a considerable quantity ate smuggled ; but the above table taken from the Imperial Maritime Customs Returns no doubt represents the gieat bulk and the tendency of the trade. 1896 was a bad year, for the New Rapid blocked the trade during the leist three months, nevertheless it will be noticed that cotton Italians, lastings, and prints more than held their own, and this is the clear tendency of the trade, namely, that we lose ground in the commoner cloths, but can gain gredtly, if our manufacturers and merchants choose, iti line and figured cloths. No doubt the commoner shirt- ings are being superseded by native cloth woven by hand from imported yarn, and for this there seems no help. iS. I w.Ts told by a Ch'ung-kdng native merchant who had fretjuently been down to Shanghai as a buyer, that the f on.ngn cotton goods trade is carried on as follows : — The Ch.nese foreign piece-goods merchants of Shanghai, some of whom act also as brokers, order from the British importing merchants for future delivery. There are only two British ///. SStf-Cff't/AA/. 37 firms in Shanghai that will not order on commission for Chinese, but themselves do merchant's business solely, sell- ing their own goods. When the bargain is made the rate of exchange is settled from sterling to silver. Delivery of the goods is given in exchange for draft at five days' si^ht on a native bank. The Ssu-ch'uan merchant sends dcwn his own partner or agent to buy for him in Shanghai, and he employs a Shanghai native merchant or broiler to contract for him with the foreign importer. To this broker the foreign merchants pay }4 per cent, commission, out of which the broker has to pay part of the shipping charges. The Ssu-ch'uan agent, to make sure that he is not being swindled by the Shanghai native broker, can go and inspect the con- tract book at the foreign merchant's hong. If the goods do not arrive within four weeltree3 between. The red soil, decked by the deep green of the young wheat, the bright yellow of the rape, the clumps of lofty, feathery bamboo, and of dark pines, made as lovely a picture as one can imagine. 47. Chia-ting Fu is built on a spit 01 land between the Fu River, by which we have come down from Ch'eng-tu, and the T'ung River, which comes from the west, and of which more below (Section 48). It is a wealthy city, the capital of a rich, fertile, and most lovely country. The district produces the best white silk in Western China, and this is woven in the city into excellent plain silk cloth. Raw cotton comes by river from Hankow, and sufhcient cloth is woven in the neighbourhood to supply local wants. The price of Hankow raw cotton here was 200 cash (6d.) a lb. Lancashire goods are bought at Ch'ung-king, and come up at a freigiit of 50 cash (i^d.) a piece of 12-lb. shirtings, the iikin on the same being, Ch'ung-king, 25 cash; Lu- chow, 25 cash; and Chia-ting, 33 cash, that is, in all, 83 cash,, or 35^ per cent, ad valorem. Transit passes are not allowed for piece-goods, but three-fifths of the foreign yarn came under pass last year, and accordingly the hkin coUectorate had recently reduced its rate 40 per cent, from 4,140 to 2,484 cash per bale of 400 lbs., about 2^ per 64 THE BLACKBURN CHINA MISSION. cent, ad valorem, the transit pass rate. Prices here were : — Prices. Grey Shirtings, lalbs, "Man and Gun" chop (China and Japan Trading Co.) 374 Tls. Do. lolbs.,"." Gold Stag" (Reiss Bros.) 320 ,, Do! 7lb., "Three Legs" (Reiss' Bros.) 2-45 ,, Note.— Ready money. Tael = 3S. ojd , Shanghai sterling exchange being 2S. io|d, For gain on exchange, see Section 30. 48. By tlie rivers coming from the west to Chia-ting there is a very considerable trade, although it is conveyed not in boats, but covered with waterproof cloth, packed upon bamboo rafts — -most fairyland looking craft; they are 60 feet long, and 8 feet broad, made of two layers of big bamboos, turned up at the bows. In this way the very rich valley lying on the north of the big bend in the Yang- tze between Hui-li-Chow (lat. 26° 34', long. 102° i^') and Ning-yuan Fu (at 27° 59', long. 102° 12') is supplied with Hankow cotton cloth and Lancashire goods. I am able, through the kindness of an English missionary living at Ya-chow (lat 30° 04', long. 103° 04'), to give an exact account of the local taxation on four descriptions of foreign goods between Chia-ting Fu and Ning-yuan Fu. This is in addition to the taxation between Ch'ung-king and Chia-ting which I have already stated to be 3^ per cent, ad valorem in the case of grey shirtings. Foreign yam pays g cash a catty likin at Ya-chow, 13 cash a catty at Yueh-si T'ing (lat. 28° 50', long. 102° 45'), and 30 cash a catty at Lo-ku (lat. 28° 12'. long. 102° 25'), due north of Ning-yuan Fu, in all about 12 per cent, ad valorem. Grey shirtings pay 100 cash per 100 Chinese feet, 3 per cent, ad valorem, and 3 per cent, ad valorem at the above three places respec- tively, in all, about 9 per cent, ad valorem. Cotton lastings pay 0.12 tael per 100 feet, and 3 per cent, ad & ///. SSU-CH'UAN. 6s valorem, as above, in all about 8 per cent, ad valorem, and long ells, 0.24 tael per 100 feet, and 3 per cent, as above lespectively, in all about 8 per cent, ad valorem. The mode of transport is by raft from Chia-ting to Ya- chow at 3 cash a catty* in about 10 days, and from Ya- chow to Ning-yuan by porters who carry from 150 to 300 catties on a framework attached to the shoulders, or by pony ; carriage costs 36 casht a catty either way, ponies taking about 13 days, and porters about a month on the journey. Considering the above rate of freight and of likin it is no wonder that foreign imports are reaching Ning-yuan Fu from Tonking and Mengtzu under transit pass. The Ning-yuan, Valley should certainly be supplied from Burma through Ta-h Fu. 49. From Chia-ting Fu and Sui Fu the river traverses a most lovely district of sandstone hills and rolling plains of wonderful fertility, cutting out deep bluffs in the under- lying limestone, wherever it is thrown to the surface. Op- posite the city of Chia-ting there is an angle of such bluffs, and here has been cut in high relief a huge figure of Mait- reya Buddha no less than 380 feet high. The rock is soft, and the face has had to be patched up and painted, but still the effect is very grotesque. Grass has been allowed to grow on the head to represent hair, and on the eyebrows, upper lips, and ears. The head must be 30 to 40 feet hig?:, and the nose 4 to 5 feet long. The- figure has been carved about 1,000 years. On March 3 we reached Hsu-chow Fu (locally known as Sui Fu) at the jimction of the Chin-sha River from the west and the Min River, the stream we have been following, from the north. These streams combine to form the * A catty = ijlbs, t 1,200 cash = 3s. ojd. 66 THE BLACKBURN CHINA MISSION. Great River or Yang-tze. There is no doubt that the Chin-sha River brings down the greater body of water, and that it is rightly regarded as the main stream of the Yang- tze, but it is equally certain that the Min or Chia-ting Fu Ri\-er is the more important commercially. There is very hltle traffic on the Yang-tze above Sui Fu, and it prac- ticclly ceases at P'ing-shan, 40 miles higher, not only be- cause the river gets difficult of navigation, but because it runs through a mountain territory, occupied by the Lolo, over whom the Chinese Government has never had an effective control. On the other hand the northern branch runs for 200 miles through the Red Basin Bearing the commerce of a very rich district. From Sui Fu steamers might and will some day ply to Ch'ung-king on the east and Chia-ting on the north. Sui Fu enjoys a large and profitable transit trade, being the entrepot for the exchange of products between Ssu- ch'uan and Northern Yunnan. Freight from Ch'ung-king, 300 miles, by river 17 to 30 days voyage according to the height of water, is 500 to 600 cash (is. 2^d. to is. 5^4^) for 20 pieces of I2lb. shirtings. But the better class of goods, e g., black Italians, figured lastings, and long ells are sent overland by coolie, costing 24 cash a lb. freight Grey shirtings pay likin at Ch'ung-king 25 cash a piece, and at Lu-chow 36 cash, making 61 cash a piece, or 2^ per cent, ad valorem. There is no likin at Sui Fu. 50. We left Sui Fu on March 5 again travelling by land, our baggage being carried by porters. We followed the main stream of the Ycing-tze to the south-west for about 20 miles to An-pien-ch'ang, a village lying opposite the mouth of the Ileng River, a tributary from the south, the valley of which we. ascend on our way to Yunnan. There is now very little traffic on the main river, the valley of which is ///. SSU-CH^UAN. 67 not more than 2 miles across shut in by grand masses of mountain. A town named Ileng-chiang, 14 miles up the valley of the Heng River, is the end oT navigation in the direction of Yuiman. Goods are carried by coolies from Heng-chiang to Lao-wa-t'an in four days, a distance of 77 miles at 6 to g cash per catty which is equal to 5j-^d. to 7^d. per ton per mile. From Lao-wa-t'an goods go on by pack animals as we shall see later. Not far to the west of our route between Heng-chiang and Lao-wa-t'an is the territory of the independent Lolo, a race akin to the Thibetans and perhaps the Burmese, who peopled these parts before the Chinese, and whom the latter have ne\'er subdued, although they have been at- tempting the enterprise for nearly 2,000 years. Our Chindse retinue here professed to be alarmed lest we should be attacked, carried into captivity across the Yang-tze, and tied to mills to grind corn day and night. The specimens we saw of the race were quiet enough, but there is no doubt that they do carry off Chinese into captivity and slavery. Lolo hostages are always kept by the P'ing-shan magistrate for the good behaviour of the tribe. They buy coarse cotton cloth and medicines from the Chinese, who sometimes go into their territory, but only with a guarantee of safety. Forty-five miles from An-pien-ch'ang, where we left the Yang-tze, and the same distance from Lao-wa-t'an. we cross the boundary into the province of Yunnan, and not very far from this point the red sandstone distiiictive of Southern Ssu-ch'uan, comes to an end, and we are upon limestone mountains in a different country and among a different people. 51. On leaving behind us the province of Ssu-ch'uan, where we have been travelling for three months and a-half, 68 THE BLACKBURN CHINA MISSION. I may be allowed to venture a short resume of the informa- tion gathered, and conclusions drawn therefrom. The Red Basin; which embraces about two-thirds in extent and perhaps nine-tenths in population and wealth of the province, may be taken to have an area of about 100,000 squire miles, and a population of 40,000,000 to 50,000,000. The prevailing rock is a soft red sandstone, eroded by water into a mass of low hills and narrow valleys, with little level ground except the Ch'eng-tu plain. It if. drained by a splendid system of rivers making communication by water very easy. They run in deep valleys so that floods are rare. The soil is cultivated in a most careful manner, and produces ample food in average years for the vast popula- tion. The high returns obtained from agriculture are more due to climate and careful culture than to richness of the soil. True, the soft rock is easily broken up and levelled, the surface is treated by hand like a garden, and the whole refuse from towns and villages, from animal and plant life, is scrupulously returned to the soil ; but the climate is a main factor in the result. The Basin is shut in on all sides by high mountains ; regard it as a huge depression floored with layers of detritus from the surrounding heights, and the. 1 cut up into hills and valleys by a net-work of streams ; clouds cover it through the entire winter, keeping in heat like a glass roof, so that the climate is remarkably mild for the latitude (30''), the thermometer rarely going below 45"^ Falir. in Ch'ung-king. The result is that two and some- times three crops are obtained in the year, at least a crop of rice in the summer and one of opium, wheat, beans, rape, &c., in the winter. And tlae climate, although not bracing, is liealthy ; there is little malaria. Englishmen certainly complain of the climate, particularly of the dull sky in winter, but they seem to enjoy good health. Depressed ///. SSU-CH'UAN. 69 vitality is their only ailment, and this is proHably due to the hopelessness of missionary effort amongst a people more materialistic even than average Chinese, and to the un- satisfactory results of trade carried on as at present under cramping conditions. Where the surface has been raised in mountain ranges, coal is thrown up both hard and soft ; and the basin pro- duces, besides iron, salt, and petroleum ; copper, lead, gold, and silver are found on the western mountain border, and particularly in the Ning-yuan Pu district. This great Ssu-ch'uan basin has but one navigable outlet, the Yang-tze. Its trade with the districts on the north, west, and south follows mountain roads that climb the sides of the basin. These roads are difficult and dangerous, only to be passed by caravans of pack animals and by porters. No wheeled vehicle can reach Ssu-ch'uan from the east, and no boat except by the Yang-tze. The eastern part of the Red Basin was early peopled by the Chinese race, and in the third century, A.D., Ch'eng-tu was the capital of the western of the three kingdoms into which China was then divided. But it is not necessary to go far back in time to trace the history of the present popu- lation, for at the end of the Ming dynasty (1640) the inh;ibi- tants were destroyed in one of those social cataclysms that have occurred with much regularity every few hundred years in Chinese history. When order was restored by the present dynasty, the province was colonised chiefly from Hupeh and Hunan, on the east Since the middle of the seventeenth century there has been peace in Ssu-ch'uan, and rapid increase of population, so that now there is a large class always bordering on starvation, and keep- ing very low the wages of common labour. But the trading and farming classes are undoubtedly very well- 70 THE BLACKBURN CHINA MISSION. to-do, and there is, I believe, as large a proportion of people able to afford luxuries as in any part of the Empire. I have explained that the exchange of products is with the Lower Yang-tze, and that the balance of trade has been for years in favour of Ssu-ch'uan The foregoing account of our inquiries will show that likin is an obstacle to our trade, that transit passes are not duly respected, and that means of communcation might be greatly improved. Still the fact remains that our cotton goods, in the form of a few well-known "chops,"' are spread all over the province, selling at by no means exorbitant prices, for the small native distributor is driven by competition to be satisfied with a very modest profit. But although we have almost a monopoly of the trade in imported cotton fabrics, the variety of our goods is very small. Messrs. Neville and Bell were much struck by this : in a large town, where they would always find plenty of Lancashire goods, there would be only three or four " chops " of grey shirtings, and the same number of prints and lastings. The old-feishioned China merchant will say : " Well, that's all the people want, if they wanted anything else they would find it in Shanghai." This I believe to be a mistake, because the EngGsh importer in Shanghai cannot be in touch with a market 1,500 miles off ; and because the natives who now supply the Ch'ung-king market from Shanghai, axe utterly wanting in initiative and unwilling to look at anything new. In the Canton province, where the natives are more enterprising, and where there are many emigrants returned from abroad, we noticed much more variety. There is at present not a single Western merchant engaged in the cotton-goods import trade in the whole Yang-tze Valley, except in Shanghai : English capital has been withdrawn from ports hke Hankow, and ///. SSV-CH'VA]^. fi has never been invested in the new ports Hke Ch'ung-king. Independent merchants without capital can do nothing in such places, they compete with the small Chinese trader, who is an excellent broker himself ; and the large firms have withdrawn for reasons which were no doubt quite sufficient at the time. The question is whether the right to manufacture, secured by the Treaty of Shimonoseki, has not so altered the situation that we may hope to see British capital invested in places like Ch'ung-king? whether the preparation of exports by machinery and by cheap labour may not induce wealthy firms to establish themselves in such places, and whether it may not then be worth their while to press the sale of our imports in a way Chinese can never do? The present state of things is unsatisfactory from every point of view. How can the interests of our trade in Ssu-ch'uan and our prospects from the development of the riches of that province be advanced in Shanghai? While the present state of things lasts I believe there can be no great development in the Lancashire trade with Ssu- ch'uan. To get a better result the following steps must be taken : — The Yang-tze must be navigated by steam from I-ch'ang to Ch'ung-king, and then on to Sui Fu. Means must be found by which Englishmen of business talent, provided with ample capital, can reside in Ch'ung- king and engage in the export trade, preparing raw produce, such as silk, wool, China grass, hides, &c., by machinery and cheap labour for the home market, and at the same time introducing our imports, which in Ch'ung-king would be chiefly Lancashire goods, dealing directly with the up- country merchants. This could only be done with success by firms or companies with ample resources, that had come ^2 THE BLACKBURN CHINA MISSION. to stay, and that could afford to train in Chinese colloquial and other special knowledge, youths selected at home for their business talents. There would be difficulties to overcome, and progress might be slow, but the enterprise would be worthy the de- scendants of England's Merchant Adventurers. iV. YUNNAN 73 IV.— THE PROVINCE OF YUNNAN. Lao-wa-t'an, the great Yunnan Likin Station — The Country from Lao- wa-t'an to Chao-t'ung- Fu, six stag-es — Mr. Neville's Illness and the Charity of English Missionaries — Chao-t'ung Fu — Chao-t'ung Fu to T'ung-chuan Fu, five stages — Tung-ch'uan Fu— Copper Mining — Freight by Caravan — T'ung-chuan Fu to Yunnan Fu, seven stages — Poppy Cultivation and its Evils — Yunnan Fu, the Capital — Cotton — Foreign Cotton Yarn — Lancashire Cotton Cloth — Foreign Import Trade has shifted from the West River to the Tonking Route — Taxation in Tonking — Taxation at Meng-tzu — Freight from Hong Kong to Yunnan Fu — How can our Goods best reach the Yunnan Province — Way in which the Trade between Hong Kong and Yunnan is carried on — Payment in Foreign Goods Trade at Yunnan Fu, Silver, Cash, and Price of Food — Interview with a Chinese Banker — Likin — Recovery from the Rebellion — Yunnan Fu to Huang-ts'ao- pa, nine stages — General Remarks on the Yunnan Province — Taxa- tion — Communications — What can be done to Improve our Trade with Yunnan. 52. Two stages south of the Ssu-ch'uan border, the road which now traverses a difficult broken mountain district, crosses the narrow river-gorge by a suspension bridge, and here at the village of Lao-wa-t'an an important likin station bars the way, taxing the trade between Ssu-ch'uan and Yunnan. Imports into Yunnan pay likin as follows : — Equals Percentage Amount of ad valorem Articles. Likin. approximately. Grey Shirtings Per Piece 0-15 Tls.* 6 T-cloths „ 0-15 „ 7^ Turkey Red ,, 0-05 „ 3I Black Italians ,, 0-30 „ 6 * I Tael=:3s. Equals Percentage Amount of ad valorem Likin. approximately. 2-50' ris. 10 I '00 J) 4 2-00 »» (?) I'OO )> (?) 0-40 ij 6 0-50 )j 5 0-30 )» 6 0'20 11 (?) 0-50 J) (?) 0-45 jj 3^ 7-50 » (?) 4-50 )» . (?) 74 TJI£: BLACKBURN CHINA MISSION. Articles. Cotton Yarn Per Picul Cotton Cloth, Native... Per 40 pes. Broad Cloth Per Piece Flannel Long Ells ,, Woollen Lastings ,, Cotton Lastings , , Clocks, Hanging Each ,, Standing „ Cotton, Raw Per loolbs. Silk, Raw ,, „ Wild „ The import of foreign cottons into northern Yunnan is small, and it may well be doubted, looking to the nature of the country, whether there is much possibility of increase under present conditions, but 60,000 to 70,000 bales (say 4,700,000 lbs.) of native cotton cloth pass this barrier per annum, and the whole import into north Yunnan from Sui Fu and Lu-chow may be estimated at 80,000 bales (say 3.200,000 pieces). The chief export is Yunnan opium, on which the hkin is 72 tael cents per 100 Chinese ounces (133 ozs. avoir.). Yunnan opium goes north by this road to the extent of 10,000 boxes or 10,000,000 Chinese ounces per annum. The likin tarifE is here more strictly enforced than is usual, but still merchants in a large way get off more cheaply than small traders; thus during the first and second months in the year a discount of 18 per cent is allowed, and rich merchants then push through their goods. The hkin officials here as everywhere are extortionate and IV. YUNNAN. 75 unreasonable with the small distributor, demanding pay- ment in cash or silver as they choose, at exorbitant rates of exchange. When we passed they were demanding cash at the rate of i,6oo while they only paid out 1,350 per tael. In one respect the likin coUectorate in the Yunnan and K'uei-chow provinces compares very favourably with that of any part of China : one payment frees goods of likin throughout the province. The Lao-wa-t'an station is assessed at 140,000 taels per annum, but it only collects at present some 60,000 taels, or ratlier that is all that reaches the provincial exchequer. From the outside, as one ascends the river-gorge between high mountains, Lao-wa-t'an appears an ideal mountain village ; the shadow of the deep gorge, the roaring torrent, the light chain flying bridge imbue the place with a glamour of the picturesque; but from the inside Lao-wa- t'an is as bad a hot-bed of filth and slovenly confusion as can well be imagined. So far goods to and from Sui-Fu are conveyed by pei-tzu, i.e., porters who carry their loads on the back, upon a framework strapped behind the shoulders ; they are wretched looking objects carrying each 150 to 200lbs. 10 to 15 miles a day, picking their way step by step along these awful mountain roads with a miser- ably dejected look. The cruel weight seems to oppress their breathing. At Lao-wa-t'an the goods brought up by pei-tzu are repacked, and sent on by caravans of mules and ponies. 53. The road between Sui Fu and Lao-wa-t'an is in many places inconceivably bad, as if cartloads of limestone blocks had been emptied thereon, but it has no very violent gradients, following the river valleys for the most part. Here we passed pei-tzu in great numbers carrying native cotton cloth, foreign cottons, tobacco, salt, and drugs into ^6 THE BLACKBURN CHINA MtSSION. Yunnan, and bringing out opium, tin, copper, tea, and drugs. Before Lao-wa-t'an is reached tHe red sandstone of Ssu- ch'uan has entirely disappeared, and been replaced by limestone blue and grey, and the flora is very different; the bastard banyan, so distinctive a feature in the Ssu-ch'uan landscape, is seen no more. Lao-wa-t'an passed, the ascent of the Yunnan plateau begins ; the section of the country subjoined will show the declivities of the road, which was once a good highway paved with stone, but is now often for hundreds of yards together no better than the boulder bed of a mountain torrent. However, this is the one great commercial route between Northern Yunnan on the one hand and Ssu- ch'uan and the eastern provinces on the other ; and there is a large transit trade ; we pass many hundreds of animals every day in big caravans chiefly of country-bred ponies. We are now in a barren limestone country, baxe of trees except in favoured places. Ta-Kuan T'ing, the first town we pass in Yunnan, is built on the side of the valley of the stream we have followed at intervals from the Yang-tze — ^here no more than a mountain torrent; the town commands lovely views, but it is very poor. Besides its picturesque surroundings it is interesting as a district in which the various aboriginal races have found a refuge. The magistrate has the title Fu-i Fu,/ Prefect for soothing the Aborigines, and he rules in a some-i what loose manner, Miao, Shan, Lolo, and Chinese Mahomedans, the last being equally regarded as aliens by/ the pucka or Confucian Chinese. At this time of the year, March, the average width of the stream is about 1 5 yards, but it has cut out or discovered a broad valley. After Yang-lui-shu it is nothing but a gorge, and six miles above that place the gorge ends in a huge /v. YUNNAN. 77 cul-de-sac of limestone mountains. The river now disap- pears and the water issues from the ground in a big spring ; the road ascends the amphitheatre of mountains by a suc- cession of zig-zags tO' east and west, mounting slowly towards the south. We imagined we were now ascending the northern edge of the veritable plateau, and that here would end the Yang-tze drainage basin amongst bare limestone pinnacles and grey -white precipices ; we had traced the mighty river through the busy haunts of men to the vast lone abode of bare mountains with their heads in the clouds. We soon found we were wrong ; having reached the plateau, the stream turned up again ; it had only disappeared for a few miles, to descend by subterranean channels 2,ooo feet, and we found in the evening on con- sulting our maps that we had yet many a week to spend in the huge Yang-tze basin. We are now on the plateau, and see the first wheeled vehicle since leaving Shanghai — a very rough bullock cart. The country looks bare and dry, like North China, and there is no winter crop, as in Ssu-ch'uan. The soil looks almost like loess, but it is not, as there are large stones embedded in it. The houses are ruined or miserably poor. The people are dressed in Sha-si cotton cloth, but the men wear turbans of Lancashire cotton, and the women ankle-bindings of Turkey-red. As we appi:oach the town of Chao-t'ung, the soil is better, and is planted with opium., now (March i8) two inches high. 54. We had now been travelling for nearly five months without serious mishap, when on March 11, at Lao-wa-t'an, Mr. Neville fell ill, and on the i6th, in a miserable inn at a wretched mountain hamlet named Ta-wan-tzu, we came to the conclusion Ithat he had small-pox. It was clear we must press on and get the assistance of a foreign doctor if pos- 78 THE BLACKBURN CHINA MISSION. sible before the disease reached its climax, and this the natives said we should be able to do at Ta-kuan T'ing. On reaching that place, however, we found no foreigners living there, and that not until we reached Chao-t'ung Fu, three stages further, could we get axiy foreign help. Our position now looked somewhat hopeless. There is rarely more than one decent room in a Chinese inn, and the plan we had been following was this : we dined in this room, and then had our camp beds put up along its three sides, slept till six, and, after a cup of cocoa, began our day's march, breakfasting and lunching together at convenient places en route. Under these conditions, with the same cooking and messing kit, no effective separation was possible, nor had we any medical knowledge or disinfectants or medicines except the simplest. Moreover the country was very difficult and very poor, scarcely providing the necessaries of life, so that our coolies had to carry their rice with them. Chao-t'ung Fu, where we heard there was a foreign doctor, was 53 miles off, three stages, over a very hard road. I requested Mr. Bell to start at daybreak the next morn- ing — March 17 — and endeavour to do the three stages to Chao-t'ung in 36 hours, so as to reach that place early enough on the 1 8th to make arrangements for Mr. Neville's reception that evening. Mr. Bell took nothing with him but a tin of beef and some bread : nor could we spare him any of our servants ; he took our secretary to interpret, and a runner whom I borrowed from the Ta-kuan Magistrate. Meantime I came on with Mr. Neville, who had to remain shut up in his sedan all day for fear of the cold— we had to cross country nearly 7,000 feet above the sea— and who showed great fortitude, allowing no complaint to escape him of the wretchedness of travelling all day long over exe- crable roads, when suffering from an irritating disease. We IV. YUNNAN. 79 did the three stages in two days, and reached Chao-t'ung Fu on the evening of the 1 8th, where we found Mr. Bell waiting for us outside the city gate ; he bore the welcome news that the English missionaries would take Mr. Neville at once into the house in which they were themselves living. These missionaries were Mrs. Thorne, and Messrs. Piper and Hicks of the English Methodist Society. They nursed Mr. Neville through his illness, and escorted him back to the Lao-wa-t'an River, whence he took boat east, and we found him in good health waiting for us at Canton at the end of our journey. The above narrative will show with what noble humanity our fellow-countrymen treated us. In a case where some caution and hesitation might well have been expected, they showed the most ready self-sacrifice ; we owe them a debt we can never pay. 55. The prefecture of Chao-t'ung is miserably poor. The soil is a dry loam ; the country is 7,000 feet above sea-level, and dreadfully swept by the wind ; sun and wind prevail from November to June, and from July to October, there is too much rain. The district lies midway between the two sources of cotton supply — Hankow and Burma — so that cotton is dear and the people ill-clad, many children being quite naked (March) when we were wearing English winter clothes. There is practically no market here for Lancashire cottons, the people being too poor to afford them. Gene- rally the country may be described as a dry, bare, treeless, wind-swept plateau, with no rivers, but draining into peaty lakes. The hills have deposits of red sandy clay in sheltered places. It is the meeting ground of various races. The Mahomedans state that they were settled here as soldier- colonists during the T'ang dynasty in the ninth century A.D. 56. The descent to the Niu-lan River is the worst bit of country we have yet had to cross on this journey ; the road 8o THE BLACKBURN CHINA MISSION. was indescribably bad and very steep ; the district is miser- ably poor, and, excepting the little town of Chiang-ti, where we slept there is scarcely a house for 40 miles. Water is the great want here ; occasionally the road traverses a nar- row valley with a stream, so that people can irrigate their fields, and then all looks green and healthy, but soon we are on the dry wind-swept downs again. The wind seems to be a very important factor in the cli- mate of this desolate region, a sort of Pamir on a smaller scale and at a lower altitude, 7,000 to 8,000 feet above thi sea. I was told that from October to January here the north wind blows bringing cold and snow ; from February to May the south wind dries up everything ; and from June to September it rains almost continuously. Travelling through this region is an experience one can never forget ; the bare downs with rarely a house or tree in sight, the staring red and yellow earth, the furious gale that blows every day from 10 a.m. to 4 p.m. carrying a fine impalpable red dust that covers and penetrates everything, the desolate hills and dry watercourses, and, above, the deep blue sky without a cloud, com'bine to leave a vivid impres- sion on the mind. 57. On March 28 we reached T'ung-chuan Fu, situated is a valley about 10 miles long and i to 3 miles wide, with a stream from which it is irrigated. This place is on the bor- der of the district supplied with foreign imports from the Yang-tze on the north, and from the Tonking and West River routes on the south, goods coming from both direc- tions. Raw cotton still comes from Sui Fu ; the price here for Hankow cotton is 22 taels per picul (say, 6d. a lb. avoir). The local dealers supply themselves with foreign goods bv buying from itinerant merchants (fan-tzu)— a superior sort of pedlars— who buy in Sui Fu or Yunnan Fu and carry or IV. YUNNAN. 8i escort up their purchase-. T'ung-chuan Fu is a small town with little demand for foreign goods. When mining was carried on with some success, 50 years ago, the place is said to have been prosperous. Copper is still mined on a con- siderable scale at four places within 50 miles of T'ung-chuan namely, T'ang-tan, Lo-hsi, Mi-lo, and Lo-ch'an. No tin has been found in the prefecture, but there is lead, zinc, and silver, besides coal and iron. Gold is found at Hui-li Chow but none here. Mining in this prefecture, par- ticularly of copper, was once a great source of profit to the Government, but like everything else in China it has fallen into decay. The Imperial Commissioner for Mines in Yunnan is said to be a particularly honest oflicial, but he is very badly i'-erved by his subordinates, who do not spend the money he sends for development upon the mines, which are said to be going from bad to worse. Some years ago he employed Japanese mining engineers, but they failed to improve matters, and were sent back. They told us that the Imperial Commis- sioner is about 1,000,000 taels to the bad in his account with the Peking Government. To do better they want honest men and money, but neither are forthcoming. The Chinese fail here for the reason I have before pointed out, incapacity to co-operate m large enterprises, and this again depends on radical moral deficiexicies that can by no means be made good in a day. The price of copper in T'ung-chuan was 13.6 taels per picul (say, ;£"35 per ton). Freight by pack animal from Chao-t'ung Fu to T'ung- chuan Fu, 107 miles, on two bales of Sha-si cotton cloth, weighing no catties, is half a tael, say, 2^per ton per mile. Copper from T'ung-chuan pays 18 tael cents per stage of 30 miles per 'pony load of 150 catties (200 lbs. avoir.), say, 2.4d. per ton per mile. On a well-ordered cara- 82 THE BLACKBURN CHINA MISSION. van route like that between Meng-tzu and Yunnan, the rate tends to be less, but for the whole of the province 2^d * per ton per mile may be taken as a fair rate. 58. For the first three stages, as far as K'ung-shan, the country is of the same barren description, red downs, without tirees or houses, deeply eroded every few miles^ by water. Nothing is grown on these downs but a crop of maize in bur.imer in the more sheltered places. Thirty miles from T'i:ng-chuan we skirt a high range of mountains, over 10,000 feet above the sea, capped with snow, and said to be so till June ; it is in this range that the celebrated Lo-hsi copper mines are situated. Mr Bell and I had now been travelling for 20 days across a miserable country, of alternating bare wind-swept downs and precipitous canons, and we and our native follow- ing were very tired of it, particularly the latter, many- of whom were carrying lOO lbs. a piece up and down steep de- clivities, and for whom there was nothing but the poorest food and the most rriiserable accommodation. To give an instance, on March 31, we travelled 25 miles without passing a single village. And there was no work for us to do — a commercial mission in the Sahara. In trutih, from Lao-wa-t'an to K'ung-shan — 305 miles^ the country is at present of no possible value for commerce. The people are very poor and clad exclusively — ^when clad at all — in Sha-si cotton cloth ; but they can scarcely afford * By the kindness of Lord Stanmore, I am able to give, for comparison, the rates charged on the Ceylon Railway above Nawalapitiya — a line running through a country somewhat similar to the Yunnan plateau. The ave-ageof the six classes into which goods are divided is 26"4 rupee cen s (4"2d.) per ton per mile. Tea and rice are carried at 25 cents (4d.) ; cotton goods, tobacco, and opium at 31 cents (sd.) In India the average rate charged varies from i'o6d. to o'26d. per ton per mile. But it must be remembered that the level of values in Yunnan is very low, and that 2d. per ton per mile may well be a prohibitive rate. IV. YUNNAN. 83 sufficient clothing. Certainly if the mineral wealth of the country were duly developed one might tell a very different story. After K'ung-shan we traverse fertile dales, now covered with beans and poppy in flower (April 2), making a most wondc'rful display of colour ; and the hills are well-clad with pines and flowering shrubs — roses and azaleas now in blossom. But the people seem dull and heavy, and not as strong in physique as one would expect in these mountains. After Yang-kai poppy fills the whole cultivated area, covering the valley with white and purple — a gorgeous spec- tacle to the eye, though not agreeable to the mind ; for one must attribute chiefly to opium, I think, the extraordinary failure of this province to recover from the devastation of the Rebellion The drug is so cheap and handy that the men almost all smoke, and most women, especially among the agriculturists, who tend the poppy and collect and sell the j)iice — the class that is elsewhere the backbone of China, if, indeed, China can be said to have a backbone. I was assured by an English missionary, who has long resided in the pro- vince, and in who've judgment! have great confidence, that in Eastern and Western Circuits (Tao) of the province, which embrace more than two-thirds of its area, 80 per cent, of the men and 60 per cent, of the women smoke opium ; in the Southern Circuit the habit is not quite so general ; he had no doubt that the vice had a very bad effect on the race. At all events, ever}' traveller must be struck by the great extent to whicli the fertile valleys — the only land well cultivated — are monopolised by the poppy, by the apathy and laziness f,'f the people, and by the very slow recovery, during 25 years, from the losses of the Rebelhon. Another bad result of opium being so ready at hand is the frequency of suicides ■especially among women. We heard of a case in which a 84 THE BLACKBURN CHINA MISSION. mother and daughter-in-law both took opium, and died be- cause of a quarrel over the breaking of a tea-cup! Unfortunately, opium has become almost the medium of exchange in this province, as I explained in a former report ; it is with opium that Yunnan pays Ssu-ch'uan and Hong- Kong (see Section 68) for cotton, salt tobacco, and foreign goods. Again, from Yang-lin, until the plain of the Yunnan Fu Lake is reached, we traverse a country, poor as things now are, although very beautiful — dry red downs covered witli firs and scrub. Possibly artesian wells might here make a paradise. At Yang-lin we join the Western main road that runs from Hankow to Burma. It is 12 feet wide, paved with ir- regular blocks of limestone, now in bad order, but evidently once a magnificent road, as roads are understood in this country. 59. The walls of the City of Yunnan Fu are not more than three miles in circuit; the place has, including the suburbs, a population of about 100,000. The plain in which the city stands measures about 55 miles north and south by 1 5 miles east and west — the lake occupyuig the greater part of this area. The lake has an outlet to the Yang-tze by Ngan-ning Chow, but not large enough to carry off the rains of July and August, when the plaiu is hooded for miles far to the east of the city. On the west tliere is a line of bluffs overlooking the lake, some 1,200 feet above its level, from which a magnificent panorama presents itself — the lake, the city, and the plain lie below one as in a huge map. There is a regular boat trafiic by night upon the lake, but none by day, because of the violence of squalls. About a mile from its north end the lake has a natural break-water running almost from side to side. The water in the space enclosed iV. YUNNAN. . 8s is shallow and very clear, so that the many beautiful varie- ties of water-weed can be well seen There is no danger from squalls in this basin, which in Europe would be the resort of house-boats and yachts. For man the climate is delightful- never very hot or cold —but not for vegetation The sun shines almost without a break from November to June, while from July to October the country is deluged with niin. 60. No cotton is grown in the province, which has to im- port its whole supply — :and a large trade this must be for little else is worn. North Yunnan is supplied with raw cotton from the Lower Yang-tze via Sui Fu. West and Central Yunnan from Burma, and the South-west of the province from the Shan States. I heard on good authority that before the Rebellion (1856-73) 200,000 bales of Bur- mese raw cotton had been imported into Yunnan Fu annu- ally; the import now is about 10,000 bales. The day will no doubt come when we shall spin coarse yarns in Burma from Shan States cotton, and export it for use upon the plateau, where population might increase very rapidly if capital were introduced, the mines worked, and immigration from Ssu-ch'uan encouraged. 61. Foreign yarn comes, for the most part, from Hong- Kong via Tonking and Meng-tzu, under transit pass from the latter place, thus escaping all likin and fu-shui, although some comes from Burma by the Ta-h Fu route. Mr. Bell noticed in a shop some 40's yarn — ^no doubt Lancashire — that had come that way. One bale of yarn is split into 4 bales and 40 catties over, in Hong-Kong, each smaller bale containing g bundles, or golbs. ; a pony will carry two such bales. Local weaving from this imported yarn is greatly on the increase. In Yunnan Fu itself there is about an equal consumption of Sha-si cloth, and of the cloth woven locally 86 THE BLACKBURN CHINA MISSION. from foreign yarn. We noticed a placard issued by a bene- volent institution (T'i-Jen T'ang) exhorting women and girls to learn the art of weaving foreign yam, quoting Confucian scripture freely to prove it was their duty, moreover showing by arithmetic that it was profitable, and finally offering to teach gratis all women and girls who would learn. Tae societ}' had engaged women instructors and suitable accom- modation in six different parts of the city, where all who wished could learn. This is being done by the leading men of the place, and is perfectly bona-fide. The same move- ment is going on all over China, and will continue until the Chinese are rich enough to buy better cloth, or until the weaving of strong, coarse, loosely-knit cloth can be done cheaply by machinery The profits of weaving accrue locally,- and the importers of foreign yarn no doubt make larger profits — the trade being new — than those of Sha-si cloth, an old-established trade in which competition is very keen 62. The Lancashire cotton cloth trade is a small one comparing tliis place with cities of equal size in Ssu-ch'uan, because the proportion of well-to-do people is less. The clcth they dc buy was pro- nounced by Mr. Bell to be of lighter weight and inferior quality to that sold in Ssu-ch'uan, although the climate here must be colder. There is no sale for a cloth like Calvert's C.C.C. The merchants here recognised the merits of such cloth, but said the people could not afford it — they would buy it if they could. Generally the better descriptions of goods— figured lastings, black Italians, and the better class of prints— were scarcely seen at all. As I said in a former report, next to the people themselves no one would benefit so much from the development of the riches of this country as English manufacturers and operatives* Still, the market * China, No. i, of i888, p. 5. /f: YUNNAN. 87 at Yunnan Fu is well supplied with LancasKiire cottons ; all the people can pay for they gret readily enough. 63. Since my visit to this place in 1885, the import trade in foreign goods has almost entirely shifted from the West River route by way of Po-se Ting (lat. 23° 45', long. 105° 56') to the Tonking route by way of the Red River and Meng-tzu. This revolution, great indeed if the conservative habits of the Chinese are remembered, is entirely diie to the energy of the French in vigorously enforcing on the Chinese Government their right to transit passes to cover goods from Meng-tzu to Yunnan Fu. The result is that our goods are cheaper here than tliey were, and that Yunnan Fu is well supplied widi foreign goods of all sorta, at least those light enough in weight to bear caravan transit. 64. But although the French have freed our goods from Chinese exactions between Meng-tzu, the port of entry, and Yunnan Fu, the dues they themselves levy on goods in tran- sit through Tonking go a long way to counteract this gain as the following table will show : — Approximate Percentage Tonking- ad valorem, allowing J Transit per cent, to cover other Articles. Duty, charges explained below. Grey Shirtings Per Piece 0-261 Tls.* 11 Cotton Yarn, Fine... Per i33lbs. 0756 „ 3J ,, Coarse „ 8-6i5 „ 3J Cotton Lastings Per Piece 0-64 „ 10 Long Ells ,, 0-425 „ 10 Kerosine Per Case 0*094 u 7 * The tael is the Ssu-ma tael, i per cent, heavier than the Haikuan tael, which is 11 per cent, heavier than the Shanghai tael : 100 Ssu-ma taels=ii2 Shanghai taels. In addition to the transit dues there is a charge on every invoice of goods entering Tonking for docks, examination, sealing cases in bond, statistics, i&c, a variable amount 88 THE BLACKBURN CHINA MISSION. according to the number of packages, witH 0.60 doL* for three " acquits a caution " on every bill of lading. The mini- mum charge on this account seems to be i dol. on a single case, and might be 10 dol. on 30 01 40 cases. It seems to be somewhat arbitary, and to partake of the nature, in some re- spects, of what is known in this part of the world as a " squeeze." On exports from China to Hong Kong by the Red River, Tonking at present levies no transit dues, but takes the same levy for docks, &c., as described above for imports. 65. At Meng-tzu the trade is dealt with by the Foreign Customs staff, under Sir Robert Hart, as usual, with all the fairness and with more consideration than at any custom- house in Europe. Goods pay here according to the treaty tariff, e.g., grey sliirtings pay seven-tenths of the import duty levied ab the treaty ports on the coast, namely, .08 tael per piece, seven-tenths of .08 tael equals .056 taels, and a transit pass due of half the coast ports import duty, that is of .04 tael, so that a piece of grey shirting imported into Yunnan Fu pays taxation to the Tonking Government of more than .261 tael, and the Chinese Government of .096 tael, or nearly three times as much to the French as to the CJiinese. 66. The Red River trade is almost entirely a transit trade from Hong-Kong. Freight from Hong-Kong to Lao-kai, upon the Red River on the frontier of Tonking and Yunnan, is about 24 dol. a ton. From Lao-kai to Man-hao still by junk on the Red River, freight costs about .40 tael per pack- age of QOlbs. weight. From Man-hao through Meng-tzu to Yunnan Fu is twelve stages by caravan, and carriage here may be put at 2d. per mile per ton. 67. Of Western and South- Western Yunnan I need say * I dol. =2S. /v. YUNNAN. §9 nothing as it may be taken for granted that Her Majesty's Government will at once do in regard to the Burma and Shan States trade, what France has done in regard to that of the Red River, namely insist that our goods shall go through to Ta-li Fu, Yunnan Fu, and Ssu-mao (lat. 22° 48' long. 101° 10') under transit pass; we shall then certainly supply from Burma the richest part of Yurman. At present our goods are actually going from Meng-tzu under transit pass to Yung-ch'ang Fu (lat. 25° 07', long. 99° 10') within seven days of Bhamo. And for this it is not necessary to await a railway upon Chinese territory ; I believe the exist- ing means of transit by caravan are sufficient for the present population and resources of the province ; railways and mining should come together. In regard to Yunnan Fu and the country south and east thereof it is doubtful whether we can compete from Burma with the Red River route, Bhamo beiiig 32 stages from Yunnan Fu while Man-hao is only 12, although 10 per cent, transit dues in Tonking would more than cover the extra 20 days' land transit, supposing no dues to be levied in Burma. But for this district we have an alternative route, the West River (see Section 105). ^^^^^^"^J^ 68. The foreign import trade is almost entirely in the hands of natives of Lin-ngan Fu (lat. 23° 37', long. 102° 45') who have their own agents or partners in Hong-Kong to buy for them from the foreign importers, the goods being forwarded as above described via Hai-phong, the Red River and Meng-tzu. In Yunnan Fu there are four hongs or big firms of factors where goods are stored for sale, and here the shopkeepers of the city and the up-country merchants come to make their purchases, the hong acting as broker between them and the seller. The Lin-ngan merchants pay for their purchases by consignments of opium or of tin from the Kuo- chin mines (lat. 23° 25', long. 103° 20') the greatest tin-pro- go THE BLACKBURN CHINA MISSION. chicing district in China. Their capacity to purchase foreign goods is directly measured by the value of opium and tin they can export. A common way of carrying out this ex- change of products is to send opium overland to Wu-chow for sale, to take pa3'ment at Wu-chow in bills on Hong- Kong to buy Lancashire cottons and yarn to be imported here, chiefly, via Tonking. 69. The system of payment here is one month's credit, with discount at the rate of i ^ per cent per month for ready money, and besides, a trade discount of 10 per cent The Yunnan Fu scale is 3 per mille lighter than that of Ch'ung- king, and the touch of Yunnan silver is i ^ per cent worse ; so Yunnan (Tien-p'ing) 100 taels* equal Ssu-ch'uan best silver (Hsin-p'iao) 98.204. Food is very cheap. In Yunnan Fu where there is a large population, 160 lbs. avoir, of rice costs 1.3 taels (say 3 s. lod.), this is said to be enough to feed six men for a month. In Ch'ung-king the same weight of rice would cost, in average years, 2 taels (say, 6s.), but this winter (1896-97) 3.50 taels (say los. 6d.). Cash here as ever3Avhere else in China have risen in value since the heavy fall in the gold value of silver during the last few years. Ten years ago a tael or Chinese ounce of silver exchanged for 1,500 cash, now for only 1,280. The provincial govern- ment has not been coining cash as copper is too dear. Gre- sham's law is, of course taking effect ; good cash are with- drawn and melted, and bad cash left and coined illicitly. The officials are making matters worse by their bungling efforts, thus the magistrate at Yunnan Fu issued a proclamation while we were there ordering the people to take 70 large cash or So medium cash as 100, and not to use small cash at alL 70. The following is a resume of opinions expressed to * I tael = 3s. IV. YUNNAN. 91 me in conversation by the leading foreign goods merchant and bankers of Yunnan Fu. About the year 1840 opium was much more extensively cultivated in Yunnan Fu than it is now. Before 1856, when the Rebellion began, the production of tin at the Kuo-chin mines was 3,000 chang (a chang= 2,500 catties=3,3.33lbs.), or 4,464 tons per annum, now about 800 chang only ; 100,000 used then to work at the mines, now only 20,000. Within the last 1 5 years tin at the Kuo-chin mines has been as low as 6 taels per 100 catties, the average price 15 years ago being 8 to 10 taels, the price now is about 20 taels, = £^0 per ton. The tin produced at these mines is all used in China, chiefly to make silver paper money to burn to the dead. Here a well-to-do family will be satisfied to burn at the graves on the spring festival a few pence worth of paper, but in tlie Che-kiang province a poor family will spend 2 doL in paper money, and a well-to-do family 100 dol. or m.ore. Since the year 1 888 the plague has been very bad in Meng-tzu and South Yunnan generally, -many thousands dying each year. He estimated the population of the pro vince at one-fifth of what it was before the Rebellion ; then in the suburbs of Yunnan Fu there were 100,000 house- holds (?), now not more than 11,000. There are now 13.000 households within the city wall. In his opinion it would talse one hundred (?) years before the province recovered from the Rebellion, because its means of communi- cation were so bad. The provinces on the east coast re- covered quickly from the T'ai-p'ing rebellion because they have good water communication. A little cotton yarn comes from Bhamo by the Ta-li Fu route, but it has to make one Iikin and five fu-shui payments en route ; it is not more than I per cent of the yarn coming by way of Meng-tzu. To bring a bale of yarn from Hong-Kong to Meng-tzu costs 93 THE BLACKBVkN CHINA MISSIOl^. 14 taels duty packing and freight included, about 20 per cent, ad valorem. 71. As far as Yunnan Fu itself is concerned likin and fu- shui, thanl.here it is dyed black and called ch'ung-ch'ang-ch'ing, i.e., imitation long black. This cloth, like that of w^hich it is a copy, is largely exported to Smgapore. The yarn is imported at Swatow, and pays, before it reaches Hsing-ning Hsien, customs and likin dues amounting to 4.75 taels per bale, say, 6 per cent., ad valorem. The cloth is no doubt taxed on its way to Fatshan, and again on its way to Hong-Kong. If our manufacturers can an3^^'here compete with these home- spun cloths, here would seem to be a favourable opportu- nity ; a product, hand-woven, far-travelled, repeatedly taxed, and sold in our own colony of Singapore. 1 09. Canton and Hong-Kong have such excellent com- munication -by steamer diat so far as passengers are con- cerned, they might almost be the same place. Monster river steamers leave either port morning and evenuig, and reach the other in six hours, with the least possible inconvenience to the traveller. But the fate of goods imported into Can- ton is far from being such a smooth one. Between the steamer wharf at Canton and the foreign custopis exaiiiina- VII . CANTON AND HONG KONG. i^e^ tions shed, there is a likin boat moored, and every piece of Lancashire cottons, for example, is required before it can be landed to pay an elastic likin in addition to the tariff im- port duty. A piece of grey shirtings, value in Hong-Kong, say, 2 taels, pays import duty according to treaty, 0.08 tael, but in June, 1897, it had also to pay : — Amount. Defence tax, 0-072 tael ™ -i 1-1 • i 1 rLess ijo per cent =oos2 Tls. Transit likin, 0-032 tael I Destination likin 0-072 ,, o-r24 Tls, So that instead of 0.08 tael or 4 per cent, ad valorem, 0.204 tael, or more than 10 per cent., ad valorem, is exacted. I'he goods are taxed before they can be landed in Canton over 6 per cent, ad valorem, beyond the treaty tariff import duty. In order to make sure of this tax, the Likin CoUectorate follows the daily returns of the Foreign Customs, so that . iikin becomes a certain addition to tlie import duty levied strictly according to the likin tariff, a state of things that native administrators could never attain for themselves. I doubt whether the Likin CoUectorate of the Empire actually receives half the amount due under its tariff. This employ- ment of the excellent Foreign Customs administration to enforce the ever growing demands of the provincial Govern- ments, is becoming a serious danger to our trade. The same thing is being done at Chung-king, and no doubt else- where. The remedy is the demarkation of a port area within which no due but treaty import duty is leviable (see Section iii). no. It is hard to read Art X of the Treaty of Natiking, Arts. XXIV, XXVI, XXVII, and XXVIII of the Treaty of Tientsin, and Rule VII of the Tariff Rules, and not to be convinced that import and export duties, according to tariff 136 THE BLACKBURN CHINA MISSION. and transit pass duty, were intended* to exclude any other direct tax on goods imported or on goods to be exported. Transit dues not being leviable until goods are declared for transit, no tax beyond import duty seems to be due within the area of the treaty port. For if the Chinese Goverrmient were to be free to increase the import duty as is now done in Canton, when and to what extent it pleased, why did the negotiators of that treaty take the pains to draw up a tariff at all? Canton was opened to our trade, the import duty into Canton on grey shirtings was made by the tariff 0.08 tael per piece, and this duty was only to be altered by a re- vision of the tariff. By the Chefoo Convention of 1 876 it was provided " that Sir T. Wade agrees to move his Goverrmient to allow the ground rented by foreigners (the so-called concessions) at the different ports to be regarded as the area of exemption from likin." that is to reduce the port area to the area of the concession ; but to this Her Majesty's Government did not agree ; and by the additional article of the Chefoo Agree- ment of July 18, 1885, it was provided that this arrangement " sliall be reserved for further consideration between the two * Lord Elgin, who negotiated the Treaty of Tientsin on behalf of Great Britain, in reporting ihe Tariff Rules to Her Majesty's Secretary of Stale for Foreign Affairs, said : " Henceforward, on pajment of a sum in name of transit duty, which for simplicity's sake has been fixed at one-half of the tariff rate of duty, goods, whether of export or import, will be froe to pass between the port of shipment or entry, to or from any part of China, without further charge of toll, octroi, or tax of any description whatso- ever." See China, No. 4 of 1870, page 6. In November, 1868, H. E. Tseng Kuo-fan, Viceroy of Nanking, Superintendent of Trade for the Southern Ports, wrote as follows : "By carefully examining and comparing the 28th article of the English Treaty with the 7th article of the Tariff Rules, you will find that after foreign goods enter at the seaport, and pay the regular duty and half-duty, the merchant has only to exhibit his certificate of having so paid duty to be allowed to proceed to any distance without further demand." See Likin on Foreign Imports, a Memorandum by Mr. R. S. Gundry, printed by the China Association, page 3. VII. CANTON AND HONG KONG. 137 (iovernments ; " thus the question of the port area is now just where it was on the signing of the Tientsin Treaty. 111. The question of the port area, that is the area within which foreign imports and goods for export should be free from all taxes excepting treaty import and export duties, is a matter in which our cotton manufacturers are deeply in- terested, for rich cities like Canton and Foochow are their best markets. Counsel for the British manufacturer might perhaps contend that the area of exemption from likin should be, in the case of Canton for example, the whole city and suburbs and neighbouring country where goods could be sold without payment of fu-shui, i.e., Prefect's transit duty oir Hoppo's transit duty (there was then no likin), when the declaration of the Plenipotentiaries was signed on June 26, 1843, by which it was determined that the further amounts to be paid as transit duty should not exceed the rates then in force ; and he might support his contention as follows : — Art. X of the Treaty of Nanking, renewed and confirmed by Art. I of the Treaty of Tientsin provides for import duty and transit duty, and no other; transit duty would then have been payable at the first barrier existing on June 26, 1 843, and within that barrier no due but import duty ; the area of the port so determined could not be curtailed with- out the consent of Her Majesty's Government, and that con- sent had never been given. Some may think this would be to claim too much ; but the present practice certainly gives too little. There should be no great difficulty in determin- ing a fair area for each treaty port, within which imports of British origin should be free from all taxation except treaty import duty. 112. The Chinese profess to believe that the treaty tariff protects goods only so long as they are the property of British subjects, but that they are free to tax them at dis- cretion when they have passed into the hands of Chinese, as 138 THE BLACKBURN CHINA MISSION. of course all trade imports do sooner or later. If then a British merchant imports Lancashire cottons into his hong upon the concession (a very small area) at Canton, no likin is demanded from him, but from the Chinese purchaser when the latter takes delivery of the goods ; and to secure payment and prevent foreigners from taking a share in the import trade, the concession is guarded by a cordon of likin surveillance, and spies are employed to track all goods im- ported that have not paid likin, the Foreign Customs daily returns being used for the purpose. If the Chinese are right in this contention, what was the use of a tariff? It was known to the negotiators of the treaty that grey shirtings would be imported for the Chi- nese ; if they can be taxed to any extent before they can leave the importing ship or the concession, why was a rate of import duty specified ? 113. The reason for the strong hold which likin has on the foreign import trade in Canton, is that the Canton Bri- tish firms have long ceased to import on their own account, a fact due chiefly to the contiguity of a larger market in Hong-Kong, and perhaps in part to the circimistances of the concession being small, surrounded by water and con- nected with the main land by two bridges only, and there- fore easily guarded by likin surveillance ; were there a large settlement there, on the Shanghai model, things might be very different The Chinese buy the cotton-goods they want in Hong-Kong, and take them up-country as best they can. If the purchase has been made through one of the large British houses, the only person with whom the pur- chaser has had dealings is usually the firm's compradore, or- native manager, who is usually a Hkin farmer himself; if from a small house, the foreigner's interest is usuallv^ bounded by his commission ; he has not the smallest concern with the goods after the price has been paid in. Hong-Kong. Vil. CANTON AND HONG KONG. 135 Their market in cities like Canton and Foocliow — these two cities alcne are probably able to take more Lancashire goods than the whole province of Yunnan — ^being very im- portant to Lancashire manufacturerSj it is a question, if the present state of things in regard to likin is to continue, and if it continues it will be always getting worse, whether it would not be worth while to encourage a British firm in Canton to establish an agency within the city, and there sell cottons retail. Such a proceeding would be within our treaty rights, and would, if supported, tend to break down the present exactions. 114. The state of things in regard to the transit trade at Canton is even worse, as my Kwang-si narrative has shown. But to give an example close to Canton; a piece of grey shirtings sent from Canton to Fatshan, a very large manu- facturing town, 1 5 miles south-west of that city, would pay — Amount. At Canton, as above o 204 Tls. Entry (kwa-hao) paid to Hoppo, 0-072 tael, plus 20 per cent, "expenses " squeeze 0'092 ,, At Fatshan, cancellation, hsiao-hao, a " squeeze " that has gradually increased from a nominal payment to about 018 ,, o 476 Tls. or about 25 per cent, ad valorem. This was the amount de- manded in June, 1 897 ; no doubt a great deal less was paid on the average. ^y taking a transit pass for these goods to Fatshan, of course a great deal would be saved ; but the Canton Govern- ment has so far succeeded in resisting our right to transit passes, helped by the fact that the import trade is, as I have explained, in the hands of natives, and by the monoply- ring of likin officials and foreign compradores (see Section 1 1 6). They acknowledge that foreigners are entitled to these I40 THE BLACKBURN CHINA MISSION. passes and issue them accordingly, but they then follow the goods into the country, and exact the full likin from the Chinese purchaser, so that the transit pass duty becomes an extra tax instead of a due excluding all other taxation ex- cept tariff import duty, as the negotiators of the Tientsin Treaty certainly intended. Further, they are compelled to acknowledge that Chinese merchants have the right to take out these passes for imports, under the Chefoo agreement, and tliey profess to us their readiness to grant them, at the same time making their people clearly understand by fine and imprisonment that they regard the transit pass trade as smuggling. When Her Majesty's Consul points out that, on goods sent to Wuchow or Fatshan, the likin is five to ten times the transit pass duty, and that if the Chinese were allowed to take out transit passes they would certainly do so, or that the native purchasers of goods imder transit passes taken out by Englishmen are being fined and im- prisoned and treated worse than smugglers, the officials reply that the reason why Chinese do not take out transit passes they do not enquire ; and they beg that the Consul will not interfere between them and their subjects. 115. The Treaty of Tientsin provides that the transit pass " shall exempt the goods from all further inland charges whatsoever." But this is for the time being interpreted to mean merely exemption from all duties until the destination is reached. In fact. Her Majesty's Government is content for the present to allow the Chinese Government to levy on transit pass goods after they have reached their destination such excise tax as is regularly charged in a legal manner on all goods of a given description, whether they have reached the place where the tax is levied by payment of likin en route or under transit pass. This concession on the part of Her Majesty's Government does not satisfy the Canton officials, who have frequently levied a differential duty VII. CANTON AND HONG KONG. 141 against transit pass goods. When we passed through Liu- chow in Kwang-si such a differential duty was being col- lected. However, the levy of such a tax is acknowledged to be illegal, and Her Majesty's Consuls at Canton and Wu- chow may be trusted to do all that can be done to prevent its imposition, although it is unreasonable to expect that Consuls should be able, to defend for any great length of time rights upon which the Chinese Government are always pressing, and in which no British subject is sufhciently in- terested to ask for Consular intervention. The ablest advo- cate must have a client before he can exercise his art, nor can he be expected to spend his time wandering about in the hope of collecting evidence in some possible suit with his own eyes. ^i6^ The likin on all large staples of foreign import or export is in Canton farmed by syndicates consisting usually of persons trading in the staple in question Qa system very detrimental to our trade, as I shall show below, and contrary to treaty (see French treaty with China of 1858, clause 14). IWhen the Canton Officials want more likin they begin dis- cussing the matter with the leading men of the trade in ques- tion ; if the trade be foreign the most important of these will be the compradores of British firms established in Hong- Kong. The officials will intimate in the most polite manner that the provincial exchequer being empty, and more guns being necessary to protect the city against the foreign bar- barians, a sum of 100,000 taels is required which it is pro- posed to raise by an extra likin of so much on foreign cottons. The merchants will reply that, while recognising that the necessities of the State are imperative, they are cer- tain their trade, cannot stand such an impost Then will follow 'a very long negotiation conducted with great persis- tence and ingenuity on both sides, the great object of which is to discover how the money may be raised at other 142 THE BLACKBURN CHINA MISSION people's expense, in such a way that the leading men if pos- sible may not only pay nothing but profit by the tax. The result will be something like this : the compradores and other leading men will form a syndicate to farm the likin on foreign cottons, and will be authorised to levy so much per piece, which all native importers will be directed by procla- mation to pay the syndicate under heavy penalties ; and in return the syndicate will pay the likin ofhce in a lump sum in advance perhaps about one-half to two-thirds of the sum they are sure of being able to collect from the trade. They will now engage a staff of spies and private police, and, with the support of the local officials, so ruthlessy squeeze the smaller traders that they will get their own goods through free of the tax. This in itself will tend, of course, to give them a monopoly. But they will go much further. Having through their own spies and the likin organisation, the head of which is usually a partner in the syndicate, obtained con- trol of the distributing apparatus in Canton, they will pro- ceed by buying forward and other such manipulation to get control of the supply in Hong-Kong. The Kerosene Likin Syndicate has often done this, and the Cotton Yarn Likin Syndicate would have done the same in 1894 had they not been foiled by Her Majesty's Consul. In fact, the likin officials in Canton and the Chinese compradores of the Bri- tish firms in Hong-Kong combine against the British mer- chants and the Chinese consumer, and do remarkably well for themselvesj Our merchants, meantime, are absolutely in the dark about all this ; they cannot speak Chinese them- selves nor can any of their employees whom they can trust When the merchant finds his business not as profitable as it was, and proposes, perhaps, to his compradore to sell English cottons in Canton, the compradore will inform him that if he does the Piece-goods Guild will boycott his firm in Hong-Kong. This was actually done in the case of one VII. CANTON AND HONG KONG. 143 of our largest importers of Lancashire cottons. The firm will now drop back into its fetters, and draw such profits as the compradore allows. 117. It will now be apparent what a difficult task Her Majesty's Consul at Canton has in maintaining- our rights in regard to the taxation of our imports. The British mer- chant has sold the goods in Hong-Kong through his com- pradore, and has not the faintest interest in them. If he proposes any other way of dealing than the established one, his compradore tells him he will be boycotted. Experi- ments with any hope of success could only be made by new firms with money, but such never appear. Those made are conducted by men without connection or capital, and are usually on account of small Chinese traders who try to use the foreigner to evade the syndicate ; these fail because spies discover the real owners of the goods, who, being Chinese subjects, are imprisoned by the likin officials, their goods being at the same time confiscated by the syndicate. The large dealers and compradores are quite satisfied, and see in transit passes the destruction of their monopoly. The small traders to whom transit passes would be a great gain are afraid to move. In fact, the Consul has no one to fight for, and there is no one who cares or dares to claim any right he maj'' succeed in vindicating. 118. In Liu-chow, Kwang-si, we noticed a proclamation dated 31 May. 1S97, stating that the provincial government had sold the .farm of likin on kerosine and matches to a certain syndicate for 12 years, which was authorised to col- lect from all importers 30 dol. cents a case on kerozine and 2 dol. a case on matches. For this farm the syndicate was to pay the Government 10,000 dol. a year. To say nothing of the folly of settling for 12 years ahead the rent of a tax on an article like kerosine, of v/hich the consumption often doubles in one year, investigation re- 144 THE BLACKBURN CHINA MISSION. vealed that the leading spirits in this syndicate were compra dores of foreign firms importing kerosine into Hong-Kong. Their object was to shut out rivals by means of the farm, get command of the supply in Hong-Kong, and make their own prices in Kwang-si. The same sort of thing is con- stantly being done or attempted in every branch of the im- port trade. An Englishman of experience in the interior, to whom I was talking about the compradore system, told me he be- lieved that for every dollar a leading British firm in Hong- Kong made in the foreign import trade, their compradore and his friends made 2 dol. In Hong Kong I met the Hon, Ho Kai, a Chinese of that colony educated in England, a barri;.ter-at-l.avv and a doctor of medicine, and a m.ember of the Legislative Council of Hong-Kong ; I quoted to him the above remark and asked Eim his opinion. He doubted whether the compradore made double the profit of the firm on imports, but he certainly made as much. British merchants would do much better than this if they had trusted employees who could speak Chinese. Com- pradores would still be necessary, but they could then be kept in their place and confined to the commission that was their due. As things were now, the compradore tended to become the merchant, and the English head of the house his agent. An up-country merchant, wishing to do business with the firm, had to accept the compradore's terms or do nothing. If he approached the Englishman he was referred back to the compradore. None of the Englishmen in the house could understand him, and Chinese who might inter- pret would all be in the compradore's pay. VII J. CONCLUSION. 145 VIIL— CONCLUSION. To attain better results there must be a closer understanding between H.M. Government and the Mercantile Community — While the present methods of our Merchants obtain, would the correction of existing abuses add very greatly to the volume of China's Foreign Trade ? — A g^eat Improvement can only come from a revolutionary Increase in the value of Exports, and for this Foreign Capital and Enterprise in the Interior are essential — The Arguments generally adduced against Enterprise in the Chinese Out-ports — Silver — Competition of Natives — Supposed difficulty of Learning the Language — Security — Recapitulation — Some may think such a Programme too far-reaching. II g. I liave endeavoured to record above such facts as will enable manufacturers at home to judge for themselves what should be done to bring our trade with China to a more pro- gressive state. Generally speaking, those of our treaty rights, in which the mass of British subjects resident in China are personally interested, have been jealously maintained ; those that have suffered during the last 30 years are rights in which residents are not immediately interested, particularly those in regard to the protection of our trade from internal taxation. Since the later sixties, until quite recently, there has been a tendericy on the part of British Statesmen to taJce a san- guine view as to the future of the Chinese Government, to bring that Government, as far as possible, within the pale of the "jus gentium," and to be indulgent in respect to its failures to act up to the treaties. At the same time, in Parliament, the interests of our China trade have received relatively less attention than between the years 1840 to 1870; there has been, perhaps, a tendency to leave British subjects in China 146 THE BLACKBURN CHINA MISSION. to take care of themselves, as if they were settled in Canada or Australia. But it is clear that Englishmen in China can- not be confidently left to crystallise, as our fellow-subjects in the colonies can be ; the energies of our merchants in China are confined within a space, at the best, exactly measured by our treaty rights ; and, in order to get a healthy state of progress, our rights must not only be carefully guarded, but frequently modified, to suit the changing wants of trade ; negotiation with the Chinese Govermnent takes the place of legislation at home. While there seems, until recently, to have been a disposi- tion on the part of Her Majesty's Goverrmient to leave British subjects to make the best of existing rightSj and an unwillingness to bring serious pressure to bear upon the Chinese Government to fulfil its treaty obligations in regard to .trade, it cannot be denied that British merchants in China have done very little to press the grievances of our trade in the matter of internal taxation upon ffie notice of Hei; Majesty's Government, and for the excellent reason that they were not immediately interested. The bare right to import and export from the treaty ports was made, by the establishment of the Foreign Customs service, easy and secure; there was no right before i8g6 to manufacture, or, rather, the right was withheld, nor to engage in mining or planting, and the British merchant has been more and more reduced to the role of a commission agent at Shanghai and Hong Kong, the Chinese, who are excellent peddlers and brokers, getting the whole internal trade into their hands. Thus the British merchant ceased to have any interest in the maintenance of our treaty rights in regard to the internal taxation on our trade, his pocket did not suffer immediately, and no strong representations were made at home. Under the present order of things, manufacturers at home can scarcely regard merchants residait in China as ade- VIII. CONCLUSION. 14^ quately representing their interests for all purposes ; and, although they can only act effectively in China through Englishmen resident there, it ^vould seem that they should watch the course of events in that country verj' carefully for themselves, and that they should have a decided voice in determining our commercial policy. To improve the state of our trade with China, it then seems that there must be a reconsideration cf the position by Her Majesty's Government, by the merchants in China, and by manufacturers at home, and that there must be a clear understanding as to the aims to be pursued. The Government can do little while the merchants refuse to live anywhere but in Shanghai or Hong Kong, to employ their capital in the country, and to make their young recruits learn to speak the Chinese language; and the merchants can do nothing unless they feel confidence that Her Majesty's Government will insist on the observance of the treaties and provide for their modification to suit changing condi- tions of trade. Unless there is a clear understanding be- tween the Government and the merchants, the GoverniTient tal. 97-100. Between Hong Kong and Canton, jj.p. 100-102. Between Wochow Fu and the West River ports of l.ui-chow Fu, Kui-chow, and San-duore, p.p. 102-105. Between Hong Kong and Huang-tsao-pa, p.p. 105-106. Between Hong Kong and Yunnan Fu. p.p. 106-107. vi CONTENTS. Paoes. Ill— Taxation 107-145 On the Settlement of Shanghai, p.p. 107-111. At Ports and Cities supplied from Shanghai, p.p. 111-115. At Yangtsze Treaty Ports, p.p. 115-117. From Chung-king to Cheng-tu by way of Sui-ning, p.p. 117-120. From Chung-king to Cheng-tu by way of Sui-fu and Chia-ting, p.p 121- 122. Between Chia-ting and Chien-chang, p.p. 122-12-3. Between Chung-king and Yunnan Fu, p.p. 123-127. On goods to Yunnan Fu via Mengtze and Bhamo, p.p. 127-130. From Hong Kong to Huang-tsao-pa, p.p. 130-131. On goods to and at Aushun Fu, p.p. 131-133. On goods to Kui-yang Fu, p.p. 134-135. Taxation at Canton, iJ.p. 136-141. Taxation at West River Ports, p.p. 141-145. IV — Distribution of Goods under Transit Passks 145-177 V. — CuRREKCY IN China 177-185 V[. — Competition 185 221 VII.— Cotton Mills in China 221-240 VIII. — Importation of Piece Goods into Szechuan, Trade Discounts and System of Payment, Native Banks and Facilities for Trading 240-252 IX. — Native-made Cotton Cloths in Szechuan, Yunnan, and Kui-chow 253-275 X. — Silk Trade ov Szechuan 275-288 XI. — Dyeing and Finishing of Cotton Piece Goons 288-296 XII —Textile Design 296 303 XIII. — Export Trade of Szechuan: Its Position and Prospects 303-307 XIV. — Guilds and their Relationship to Trade 307-319 XV. — Consuls and Commerce 319-323 XVI. — COMPRADOBES AND THE CoMPEADORE SVSTEM 333-330 CONTENTS. vii SECTION ITI. PAQEa. Summary - 331-358 Appendix and Glossary - - 359-369 Tables op Prices of Piece Goods at Various Places 370-373 Index - - - - 375-386 The Blackburn China Mission. * -> '»'■ <. * Section i. — Cities and Towns Visited by the Mission. SHANGHAI. Since its opening as a free port by the Treaty of 1842, Shanghai has become the most important commercial emporium of the Far East, not only as possessing the largest volume of Import and Export trade, but from the number and opulence of its foreign population. By its favourable geographical situation, the city commands the trade of the Yangtsze valley, and, as a distributing centre, sends its merchandise by means of that magnificent water- way to the borders of Thibet. Not only this, but it gains additional importance as being the market and tran- shipping point for the great trade centres of the North, includmg Tientsien, Cheefoo, and New-chwang. The river Whong-po, on the left bank of wPiich the city is built, affords at once an easy waterway to the sea, and, on account of the moderate tides, a safe anchorage for every description of craft and ocean-going vessel, though the Woo-sung bar, caused by the silting up of the mouth 2 THE BLACKBURN CHINA MISSION. of the river by the detritus brought down by the Yangtsze, is an ever-present menace to the accessibiHty of tne port Much has been done by dredging the channel in recent years, and it is reassuring to note that the Shanghai Chamber of Commerce is fully alive to the seriousness of the position, and only this year has engaged a competent engineer to survey and report upon the present state of the obstruction. The Soo-rhow Creek, entering the river below Shanghai, is an artery by which a wide tract of fertile and thickly-populated country is tapped, and, since the Treaty of Shimonoseki, by which Soo-chow was opened to foreign trade, a constant service of steam-launches has been main- tained between that port and Shanghai. On both sides of the river below the city are large docks and long lines of wharves, and although the steam and liydraulic appliances seen at other great ports are wanting, yet it is said, owing to the cheapness and efficiency of native labour, cargoes csm be loaded from, or discharged into the merchants' warehouses as cheaply and as rapidly as at any port in the world. The foreign community, numbering some seven thou- sands, reside on the Settlement ; that is a plot of land set apart by the Chinese Government on which foreigners may build and own property and carry on business, and the affairs of which are administered by the foreigners residing on it. The health and comfort of 'this community are safeguarded by a medical officer of health, sanitary and other inspectors, a plentiful supply of good water, and an efficient system of drainage, while the preservation of order and the observance of regulations for good conduct are in the hands of a mixed police force, made up of Europeans, Sikhs, and Chinese. This force, as well as the fire brigade, is directly controlled by an annually-elected PROGRESS OF THE CITY. 3 Municipal Council, whose members, comprisingf some of the best business men in Shanghai, are responsiHe for the good government of the Settlement, meeting at regular intervals for the transaction of business. Attracted by the good government and the security from official persecution and extortion, it is estimated that there are some 200,000 Chinese now living on and within the boundaries of the English, French, and American Settlements — a number far in excess of the population of the native city, which is divided only from the foreign Settlement by a narrow moat at the foot of the city wall. A walk through the streets of the native city affords a striking object-lesson as to the ultra-conservatism of the Chinese, and their aversion to any reforms, particularly such as are sanitary in character. In no city that we visited did we see so much squalor, filth, and dirt, emphasised all the more by contrast with the model European Settlements, with their broad, clean roads and streets, their public gardens and tree-planted bunds, their palatial banks, hongs, and resi- dences, the most conspicuous • building being the Customs House of the Imperial Maritime Customs — a gigantic organization, whose European staff, with Chinese subordinates, is responsible for the collection of Import and Export duties and the remission of the same to Pekin. Since the Treaty of Shimonoseki, by which foreigners are allowed to import machinery into China, a great impetus has been given to local industries, and in addition to the erection of four large cotton spinning mills, several other industries have been started, such as silk filatures, and cigarette manufactories. Though there has been a great rise in the value of land, greater accommodation is being offered to shipping by the making of several new docks, where all kinds of repairs may be carried out. The importance of Shanghai as a commercial centre 4 THE .BLACKBURN CHINA MISSION. may be measured by the gross value of its trade, which is given in the Customs' Returns for the years 1894-6 as Hong Kong Taels. 1894. 195,622,371 1895. 218,733,283 1896. 226,912,516 Of the Shipping which entered the port in 1896, 1,719 Imports. — Imports of Piece Goods from Foreign Countries Description of Goods. Cotton Goods. Shirtings, Grey, Plain Do. Japanese Do. Indian ... Shirtings, White, Plain Do. Indian ... White Irishes Long Cloth... Shirtings, White, Figured, Brocaded, White Cotton Balzarines Do. Lenos Do. Metz Coras ■Shirtings, Dyed, Plain T Cloths Dyed Pieces ^THS^ IMPORTS OF PISC£ GOODS. s vessels carried the British flag, 1,093 were Chinese, 236 German, 113 Japanese, 58 French, 12 Russian, and-293-oX other nationalities, or a total of 3,524 vessels aggregating a grand total of 3,988,604 tons. Of the Textile Imports the following comparative table, compiled from the Customs Returns for the years 1892-6 inclusive, gives total Imports from foreign countries and Hong Kong — and Hong-kong for the Years 1892 -6 inclusive — 1892. 1893. 1894. 1895. 1896. 'V 5.790,336 3,994.636 4,886,887. 5.396,535 . 5.503,848 — — 10,670 .850 13,962 — ., — , ...— . ,— i2i,o65 1,425,259 1.223,353 1,952,664. 1,240,063 1,980,442 — — — 1.325 r 113.504 94,173 76,388 102,151 102,129 29 — 166 3.419 2.530 13.506 5,609 45.005 4.913 9.632 5,010 — 61 3 11,981 71.437 67,204 50,459 4,121 25.234. — 1.9S3 ... 7.258 200 — 126,802 25,608 .26,451 14,261 51,201 2,185 — — 700 1,183 TtiE BLACKBORN china MISSION. Imports- Descriptlon of Goods. Cotton Goods. Shirtings, Dyed, Figured, Brocaded, and Spotted Dyed Cotton Balzarines ... Do. Lenos Do. Metz Cords T Cloths 32'' Do. 36" Do. 32'' Indian Do. 36" „ Do. 32' Japanese Do. 36" „ Drills, English Do. Indian Do. Dutch Do. American Do. Japanese Jeans, English Do. Dutch Do. American Sheetings, English Pieces THE IMPORTS OF PIECE GOODS. Continued. 1892. 1893. 1894. 1895- 1896. 43,188 118,828 91,293 85,019 191,296 1.433 — 399 — 1. 731 4.032 4.255 — 1. 77 1 5.239 61,574 51.863 22,562 60,526 41,428 971,421 795.641 661,570 969,450 947,970 229,046 182,325 104,679 193,270 163,838 313.758 201,208 245.115 353.640 278,541 23.495 24, 1 10 1,940 23.312 10,603 — — 1,500 10,294 11,232 — — 103 431 151. 154 426,768 256,262 268,811 201,618 420 10,261 2,670 16,855 39,849 34,680 63,120 101,185 84.657 83,850 621,882 422,190 720,084 586,983 1.214,577 — — 11,606 11,205 8,941 121,628 91,194 176,942 1 16,760 127,696 16,220 26,660 40,800 39,030 53>o6o 18,000 24,000 26,001 22,000 52,500 648,825 728,258 470,123 640,765 1,123,802 THE BLACKBURN CHINA MISSION. Imports- Description of Goods. Cotton Goods. Sheetings, Indian Do. Dutch Do. American Do. Japanese Chintzes and Furnitures ... Cotton Prints, Plain Printed T Cloths Do. Lenos, Cotton Do. Twills ,, Turkey Red Shirtings Do. ,, Japanese ... Do. !T Cloths Do. Cambrics Cotton Lastings, Plain ... Do. ,, Figured Do. Italians, Plain Do. ,, Figured Drills, Dyed Cotton Checks, Dyed Pieces TH& IMPORTS OF PIECE GOODS. Continued. 1892. 1893. 1894. 1895. 1896. 45.905 93,690 93,982 80,100 157,111 16,770 23,520 8,240 5,036 1,040 1,302,695 993,335 1,287,397 888,773 2,248,032 — — 10,871 2,591 21,625 51,770 46,592 20,808 106,362 274,864 365,207 355,511 2.90,633 389,559 687,372 192,335 130,281 88,657 106,721 198,227 2,752 — 2 573 806 190,074 114,511 18,588 74,445 177,848 216,758 70,132 98,627 76,292 115,047 — — 1,399 7,65s 1,125 1,100 300 16 — 122,508 84,083 85,692 178,818 209,859 293,593 166,965 .2,12,947 133,111 307,782; 73,707 113,370 , 64,708. 91.519 173,169 73,776 92,425 146,845 130,306 279,699 55.538 108,481 78,275 61,769 107,084 17,556 8,023 22,194 18,501 30,369 24,798 26,798 12,409 .17,277 38,731 10 THE BLACKBURN CHINA MISSION. Imports- Description of Goods. Cotton Goods. Cotton Figures Do. ,, Dyed Do. Crimps Do. ,, Japanese ... Velvets Cambrics, Plain and Printed Velveteens ... Lawns, Plain and Printed Muslins, ,, Handkerchiefs, Cotton ... Do. ,, Japanese Do. Cambric... Do. Imitation Silk, Japanese Towels Do. Japanese Taflfachillas Blankets, Cotton ... Do. ,, Japanese Mahomedans Pieces Dozs. Pieces Tti& iMPOktS of PIECS GOODS. It Continued. 189?. 1893. 1894. 1895- 1896. 8.303 7,968 9.258 3.735 10,541 63,261 64,937 6,973 12,281 37,243 — 24,904 26,242 36,910 50,420 -- — — ' 5,170 39,016 32,397 38,742 24,965 26,528 46.365 2,165 2,921 2,168 857 2,628 8,619 9.295 7,916 II. 515 22,104 40,884 169,079 66,094 71.422 180,384 127.337 112,031 52,182 54,350 167,152 500,523 467,361 209,603 366,235 963,612 — — — 21,842 34.579 29,222 20,751 1,186 19,989 27,416 29,356 26,534 357 105 18,167 488,803 801,407 324,784 167,288 941,625 — — 56.749 64,727 92,799 17.549 12,204 3.566 6,948 7,221 — — 4.063 6,768 35,803 — — " — — 4,28s 8,527 3.296 - 1,769 2,639 11,131 -- - - -- 12 THE BLACKBURN CHINA MISSION. Imports- Description of Goods. Cotton Goods Ginghams ... Cotton Long Ells ... Do. Lustres, Dyed Do. Spanish Stripes Do. Flannel Do. ,, Japanese Dyed Shirtings, Short Cuts (5 yards and under) Cotton Ticks Oxford Shirtings ... Harvard ,, Cotton Cretonne ... Japanese Cotton Cloth Do. Crape Mosquito Netting... Cottons, Unclassed Cotton Yarn, English Do. Japanese Do. Indian Cotton Thread Pieces Piculs THE IMPORTS OF PIECE GOODS. 13 Continued. 1892. 1893. 1894. 1895. 1896. 509 13.803 2,IOO 600 108 1,168 — 200 279 9.645 5.575 3,179 10,065 14705 26,668 27.019 18,552 18,183 57,302 126,543 214,848 61,504 88,190 200,575 — — 52,416 63.373 35,650 8,000 1 10,222 102,480 64,430 66,253 907 2.531 2,949 2,446 21,461 12,699 13.197 517 8,557 12,339 1,380 2,969 2.314 3.167 12,429 9.295 11,196 3.048 5,761 21,874 50.979 68,089 101,722 78,388 17.517 48,767 74,284 60,985 63.076 32,257 15.495 14.733 46,819 14,600 28,539 8,665 42,477 27.375 48,024 37,451 14.158 18,059 37,764 26,234 26,332 — 2,516 31,012 21,831 96,075 393.400 485.245 553,806 559,921 857,891 1,167 659 896 919 1,667 14 THE BLACKBURN CHINA MISSION. We append the following table to show that Shanghai is the great Northern distributing centre of the piece goods trade. It has been compilec| from the 1896 returns of the Imperial Mai'itime Customs report. Grey shirtings are taken as a standard, as they constitute the largest item of piece goods imported into Shanghai. The figures represent the re-Exports from. Shanghai, and the nett Imports into the several ports enumerated. Ports. Quantities — Nett. f Tientsien ... 1,296,150 pieces Northern Ports ...- Cheefoo 283,498 „ ■> New-chwang 78,855 „ Hankow 949.736 ,, Chin-kiang 723,632 ,, Shanghai ... 539.413 „ Chung-king 373.892 ,, Yangtsze Ports ... J Ning-po 485.783 „ Kiu-kiang .. 184,616 „ Wu-hu 136,714 >. I-chang 23.235 .. ■ Wen-chow 38,690 ,, Total 5,114,214 pieces THE CITY OF CHIN-KIANG. 15 CHIN-KIANG. Chin-kiang, situated on the right bank of the River Yangtsze, at some 150 railes from its mouth, is the first Treaty Port as we ascend that river after leaving Shanghai. It is a walled city, though it has far outgrown its set bounds there being quite as large a resident population outside as inside its walls. The city lies in a wide plain, which is sheltered on thipe sides by long low ranges of hills, but on its fourth side is open to the river. Its population is estimated at 140,000, but these figures are not reliable, as little is really known regarding the actual population of the place. The British Concession lies on the west side of tlie city, and is of small extent, one of the complaints of its resi- dents being that it affords them no room for expansion. The geographical position of the city fits it eminently for an importing, exporting, and distributing centre, as it commands the two portions of the Grand Canal, which is here bi-sected by the Yangtsze. The Southern portion of the Canal runs off to the inland port of Soo-chow and the sea-port of Hang -chow, while the Northern portion, which joins the Yangtsze almost opposite to the city, trends to the far away port of Tientsien. The river here is about one atid a half to two miles wide from bank to bank, and affords anchorage for vessels of heavy tonnage and deep draught. The port is easy of access, particularly during the summer months, say from May to October, and during the remainder of the year no serious difficulties are encountered, except such as arise from the shifting of the river channel.;, Hulks, which are moored to the shore, serve the purpose of quays, and into and from these steamers discharge and take in cargo. They are also used as examination sheds for Customs purposes, and are connected to the shore by gang- 16 THE BLACKBURN CHINA MISSION. wayf. laid on piles. The Foreign Imports consist principally of cotton piece goods, viz., grey and white shirtings ; drills, English and American ; sheetings and T-cloths ; chintzes, furnitures, and plain cotton prints ; cotton la-Ftings, handkerchiefs, and dyed shirtings ; cotton yarns, -kerosene oil, matches, sugar, and iron. Of native Imports, beans, oil-wood, and timber are the principal. The leading Exports are beans, ground nuts, lily flowers, rice, sesamum seed, goat skins, ground nut oil, and wheat. The total tonnage of vessels entered and cleared in 1 8g6 reached 3,625,807 tons as against 3,448,000 tons in 1895, and 3,328,000 tons for the year 1894. The importance of the port may be measured by the value of the nett total of Foreign Imports which amounted in 1893 to 9,763,696 HK. Taels. 1894 „ 10,629,167 „ 1895 „ 12,622,423 „ 1896 „ 12,637,832 „ The principal items of Piece Goods and Yarn Imports, as shown by the Customs Returns for 1895 and 1896 are detailed in the table following this description of the trade and resources of the port. The business carried on here by Europeans is of small account, for they are merely acting as commission, and insurance agents, &c. We were assured that several Shanghai piece goods houses have tried the experiment of opening branch houses at tliis port, but that they were not successful because the Chinese dealers, preferred going to Shanghai, where they could have a greater assortment of goods to choose from than could possibly be shown here, and because many of them largely patronise the auction sales which frequently take place there. One pioneer HAMPERING CUSTOMS REGULATIONS. 17 effort, though, is being made by a firm whose object is to establish a direct import business between this place and Manchester, and it is reported that they are doing well. But the firm complains of the hampering regulations of the Imperial Maritime Customs, which compel the examination of the goods they import to take place at Shanghai as the port of transhipment. As business men they object to this, for they say, " This is a very ready means of disclosing our business to those who certainly do not wish us well, especially when coupled with the fact that our goods are landed and re-examined here in hulks belonging to com- peting Shanghai firms Then there is loss of time in deliveiy consequent on such examination and re-examina- tion." The reason given for these superorogatory arrangements is that the transhipment of all Foreign Imports for the Yangtsze ports takes place in Shanghai, but there is no reason why stich goods should not pass with one examination only, and that at the port of destination, since the Imperial Maritime Customs officers are established at all open river ports. Of ventures for collective and organised labour there are only two — a silk filature and an albumen manufactory. Tlie first of these is in Chinese hands, but is not ready for work. The second is a German firm employing a large number of hands, the products being sent principally to Germany. There are as yet no cotton mills. The native productions of the place are as varied as they possibly well can be. The shops are open to the streets, and the handicraftsmen work at their respective trades in full view of all passers-by, the manufactured goods being retailed in the place in which they are made or in some adjoining part of the estabhshment. Here we see worloers in silver, iron, brass, copper, and wood ; weavers engaged in weaving braids, tapes, scarves, general smallware trimmings. i8 THE BLACKBURN CHINA MISSION. brocades, damasks, and fine gauzes ; embroiderers, working generally in silk ; cotton bowing, and spinning by the single spindle hand-wheel. In fact, such is the variety of crafts, that one is led to conclude that these people can produce all that is needed for their requirements even to articles of luxury. This is particularly noticeable in the Textile Trade, for what the shops offer for sale of foreign imported goods is mostly confined to prints, cotton brocades, and grey piece goods, while native hand-loom productions in many cases compose the bulk of the stocks. Some silk is grown in the districts around, and a moderate silk-weaving industry is carried on within the city. Principal Items of Piece Goods Imports for Year 1896. Next Imports. Description of Goods. Quantity. Cotton Goods. Shirtings, Grey, Plain Pieces 723.632 Do. White ,, J » 88,885 Do. Dyed ,, M 7.378 Do. Dyed, Figured, Brocaded, and Spotted 15.779 T Cloths 95.904 Drills, English 35.895 Do. Indian 3.780 Do. Dutch 5.175 Do. American ... 41.570 PIECE GOODS IMPORTS. Imports — Continued. 19 Description of Goods. Quantity. Cotton Goods. Jeans, English ... ... ... Pieces 6,422 Sheetings, English ... ... ... ,, 47,709 Do. Indian ,, 1,580 Do. American ... ,, 4.995 Chintzes and Furnitures ,, 16,897 Cotton Prints, Plain .. ... ... ,, 69,996 Printed T Cloths 14,697 Do. Cotton Lenos ... ... ,, 6,619 Twills, Printed ,, 3.II2 Turkey Red Shirtings ,, 1,496 Do. Cambrics ... ... ,, 25.075 Cotton Lastings, Plain ... ... ,, 20,150 Do. ,, Figured ... ... ,, 20,998 Do. Italians, Plain ,, 12,216 Do. ,, Figured ,, 2,300 Do. Checks, Dyed ,, 12,494 Velvets and Velveteens ,, 3.569 Muslins, Plain and Printed ,, 10,082 Handkerchiefs Dozs. 56,863 20 THE BLACKBURN CHINA MISSION. I MPORTs — Continued. Description of Goods. Quantity. Cotton Goods. Towels ... Dozs. 51.231 Do. Japanese >» 53 Cotton, Spanish Stripes Pieces 5.402 Do. Flannel ... »> 7.490 Do. ,, American J J 1,270 Do. ,, Japanese M 1,420 Dyed Shirtings, Short Cuts (5 yards and under) »» 64.839 Cotton Goods, Unclassed » » 14.529 Cotton Yarn, English Piculs 621 Do. Indian M 97,61 1 Do. Japanese M 306 HANKOW. Hankow is situated on the left bank of the Yangtsze, some 600 miles from Shanghai, and is at once the largest and most important Treaty Port between that place and die city of Chung-king — a position due not only to the volume of its trade, and the number of its inhabitants, but also to the fact of its being the political metropolis of the Provinces of Hu-peh and Hu-nan. Although divided from the adjoin- ing town of Han-yang by the Han River, and from THE CITY OF HANKOW. 21 Wu-chang, which is the capital of the Province and the seat of the Viceroy, by the broad waters of the Yangtsze, the three towns are in such close proximity to each other that they may be considered as one, in a commercial sense. Communication is maintained between this port and Shanghai and I-chang by three lines of steamship com- panies, whose fleet of steamers is specially built for river work. These steamers discharge their cargo into, and, ship cargo from hulks moored cl<3se to the shore, while the numerous ocean-going vessels visiting the port during the tea season, anchor in mid-si ream. The river, during the summer, when the water is highest, is about i^ miles wide, and of sufficient depth to allow vessels of 3,600 tons, and drawing 30 feet of water, to ascend and ride in safety. The foreign settlement is remarkable for the width and cleanli- ness of its streets, the extensive promenade, or bund, facing the river, and its spacious hongs and residences. The foreign population numbers some 250, including members of various missionary bodies having their headquarters at this port. The native town presents no distinctive features, but like all Chinese towns and cities is a conglomeration of dingy houses and narrow filthy streets. Its population is very dense, having been estimated at 800,000, but no reliance can be placed on these figures as no census is ever taken. The town is the distributing centre for the Provinces of Hu-peh and Hu-nan, while tJie Hnn River is the natural highway for the trade of a wide, thickly-populated, and fertile stretch of country. The principal Export is tea, and in the early summer, when the season is at its full height, the Settlement presents quite an animated appearance. The Russians have established large factories for the manufacture of brick-tea by machinery, which is exported by steamer to Tientsien, 22 THE BLACKBURN CHINA MISSION. from which port it is transported by camel caravans to Mongolia, Siberia, and Ttirkestan. Other Exports are bean-cake, beans, eggs, fans, hides, oil, mats, melon, and sesamiim seeds, skins, paper umbrellas, brass pipes, samshn, raw and manufactured silk, and raw cotton. Cotton piece goods stand at the head of the list of Im.ports, followed by opium. Opposite Hankow, at Wu-chang, is the large cotton spinning, weaving, and dyeing establishment of the Viceroy, Chang-chih-tung, and here, under the supervision of a Lancashire man, are produced coarse yams, sheetings, drills, and shirtings, which find a readj' sale in the adjoining provinces. There are no foreign, fii-ms here dealing in piece goods, the trade being as at Chin-kiang, entirely in the hands of Chinese. There are eleven merchants, who deal solely in piece goods, and they affirm that they prefer to go down to Shanghai to make their purchases, as by doii"ig so they see a large and better selection of goods than tliey could in former days, when they bought from European piece goods firms who were then in Hankow. These meicliants buy large consignments of goods, and sell tliem to small dealers and shopkeepers, as well as to merchants from Hu-nan and Ho-nan, many of whom come down to Hankow to buy foreign piece goods and yarn. The weaving of both sill: and cotton is a widely established industry, and in the native city one sees on every hand that the productions of local looms are of an extremely varied character. For the particulars of Imported Foreign Piece Goods see the annexed table of Nett Imports, compiled from the Customs returns for 1896, in which year the total number of vessels entered and cleared was 2,399, of a gross tonnage of 1,586,38;. The Nett Total Foreign Imports for the years 1894-6 were valued at PRINCIPAL PIECE GOODS IMPORTS. n 1894. 10,985,275 HK. Taels. 1895. 13,154,362 „ 1896. 1 4. 193.537 » Principal Items of Piece Goods Imports for Year 1896. Nett Imports. Description of Goods, Quantities. Shirtings, Grey, Plain Pieces 949.736 Do. White ,, • V. " " • J J 458,472 Do. Dyed ,, t Tt • • . J) 692 Do. Dyed, Figured, and Spotted Brocaded, 32,813 T Cloths 32" .) 120,197 Do. 36" 1,703 Drills, English > 24,085 Do. American " 155,582 Jeans, English 16,550 Do. American .. 1,130 Sheetings, English ... » 92,038 ,, American ... » 100 Chintzes and Furnitures 140,920 Turkey Red Cottons ... >> 36,973 Cotton Lastings, Plain and Figured ,, 80,153 Do. Italians, „ )> 50,138 24 THE BLACKBURN CHINA MISSION. Imports — Continued. Description of Goods. Quantities. Cotton Crimps ... Pieces 14,611 Velvets and Velveteens ,, 12,980 Lawns and Muslins ,, 13-41 1 Handkerchiefs... ... Dozs. 85.403 Towels • - •• I, 48,262 Cotton Flannel . . . Pieces 14,261 Do. Crape, Japanese ... ,, 3,260 Mosquito Netting — , , I.-956 Cotton Yarn, English ... Piculs 13.352 Do. Indian ... ,, 51.972 Do. Japanese ... , , 2,473 I-CHANG. I-chang, in the Province of Hu-peh, is situated on the left bank of the Yangtsze, 976 miles from Shanghai, and 372 miles beyond Hanl^ow, having been made an open port by the Chef 00 Convention of 1876. Situated in a poor and moimtaineus district, it possesses very little trade, its shops contain but small stocks of imported goods, while its popu- lation, estimated at 30,000, is in the main made up of coolies and trackers. There are no Europeans here dealing in piece goods or any other commodities, and there seems to THE CITY OF I-CHANG. 25 be a great want of those native handicrafts which go to make such places as Hankow and Chung-king what tliey are: At the same time I-chang, from a commercial point of view is of considerable importance, as being the depot for transhipping merchandise to and from the rich Province of Szechuan, which lies due west from this place, and beyond that part of the Yangtsze known as the " Gorges." It is the highest point on the river to which steamers ascend, Lind all goods carried by them are here discharged into the " go-downs " of the steamship companies. No charge is made by the shipping firms for the warehousing of goods, or for the temporary use of the "go-downs," but only such goods as are carried by the respective companies are admitted. Here the merchandise for Szechuan, if bulky and heavy, is split up into more portable and convetnent parcels, as the junks by which these are forwarded have neither convenience nor appliances for handling such bales of piece goods and yarn as are imported from abroad, while the carrying powers of the coolie must be considered in that branch of the trade by which the goods are dispersed by overland routes to far distant parts of the country. This work of splitting up the bales and protecting their exposed ends with matting and rattan, is done at a fixed rate per package by men who make a speciality of this kind of work, and thoxtgh quicldy done, it entails considerable delay and expense. The total number of vessels entering and clearing the port for the year 1896 were 4,341, of a gross tonnage of 229,694 tons. Of these 178 were steamers, carrying 120,536 tons of cargo. The nett values of foreign imports for the years 1 894-6 were : 1894. 572,603 HK. Taels. 1895. 625,175 „ 1896. 899,558 „ 26 THE BLACKBURN CHINA MISSION. The use of I-chang as a port can only be measured in gross values, since it is the port of transhipment for the Upper Yangtsze, retaining very little of its foreign imports. It is a forwarding, not a consuming centre. The gross values of Foreign Imports dealt with for the years 1894-6 were : — 1894. 4,898.481 HK. Taels. 1895. 5.;2i>633 » 1896. 7,675,201 „ For the same reason the following table is arranged to show gross total and nett total Imports of — Foreign Piece Goods Imports and Re-exports for THE Year 1896. Description of Goods. Imports. Re-exports. Nett Imports. Cotton Goods. Shirtings, Grey, Plain... Pes. 400,799 377.564 23.235 Do. White ,, ... ,, 55.135 51.677 3.458 Do. Dyed ,, ... ,, 4,401 2,941 1,460 Do. ,, Figured, &c „ 3.833 3,102 731 T Cloths ,, 3.525 3.530 — Drills, English ,, 1,770 1.455 315 Do. American ,, 5.481 5.500 — Jeans, English ,, 366 366 — Sheetinp's 22,093 18,128 3.965 ,, American ,, 825 225 600 IMPORTS AND RE-EXPORTS. Imports and Re-exports — Continued. 27 Description of Goods. Imports. Re-exports. Nett Imports. Cotton Goods. Chintzes, Furnitures, &c Pes. 45.490 44.173 1. 317 Twills, Printed ,, 10,621 7,161 3.460 Turkey Red Cottons ... ,, 15.312 14,824 488 Cotton Lastings, Plain and Figured ,, 33.049 20,427 12,622 Do. Italians ,, ,, 60,144 59.929 215 Velvets and Velveteens ,, 3.IIO 3.015 95 Jaconets, Cambrics, Lawns, Muslins, &c. ,, 928 200 728 Handkerchiefs Dozs. 15.998 14,720 1,278 Towels ,, 19.313 17.695 1,618 Cotton Flannel Pes. 780 420 360 Japanese Cotton Cloth ,, 5.948 5.529 419 Cotton Goods, Unclassed ,, 1.473 1,208 265 Do. Yarn, English, Pieuls 390 93 297 Do. ,, Indian ,, 177,704 158,442 19,262 Do. ,, Japanese... ,, 2.134 1,861 273 The 'following table will clearly show the importance of I-chang to the trade of the Upper Yangtsze and Szechuan: — 28 THE BLACKBURN CHINA MISSION. Comparative Table showing the Percentage that some IN Szechuan bear to the Nett Importations DESCRIPTION OF GOODS. Shirtings, Grey Pes, Do. White T Cloths Chintzes, Furnitures, &c. Camlets Lastings Long Ells Cotton Yarn Piculs 1893. Imported into Shanghai (less re-exports to Foreign countries). 3,903,216 1,296,368 1,132,698 528,501 66,679 74.154 85,620 498,012 Sent into Szechuan from Hankow and I'Chang. 423,286 63.532 8,050 31.565 3.950 14.991 7.875 85,618 Per- centage sent into Szechuan. 1 0-84 490 071 5 97 5-92 2021 919 17 19 KUI-CHOW FU. Kui-chow Fu is the first Szechuan city of note after passing the borders of the Hu-peh Province. Though a prefectural city, it has no trade of its own in the ordinary sense, and presents to the visitor but a pitiable picture of the direst poverty and dirt. Under the guidance of tv/o Yamen runners we visited .sJiop after shop, only to find very small stocks of imported grey or bleached shirtings, cotton prints, and a few Japanese crimp stripes; but of' native hand-made fabrics there were moderate stocks of grey and dyed Nankins. We also saw a considerable amount of silk TABLES OF GOODS AND YARN. 29 OF THE Principal Piece Goods and Cotton Yarn consumed INTO Shanghai for the Years 1893-5. 1894. i%S- Imported into Shanghai (less re-exports to Foreign countries). Sent into Szechiiau from Hankow and I-chang. Per- centage sent into Szeohuan. Imported into Shanghai (less re-exports to Foreign Countries). Sent into Szechuan from Hankow and I-chang. Per- centage sent into Szechuan. 4.443.1 1 1 379.617 8-54 4.993.324 500,345 1002 1,986,205 44.966 226 1,306,754 63,547 486 914.465 5.740 063 i.4i3'57o 3015 21 399.646 26,790 670 583 727 45.049 772 45.494 1,310 2-88 58,189 2,601 4 "47 25.129 7.556 3007 50,826 8,670 1 7 '05 75.393 6,29s 8-35 79,450 10,810 1361 616,616 143,064 23'20 572,341 140,007 2446 in process of manufacture into sewings, hair braids, tassels, and general smallwares, the raw material coming from Northern Szechuan by way of Chung-king. Just outside the city is a busy " briquette " manufactory, while brine boiling, too, was in active operation, coal being used for fuel. Large quantities of native cotton from Shanghai and Hanlvow as well as native piece goods from Shashih, Hankow, and Shanghai districts pass by this pk.ce, and pay Jikin to the authorities here. All boats, whether passing up or down the river, and under whatever conditions of sailing, are compelled to pull up so as to have their papers 30 THE BLACKBURN CHINA MISSION. and cargo examined. In fact, the place owes its importance to its being the chief likin station between I-chang and Chung-ldng. Among the products of the place are wood, oil, salt, coal, and vermicilli, the latter being exported in considerable quantities, to various parts of the Empire. What the actual trade of the place is we cannot say, since there are no returns of any sort obtainable. WAN-HSTEN. After leaving Kui-chow Fu, the next place of any size or importance reached is the district city of Wan-hsien, situated on the left bank of the Yangtsze, at about an equal distance from I-chang and Chung-king. Though extending over a considerable area, the city wears an aspect of extren'e poverty, the streets being narrow, squalid, and badly paved, the shops small and ding)% and many of the inhabitants seeming to lack almost the necessaries of life. On visiting the principal streets, and examinmg the goods on sale at the various shops, we found the stoclcs of Manchester goods to be very small, and quite r-^tail in character, consisting of a few grey and bleached shirtings, cretonnes, common prints, and figured lastings, all cf which had been bought in Chung-kmg. Japanese productions were represented by a few pieces of narrow crimp stripes, and plain blue and white stripes, which we were told were selling freely. Tlie local consumption of imported piece goods is not large enough to warrant the dealers going to Shanghai to buy, especially as they are able to satisfy their requirements in Chung-king. In striking contrast to the small stocks of foreign goods, are the quantities of native hand-made textiles that are to be seen on every hand, and it is no exaggeration to say that fully nine- tenths of all the goods we saw consisted of native hand-loom fabrics. In addition to the productions of NATIVE ORGANISATION OF LABOUR. 31 the local looms there is a large importation of narrow plain cloths from Shashih, where the weaving industry is a very extensive one. There is some attempt here at the organisation of labour, and we visited a weaving establish- ment, where 80 men were employed, there being some 50 looms in the place, engaged for the most part on plain cloths, with here and there a figured stripe or check. A large number of women and children are employed in weaving tapes and bands, which are used for anklets, etc., but these are not woven in a loom, but in a frame built for the purpose. The cotton used in this industry is shipped direct from Hankow in native jimks, paying likin all the way. There is no agent or representative here of any Shanghai house. CHUNG-KING FU. Whether measured by the volume of its trade in imports or exports, or its position as a distributing centre, or the number and wealth of its merchants and traders, one is led to conclude that Chung-king is the commercial centre and trade mart of the whole of Western China. Situated on the left bank of tPie Yangtsze, some 1,4.50 miles from Shanghai, it stands upon a rocky plateau at the juncture of the Kia-ling, with the above-mentioned river which is here about 350 yards wide at low water ; a long, low, sandy beach stretching from the water's edge to the foot of tlic plateau. Both rivers are navigable by the largest junks, even at the season of low water, the Yangtsze for some 300 miles to the city of Sui Fu, the Kia-ling to beyond the city of Ho-chow, some sixty to seventy miles distant. At low water there is no anchorage for large craft, except under the protection of the sandy spit formed by the juncture of the two rivers, and this compels the carrying of all cargo a 32 THE BLACKBURN CHINA MISSION. considerable distance. From the same cause the Imperial Maritime Customs' hulk is moored in the deep water on the farther side of the river from the city, causing great inconvenience to traders, since goods have to be taken across the river for the purposes of examination. All such accommodation as hulks and quays on the city side is impracticable, because of the abnormal rise and fall of the water, which here has an annual average rise of some seventy feet, and in times of great flood it has been known to rise ninety feet. During these periods of expansion the waters sweep with great force along the base of the city wall. Communication between the several parts of the beach and the city is by means of long flights of steps, up and down which all cargo has to be carried, whether going in or coming out. Unlike many Chinese cities, Chung- king has not extended beyond the circumscribed space within its walls, though there is open country to the west and north- west ; hence there is but little space not built upon, and it-j shop-lined streets have a tiironged and busy appearemce. Its shops are well supplied with commodities of every description iiecessary to the life and comfort of its people, while its han^licrafts are equal to a self-sufficiency of production that leaves little to be desii-ed from outside, exrepl in thf; matter of textiles and raw material. Its raw cotton comes from Shanghai and Hankow; native cotton piece goods from Shashih and tlie districts surrounding the city ; while the supplies of raw unA manufactured silk are drawn principally from the more northern Szechuan cities of Cheng-tu, Paoning, Mien-chow, and Chia-ting. The Imports in foreign piece goods are drawn from Sh?nghai through well-accredited agents residing there, or by trusty agents who proceed down the river about the months of October' and September to make their purchases there, the principal of which are—grey and white sliirtings, figuied KATIONALITY OF VESSELS. " 33 lastings, prints, black Italians, Turkey reds, and a few- sheetings and drills ; Russian cloLh and coarse red flannel ; Japanese stripes of cotton, cotton and silk, and all silk, plain and coloured crimp stripes, and plain white and printed pocket-handkerchiefs. The value of its Foreign Imports for the year i8g6, as set forth by the Customs returns, was 6,929,393 HK. Taels, and of Exports, 5,223,229 HK. Taels. There are only three foreign merchants and traders in Chung-king — one English, one German, one French, and no direct representative of any Shanghai house, except two Chinese sliipping agents, who act as collectors and receivers of cargo for two lines of steamships plying on the Tower Yangtsze. Of the number of vessels entered and cleared we have the following particulars : — Vessels entered and cleared under Customs Certificate of Registry, and flying their National Hags : None. Of vessels trading under Customs Charter Certificate and flying the Chinese Flag we have : — Entered Inwards with Cargo. Nationality of Chartering Firm. Number. Tons. British 1,044 29,700 American 30 1,704 Chinese 205 5,096 Total 1,279 36,500 Cleared Outwards with Cargo. Nationality of Chartering Firm. Number. Tons. British 508 10,054 American 25 99 Chinese 246 5,961 Total 779 16,114 34 THE BLACKBURN CHINA MISSION. oi CO vO a\ 00 u 0^ 00 01 o 3 C<1 VO P) CO m "s d^ (5 1 CO pT ■ « t>. 1 N CO _c S VO CO VO 00 (U HH »-l ■>d- J> M s CO 00 t>. 00 m 1 00 oo" 1 VO CO 1- CO 1 o\ in (A \S N CO w so 00 . iri *"' vo" CO M J3 _ M CO CO \g CO PI 43 C (U Tt- t^ rt 3 PI 00 1> t^ 1 00 00 1 VO- CO CO 1 Ov in W -^ j^ \S «_ CO PI 2 lo M VO- CO !^.S CO CO •^ 00 in (U hH 00 O ll 1 > o 00 (5 1 tC in h4 VO 1 Ov w O (U ih 00 . M CO in VO 0^ d ^ VO 00 o\ rt > lU a\ 00 00 >-< -, 3 M m VO CO H S 1 CO cS 1 *^ d of the ows, tl p* HH \o 1 a\ 00 ^ 2 irj VO Ov o" [/) *— t ; ; • a « • ■ S^ \ J2 .3 (u ba-c 4-1 C »^ en ^ c ■*-* 1h 4^ n! ■4-» o -i o '5) U > o cu a, 'C o Oi v^ o o 4-> 4J o c ~ bo ^ "53 O u (U (U IS U o u ■■3 'S 1^ o o (44 O H (4-1 »! b o 3 o m o O 'O ■*-* 44 O lU O 4-* 4-> O Ot3 l-i (U 4-> u o u > w -M m -)-) ,C X rt n ■4-1 O ■4-t o 4J tsW ■w o -t-J u 0) V4 o u (U O ;2; O 12; 5? H o Z FOREIGN COTTON PIECE GOODS. 35 The trade in foreign cotton piece goods for the year 1 896 is as follows, which gives gross and nett Imports since there were no re-Exports to other Chinese ports for the year : Description of Goods. Nett Total Imports, Cotton Goods. Shirtings, Grey, Plain . Pieces 373'8g2 Do. ,, Japanese 150 Do. White, Plain 37,009 Do. White Irishes 13.856 Do. White, Figured, &c. 150 Do. Dyed, Plain 1.330 Do. Dyed, Figured, &c. 6,890 T-Cloths 3,710 Drills, English 1,000 Do. American 6,105 Jeans, English 90 Sheetings, English 18,968 Do. Indian 1,020 Chintzes and Furnitures 3.103 Cotton Prints, Plain 33.632 Printed T-Cloths 1,440 36 THE BLACKBURN CHINA MISSION, Imports — Continued. Description of Goods. Nett Total Imports. Cotton Goods. Do. Cotton Twills *> 11,184 Turkey Red Cottons .. »» 15.052 Cotton Lastings, Plain and Figured M 33.580 Do. Italians » » • ' )» 58,095 Velvets and Velveteens »» 3.244 Handkerchiefs ... Dozs. 15,112 Towels j» 18,859 Cotton Spanish Stripes Pieces 528 Japanese Cotton Cloth »» 3,106 Cotton Yarn, English Piculs 34 Do. Indian ... * J 166,636 Do. Japanese »l 6 Cotton Thread M ID In addition there were imported 13,088 piculs of native- grown cotton, 3,957 piculs of cotton yarn, and 500 pieces of grey shirtings, the products of Chinese steam cotton mills. The following comparative table of the principal items of Cotton Piece Goods Imports for the years 1894-6 shows that the trade is fairly well maintained : — PmCE aOODS IMPORTS. Zl Description of Goods. 1894. 1895. 1896. Shirtings, Grey, Plain ...Pes. 373.050 511,455 374,542 Do. White \ Do. White Irishes 42,409 55.918 37,009 Drills, American 2,085 5,115 6,105 Sheetings, English ... ... ,, 4,860 14,510 18,968 Chintzes and Furnitures 1,604 1,573 3,103 Cotton Prints, Plain... 19,146 26,663 33,632 Turkey Red Cottons... 20,590 17,580 15,052 Cotton Lastings, Plain an Figured d 17,760 33,761 33,580 Cotton Italians ,, Pieces Piculs 36,496 44,112 58,095 Total 518,000 710,687 580,086 Cotton Yarn 127,257 119,307 170,632 Chung-king is, without doubt, the port and mart for the whole of the wealthy Province of Szechuan, and the goods enumerated in the above list are those we see exposed for sale in tlie towns and cities of the interior, yet the best of the above years, 1895, gives but a low yardage per head of the teeming population. Taking the average length of each piece to be 40 yards, and the population at 40,000,000, the year 1 894 gives -518 yards; 1895, -71 yards; and 1896 .58 yards per head — and this while the importation of foreign yarn for 1896 gives .5681bs. per head of population. 38 THE BLACKBURN CHINA MISSION. HO-CHOW. At a distance of from sixty to seventy miles nortli of Chung-king, at a point where the Fou-kiang unites its waters with those of the Ku-ho — ^which together form the Kia-ling River, that joins the Yangtsze at Chung-king— is built the district city of Ho-chow. Occupying rising ground at the junction of the two rivers, the city has an imposing appearance when approached from the south, its lofty and well-pieserved wall rising almost from the water's edge, while the gateways are approached by long, broad flights of stone steps. Both rivers are navigable for some distance beyond the city for junks of considerable size, and large numbers of these curious, unwieldly- looking craft line the shores of both streams, receiving and discharging cargo. The city itself has every appearance of commercial activity and prosperity, and the main streets, lined on either side with commodious, well-stocked shops, are filled with a motley crowd of silk-clad merchants, clerks, artizans, and the ubiquitous, noisy, half-naked ccolie, struggling along with his heavy load of foreign merchandise or native produce. The shops deahng with piece goods are some twenty in number, and in these we found moderate stocks of 8141b., lolb, and I2lb. grey shirtings, figured lastingS; cotton prints, black Italians, and long ells. All foreign goods for this market are bought in Chung-king, under the system of payment in vogue in that city, and are trans- ported here both by river and by coolies, the journey in either case occupying three days. No goods come up under Transit Pass, as the local oHicials refuse to recognise such, and compel the merchants to pay likin. This on piece goods is at the rate of 2- cash per catty, and on a bale of yarn of 400lbs. weight is equal to S mace. There is a large importation of foreign yarn of coarse counts, and although COOLIES AND THEIR LOADS. 39 within the city itself there is no cotton weaving, in the surrounding districts almost every cottage has its hand- loom, and large quantities of narrow plain cloth are bro'.ijjht into the city for sale. This not beinfj a Treaty Port there is no station of the Imperial Maritime Customs here, hence there are no returns available by which the trade of the city can be gauged, but it is estimated by the largest merchant in the place that the import of foreign piece goods amounts m value to Tls. 100,000, and of yarn to Tls.200,000 per annum. A3 we approached the city on our arrival we met a constant stream of coolies with loads of salt, lime, coal, Indian yam, piece goods, bamboo paper, &c., all being carried in baskets slung to the ends of shoulder poles, as is the custom in this Province. SUI-NING-HSIEN. Situated on one of the extensive alluvial plains that form such a striking characteristic of the topography of Szechuan, the walled city of Sui-ning-hsien is undoubtedly, considering its size, one of the richest and most prosperous cities of Western China. It may be said that it owes this position to three principal causes. ■ Firstly, good local government and absence of any harassing and •jtifling local taxation on imports and exports ; secondly, the enterprise, commercial acumen and good standing of its merchants, in whose hands is centred a large distributing trade; thirdly, the extra- ordinary fertility of the surrounding plain, due not only to the natural richness of the soil and the salubrity of the climate, but also to the patient industry and careful culviva- t'on of the agricultural population. Close under the city walls flows the Fou-kiang River, affording an easy means of communication with the metropolis, Chungking, for 40 THE BLACKBURN CHINA MISSION. notwithstanding the distance from its estuary, this river still possesses a sufficient volume of water to enable junks of a carrying capacity of between 35 and 40 tons to ascend up to the city. On the upward journey the craft, n\ the absence of any other motive power, have to be hauled up the whole way by trackers — a method of navigation not only slow and laborious, but costly. Chung-king is the great market for Sui-ning, and it is in that city that the eight ijnpoiting merchants established here buy their supplies of foreign goods and yarn. Occasionally one of these dealers takes down to Shanghai some of the produce of the district, and, when returnmg, brings back a consignment of imported goods, but with this exception, everything of foreign origin is bought in Chung- king, and comes up thence by the Kia-ling and Fou-kiang Rivers. There are no exchange banks in Sui-ning, and merchants take either sycee with them when proceedmg to Chung-king to buy, or, if trading on long credit remit the money by a trusted messenger when the account is due. Here, as at Ho-chow, there are no figures available giving either the value or number of piece goods imported annually, and, as might be expected, tlie estimates of merchants vary considerably, as each man guages the size of the trade from that of his own particular business. Thus one mercha.nt said the trade in fine piece goods amounted to 300000 taels per annum, and in yarn 500,000 taels ; whilst another, the largest merchant in the place, gave as his opinion, 500,000 taels' worth of goods, and 1,000,000 taels worth of yarn. Even taking the lowest estimate, the trade is a large one, and a considerable distributing business is centred in the city. Agents of merchants here are established at Tung- chuan, Tai-ho-chen, Mien-chow, Chung-chiang, Chung-tu, Te-yang, Han-chow, Chin-tang, Peng-hsien, Hoin-tu, Le-chi, CHARACTER OF LOCALLY-GROWN COTTON. 41 Chien-chio, and all imported yarn and piece goods for ihese several places are bought either through these agents or in Sui-ning itself. In the district of whicli the city is the centre, the weaving of narrow plain cloths is a widely established industry, finding enipjoynient for a large number of people. The alluvial plain on which the city is built pro- duces raw material of a grade that compares favourably willi cotton grown in other parts of China, though it is somewhat inclined to harshness. There is also a small quantity of brown cotton grown here, the quality closely resembling that of the brown cotton produced in the districts around Hankow. The value of the crop was formerly about Tls.200,000 per annum, but now this his fallen to about Tls. 1 00,000 per annum, the decrease being solely due to the large importations of cheap Indian and Japanese yarn. Farmers now find that it does not pay to grow cotton, and that the labour, though so cheap, can be more profitably employed in other directions, as the weavers have begun to prefer foreign yarn, not only on account of its cheapness, but also for the ease with which it can be manipulated. The variety of fabrics woven is not great, consisting of plain cloth, plain coloured stripes and checks, small spot and diapered effects, and a few weaves corresponding to our bucks. Nowhere is any attempt made at elaboration of pattern in these cotton cloths, as the nature of a cotton thread precludes it from being woven with the mountings and haruess used for the production of silk brocaded damasks. Larger quantities of cloth are produced than can be consumed locally, and between 700,000 taels and 800,000 taels' worth are exported annually to other districts where there is not so much weaving. This amount, though large, is less than formerly, when upwards of 1,000,000 taels' worth of hand-loom productions were exported from this district, the decrease being due to the introduction of foreign yarn. 42 THE BLACKBURN CHINA MISSION. and the subsequent extension of the weaving industry over a wider area. The inhabitants of Sui-ning are reputed to be frugal and economical, and, whilst wearing cloths of good appearance and texture, will not spend money on such luxuries as watches, foreign lamps, jewellery, etc. CHENG-TU FU. Cheng-tu Fu is the provincial capital of the Province of Szechuan, and owes its importance more to political ihan trade interests. It stands on a wide and extensive plain, to which it has given its own name ; a plain highly cultivated and rich in agricultural products. The city itself is surrounded by an immense wall, its circumference, enclosing a space, the cross diameters of which are equal to nine li by seven li, or three miles by two-and-a-third miles, while outside the walls, as if issuing from each of the four gateways, are densely thronged suburbs, stretching for miles. Its streets are extrem_ely wide for a Chinese city: its shops are ornate in charactei-, and are stocked with commodities suitable to a class who have ample means of purchasing their requirements, the whole place having an air of opulence not equalled by any other Chinese city which we visited. There are not many cotton looms in Cheng-tu, and those in use are engaged in weaving the ordinary narrow \yidth " Nankins," mostly plain. So that the city depends on imports from other and surrounding districts, principally Peng-shan and Mei-chow, for its "home-spun" cottons. There is no cotton grown locally, but such as is used here comes from the East generally — ^from Sui-ning, Te-yang, Sin-tu, Tung-chuan, and, when circumstances are favourable, from Hankow, by way of the Min River. The introduction of cheap foreign yarn seems to have killed off whatever Uttle THE OFFICIAL INCUBUS. 43 cotton cultivation there may have been, neither do the duty •and likiii taxcr. encourage its importation into the city. But there is a great silk industry here, and the products of its looms are found all over the Province of Szechuan, varying as they do from the narrow ornamental " Lang- kans " to the heavy and rich damasks and brocades suitable for the richest dress. But when we consider the size an\'ing to the character uf the surrounding country. Moreover a receipt is given when likin is paid, and without it goods would stand but a poor chance of getting any distance into the province, as tliey must needs pass through frequently recurring stations, through which the goods are franked by showing the Lao-wa-tan receipt Though there seems to be a lack of handicrafts, and though the village is situated in a coantry less rich agriculturally than many villages and towns we passed through, yet in going through its streets one cannot help but be struck by the display of necessaries suitable to the worldng Chinaman's existence — food and food-stuffs of all kinds, and stocks of native cloth and ready-made NO DEMAND FOR FOREIGN PIECE GOODS. 49 clothing ; and, though there seems to be no luxury, yet the people look better conditioned and circumstanced than those of more pretentious Yunnan towns. There is practically no demand here for foreign piece goods, and verj' few are sold, as the people, who for the most part are of the coolie class, find that their own native cloths are warmer, stronger, and more durable than the imported cloths, and are more suited to the rough lives which they lead. This village is soms 137 miles from Cui Fu. CHAO-TONG FU. This city is situated well on the Yunnan plateau, at an altitude of some 6,580 feet above sea level. It is somewhat centrally placed, in a plain of several miles in extent, from which rise mountain ranges, whose loftier peaks tower up some 1,500 feet above the level of the plain. The city is a Fu city, the seat of a prefect and several other ofRcials, the active governing of the place being vested in a magistrate. The officials are all friendly and courteous to the foreigner, and this has an immense influence on the people-Agriculture is the chief industry. Every possible square yard is taken advantage of, the cultivators depending upon several small lakes for irrigatmg their holdings. But climatic conditions, which are very extreme, and a persistency in attempts to cultivate opium, have led these poor people through several years of want and scarcity, and the present year promises to be little better than previous ones. The City, which contains some 40,000 inhabitants, has really no trade of its own, it is not noted for any product, and it has none of those productive industries on a large scale which make many of the cities and tov/ns of Szechuan 4 50 THE BLACKBURN CHINA MISSION. so wealthy and prosperous. Happening to be on the high road which leads to the capital, it depends largely on the through trnffic, and mainly on its agriculture, and the whole place and its people give you the impression that they are engaged in a struggle for existence which is barely maintained. On visiting the piece goods shops, we found only five where foreign goods were sold, and at these the stocks consisted of very few pieces, which were evidently kept for particular customers. No shop had more than from twenty to thirty pieces. There is a steady demand for coarse red flannel, but the smallness of all stocks is accounted for by the inability of the people to buy such goods. As the requirements are so small, no dealer here buys in .Sui Fu, but goods are brought up by small itinerant merchants, who, accompanied by a few coolies carrying cloth, go through this part of the Province from town to town, selling a few pieces here and there, as the packmen do in this country. In striking contrast to this were the large stocks of native cloths ever)nvhere exposed for sale, the bulk of which comes from the districts around Shashih, and is imported by way of Sui Fu and Lao wa-tan. It is estimated that whereas only about 1,500 pieces of foreign goods are sold annually, some 10,000 bales of 39 pieces each of Shashih cloth are sold in this city and the surrounding country. There is very little weaving in Chao-tung, consisting only of a few plain cloths made from Indian yarn, Haw cotton is imported from Shashih, but it is used exclusively for wadding and lining clothes. There is no tax or duty levied at Chao-tung on textiles, the only duty being a Iikin on exports find a sung-shui, or ta.^:, on every animal slaughtered in the city. The latter is purely local, and the revenue derived from it is paid to the magistrate. There are no Exchange banks here. THE CITY OF TUNG-CHUAN FU. 51 TUNG-CHUAN FU. In several respects there is a great similarity between the cities of Chap-tung Fu and Tung-chuan Fu. Both are v/alled prefectural cities, situated on well irrigated fertile plains ; both suffered severely during the Rebellion, and the more recent famine, and in both the inhabitants are extremely poor, and much addicted to opium smoking All the shops are situated and all the business concentrated in the one principal street, that extends, wide and well paved, from the East to the West Gate. The shops are small and dingy, and contain but few goods of foreign origin, which here are regarded purely as luxuries, only to be purchased by the well-to-do. In striking contrast to the small stocks of foreign piece goods are the large quantities of Shashih and other native cloth, to be seen on every hand, and an inspection of the clothes of the passers-by in the streets affords convincing proof of the extent to which the people clothe themselves with hand-loom productions. The aborigines, who, despite the persecution of the Chinese, are still numerous around Tung-chuan, weave a coarse, durable cloth from the hemp, known to the Chinese as yuan-ma, which provides a cloth suitable to the requirements of a people . leading an out-door life and engaged in agriculture. The county roimd Tung-chuan is very rich in raineials, and there are abundant deposits of iron, coal, lead, zinc, and copper, but of thp;?e only the latter is worked. The principal mines are at Kong-shan, Tang- tan, Hoh-houch, Mu-lu, and Lao-chang, the last being distant only forty li from the Yangtsze. In the city smelted copper is worth 13 taels, 6 mace per 100 catties, or equivalent to £T)6 5s. od. per ton. Between 60,000 and 70000 catties of the metal are sent annually to Fekin as tribute to the Emperor, going 52 THE BLACKBURN CHINA MISSION. by way of Chao-tung and Lao-wa-tan to the Yangtsze. The mines are reported lo be grossly mismanaged, and only the most primitive appliances are in use. How little is being done to develop the mineral resources of the Empire may be guaged from the fact that at these mines charcoal is still being used for smelting the ore, and this in a dislrict where there is an abundance of coal to be obtained at 4s. f'd. to Ss- 6d per ton. The only other exports from Tung- chuan are silkworms, opium, and white wax insects, all of which are exported to Szechuan. YUNNAN FU. Yunnan Fu, the capital of the Province of Yunnan, stands on the most extensive and fertile plain in Western Cii:na, at the remarkable altitude of 6,420 feet above the level of the sea. The actual area of the city is not large, the circuit of the walls being In tic over three miles, but outside these limits are extensive and populous suburbs. During the Mohammedan Rebellion, the city was closely infested lor many months by the insurgents, who, though failing to capture it, raized the suburbs to the ground, and laid in ruins every village on the plain. Fiom the effects of the terrible destruction of life ar;d property wrought at the time, the Province is but slowly recovering, and the ruined houses, still to be seen on every hafid, afford striking evidence of the severity and lasting effects of civil war. For a Chinese city the streets are well-pavd, broad and clean, all refuse being removed by bullock carts, and in this and other matters one sees evidences of good local government rxnd adrunistration. The main street, remark- able for the number of elaborate pei-fangs, or memorial arches erected in it, extends Irom the soutli gate to the foot of a temple- crowned hill that rises almost in the centre GA r COSTUMES OF THE PEOPLE. 53 the city, and the numerous, but somewhat small and low shops contain ample and varied stocks both of home and foreign merchandise. Outside the South Gate, is a long and busy street, almost entirely monopolised by the dealers in foreign yarn and salt. It is doubtless owing to the sunny climate, with which, notwithstanding its altitude, Yurman Fu is favoured, that the people affect such bright and even gay colours for their clothing. The combinations of bright greens, reds, and blues seen in the every-day garments of the people is almost startling. The end of the Rebellion left the province in a most impoverished condition, and it is only within the last few years that its trade, crippled almost beyond recovery, has begun to show perceptible signs of im]irovement. It is to be feared that owing to the lack of capital its ex- pansion will be but slow. There has been a remarkable increase of weaving in the city of recent years, due to the immigration of Szechuanese weavers, and the large importation of Indian yarn. Not only is the industry being fostered by tlie cheapness of the raw material, but it is being encouraged in other ways. Affixed in prominent positions throughout the city, was a printed poster issued by a certain benevolent society, exhorting the women to learn weaving, and pointing out the advantages of their so doing. The wages earned by the weavers at Sin-hing-chow were cited as an example of what might be earned here, and the notice concluded by saying that anyone wishing to learn weaving would be taught by applying at the society's office. This is an instance of trade education in an embryonic state. The trade routes to and from the city afford material for a most interesting study, for we find that foreign goods and merchandise are brought up by four distinct routes, and from centres as widely apart as Hong Kong and Shanghai. 54 THE BLACKBURN CHINA MISSION. Goods from the former port almost entirely come up by the Red River, in French steamers to Lao-kai on the Yunnan border, and thence overland via Mengtze and Tsin-ning- chow ; an alternative route being by steamer to Pakhoi, and thence overland to Nanning Fu on the West River. Shanghai goods come up by the Yangtze to Sui Fu, and arc carried thence via Lao-v/a-tan and Iimg-chuan, whilst the present heavy duties are imposed at Tali Fu, and other places. There is httle chance of any increase of trade by the overland route from Bhamo, for goods coming this way are subjected to no less than seven different duties, whereas by the Mengt/e route transit passes are recognised, and the 7^ per cent paid to the Imperial Maritime Customs exempts the goods from any further exactions. From this^ it will be seen how unfairly the Bhamo-Tali Fu route is handicapped as compared with the French Red River, -Lao-kai, and Mengtze one. Yunnan Fu is the great entrepot for the Puerh tea trade. Of the total value produced annually, amountmg to about Tls. i ,000,000, upwards of Tls. 300,000 comes to Y'unnan Fu. The tea is pressed into small roiuid cakes, each weighing lo-ozs., and the average price is Tls. 30 for 210 cakes, or equivalent to 8^'d. per lb. Much traffic comes by way of the extensive Lake lying on the south-west side of the city, a small connecting canal enabling boats to come up to the West Gate. Large quantities of opium are produced on the adjoining plain, and its high quality ensures it a ready sale f.or exportation to Hu-nan and Canton. HUANG-FEI-HSIEN. Hpang-tsao-pa is a small but important town in Kui-chow, distant some twenty miles from the border village of Chiang-ti, and lies on the main caravan route between LARGE IMPORT OF INDIAN YARN. 55 Yunnan Fu and Pose-ting on the West River. The town is really formed of the suburbs of the adjacent district city of Shing-yi-hsien, but as all business is transacted, and the majority of the inhabitants live outside the limits of the city wall, the place has gradually ceased to be known by the name of the city, and is always spoken of as Huang-pei- hsien, an appelation strictly applicable to the suburbs only. To a great extent the town owes its prosperity to the fertility of the plain on which it is situated — a fertility due not so much to the natural richness and productiveness of the soil, as to the untiring energy of the cultivators in utilising to its fullest extent for irrigation purposes the water of a considerable stream that flows across the plain in a southerly direction. The most valuable crops produced are rice, wheat, opium indigo, beans, and millet. On every side the plain is bounded in by arid conical hills, on which, owing to the absence of water, no cultivation is attempted. From a commercial point of view, the town is chiefly remarkable for the large quantity of Indian yarn that is imported annually, and the quantity of cloth produced in the town and neighbourhood from this yarn. It is estimated that 1,000 bales of 40olbs. each are sold in the town every year, and that between 2,000 and 3,000 looms are engaged in weaving various grades of narrow cloths from this yarn and native cotton. The greater part of the yarn is bought in Hong Kong by the agents of Canton houses established here, and is^ imported via Pakhoi and Nanning Fu to Pose-ting on the West River, from whence it is carried by pack animals. The consumption of imported piece goods in this district is extremely small, the people preferring the more durable and coarser productions of the local looms to- the finer and better finished, but less warm, foreign goods. Indian yarn has almost entirely supplanted the raw cotton of Hankow and Kwang-si, not only on account of its 56 THE BLACKBURN CHINA MISSION. cheapness, but owing to the ease with which it can be manipulated. The only Export from Huang-tsao Fu is opium, and buyers of this drug come up during the spring from Husan and Kwang-tung, bringing up considerable quantities of piece goods and yarn, as well as other articles of foreign manufacture. There is here a large industry in the manu- facture of sun hats, and many hundreds of these, showing exquisite workmanship, were being offered for sale on the market ground. The town has a busy, prosperous air, and has recovered to a great extent from the blighting effects of the Miaotze rebellion of twenty-five years ago, when the lawless aborigines swept down from their mountain fastnesses, and devastated the cities of tlie plains. ANSHUN FU. Anshun Fu, is a walled prefectural city in Kui-chow. situated on the great main road from Hankow to Yumian Fu, at a distance of 185 li, or 65 miles, from Kui-yang Fu, the capital of the Province. Though small in size and popula- tion, the city is the centre of a large and prosperous trade, and ranks next to Kui-yang Fu as the second most important city in the Province. The main street, ornamented with several pei-fangs, or stone memorial arches, is well-paved, and of sufficient width to allow of the erection of a row of stalls on either side, immediately in front of the shops. A broad footpath behind the stalls prevents their too near encroachment upon the shops, which are large and numerous, and contain ample and varied stocks of goods and merchandise. Foreign piece; goods are imported both from Hankow and Pose-ting, though the quantity coming from the former place is very small. There is here an enormous and ever-increasing demand for foreign THE WHITE WAX INSECT TRADE. 57 yarn, and the value annually imported greatly exceeds that of all other imports taken together. The weaving industry is a large and profitable one, and every week several thousands of pieces are produded ifrom Indian yarn, Hankow and Hwa-shan cotton. The fabrics woven are for the most part plain in character, and measure i^' to 14 inches in width, though a few striped towels, and a very close imitation of " kuan-hua-chin " silk cloths are Jilso woven. The weaving of the latter cloth was introduced by immigrants from Szechuan, who had doubtless come from some district in that Province where the real " kuan-hua- chin " is woven, and who had brought the art with them, adapting their knowledge of weaving to the requirements of the district. Ashun Fu is the centre of this Province of the important and interesting white wax insect trade, and in the spring country people are to be seen in the streets offering for sale bags and baskets containing the pupae of the insect These are bought for export to th? Province of Hu-nan, where the insect wax tree grows in abundance, and as it is absolutely essential that the bags should airive at the feeding grounds before the insects emerge from their chrysalis condition, running coolies, specially selected for speed and endurance, are employed for the journey. The only other export from this district is opium, for, though coal is found in abundance near the city, only sufRcient is got to supply local consumption. KUI-YANG FU. Kui-yang Fu, the cajjital of the Province of Kui-chow, is a large and busy city, with a population displaying more commercial activity, and a greater degree of prosperity than we have seen in any city since leaving Szechuan. To many the city is even more important from a political than from a commercial point of view, for here is established all the S8 The BLACKBURN CHINA MISSION. elaborate machinery necessary for the administration and government of a province containing 8,000,000 people. The supreme power is vested in the Viceroy of Yunnan and Kui-chow, who resides and whose seat of govermnent is at the capital of the foimer province, and who in his absence delegates his authority to his subordinate, the Governor of Kui-chow. The city is built in two parts, each surrounded by a lofty wall, for some years ago, all the available land within the city being built upon, houses and shops began to be erected outside the North Gate, forming in time quite an extensive suburb. As the area and value of the property increased it was deemed expedient for the better protection of life and property, to build a substantial wall round the suburb, and the enclosed portion became known as the New City, a title it has since retained. The principal streets are well paved, broad and clean, and the city bears many signs of equitable government and material prosperity. The main thoroughfare bi-sects the town, extending from the South to the North Gate, and is lined on both sides with commodious and lofty shops, containing sufficient varieties of goods and merchandise to meet the tastes and requirements of both rich and poor. In this street, and in Kwang-tung- kai, or Canton-street, in the New City, are the piece goods shops. In these are to be found considerable stocks of foreign and native cotton piece gbods, as well as varied assortments of plain and brocaded silks. Several of the dealers hers have their own n gents in Hankow, who, acting on instructions by letter or wire, buy from tiie hongs in that city wliatever is required, from time to time, making also the necessary arrangements for forwarding the goods across the Tung-ting Lake to Chen-yuan Fu, by which route all goods from Hankow to Kui-yang Fu are despatched. There are no hongs here, in the strict sense of the term, but there are several commission agents, who THE HVPEH cloths. s$ receive consignments of goods from Hankow for sale, and it is from thi;se men that the small shopkeepe; <; buy their supplies of imported goods. The agents receive from the seller a commission of two per cent., and guarantees the account, whilst tlie buyers are allowed two months' credit. Formerb' it was the custom to allow only one month's credit, but so much difficulty was experienced in getting the accounts paid that the agents mutually agreed to extend the period to two months. The production of textile fabrics in the city is very small, there being but few looms, and it is from the Huang-pei-hsien district and Hupeh that the people derive their supplies of hand-made piece goods. A notable feature about the Hupeh cloths is that the goods are graded according to .their qualitu-s, and every piece is stamped with well known marl548 2,814 1,030 17.392 1895-6 16,397 3.229 1,000 20,626 1896-7 14,499 2,510 1,055 18,064 The bulk of this is forwarded to English markets, and we have been assured by the exporters that they expect a Icurge increase in this particular item of trade, as this market is one of the largest sources of supply to the silk spinners of our own country. There is also a small trade in pierced cocoons that is, cocoons which have been pierced by the worm eating its way through, thus rendering them of no value for reeling purposes. IMPROVEMENT IN QUALITY OF RA W SILK. 67 Export of Pierced Cocoons in Bales of 75 Catties each. England. Continent. America. Total. Season ,1894-5 1,210 2,072 3.282 1895-6 1,430 2,215 3.645 „ 1896-7 i:,433 1.55 1 2,984 The chief sources of the Canton silk supply are the districts stretching some thirty to forty miles around the city, Shun-tak being the principal one. But the cultivation of mulberry is coming much nearer the city, and large tracts of land within three or four miles have recently been planted and ajre promising well. In one season there are generally six crops, and sometimes a small seventh, but owing to the indifferent weather of the early spring months, the first three are not so good in quality as the fourth, fifth, and sixth gatherings, while the seventh is entirely de- pendent on the weather. Making a general and a broad division of the Raw Silks put on the market we have : — TSATLEE Reels : Silks which have been reeled by the natives on hand reels. These go to the London and Bombay markets. Long Reels : Which go to Bombay, and are there used in native manufactures. Re-Reels : Which go to America only. Filatures : These form the bulk of the production now-a-days, and are sent to Continental and American markets. Here in Canton the filatures are on the European plan, but have only native super- vision. The silk exported from Canton is now more satisfactory than it used to be, as the foreign merchant has taught the native dealer that close grading is a matter of first impor- 68 THE BLACKBURN CHINA MISSION. tance, and the dealers are now so alive to the risks they run in attempting any deception by mixing of inferior qualities, that such a practice is. very rarely resorted to — ^in fact, we were assured by the merchants that there is Httle to be dissatisfied with in this respect. The number of foreign merchants here who are more or less engaged in the silk export trade is : — British, 6 ; German, 3 ; French, 2. The weights system used for buying and selling is as follows : — The cattie is -j6 hang, or Chinese ounces ; the picul, 100 such catties; so that the picul is equivalent to 133}^ lbs. Avoir. All quotations are given and received at the rate per picul. Silk weavers, of whom there are a great many in the city, are much better paid than cotton weavers. They earn $8 per month, without food, or $5 if food is found for them by the employer, and work from 6 a.m. to 5 p.m., with one hour off for the mid-day meal. Most of these are engaged in high-class work, and for the production of their brocades, damasks, and leno-brocades the looms are mounted with compound harnesses, or doup mountings, or compound heald mountings, which are intricate, even to a practised weaver. Other important items of Exports are : ■ — Tea, which amounted to 6,302,5461fes. for the season ending 1 896-7 ; matting, which in 1 896 amounted to 306,674 rolls of a value of ;£^ 184,409; brown sugar, 22,i70,ooolbs., valued at £'83,91 1 ; medicines, 3,1 i6,533lfes., of a value of £12,11% '■> and prepared tobacco, 2,i90,933lbs., valued at £^,24.^,. The total nett value of all articles exported from Canton for the year 1 896 to foreign countries was : — To and distributed from Hong-Kong, which is practically the port of Canton for all parts, £"2,845,870, while the total nett values of Imports from Foreign countries for the same year were : — VESSELS ENTEREI)( AND CLEARED 69 Hong-Kong ;€^i.9io,554 Cochin-China "j Tonquin and >■ 7'>647 Annam J Japan i3>272 Siam 22,986 Other places 4>027 ;^2,022,486 No one can visit Canton without being duly impressed with the variety of craft plying on its waters — the light sampan and passenger boat) the cargo boat, stern wheel driven, and the heavy slow junk ; the steam launch, used for carrying passengers and the haulage of cargo boats, and the ocean-going and river steamers. How so large a permanent boat population as one sees here, estimated at 50,000 people, manage to live and thrive under such condi- tions as obtain 'here, is a matter of more than passmg interest, even to other than casual visitors. While the whole mass represents a picture of that lively energy which is so marked a characteristic of the Cantonese, it is also a grouping of immense latent forces which await but favourable opportunity to become factors in the develop- ment of Southern China Could all this be taken advantage of as a distributive agency by European commerce, we should hear less about the want of new markets, as in the North, every Province is an undeveloped market. As a shipping port, Canton, is overshadowed by Hong Kong, and ranks much below Shanghai, but it must be remembered that Canton cannot be reckoned as anything but an inland port, and as a distributing centre is of far less importance than the more northern port. Yet its returns of vessels entered and cleared amount to quite respectable figures. 70 THE BLACKBURN CHmA MISSION. Returns of Shipping Entered and Cleared at the Port of Canton for the Year 1896. Total Entered and Cleared. Nationality, Tons. 3,020,768 426,904 There has been a great increase in the number of steamers carrying the Chinese flag, but this increase is not in ocean- going steamers, but in the number of steam-launches licensed by the local authorities to tow passenger and other craft to various points on the West River and in the Canton delta, while several have been put on experimentally to run to the newly-opened ports on the West River. Ocean- going steamers lie in the river, being served in handling THE opulsncs Of the native shops. 71 cargo by lighters, while the large river steamers which run between Canton and Hong Kong he at the Imperial Mari- time Customs landing-stage, situated a short distance below the Foreign Concession. On visiting the city one is impressed by the opulence of the native shops, and the variety of commodities was more apparent than in any city we had yet visited. While the every day necessaries of life were well in evidence on every hand, comfortable circumstances and refined taste could be gratified in the abundance of silver-ware, silk, embroidery, inlaid work, lacquer work, curios, black-wood articles of furniture, and carvings in ivory and wood. The piece goods shops, too, exposed for sale ranges of goods calcu- lated to tempt the most fastidious Chinaman — greys, whites, prints, dyed and coloured goods ; figured cotton goods in every shade of colour ; and some of the. lighter fabrics, such as lenos and muslins ; while of native nankins, grass cloths, and woven silks there seemed to be no stint. But the shadow of the tax-gatherer is over it all, and the incalculable trade possibilities of this, in common with every other port in Chma, are kept in abeyance by the licence of a privileged few. 72 The BLACKBURN CHINA MISSION. SECTION II. I. — Communication. The waterways of Central China are the great highways of trade, and there are few places of any importance that may not be reached by them. Leaving Shanghai as a coast port and proceeding up the Yangtsze, the first town of importance is Chin-kiang. This place has connection with the inland port of Soo-chow, and the coast port of Hang- chow, by means of the southern branch of the Grand Canal, and by the northern branch with the far away northern port of Tientsien. Wu-hu, on the southern bank of the great river, is the outlet of several canals, while Kiu-kiang has direct communication with the Po-yang lake and its feeders, and by these the interio'r of the Province of Kiangsi :s easily reached. Hankow and Shasi, by means of their rivers and the canals which tap various river systems, command the whole of the Provinces of Hu-peh and Hu-nan. Chung-king, at the juncture of the Kia-ling with the Yangtsze can, by the smaller river and its tributaries, send her commodities to such important places as Ho-chow, Sui-ning, Tung-chuan, and Mien-chow, which are all situated in the more northern parts of the Province of Szechuan. At Sui Fu, three hundred miles beyond Chung- king, the Min joins the Yangtsze, and by means of that waterway the city of Chia-ting is reached. At this place the Ta-tu and the Fu join their waters to form the Min, the Ta-tu coming in from the Thibetan borders, while the Fu, continuing north, brings you to within forty miles of THE GREAT HIGHWAYS OF TRADE n Cheng-tu, the Provincial capital of Szechuan, which is reached by a minor stream, the Fu-ho. A short distance beyond Sui Fu, the Chin-ho enters the Yangtsze on the right bank, and by it there is communica- tion with the important town of Hung-chiang, and by a small tributary, the Ta-kuaii-ho, the Yunnan frontier town of Lao-wa-tan is reached. The quality of this communica- tion, however, is of such a nature that it may be divided into well-defined sections. Up to Hankow there is no difficulty, and large ocean-going vessels may ascend the river in safety, but from Hankow to I-chang, the second section, the ever shifting channels are a source of danger, so that during the season of low water, say from November to March, steamers plying on this length have in many places to send out their pinnaces for the purpose of findiiig and marking the channels, and are often forced to cast anchor for the night This necessitates the transhipping of goods at Hankow from the larger steamers of the first to the smaller ones of the second section. The river from I-chang to Chung-king, which may be called the third section, and which is now entirely given over to junk traffic, would present no insur- mountable obstacles to steam navigation if a complete survey were made, as even at the period of low water the so-called rapids are nothing more than races of choppy, broken, or swiftly-running water, resulting from contraction of the river's bed. Nowhere is there any sheer fall of water at these places. From Chung-king to Sui Fu, the nver presents a fine stretch of open water, with none of the impediments of tlie I-chang-Chung-king stretch, while on its banks are several large towns and cities, of which Lu-chow is the principal. The Min, which joins the Yangtsze at Sui Fu, is imprac- ticable for steam, owing to the frequent recurrence of long, shallow rapids, and also want of depth, while 74 THE BLACKBURN CHlNA MISSION. its tributaries, the Ta-tu and Fu which join at the city of iChia-ting, are unfitted for anything except the craft in present use. On the other hand steamers from Sui Fu could easily reach the town of Hung- chiang by way of the Yangtsze and the Chin-ho, but the Ta-kuan-ho, a tributary of the Chin-ho, is of so small a volume, and of so turbulent a character, that any other than the present method of navigation is out of the question. The annual rise of the waters of the Yangtsze, and several of its tributaries, seems phenomenal to us when measured by our experience of rivers at home. At Sui Fu there is an average rise of from thirty to forty- feet ; at Chung-king it is from sixty to seventy feet; at I-chang from thirty to forty feet; and at Hankow of thirtj- feet. In times of extreme flood at Chung-king, the water has been known to rise to ninety feet; at I-chang, fifty-three feet, and at Hankow, forty feet, while m the gorges between I-chang and Chung-king the extreme rise may be anything over a hundred feet. It will be seen from this that such quays and wharves as we have for the accommodation of shipping would be of no use here ; at one part of the year they would be flooded, and at another left high and dry and unapproachable by any boat. From this cause hulks are moored in the river at all those ports to which steamers ply, these being connected to the shores by gangways, over which all cargo is carried to and from the vessels. The peculiarly diversified nature of the Yangtsze and its tributaries compels a modification in the character of the craft employed in navigating these waters. Any ocean- going vessel may proceed to Hankow, but the steam-boats plying between that place and I-chang are much modified as to tonnage and draught Of these the China Merchants' S.S. " Kwei Lee " may be A REPRESENTATIVE VESSEL. 75 taken as a representative boat. It is a screw vessel, 250 feet long, with a 40 foot beam, and she carries 1,000 tons on a seven-foot draught, with a hundred tons of coal aboard, her bottom being as flat as her decks. Her speed depends upon the state of the water, but she makes up to se\ren knots under favourable conditions. The junk and cargo boat traffic is very heavy on every section of the river and its tributaries, while the local traffic between place and place is of immense proportions, the craft in use being of the most varied character. Junks of from 60 to 70 tons capacity, and manned by from 50 to Go men, are found side by side with mere shallops, while on one river, the Ta-tu, owing to the shallowness of the warer bamboo rafts take the place of built boats. These rafts are built of a double layer of bamboos, the prow being upturned so as to act as a cut-water. On these a raised staging is built. When loading the craft such goods as carmot be injured by water are placed on the lioor of the raft, whilst the dry goods are piled on the staging. The Tung-ting lake, and the rivers that flow into it, provide a series of magnificent waterways by which the trade of the rich and thickly-populated Province of Hu-nan and the more distant Province of Kui-chow are tapped. Hankow, owing to its comparative proximity to the embouchure of the vaters of the lake with those of the Yangtsze, has become the great entrepot for the foreign Import and Export trade to and from Hu-nan, and Kui- chow, and merchants from Yo-chow Fu, Chang-sha Fu, Heng-chow Fu, Yuan-chow Fu, Kuei-yang Fu, and many other wealthy cities have their agents in Hankow. The city of Yung-chow Fu, on the borders of Kwang-si, is reached by the largest feeder of the lake, the Siang River, and at all times of the year cargo boats can ascend by the Yuan River to Chen-yuan Fu, a city in Kui-chow, which is 76 THE BLACKBURN CHINA MISSION, only seven days' journey hy land from the capital of the Province. The traffic on these several arteries is enormous, and the trade is capable of great development if the lake and its rivers were thrown open to steam navigation, and the transport of merchandise cheapened and expedited. It is a fact not generally known, and one that illustrates vividly the wonderful waterways of the interior of China, that it is possible to start from Shanghai and to proceed by boat up to the Yangtsze to Hankow, thence across Hu-nan to the headwaters of the Siang River, where a canal is cut, uniting with the headwaters of the Kui-kiang, past Kuilian, the capital of Kwang-si Province, down to Wochow, Canton, and Hong Kong — a round tour of some 1,500 miles, by water the whole way. Merchants living in cities like Kui-yang, that lie between the watersheds of the Yangtsze and the West River, are able to draw their supplies of foreign manufactured goods and merchandise from both of the two great distributing centres— Shanghai and Hong Kong. They are thus placed in an exceptional and most advantageous position, for not only are they able to command a better and more varied selection of qualities and makes, and to compare the price of goods in Shanghai with those of Hong Kong, but they have also the choice of two routes by which to import their consignments. Overland Routes. Communication between the towns and cities of Szechuan by overland routes is only less difficult than such communi- cation in the adjoining Province of Yunnan, as the characters of the two provinces are very dissimilar. In Szechuaii we have comparatively low hill ranges, which seem to run at all sorts of angles in relation to each other, BAD ROADS. 77 but in Yunnan wc have long and high mountain ranges, which cut up the country into deep and narrow valleys. The whole is made more difficult owing to the want of good roads, as many of the existing roads are mere worn-down tracks, trodded into existence by the constant stream of traffic passing over them, and are unworthy of the name of roads. After passing over many of these traces, one cannot but come to the conclusion that among the first persons required in this vast country is the civil engineer, as river courses require to be cleared, and bridges repaired, and in many cases entirely re-built, while the tracks want to be straightened, widened, and levelled, so as to conform to the idea of what we mean by the word " road." Between Chung-king and Cheng-tu there are two routes — one being by way of Ho-chow, Sui-ning, and Turig-chuan, practically following the river valleys by crossing the spurs of successive hill ranges ; and the other by way of Tze-chow. The alternative route is shorter and less difficult in character, but it does not tap so many important towns as the other. On these routes all goods are carried by coolies, whose loads swing from the ends of shoulder-poles, one such load being called a tiao. The maximum weight carried, taking shirtings as a standard of measurement, is i44Jbs., having a near equivalent in 12 pieces of I2lfes., or 14 pieces of lolbs., or 16 pieces of Sj^lbs., shirtings, and the time taken for the journey is from eight to nine days. From Sui Fu, on the Yangtsze, are two routes which converge on the Yunnan border town of I.ao-.va-tan — one by the Fiung-kiang River and the city of Hung-kiang-hsien, and the other by way of Yun-lien-hsien. By the first route goods are brought up the Hung-kiang, or Ta-ki:an River, a tributary of the Yangtsze, as far as Hung-kiang-chang, and are thence carried overland as far as Lao -wa-tan by coolies. 78 THE BLACKBURN CHINA MISSION. The nature of the roads, which are narrov/ tracks running along the mountain sides and very often strewn with boulders from the heights above, does not allow of the use of a shoulder-pole, by which goods are always carried in the Province of Szechuan. Instead of this method, the load is placed on a light wooden frame, which is slung to the back by means of shoulder-straps, and on this the load is placed. This is known as a pei-tzu. The weight which a coolie can carry this way is perfectly astonishing, and it is a common sight to see him struggling over the most execrable roads having on his back three bundles of Shashih-made cloth, each containing 39 pieces, equal to a load of 22olbs. Of cotton yam the load is i6oH)s., and one frequently meets coolies carrying iSoifes of tin or copper, which has come from the mines in the districts about Tung-chuan. The alternative route from Sui Fu to Lao-v/a-tan is by land the whole way, the road striking inland immediately opposite Sui Fu. A tributary of the Yangtsze is followed for some distance, and, though not navigable for junks, the river possesses a sufficient volume of water to enable small boats to ascend some sixty to seventy miles. The journey by this route occupies seven days, and Yun-lien-hsien is the onlj,- town of any importance on it. Goods are carried forward from Lao-wa-tan to Chao-tong, Tung-chuan Fu, and Yunnan Fu, by pack animals, which arc at once cheaper, more expeditious, and better suited to ihe mountain roads than the carrying coolie. Communication in South China by the West River. Nothing is calculated to convey a more vivid idea of the vastness, and of the physical characteristics of the Chinese THE VALUE OF THE WATERWAYS. 79 Empire, than a study of the waterways of the country, and of the manner in which access is gained by those magnifi- cent rivers, the Huang-ho, the Yangtsze, and the Si-kiang, or West River, 'and their -feeders, to the most remote Provinces, and communication estabhshed with the great distributmg centres of Shanghai, Hong Kong, and Tientsien. It is impossible from a commercial point of view, to estimate the value of such waterways as these in a country where, as we have said, roads as we understand them do not exist. True it is that at times one comes across remains of broad paved roads, relics of former dynasties, now fast disappearing through the neglect of corrupt officials, whilst on the plains of the North, there are cart-tracks, and rude primitive vehicles are in use. In the absence of any water communication, goods are carried along these roads by coolies, and by pack animals at a great expense of time and money, and it is the absence of any mechanical facilities for the transporting of goods by land that emphasises the value of the waterways of the Empire. The West River, rising in North-East Yunnan, flows through Kui-chow, Kuangsi and Kwang-tung, and passing by the walls of Canton enters the sea by Hong Kong. Though navigable for steamers for over 300 miles at all times of the year, Canton was for forty years the limit of steam navigation, and it was not until June, 1897, that Wochow was declared a Treaty Port, and steamers allowed to navigate the 218 miles lying between Canton and that city. At present the steamers in use are small, experimental craft, intended to be used only until such times as the nature of the river and the requirements of the trade are determined. Large numbers of native cargo-boats are towed up and down by Chinese owned steam "launches, at somewhat lower rates than the steamship companies charge. At Canton there is a wharf alongside which the river 8o THE BLACKBURN CHINA MISSION. steamers can lie, but as yet at Wochow there is no such equipment, and the vessels either anchor in the stream or alongside the recently constructed pontoons of the shipping firms. Around Canton, and, in fact, throughout all the delta, is a perfect network of creeks and streams, all utilised to their fullest extent by the various types of craft engaged in the local carrying trade. At Sam-shui, a busy place opened to foreign trade at the same time as Wochow, enters the Pe-kiang or North River, which is a fine stream passing through and giving access to a most fertile and thickly-populated district lying to the north of the main stream. Above this, though other small tributaries join the river on both banks, it is not until Wochow is reached that any considerable feeder is found. Here the Kiu-kiang River, coming down from Kui-lin Fu, the capital of the Province, joins the West River, and judging by the quantity of junks to be seen on its waters, it is the medium for an immense local traffic between the capital, Pirig-to Fu, and Wochow. Up to Wochow, the river presents few difficulties to steamers of suitable construction, but as to how far above this point steam navigation is possible is a question best left for the civil engineer and ship-builder to decide. During the high water of the summer months the rapids above Wuchow, which are spoken of as a possible barrier to steam navigation, are hardly visible, and the native craft pass over jthem apparently without difficulty or danger. The sudden rise and fall in the river, clue to heavy tropical rains in Yunnan, Kuangsi and Kui-chow, have caused the owners of pontoons at Wochow and Sam-shui considerable anxiety and trouble, as it is necessary to move these unwieldy constructions to meet the varying height and strength of the river. At Wochow, for instance, there is an annual average rise TRANSPORT FACILITIES. 8i of over forty feet, and at one time the water is up to the level of the city wall, while at another there is quite a wide reach of sloping shore between the city and the water's edge. The next large place reached after leaving Wochow is Sin-chow Fu, a busy city occupying a prominent position at the junction of the Yu-kiang with the main branch of the West River. Both rivers are navigable for several hundred miles above this point, the one as far as Nanning Fu for large junks, thence for small craft to Pose-ting ; and the other as far as San-duore in Kui-chow. These places indicate the direc- tion and limit of the navigable portions of the West River and its principal tributary, the Yu-kiang, though in addiLion there are many subsidiary streams navigable for the small light drought boats in use on such water?. In any other country of the world every effort would be ;nade to develop by means of such a magnificent system of waterways the trade of the districts they serve, especially of those Provinces which by reason of their remoteness and the absence of railway communication, are cut off from the great shipping ports on the coast. Not so, however, in this part of China, and in travelling by the river above Wochow, and more so in the higher reaches by Nanning Fu and Wochow, one is struck by the comparative paucity of junks and other craft. ' Towards tlie borders of Kui-chow and Yunnan the popu- lation, it is true, is very sparse, but in Kuangsi there are on the river's banks many large and busy towns, whose trade must require more transport facilities than are apparent. Inquiry from the junk-owners elicits the fact that their cargoes consist almost entirely of local produce, and that with the exception of kerosene oil and som.e yarn, tliey never see any foreign cargo, as imports from Hong Kong are termed. 6 82 THE BLACKBURN CHINA MISSION. What, then, is the explanation of this state of affairs on the upper waters of the West River? It is due solely to the fact that the local taxation on goods and merchandise coming up the West River is so crushing that merchants in Kuangsi, Southern Kui-chow, and parts of Yunnan are driven to import their goods from Hong Kong, via Pakhoi and Kin-chow, thence overland. Though transport by land is expensive, goods can be laid down at Lui-chow, Manning Fu, and other places, at a less cost when coming by land than if they had run the gauntlet of the various lilan stations on the_ river, where the officials, by their extortions, do their utmost to strangle the trade. It is almost incredible that one could find in Wochow, before that port was opened to trade, piece goods that had come overland from Pakhoi. II. — Communication, Freight, and Transhipment Charges between Shanghai and Chung-King. An excellent service of steam-boat communication connects the whole of the Lower Yangtsze ports between Shanghai and I-chang, and it may not be too much to say that practically the whole of the foreign piece goods and yarn Imports taken by these several places are carried !a such x'essels, though, of course, this does not do away with the immense local junk traffic between place and place. The freight charges for piece goods are as foUov/s : — Tls.Mace.Can. Shanghai to Chin-kiang — 5 o per bale of 50 pieces. „ Hankow ... — 80 I-chang ... 140 Taking the tael at 2s. lO^d., this gives an English equivalent per piece of .34 pence for Chin-kiang; of .55 THE CHUNG-KING AGREEMENT. 83 pence for Hankow ; and of .97 pence for I-chang. For a bale of yarn of 40olbs. the freight from Slianghai to I-chang is Tls. 1.40, or 4s. 0.6 5 d., the English equivalent being .12 pence per lb. with the tael at 2s. lo^d. I-chang is the highest point on the Yangtsze to which steamers ascend, and all goods are discharged into Lhe go-downs of the steamship companies. Here merchandise, if heavy or buUcy, is split into more portable and conve- nient packages, as on the junks there is neither accommoda- tion nor appliances for handling such bales of piece goods and yarn as are imported from abroad. The work of splitting and protecting the exposed ends of the bales with malting and rattan is done at a fixed rate per package by men who are specially employed at this kind of work. This entails considerable expense, as the list of fixed charges or. pages 84 and 85 will show. No charge is made by the shipping firms for the use of the go-downs, but only goods carried by the respective companies are admitted. Althodgh no steamer at present runs between I-chang and Chung-king, by tlie additional article to the Cheeloo Convention of March 31st, 1890, known as the Chung-king Agreement, British subjects are at liberty either to charter Chinese vessels or to provide vessels of the Chinese type for the traffic between the two places. Clause II states : — " Merchandise conveyed between " I-chang and Chung-king by the above class of vessels " shall be placed upon the same footing as merchandise ' carried by steamers between Shanghai and I-chang, and '■ shall be dealt with in accordance with Treaty, Tariff " Rules, and the Yangtsze River Regulations." It is stipulated by Clause IV., that: — It is obligatory '■ on both chartered junks, and also vessels of Chinese type, " even when the latter may be entitled to carry the British 84 THE BLACKBURN CHINA MISSION Table of Packing and Original Bale Containing 50 pes. 60 M 75 >) 150 )) 400 lbs. 30 pes 30 10 7 6 50 50 50 50 Goods. Grey Shirtings. Do. Do. Do. Cotton Yarn. Blaek Velvet. Do. Russian Cloth. Do. Do. Italian Cloth. Dyed Shirtings. White Shirtings. White Irishes. Re-packed into 2 packages 2 ,, 3 5 2 ,, 2 boxes 2 ,, I I. I ,> 1 M 2 ,, 2 ,> 2 n 2 ,, Note. — The value of the tael is taken at 2s. iid. in the above table. In required, Tls. o"n is charged for putting on rattan. If any bale of o 36 is made on each full bale, or Tls. o'i8 on each split bale, in charge of Tls. o' 11 on each original bale is made in addition to The English equivalent of the above cash charges is based upon " flag, to take out at the Maritime Customs House special " papers and a special flag when intended to be used by " British subjects in the transport of goods between l-chang '■ and Chung-king, and without such papers and flag no SPLITTING UP OF BALES. Sundry Charges at I-chang. H Cost of each small Package. English Equivalent, Remarks. Tls. p'25 each 87s pence 49 ., 0-25 ,, 8-75 >, .. o'25 ,, 8-75 ,. ,, 0-25 „ 8-75 .. Light 6 catty shirtings. .. 0-25 ,, 8-75 „ Original bale 3 piculs. 900 cash each 2/1-82 „ 750 1/9-51 .. Light weight. 800 ,, 1/10-95 .. 700 ,, i/8-o8 „ 600 ,, i/5'2i „ 750 1/9-51 ., 700 ,, 1/8-08 ,, 550 1/3-77 „ 550 1/3-77 „ all other goods where re-packing or re-matting of original bales is not yarn requires wholly covering with matting and rattan, a charge of Tls. addition to above charges. If any bale of yarn requires rattan only a above charges. 1,220 cash as equalling a tael of 2S. iid. "vessels of either shall be allowed the privileges and " immunities granted under this additional Article. Pro- " vided with special papers and flag, vessels of both classes " shall be dealt with in accordance with Treaty Rules and 86 THE BLACKBURN CHINA MISSION. " the Yangtsze River regulations. All other vessels shall " be dealt with by the native Customs." All foreign imported merchandise is now carried to Chung-king in chartered junks flying the necessary flag, and is in consequence exempt from taxation by the native Customs, the 5 per cent, import duty paid on entering at Shanghai clearing the goods as far as Chung-king. Ror the registration papers and flag a small charge is made at I-chang, \\'!iic:h charge, spread over an average cargo, amounts to 8 candareens, or 2 • 72 pence on a bale of piece goods or yarn. The freights between I-chang and Chung-king vary considerably according to the time of the year. In summer, when the river is in flood, and there is great difficulty in getting the junks up, more men being required, higher rates are charged than in winter, when the water is low and the current not so strong. A careful junk-owner, in order to minimise the risks of accident, often will not fill his junk to its utmost capacity on the upward voyage, but charges enhanced rates on what he does carry, and if a merchant, for the sake of safety and speed, does not care to test a junk to its full extent, he has to pay freight for the whole junk. Conse- quently, the rates per package would work ojt higher than the ordinary charges. The rates, too, for upward bound cargo are qualified by the state of the current, and ithe number of junjcs and trackers in port at the time the junk is chartered. A great deal, also, depends on the bargaining capacity ol the hirer, for previous to every journey a fresh aj.jreenient has to be made, and one man by persistence can often get a junk cheaper than another. The freight for one bale — 50 pieces — of shirtings from I-chang to Chung-king, varies from 6,000 to 7,000 cash, the I-CHANG and CHUNG-KING. 87 rate at the time of our visit (November, 1896) being 6,400 cash on an average: or, taking the tael at 2s. iid., as being worth 1,220 cash, the English equivalent would be 15s. 3d. per bale. The value of a bale of grey shirtings may be taken on an average at Tls.150 in Shanghai. On this basis the cost of taking a bale of 50 pieces from Shanghai to Chung-king is as follows : — Tls. Mace. Can. Freight by steam, Shanghai to Lchang 140 Insurance do. 3 6 Commission Hong's charges, Shanghai to Hankow 3 7 Do. Hankow to Chung-king... 7 7 Flag expenses 8 Re-packing at I-chang 8 6 Freight from I-chang to Chungking 5 2 4 Tls. 9 These charges made a total of Tls. g.0.8, which means that to get a piece of shirting, having a value of 8s. gd., or Tls.3, with exchange at 2s. iid., from Shanghai to Chung- king, freight and sundry charges amount to 6-35 pence, of which 3 • 66 pence is the cost of freight between I-chang and Chung-king, a distance of 450 miles. The journey by steamer from Shanghai to I-chang occupies about six days, while that from I-chang to Chung-king by junk seldom takes less thain thirty days, and often as much as six weeks. Of course, the quickest voyages are made in winter. The capacity of the junks used varies considerably, some carrying as much as 70 tons of cargo and employing 50 to 60 men, while others only carry 10 tons, and employ but seven or eight men. On the authority of the Imperial Maritme Customs officers, twenty to twenty-five tons 88 THE BLACKBURN CHINA MISSION. may be taken as an average cargo sent up river from I-chang. The freight charges for yarn carried by steamer from Shanghai to I-Chang, amount to Tls. 1.40, or 4s. o.65d., with the tael at 2s. iid., for a bale of 400lbs., while from I-chang to Chung-king the same qualifying conditions obtain as in the case of piece goods. At the time of our visit the quotations varied between 4,800 and 6,000 cash, per bale of 400lbs., the English equivalents being us. 5d. and 14s. 4d. respectively. Taking Tls. 67 as being the average price in Shanghai for a bale of Indian yarn, the cost of sending such a bale from Shanghai to Chung-king is as follows : — Tls. Mace. Can. Freight by steamer, Shanghai to I-chang ... i 4 o Insurance to I-chang "... i 6 Commission Hong's charges, Shanghai to Hankow i 9 Do. Hankow to Chung-king... 3 7 Flag expenses at I-chang 8 Re-packing at I-chang 8 6 Freight, I-chang to Chung-king 4 2 6 Tls. 732 This total ainount of Tls. 7.3.2 is equal to a charge of .64 pence per lb. on a bale of 400ibs., taking the tael at 2s. i id. and 1,220 cash to the tael. Several of the items in the above hsts of charges require some explanation. The Commission Hongs referred to are agencies whose business it is to attend to the forwarding of goods from port to port, arranging the details of tranship- ment, and paying all charges incurred thereby at Hankow, at which place the goods are transferred from the large steamers of Lower Yangtsze to the smaller light draught steamers which run between Hankow and I-chang. There THE COMMISSION HONGS 89 is no Commission Hong that will undertake to forward goods right through to Chung-king, the Shanghai Hongs working only as far as Hankow, and Hankow Hongs as far as Chung-king. The rates charged are Tls. 2 ^40 per Tls. 1,000 of value for goods shipped from Shanghai to Hankow, and Tls.4 ■ 80 per Tls. 1,000 of value on goods sent from Hankow to Chung-king. Included in the charges of Tls.i -9 and Tls. 3 • 7 are 3 candareens, and 5 candareens per bale, for hire of cargo boats at Hankow and I-chang, respectively. These boats are really used as lighters between steamer and steamer at Hankow, and between a steamer and the shore at I-chang. The Commission Hongs do not pay freights, or insurance, or re-packing expenses, these charges being paid by the importer. Insurance rates are Tls.2.40 per Tls. 1,000 of value from Shanghai to I-chang. Between the latter place and Chung-king there is very little insurance effected, there being but one company doing a small business on the Upper Yangtsze, but the fates are high, and importers prefer to run the risk of damage or loss of cargo. The flag expenses are incurred in registering and charter- ing a junk in accordance with the Chung-king agreement. When one considers the unwieldy craft employed, the primitive methods of navigation, and the character of the river, the percentage of goods wholly lost by the wrecking of boats between I-chang and Chung-king is extremely small, whilst damaged goods do not exceed 10 per cent. The explanation of this is, that as soon as a junk strikes a rock and is damaged, it is at once headed for the shore, and seldom smks in deep water. Moreover, all junks are con- structed with water-tight compartments, and are most sivilfully handled by the captain and the pilot, who know every rock in the river. go fits BLACliBURN CHII^A MISSION. Communication, Freight, and Transhipment Charges Between Chung-king and Tung- chuan, via Ho-chow and SUI-NING. Ho-chow is some sixty to seventy miles due north from Chung-king, and may be approached either by an overland route, or by way of the Kia-ling River, which joins the Yangtsze at Chung-king. The journey either way is made in three days. Goods carried by the river route pay a freightage of seven cash per catty, equivalent to .15. per pound. Boats reach Sui-ning from Ho-chow by way of the Fou- kiang River, which is navigable for junks having a carrying capacity of between 60,000 and 70,000 catties, or 35 to 41 tons, the journey taking from eight to nine days, according to the state of the water. The through rates from Chung-king to Sui-ning by this route are: Shirtings, 20 pes., 8 Jib. ... 600 cash per bale of 20 pes. Do. 12 „ i2lb. ... 600 „ ,, 12 „ Lastings, 20 „ 600 ,, ,, 20 „ Italians, 20 „ 600 ,, ,, 20 ,, Yarn, 40olb 120Q „ ,, 4001b. The English equivalent of these rates is : For Si/^ib. shirt- ings .95 pence per piece; for I2lb. shirtings 1.58 pence pel piece ; for lastings and Italians .95 pence per piece ; and for yarn .09 pence per pound. Including freight, duties, pack- ing, porterage, and all other incidental expenses, merchants in Sui-ning reckon that it costs i mace, or 3.8 pence per piece, to lay down a piece of shirting which has been pur- chased in Chung-king, a distance approximately of 250 miles. Tai-ho-chen is distant from Sui-ning 120 li, say forty SUI-NiNG TO TAI-HO-CHEN. gi miles by land, and 165 li, or fifty-five miles by river, the journey either way occupying from two to three days. The river Fou-kiang is still navigable for boats up to forty tons, but heavy draught boats cannot go beyond this place. The following freight charges are made on this stretch of river : — 20 piece 8^1b. shirtings 400 cash per bale of 20 pieces 12 pieces I2lb. shirtings 400 cash per bale .of 12 pieces 20Ctbs. yarn 200 cash per bale of 200l1bs. Taking the Scune rate of exchange as in previous examples, these rates are equivalent to .63 pence per piece of 8^1b. shirting; 1.05 pence per piece of I2lb. shirting; and .03 1 pence per S), of yarn. Above Tai-ho-chen the river is not navigable for junks, owing to the frequent shallow rapids, over which boats of only three tons capacity are able to ascend. From this cause a transhipment of goods is compulsory at Tai-ho-chen, the distance to be got over being 140 li, or forty-seven miles. The land route is only 100 li, or thirty-three miles, but whichever route is taken the journey occupies two days. Freight charges. — 16 pieces of I2ibs. shirtings 112 cash. 40olbs. of yarn 200 cash, or .22 pence per piece of shirting, and .015 pence per ft. of yarn. Beyond this place the river is still navigable for small, shallow draught boats as far as Mien-chow, situated fifty-three miles further up stream. A small tributary enters the Fou-kiang on the south of the town of Tung-chuan, which is navigable at certain seasons as far as Chung-chiang-hsien. Chung-king to Cheng-tu. by the Overland Route. Some goods are sent overland from Chung-king to Cheng-tu by way of Tzu-chow, the coolie hire being Tls. 2.8 per tiao, or coolies' load, which is made up of : 92 THE BLACKBURN CHINA MISSION. 12 pieces of I2lb. shirtings. 14 „ lolb 16 „ Sj^ife. „ This is equal to 8s. io.4d. per tiao, but this year, owing to a rise in the price of cash, and the depreciation of silver, 4 ma:ce has been added to the price of coolie hire making it now Tls.3.2 or lOs. i.6d. per tiao. By this land route we find that it costs is. 1.5 id., including taxation, to put a , shirting down in Cheng-tu when sent from Chun^^-king. Communication, Freight, and Transhipjient Between Chung-king and Cheng-tu, via Sui Fu and Chia-ting. • By way of the Yangtsze, Sui Fu is goo li, or 300 miles, distant from Chung- king — a journey which occupies seven- teen days when the conditions of water are favourable. At all times of the year this sti^etch of river is quite practicable to the largest junks, as it offers few or none of the impedi- ments of the lower river below Chung-king. The rates of freight vary from 500 to 600 cash, according to the state of the water, for 20 pieces of I2lb., or 25 pieces of 8j41b. shirtings Taking the average at 550 cash, this is equal to .87 pence per piece of I2lb., or .6g pence per piece of 8^1b. shirtings. By road the distance between the two places is 240 miles, a journey which occupies eleven days, and the coolie hire for goods is 3,200 cash per tiao of 130 to 140 pounds. Chia-ting is reached by way of the Min River in 25 days in the summer, when the water is high, and in 20 days m winter, when the river is at its lowest level. From Sui Fu the distance is 390 to 400 li, or between 130 and 133 miles, while from Chung-king, via Sui Fu, it is 1,300 li, or 433 miles. Large junks can proceed up this river at all states CHUNG-KING TO CHENG-TU. 93 of the water, but some goods are forwarded by small, light junks, which do the journey in from seven to ten days less than the larger craft The rates Wy the smaller boats are the highest, being as much as 1,000 cash for 20 pieces of I2lb grey shirtings, or 35 pieces of Sj^t''''- shirtings, while those for the larger boats are 800 cash for 20 pieces of I2ib. shirtings. The higher jates of the small boats are equal to 2s. 7.66d., and those of the larger boats to 2s. i.34d. The- Chia-ting merchants calculate the cost of bringing 20 pieces of 1 2lb. shirtings from Chung-kdng, at Tls. 3, which is equal to S./d. per piece, but these are through rates. Some piece goods go overland from Chung-king in order to avoid likin at Lu-chow, which is very heavy on such fabrics as cotton -figured las tings and woollens, but the coolie hire by this route is expensive, amounting as it does to 4,000 cash per tiao of 10 pieces of I2lb. shirtings, which is equal to 12.66 pence per piece. From Chia-ting to Chien-chang, which is ten stages over- laind in a westerly direction, the coolie hire is 50 cash per catty, or 1.58 pence per pound. Between May and October, when the river is in flood, junks can go through to Cheng-tu, but at other times the river above Chia-ting is so shallow that only boats of small tonnage and light draft can be used. From this cause tran- shipment must take place at Chia-ting during the months of November, December, January, February, March, and Apr5](, 'and at Kiang-Kow during January and February, when the river is at its extreme lowest point. The through rate for goods shipped from Chung -king to Cheng-tu is TI.1.2 per bale of 25 pieces of 8i^it., or 20 pieces of I2lb. shirtings, the the equivalent of which is 1.82 pence per piece of Si-^lfe. and 2.28 pence per piece of I2fb. shirtings. But by a curious and inexplicable trade custom 94 THE BLACKBURN CHINA MISSION. 32 pieces are reckoned as constituting a bale, though such bale may actually contain only 20 or 25 pieces. This means, that a merchant importing, say, 100 pieces of shirt- ings made up into four or five bales, would reckon the consignment as three bales. For 't(he through. shipment of goods a contract is made with the junk owner in Chung-king, who undertakes to deliver the goods in Chengtu. Where transhipment is compulsory the contracting junk owner undertakes the hiring of the necessary boats, pays all porterage and other expenses, and sees to the forwarding, &c., the through rate of Tls.1.2 including and covering all these and other e.x- penses en route, except taxation, which, of course, is paid by the importer. Taking a tael of 3s. 2d. as being worth 1,200 cash, and totalling up all charges of freight, taxation, &c., we find that it costs IS. i.o/d. to lay down in Cheng-tu a shirting which has been purchased in Chung-king and forwarded by this river route. Communication, Freight, and Transhipment Charges Between Hankow and Anshun Fu. Goods from Hankow come by the Tung-ting Lake and the Yuan River as far as Chen-yuan Fu, thence by pack animals, via the capital of the Province — Kui-yang Fu — ^to this city. From Hankow to Heng-chiang, where the goods are transhipped into .smaller boats, tb.e freight is 520 cash per picul, and from Heng-chiang to Chen-yuan Fu 480 cash per picul. From Chen-yuan Fu to Anshun Fu all goods are tran- sported by pack animals, the journey occupying ten days. The rates for the hire of animals vary according to the HANKOW TO ANSHUN FU. 95 quantity of goods coming forward and the number of animals in the town at the time of hiring, but, taldng the year through, 2 taels 2 mace, or 6s. 11. 6d. may be accepted as the average cost of transporting a picul of goods, 1 33^^ lbs., between Chen-yuan Fu and Anshun Fu. Totalling up these charges, we find that it costs 10.48 pence to bring a 1 2lb. shirting from Hankow to Anshun Fu. There is a great loss of time incurred in importing mer- chandise from Hankow, owing to the difficulty in navigating the Tung-ting Lake, and at times, when the wind and weather are unfavourable, as long a period as thrc;e months is taken to get goods from Hankow to Chen-yuan Fu. The whole of the large importations of foreign yarn, and the greater part of the piece goods, are bought in Hong Kong by the agents of Canton houses established at Pai-tseng — a town to the south of Anshun Fu — and imported by way of Pakhoi, Kin-chow, and Nanning Fu to Pose-ting, on the West River. The place last-named, is distant seventeen days' journey by land, and, in the absence of any water communication, all transportation of goods between the two towns is done by pack animals. Owing to the somewhat sparse popula- tion, there is not that superabundance of carrying coolies which is found in more densely peopled Provinces, like Szechuan, and the malarious character of the country traversed by the Pose-ting route militates against the employment of human labour for transportation purposes. The average rate of hire for pack animals is 2 mace, or 7.6 pence per diem, the load carried being i^olbs. Including all charges, commissions, duties, freight, etc., merchants here reckon that the cost of laying down a bale of yarn, 40olbs., in Anshun Fu from Hong Kong, is 27 taels, or 85 s. 6d. Of this amount, 17 taels, or 53s. lod., is absorbed between Nanning Fu and this city. For the 17 days' journey between 96 THE BLACKBURN CHINA MISSION. Pose-ting and Anshun Fu the cost of carriage is 8 taels per bale of yarn, or .76 pence per Jb. Communication, Freight, and Transhipment Charges Between Hankow and Kui-yang Fu. With the exception of a small quantitj'^ of shirtings and T-cloths that are brought up from Anshun Fu when stocks are heavy in that city, all imported piece goods and yarn are bought in Hankow, and come up by the Tung-tuig ~ Lake and the Yuan River to Chen-yuan Fu, thence by land to this city. From Hankow to Heng-chiang, where the cargoes are transhipped into smaller boats, the freight is 520 cash per picul, and from Heng-chiang to Chen-yuan Fu, beyond which point the river Yuan is not navigable, the rate is 480 cash per picul Thfs gives from Hankow an equivalent, with exchange at the rate of 1,200 cash, equal to 3s. 2d., of 44s. 5d. per ton for a distance of about 700 miles. From Chen-yuan Fu to the capital, all transporting is done by pack animals, whose owners contract to convey goods at so much per picul. The rate varies considerably according to the quantity of goods coming forward, and the number of animals in the town at the time the bargain is marie. In normal times the rate fluctuates between i lael 5 mace, and 2 taels per picul of T33j^lbs., but at the time of our visit (May, 1807), owing to the great and exceptional demand for mules and ponies to carry ammunition to the troops on the Kwang-si border, as much as three taels, or gs. 6d. per picul was being paid. Even when animals are most plentiful the rates are never lower than i tael 5 mace for the journey, which occupies seven days. Shirtings are re-packed at Hankow into bales of suitable size fur being transported by land, and I2}1b. shirtings are SUI FU TO LAO-WA-TAN. 97 made up into packages containing 8 pieces each, lotb. into packages of 10 pieces each, and 8^ lb. into packages of 12 pieces each, an animal's load being two of such packages. The cost t)f laying down a shirting in Kui-yang Fu from Hankow in normal times may be reckoned as 9.7 8 pence. Communication, Freight, and Transhipment Charges Between Sui Fu, on the Yangtsze, AND Yunnan Fu. The height by junk from Sui Fu to Hung-kiang-chang is 100 cash per 100 catties, the journey occupying two days. The goods, when unloaded from the junks, are deposited in one of the inns of the town, the innkeepers who act as for- warding agents, reserving some part of their accomodation for the goods for which they are agents. The innkeeper hires the necessary coolies for carrying the goods to Lao-wa-tan, and for doing 'this as well as ware- housing the goods until required — generally" three or four days — ^he makes a charge of 50 cash for every 100 catties. The normal rate for coolie hire between Hung-kiang-chang and Lao-wa-tan is 600 cash per 100 catties, though at times when there is a scarcity of coolies, the rate rises to 900 cash. The journey between the two places is per- formed by carrying coolies in four days, the ijistance being 260 li, or say 86 miles. The alternative route, via. Yun-lien-hsien, occupies seven days, the cost of coolie hire being 600 to 700 cash per 100 catties, though this fluctuates according to the supply of coolies at Sui Fu when the hiring is made. Of the two routes, the latter is least used, and it is esti- mated that only 2-ioths of the traffic to Lao-wa-tan go by this way, as against 8-ioths by way of Hung-kiang-chang. As at the place last named, the innkeepers of Lao-wa-tan 7 98 THE BLACKBURN CHINA MISSION. act as forwarding agents, and undertake not only to store and arrange for the forwarding, but also to pay likin, and see the goods through the Customs. For storing and fonvarding tv/o bales of Shashih-made cloth, each containing 39 pieces, the innkeepers charge two candareens ; and if it has been arranged that they pay likin an additional charge of four candareens is made. This is one candareen for each bale for storing, and two candareens for seeing the goods through the likin officers' hands. Two bales are always spoken of as they constitute a nmle's load. This system of forwarding appears to work well, and merchants very generally avail themselves of it, as by paying the small charges mentioned they are relieved from the necessity of having the goods escorted, en route, by one of their own men. The goods, after being passed by the Customs, are carried over the suspension bridge which here crosses the river, and then placed on the backs of pack animals, long strings of which stand waiting on the left bank, as they are not allowed to cross the bridge. On the road between Lao-wa-tan and Chao-tong you meet trains consisting of between fifty and sixty animals laden with tin, tea, drugs, copper, hides, piece goods, and yarn. The cost of transporting two bales of 39 pieces each of Shashih-made cloth varies from 9 mace to Tl 1.2, accord- ing to the quantity of goods coming forward, and the number of pack-animals in the station at times of hiring. At the time of our visit the rate was Tl.i, or equivalent to 3s. 2d., and the distance — 130 miles — is covered in six days. A small quantity of goods is carried by coolies between the two places ; but as they carry heavier loads than the mules or ponies, they require eleven or twelve days for tlie journey. A coolie will carry a half-bale of raw cotton, varying in weight from 60 to 80 catties, or 80 to lo^lbs., CHAO-TONG TO TUNG-CHUAN. ^9 and one bale of native-made cloth weighing 55 catties — a total load of between 153 and iSoIbs — for the sum of 1,200 cash, or an equivalent to 3s. 2d. Some men carry a half-bale of cotton, and two bales of cloth, which total up to the enormous weight of 227 to 244lbs., for whic:h they receive 1,700 cash, which is equiva- lent to 4s. i.7od., if we take 1,200 cash to the tael. This would be a feat of endurance even if performed on a good road, but when we remember the mountainous nature of the country, and the character of the roads it becomes a marvellous performance, and gives one an iidea of the capacity for work and the cheapness of the Chinese coolie. From Chao-tong to Tung-chuan goods are transported by pack animals, the regular rate for two bales of 39 pieces each being one tael, the journey occupying five days. This is equal to -48 pence per piece for a distance of 105 miles. If we take a pack animal's load as being two bales of native cloth, each weighing 55 catties, we find that between these two places goods are carried at a rate equivalent to 5.51 pence per ton, per mile. If we take the cost of freight for minerals the rate is 2 mace per diem for 120 catties, or equivalent to 5.06 pence per ton per mile. It is very doubtful whether a railway that would be able to transport goods or minerals at a lower rate than the pack animal, could be constructed through a country presenting so many obstacles to the engineer as does this. From Tung-chuan to Yang-kai the rate for two bales of 39 pieces each, of Shashih cloth, is Tl i, which is a high charge. This is caused by the roads being very difficult and bad, and the inability of the train owners to get return loads. Between Tung-chuan and Yunnan Fu there is a through rate of carriage by pack animal of from Tl. 1.2 to Tl. 1.3, the distance being some 360 li, or 120 miles. The road loo THE BLACKBURN CHINA MISSION. between Yang-kai and the capital is good, and made up of short stages. Return loads between the two places can be got, but the rate is very low. Practically no foreign piece goods come by these routes to Yunnan Fu, as the merchants there chiefly import from Hong Kong, via. Hanoi, Lao-kai, and Mengtze. Communication, Freight, and Transhipment Between Hong Kong and Canton. By an excellent service of river steamboats Canton is reached from Hong Kong in from six to eight hours, the ninety miles of waterway between the two cities presenting no serious obstacles to navigation, while the river at Canton affords anchorage to large ocean-going vessels which come up by one or other of its mouths. The following list of freight rates is taken from the " Hong Kong, Canton, and Macao Steam Boat Co., Ltd.," and the " China Navigation Co., Ltd.," current issue of charges. Hong-Kong to Canton. Cotton, Bombay Per bale $0-15 cents. Do. ,, Halfbale -lo ,, Do. Bengal or Madras Bale •\2\ „ Do. China pressed ... ,, -121 ,, Do. China unpressed... ,, -lo ,, Do. Yarn ,, 4oolb -35 „ Do. Piece Goods Case of 50 pes "35 „ Do. ,, Bale of 50 pes -35 ,, Do. ,, Bale of over 50 pes. -60 ,, Do. Drills Small bale of 15 pes. -25 ,, Do. Jeans Bale of 20 pes -25 ,, Do. Sheetings Per bale -30 Chintzes Per ease Damasks ' ,, •30 •50 CHARGES AT HONG KONG FOR WOCHOW. i.q1. We were assured that fully, two-thirds of foreign imports are brought from Hong Kong by steamer, the remaining third by junk. The latter method offers an advantage of cheaper rates to dealers, but this is a good deal minimised by the lengthened passage as regards time, and the greater risks. These slow-going craft take five days to come up, and are subject to long delays at the likin barrier of Sam-shui-pu, a few miles outside Hong Kong, where lil 67 1-91 „ Prints I 33 "95 » Turkey Reds , 4° i'i6 „ Cotton Lastings , 66 190 „ Muslins .. 60 173 „ ii6 THE BLACKBURN CHINA MISSION. Cash. Eng. Equivalent, Italians per piece 133 3-85 pence. Lastings „ 266 77°- >> Camlets „ 333 9^4 .. Handkerchiefs per doz 13 -37 „ Cotton Yarn per bale 890 2577 „ It is safe to infer that a similar ccndition of things obtains at Chin-kiang, Wu-hu, Kiu-kiang, Shashih, and I -change though we were not able to get any definiie informaticn regarding the incidence of taxation at these ports. The most important likin station en the river is Kui- chow P'u, since it is the entrance port to the Province of Szechuan for goods going up the Yangtsze. In passing this station,, all junks have to stop at least for d day or two, even when sailing under the Imperial Maritime Customs' flag, which is supposed to place a junk on the same footing as a steamer. 1'he goods carried have paid the 5 per cent. Custom? duty in Shanghai. This stoppage, too, must be observed, even though a junk is carrying goods under transit pass, which has been obtained by the goods paying once-and-a-half duty in Shanghai, I-chang, or otlier Treaty Port. But here we have an example of the impmiity with which this station taxes commodities. A native dealer carrying goods under transit pass must have his cargo and papers examined and checked by the officials of thi"^ stati-^n. For this examination, and tlie use of a boat which takes off the examiner, a charge of 264 cash is made ; eqaivalent to 8 pence in English money! Not a very large amount, cer- tainly, but this on junks carrying foreign goods to Chung- king must amount to a serious sum in the course of a year's working. No attempt is made to levy this impost on junks carrying the chartered flag, since it is well known that such a proceeding would be brought to the notice of the TAXATION OF GOODS. 117 charterers, who would immediately refer the matter to a foreign Consul. Taxation of Goods from Chung-king to Cheng-tu, BY WAY OF SUI-NING. There is no taxation imposed upon foreign piece goods on entering Chung-kmg, as these come up by junk from I-chang under chartered flag, which gives to these junks all the rights and privileges enjoyed by steamers on the Lower Yangtsze. But on leaving Chung-king, all kinds of imported piece goods pay likin at the rate of 25 cash per piece, which is equivalent to .8d. per piece, on all kinds of goods. Cotton yarn pays 8 mace, or 30.4 pence per bale of 400 pounds. All foreign piece goods entering the city of Ho-chow, for local use, pay 2 cash per catty, or .oy pence, which totals up the hkin on an 8j<^ib. shirting to .^.2 pence ; on a lotb. to .56 pence, and on a I2lb. to .70 pence, per piece. Native-made piece goods are taxed at the rate of 3 cash per 28 feet, or .09 pence ; and 7 cash jDer 56 feet or .22 pence. These are imported from Shashih and Sm-ning. It is at Ho-chow that the Hkin officials refuse to accept tiansit passes, particularly for goods shipped through to places beyond the city, and the complaints of Sui-ning merchants are loud at the treatment they receive at the hands of these officials. Especially when they dare to present a transit pass for examination junks are delayed, excuses are made as to having no time for examining papers, and oftener than not a flat refusal is given to accepting transit passes. Under these circumstances, mer- chants are forced to pay likin on all goods going through Ho-chow, at the following rates :—i mace 5 can. per bale of 20 pieces of 8 5^ lb., or 12 pieces of 12ft). shirtings, which is equal to 5.7 pence per bale. On yarn the rate is 8 mace ii8 THE BLACKBURN CHINA MISSION. per bale of 400ft., or 30.4 pence ; but, owing to the recent failure of the crops, the officials have temporarily reduced this to 6 mace, or 22.8 pence per bale. There are no duties of any kind levied at Sui-ning, but at the time of our visit a report was abroad that a likin office was about to be established. Speaking to several mer- chants on this matter, they one and all assured us that such an impost would seriously damage their business, especially that conducted in more northern markets. Name of Goods. Flannel Figured Cotton Lastings Long Ells Woollen Lastings Grey Shirtings Muslin Prints Drills Per Piece There are no duties levied either at Tai-ho-chen or Tung- chuan, but at Chao-chia-tu the taxation by way of likin is as follows: — On a tiao or coohes' load of shirtings, say, 140 to i6oibs., the rate is 150 cash, or 4.S3 pence; on a tiao of prints and woollens, 250 cash, or 8 pence ; and on a tiao of cotton yarn 500 cash, or is. 4.1 2d. We were assured The two Hinds of taxes. 119 that there has been a large decrease of trade with this place since the likin office was established. There are two taxations on all commodities entering the city of Cheng-tii, whether they be native or foreign pro- ductions. One, which goes by the name of fu-shui, is a pre- fectural duty raised outside, while likin is raised inside, the city gates. We were fortunate enough to obtain a copy of the tariff, from which the following particulars are taken : — Duty. English Equivalent. Likin. English Equivalent. Total Eng. Equivalent. Tls. M. C, s. d. Tls. M. c. s. d. s. d. I 4 4 4 672 I 2 3 9'6 8 4-32 2 8 io"64 I 5 57 I 4 "34 7 6 2 4-88 5 2 I 776 4 0*64 7 6 2 4-88 5 2 I 776 4 0*64 6 2*28 4 1-52 3-8 6 2*28 4 1-52 3-8 0, 6 2-28 4 1-52 3-8 6 2*28 4 1-52 3'8 We found that the figures of the published tariff are at variance with the actual amount of taxation levied, which can only mean that the officials can at any time place them- selves in a position to demand the published rates. Upon investigation we found the actual levies to be as follows : — t2o THE BLACKBVRN CHINA Misstate. Name of Goods. Raw Cotton Native Cotton Piece Goods .. Do. do. Figured Cotton Lastings Long Ells Grey Shirtings ... Prints Drills Raw Silk Cotton Yarn Per "tiao" of i6olb. 24 feet ... 48 „ ... Per Piece Per " pa " of 200 Chinese ozs. ... Per lolb bundle We have only to point out here, how the imported piece goods, trade is prejudiced in favour of the cheap yarns of India, Shanghai, and Japan. 1 his bears out the assurance often made to us, that the yarn trade is a growing one, witli promise of a vast future development. There are also some piece goods coming overland from Chung-king via Tzu-chow, which pay likin at the latter place, but the big dealers evade this duty by secretly com- pounding with the authorities. Duties At Other Places. • At Chung-pa 20 cash, or .64 pence, is levied on a lolb. bundle of yarn. Wool, on being exported, pays likin at Chung-pa, at the rate of 200 cash, or 6.45 pence for 300 bVfl&S AT OTHER PLACES. 121 Duty. English i^quivalent. Likin. English Equivalent. Total Eng. Equivalent. Tls. M. C. ( Z)ash. s. d. Tls. M. c. Gash s. d. s. d. o o o 240 774 240 774 I 3'48 o o o 2 o'o7 2 0*07 o'i4 o o o 3 009 4 o'i4 0-23 o 3 6 I 1-68 3 1 1 -40 2 I -08 o 7 o 2 2 -60 5 I 7-00 3 9'6o o o 6 2-28 4 1-52 380 o o 6 2-28 3 i*i4 3-42 o o 6 2-28 6 2*28 4-56 o 5 o I 7 '00 7 4 2 4*12 3 II-I2 o o o 40 1-29 80 2-58 3-87 catties, and 150 cash, or 4.83 pence, per 300 catties, at Ho- chow, which is equal to a tax of 11.28 pence for a bale of 400ibs. by the time such a bale reaches Chung-king. Silk coming down from Tung-chuan pays i mace, or 3.8 pence, per 100 liang, or Chinese ounces, at Ho-chow. Taxation on Goods sent to Ckeng-tu, via Sui Fu AND Chia-ting. Grey shirtings, on leaving Chung-king, pay 25 cash, or .8 pence per piece; at Lu-chow, 40 cash, or 1.28 pence per piece ; at Sui Fu, nothing ; at Chia-ting, 30 cash, of .96 pence per piece. "With a tael of 3s. 2d. equalling 1,200 cash, this taxation is equivalent to 3.06 pence, which a piece of shirting has to pay before reaching Cheng-tu by this route ; (22 fH& BtACkBltRN CiiiNA MISSION. or, including the taxation levied at Cheng-tu, before such goods can enter the city, we have a total equivalent of 6.86 pence. Particularising more fully the taxation levied en route to Chia-ting on various goods, we have : — Grey Shirtings, Chung-king (on leaving) 25 cash, or -8 pence per piece. Do. Lu-chow, 625 cash, or 2016 pence per bale of 20 to 25 pieces. Do. Chia-ting, 7 mace. 2 can., or 27'36 pence per bale of 25 pieces. giving an equivalent of 3.16 pence per piece between these places. Long ells and figured lastings come by land to escape some of the lildn, but on entering Chia-ting they have to pay 3 mace or 11.4 pence per tiao of, say, 10 pieces, Cotton yarn on leaving Chung-king pays 1,100 cash, or 35.48 pence per bale of 40ofl>s. ; at Lu-chow, 1,600 cash or 51.61 pence per bale; and at Chia-ting, 1,440 cash, or 46.45 pence — a total of 133.54 pence per bale, or .33 pence per pound. Six-tenths of the yarn comes up under transit pass, but very few passes are taken out for piece goods, as it seems to be an understood thing between the officials and the merchants that the latter shall use transit passes for yarn only! In order to cater for the yarn traffic, and to divert the revenue of transit pass receipts from the cofi'ers of the Imperial Maritime Customs, a reduction of .40 per cent has recently been made in the rates of the above yarn tariff. LiKiN FROM Chia-ting to Chien-chang. Grey shirtings are taxed at Ya-chow i mace, or 3.8 pence per'piece, and at Lu-ku 160 cash, or 5.16 pence per piece. Between Lu-ku and Yueh-hsu, 160 cash, or 5.16 pence per piece are paid to secure the safe transit of goods, and to A SUSPENSION BRIDG& AND ITS VSES. 123 keep them from the depredations of brigands. There is also paid to officials at Yueh-hsu a tax of 160 cash or 15.16 pence per piece, and at Chien- chang a like tax of i mace or 3.8 pence. These last two " taxes " are " squeezes " extorted from the- dealers by the officials, who have nothing but the warranty of office for the proceeding — " that they shall get who have the power." One bundle of cotton yarn is con- sidered and taxed at these places like one piece of grey shirtings. There is no likin or loti-shui at Sui Fu, except on salt, which is a Government monopoly. Taxation on Goods and Merchandise Between Chung-king and Yunnan Fu. As before explained, foreign imports reach Chung-king having paid no taxation en route, except the 5 per cent, import duty to the Imperial Maritime Customs, and it is not until redistribution begins to take place from that place that the harassing local duties are imposed. On leaving the city likin is levied at the rate of 25 cash, or 8d. per piece, irrespective of weight or quality, and again at Lu-chow, at the rate of 40 cash, or i.28d. per piece. There being no duties at Sui Fu, goods are subjected to no further exactions until Lao-wa-tan is reached, a small mountain village situated a few miles over the Yunnan border, on the main, or, rather, only road between Sui Fu and Chao-ting This is a most important likin station, and here all goods and merchandise entering Yunnan from the Chung-king and Sui Fu side have to pay likin for the Province of Yunnan before being allowed to cross the suspension bridge built across the river at this point. The bridge spans a deep gorge, and is a handsome structure, of iron rods linked J 24 tHE BLACKBURN CHINA MISSION. together, across which planks are laid to form a loadway. The likin offices being built at the approach to the bridge, on the right bank, it is impossible for anyone to cross the bridge without first passing the numerous watchers in the employ of the likin officials. Smuggling is reduced to a minimum, as it is quite impracticable, owing to the moun- tainous character of the country, to transport goods by any but the main road. Moreover, a receipt is given when likin is paid, and this has to be produced when the goods pass through the various likin stations in the Province The payment of one likin exempts the goods from any further likin charges in the Province of Yunnan, but not from fu-shui, or prefectural duties. This exemption from hkin can only be obtained on production of the receipt showing that the duty has already once been paid. The revenue collected at this station is forwarded, less expenses, to the Viceroy of Yunnan, and the sum to be paid in annually by the official in charge is a fixed one, the amount is said to be 104,000 taels, or ;£^i6ooo pounds, and the official is liable to dismissal if this sum. is not remitted, although a small deficit, say, 1,500 to 2,000 taels may be overlooked. If, on the other hand, a greater amount is paid in to the viceregal exchequer, the o.fficiai is probably promoted to a higher office in the Province. Almost the whole of this large sum is derived from imports, as exports pay likin at the various towns whence ihey pro- ceed, and duty has already been paid on them when they arrive here. The rules and regulations of the office are very stringent, and are strictly adhered to. When payments are made in specie, the 'silver is weighed by ku-ping, or Government scale, and not by the Yunnan scale — tien ping, which is lYz per cent, lighter than ku-ping. The tariff is printed in book form, and from it we extracted the follow- ing particulars: — THE INJUSTICE TO SMALL TRADERS. 125 Equivalent, Tls. Mace. Can. s. d. Shirtings, Drills, and T-cIoths, per pee. o 5 i 057 Turkey Reds „ o o 5 o i"9 Black Italians and Figured Lastings (cotton weft) ,, 0300 ii'40 Do. (woollen weft) ,, 0601 lO'So Bfoadcloth ,, 2 o o 6 4 ShashihNativeCloth, per bndle.of 3gpcs. 10032 Flannel per pee. 10032 Long Ells ,, 040132 Woollens „ 05017 Cotton Yarn, per 13 bundles or i3olbs. 3 9 o 12 42 Cotton, Raw per i33|^lbs. 0601 io'8 Umbrellas per 100 20064 Watches and Clocks each 0200 76 Standing Clocks „ o 5 o i 7 The likin deputy is appointed for one year only, and as he is naturally desirous of drawing as big a revenue ;is possible during his term of office, the following concession is granted to traders. If a merchant has goods coming forward about the time of the Chinese New Year, he Ccin, by paying likin on them in advance, obtain a reduction of 20 per cent, from the tariff rates, but the money must be paid on, or before, the New Year. Goods on which the duty has thus been paid, may be sent through up to tvv'o months after the date of payment, and it will be seen how this system operates in favour of large merchants and against the small traders, who have not sufficient capital to pay for goods long in advance. This system furnishes a glaring example of the tyranny practised by likin officials, and ' the helplessness of the trader in the hands of these licensed leeches. There has been of recent years a great appreciation in the exchange price of copper cash and silver, and at the present time, one 126 THE BLACKBURN CHINA MISSION. tael, or ounce of silver, will only purchase 1,170 copper cash, whereas formerly the same weight would cluni^e for 1,600 cash. Yet, the likiu collectors ignore this grcit and serious difference and will only accept cash at the rate of 1,600 to the tael. On the other hand, when giving change, or paying out cash, they only do so on the basis of 1,350 cash to the tael, so that the small trader, whose mediumr of exchange is cash, is robbed both ways, and, as lie has no chance of obtaining any redress, he is obliged to a,cquiesce in anything the pfificials choose to do. Again, when the payment is made in silver, 3 per cent over the current scale is demanded, so that a merchant is defrauded in ever}' possible way. After paying likin at Lao-wa-tan, goods pass free through Chao-tong, and Tung-chuan, where the only duties are small charges per head on evely animal sold or slaughtered, and it is not until Kung-shan is reached ihat imported goods or merchandise are again subjected to taxation. Here is a station for the collection of fu-shui for the Prefect of Ku-tsing Fu, in whose jurisdiction tlie village is. The fact that goods have already paid likin does not exempt them from payment of prefecttiral duty, and foreign piece goods are charged at the rate of 3 cand., i..i4d. per piece, irrespective of weight or quality. Shashih cloth pays 3 mace, or i I4d., per bale of 39 pieces, and foreign yarn 4 mace per picul, or equivalent to .iid. per lb. Native pro- ductions also fall under the heavy hand of the tax-gatfierer, for we find that tobacco (shui yen) is assessed at i tael per picul, or .28d. per lb, and opium at 72 tael cents, per 100 liang, or .2 id. per ounce. At Yang-kai the ofiicial in charge of the likin station informed us that the likin to be paid in to the Viceroy from each town, per annum, was a fixed amount, and for Chao-tung was Tls. 5,400, Yang-kai Tls. 3,500, and Tung-chuan Tls.2,500. These sums are all derived from exports, and if the officials can collect any- FIVE DIFFERENT DUTIES. 127 thing over they are allowed to appropriate it. As instancing how the opening up of the country to foreigners affects the ruling classes, this man said that since goods began to come up to Yunnan, via Mengtze, under transit pass, the revenue derived by the Prefect of Yunnan Fu from fu-shui had fallen from 2,000 taels a month to about 100 taels. This great decrease is solely due to the fact that g-ioths of foreign imported goods now come up under ,transit pass via Mengtze, and are exempt from local taxation in the interior. But by the route we are now following, goods have not the advantage of transit passes, and before reaching their desti- nation — Yunnan Fu — still another duty has to be paid. This is fu-shui, or prefectural duty at that city, and this is levied at the rate of Tl. 1.2 mace per picul, 133^ lbs., of piece goods of every description, or equivalent on a I2lb. shirting to 4.14 pence per piece, whilst on yarn the rate is 4 mace per picul or .iid. per Ife. If we take, therefore, for the sak$ of example, a I2lb. shirting — a cloth that is found in all parts of the country — and starting from Chung-kiing, trace it through Lao-wo-tan to the capital of the Province of Yunnan, we find that it is subjected to no less than five different duties, imposed at as many places, and amounting in the aggregate to is. i.o6d., or 12.4 per cent on the Shanghai value of the goods. As the duties are levied on all qualities of shirtings at the same rate, irrespective of value, the taxation per cent, on the inferior grades is much higher, and amounts in the case of 8^ibs. to no less than 18^ per cent, ad valorem. It must be remembered, also, that these goods have all paid 5 per cent,, ad valorem, on entering the port of Shanghai. Taxation and Duties on Goods to Yunnan Fu, via Mengtze and Bhamo. Goods and merchandise from Hong Kong are carried by 128 THE BLACKBURN CHINA MISSION. steamer to Lao-kai on the Tonquin-China frontier, thence overland by pack animals to Mengtze. Here there is an European Commissioner of Customs, with the neces- sary staff in the service of the Imperial Maritime Customs. There being no duties on piece goods and yarn, either at Hong Kong or in Tonquin, it is not until Mengtze is reached that any taxation is levied. At this town all goods are examined, and pay import duty at the rate of 5 per cent., ad valorem, and if they are intended for distribution through the province transit passes are taken out at a further charge of 2^ per cent., ad valorem. It must be noted that by the Franco-Chinese Treaty of 1885, the tariff in force at Mengtze is a special one, and differs from that at other ports. All merchandise — native as well as imported — entering China by way of Tonquin is to be absolutely free from all inland taxation on payment of the 2^ per cent •transit dues to the Imperial Maritime Custom.s officer stationed at Mengtze ; and all imports and exports not on the ad valorem list, pay only 7-ioths, and 6-ioths, respec- tively, of the tariff rates in force at other Treaty Ports in the Empire. Owing to the vigorous action of the French in insisting upon the full observance of treaty rights w^ith respect to goods that have passed through their territory, no objections are raised by the Chinese officials to the free circulation of goods under transit pass coming via Mengtze, and no attempt is made to subject them to any further form of taxation. Under such favourable conditions it is not surprising to find that 9-ioths of the foreign imports into Yunnan come via this route. Some ten years ago, before the Imperial Maritime Customs established a station at Mengtze, the trade route from Hong Kong for imports was via Pakhoi, Nanning Fu, and Pose-ting, but the various local duties were so oppressive, that, as soon as Mengtze was opened to trade, and merchants learned that they could THE BHAMO ROUTE. 129 in future get their goods up under transit pass, they quickly toolc advantage of the newly-conferred boon, and trans- ferred their trade to what may be described as the French route. Of recent years much has been said and written about tapping the trade of China from the side of Burmah, and the development of a great trade route via Bhamo to the Province of Yunnan, and the richer Provinces beyond, but whilst we have been writing and talking the French have been acting. It is almost incredible that, whereas goods coining up by the route described above are landed at Yunnan Fu, the capital of the Province, with no further taxation than the 7-ioths of 5 per cent, for import duty, and 2^ per cent, for the transit pass, similar goods coming via Bhamo and Tali Fu are mulcted in no less than seven different duties after crossing the Chinese frontier and before reach- ing the merchants' warehouses in the capital. The inevitable result is that traile by the Bhamo route is so harassed that the volume is infinitesimal when compared, with that coming via Mengtze, and the only textiles we could find as having come this way were a few Bombay-made toilettings, Indian shawls, and bleached jacconettes. Of these varieties the toilettings come in the largest quantities, and duties are levied on them at the following rates : — ^At Pali Fu a likin of 2 mace, or 7.6d. per piece, and a fu-shui, or prefectural duty of 6 candareens, or 2.28d. ; at Yung-chang Fu a fu-shui of I mace, or 3.8d. ; at Ton-hiung Fu a fu-shui of 5 can- dareens, or i.gd., and at Yunnan Fu, a fu-shui of i tael 2 mace per picul, or .34d. per ft>. In addition to these, there is a ting-shui, or magistrates' duty, at Teng-yue, of 3 candareens, or I.i4d. per piece, and despite the fact that likin has already been paid, the likin officials impose what is purely a squeeze on the goods when arriving at the 9 I30 THE BLACKBURN CHINA MISSION. capital, at the rate of i mace, or 3.8d. per mule's load of 14 to 16 pieces. These give a total of seven duties, amounting to IS. 8.42d. per piece. What few goods still come via Pose-ting pay likin on entering the Province at the same rate as at Lao-wa-tan, and at the capital a fu-shui is levied on piece goods of i tael 2 mace per picul, or .34d. per lb., and on yarn one of 4 mace picul, or . 1 1 d. per ft). The largest importing merchant in the capital informed us that he had tried to import yarn by the Bhamo-Tali Fu route, but owing to the excessive taxation he gave up the attempt, and now imports everything via Tonquin and Mengtze. Taxation and Duties on Goods to Huang-tsao-pa. Yarn coming into this market from Hong Kong by way of Pakhoi, Nanning Fu, and Pose -ting, pays likin for the Province of Kui-chow, at Po-chueh, at the rate of Tls. 4 8 mace, or 15 s. 2j^d. per bale, and at Hing-yi Fu a fu-shui of I tael I mace 9 candareens per bale, or 608 cash, per mule's load. These charges at the present rate of exchange give an equivalent of .56d. per lb. Shirtings of all descriptions pay likin at Po-chueh at the rate of i mace 2 candareens, or 4.56d., per piece irrespective of weight or quality, and long- ells, at the rate of 4 mace or is. 3^d. per piece. Both descrip- tions of goods pay a fu-shui at Heng-yo Fu, when arriving within the jurisdiction of that prefecture, at the rate of 608 cash per mule's load of i7olbs., making a total for the t\vo taxes of S.gSd., on a I2lb. shirting. There can be little doubt that the goods are also taxed before reaching Po-chueh, but no details of any duties imposed before Pose-ting were obtainable. The bulk of imported piece goods are brought up by ADVANTAGES OF MENGTZE ROUTE. 131 opium buyers from Canton, who are frequently to be met, in the. early spring, travelling in large parties towards the opium-producing districts of Yunjjan and Kui-chow. As they exercise much ingenuity in evading payment of taxa- tion, and avoid, whenever possible, a likin station, no reliable data can be obtained as to the duties they actually pay on the goods they carry, or what tl;iey would be called upon to pay were they to follow recognised trade routes. A few pieces are at times brought down for sale from the capital of the adjoining province — ^Yunnan Fu — to which city they have come under transit pass from Mengtze, and they are landed at Huang-tsao-pa free of any interior taxation. Taxation of Goods to and at Anshun Fu. Between Nanning Fu and Pose-ting goods are subject'^d to no duties, and it" is not until Huang-tan — a small town two days north of Pose- ting — is reached, that any toll has to be paid. At this place likin for the Province of Kuangsi is levied at the uniform rate of 2 mace, or 7.6d. per mule's load, on all kinds of imported goods and merchandise. At the current rate of exchange this is equivalent to 5 mace, or IS. 7d., on a bale of yarn, and 1.2 candareens, or .45d. per piece of shirtings, or T-cloths. At Pai-tseng, a distance of nine days, or stages, from Pose- ting, Kui-chow likin is levied, at the rate of 6 candareens, or 2;28d. per piece of shirtings and T-cloths; 5 mace, or is. 7 A., per piece of figured lastings and black Italians ; and 7 taels 2 mace 5 candareens, or 22s. i i^d., per bale of yarn weighing 400lbs. If these duties are paid for in good sycee, a discount of 14 per cent, is allowed from the tariff, making the duty on shirtings 5. 1 candareens, or 1.93d., and on yarn 6 taels 2 mace 4 candareens, or 19s. g.i2d. 132 THE BLACKBURN CHINA MISSION. Although there is one uniform tariff issued by the likin authorities for the whole of the Province of Kui-chow, the actual duty paid varies a* different stations. Thus, we find that at Po-chueh, which is also in Kui-chow, the likin on a bale of yarn is only 4 taels 8 mace, or 15 s. 2.4od. At Yung-ning-chow, a local duty is levied by the magistrate on goods entering the town, yarn paying 4 mace, or is. 3.2od. per bale, T-cloths and shirtings i candareen, or .38d. per piece, figured lastings, black Italians, and long ells i^^ candareens, or .^jA. per catty of iJ^ft)S. These rates are all subject to 14 per cent reduction for good silver. The next barrier is at Chenning-chow, where fu-shui for the Prefecture of Anshun Fu is collected. The tariff rate on shirtings and T-cloths is 2 candareens, or .7(?d., on every 10 catties, on figured lastings, black Italians, and long ells 3 candareens, or i.i4d. per catty, and on yarn 5 mace, or is. 7d. per bale of 400lbs., all less 14 per cent, for good silver. In addition to these harassing exactions, goods and mer- chandise are subjected to local taxation before reaching Manning Fu, but no exact, or reliable, particulars nre obtainable at such a distance from tlie points of imposition. Merchants here reckon that it costs i tael, or 3s. 2d., to bring a piece of figured lastings, black Italians, or long ells, from Hong Kong to this city, including all charges, dudes, etc., and 5 mace, or is. /d., for a piece of shirtings or T-cloths. Goods coming up from Hankow, via Heng- chow Fu, are subjected to no less tlian Iavo likins and six fu-shuis, though some of these are avoided by the coolies making a detour from the main road, and so escaping the tax-collectors. Goods coming up in bulk through Husan, are protected by transit passes, but the small travelling fantzu carrying a few pieces of various qualities, is unable to avail himself of this privilege, and is obliged either to avoid the likin and fu-shui barriers or pay the various TOTALLING UP EXACTIONS. 133 duties as he proceeds through the country. This presses very hardly on the small man, and many bitter complaints are heard of the iniquity of the system. Goods coming to Anshun Fu by way of Chen-yuan Fu and Kui-yang Fu are subjected to heavy and successive duties. Transit passes are taken out on the goods in Hankow, and these are recognised until the Province of Kui-chow is entered, where the passes are treated as so much waste paper. At Tsao-chia-chi, Kui-chow likin is levied as follows : Shirtings 8 candareens, or 3.04d. per piece, prints i mace 6 canda- reens, or 6.08d. per piece, black Italians and figured lastings, 2 mace or 7.6d. per piece, long ells 3 mace 2 candareens, or IS. o.i6d. per piece, and cotton }.arn 6 tael 2 mace, or iqs. 7.6d. per bale of 4001b. Then tw^o fu-shuis, or preiectural duties have to be paid, one at Chen-yuan Fu and the other at Kuei-yang Fu. On shirtings the fu-shui at each place is 3 candareens, or I.i4d. per piece; on prints, 6 candareens, or 2.28d. per piece at each place ; on black Italians, figured lastings, and long ells, 4 mace, 8 candareens, or is. 6.24d. per piece at each place, and on cotton yarn 4 mace per picul at Clren-yuan Fu, and 3 mace per picul at Kuei-yang Fu, or equivalent to .iid. and .ogd. per Bb., respectively. As soon as the goods come within the iurisdiction of the Prefect of Anshun Fu, fu-shui is levied at the rate of 2 candareens or ./Sd. on every 10 catties of shirtings and T-cloths, 3 can- dareens or I.i4d. per catty of figured lastings, black llalians and long ells ; and 5 mace, or is. "jA., per bale of 40olbs. of yarn, all less 14 per cent for good silver. Totalling up these various exactions it will be found that between Hankow and Anshun Fu they amount to, taking a tael as being worth 3s. 2d.,. 6.o8d. on shirtings, 4s. 3d. on iigured lastings and black Italians, and over 4s. gd. on Jong elL per piece. 134 THE BLACKBURN CHINA MISSION. Taxation and Duties on Goods to Kui-yang Fu. When we begin to enquire into what duties are imposed on goods before reaching Kui-yang Fu, we are afforded a very striking illustration of the almost despotic power ot Chinese officials in the interior, and the utter contempt with which they regard International Treaties. Up to six years ago, and for a period of six years previous to that, goods of foreign manufacture came up from Hanljf " The Treaty provisions have proved little more than an " abundant source of correspondence to diplomatists and '' statesmen ; annoyance, vexation and disappointment to " foreign merchants ; of squeezes and extortions to native " officials and their underlings'; of practice in duplicity and " evasion to the Tsungli-yamen." V. — Currency in China. To the student of currency questions the monetary system of China affords ample material for a prolonged and most interesting study, whilst to merchants and bankers do- ing business with the large markets of the interior it is a sub- ject of the highest importance, and one demanding constant attention. There are, in the first place, in use throughout the Empire two standards of value, each having a variable rate of exchange with the other. One is known as a tael, and the other as cash. It is somewhat difficult to understand that, despite the fact that China is a silver-using country, she has as yet no national silver coinage. The tael, which is the medium of exchange in all but the smallest transactions, is not, a coin at all, but a weight of silver varying in different localities. The cash is the familiar copper coin, moulded with a square hole in the centre^ — a very debased coin having a value of about' i-3Jnd of a penny — and is the medium of exchange in the small retail transactions of every day life. True it is that at Shanghai, Wu-chang, Canton, and other ports, silver coins are current, but their circulation is restricted within such narrow limits that the fact of there being such a coinage does not affect the monetary system of the interior. These coins, which are dollars and fractions of dollars, are minted locally by the Chinese authorities in 13 178 THE BLACKBURN CHINA MISSION. the mints that have been erected in various cities, whilst there are also in circulation many imported Mexican dollars having a present value o£ is. lod. During recent years the Viceroys of several of the pro- vinces have actively endeavoured to place the monetary system on a more modern basis by minting large quantities of these coins, but, outside the narrow limits of foreign influence, their circulation has never been regarded with favour, and the ultra-conservatism and prejudice of the people has nullified the intentions of the officials. Even in Hankow the natives refuse to accept as legal tender the locally coined dollars, in spite of all Viceregal proclamations that no imp.?diments must be offered to the free circulation of these coins. To such absurd len;jths does the spirit of conservatism lead "the natives that in Kwang- tung and Kwangsi they even take sound dollars, and after having broken them up into small fragments, weigh them in the same manner as sycee. At the present time several new mints are either being erected, or are on the point of completion, and in addition to the coins already in use there will soon be put into circulation, dollars from Nankmg, Ngan-king, Han-chow, and possibly from Sze- chuan, and Shen-si. Nothing could illustrate more y vividly the incoherency of the government of China tiian this, for instead of a coinage tliat would be current through- cut the Empire being mmted in a Govermnent establish- ment, we have the spectacle of several provinces competing against each other in issumg at least ten different kinds of dollars. It would not be such an important matter were any stan- dard of uniformity adopted, but as it is, each province is turning out dollars different in weight, design, and purity of silver, thus leading to still greater confusion. The new THE INEQUALITIES OF SILVER. lyg coinage seems likely to rival the sycee tael in its local varia- tions. The system of having a axed weight of a given metal as a medium of exchange, is based on sound principles, but in China it is rendered intricate by confusing lacal variations, both in the quahty of the silver and the scale by which it is weighed. Thus, we find that every important commercial centre has its own standard as regards the weight of its tael, and the purity of the silver composing it. From this it will be seen chat the value of a tael in one city may be much different from that in another, yet it is cnly by comparison that the tael varies, for in each city the standard, both for purity and weight, is fixed and clearly defined. So that in trading between province and province, or city and city, all that is necessary is to take into account the difference in scale and the premium or discount, as the case may be, at which the local tael stands as compared with that of the place in which it is intended to transact business. Of all the various qualities of silver in use in China, Lhat of Szechuan is the most free from alloy, whilst that used in the province of Kui-chow is ihe lowest in quality. Between these two there are in use m various parts of the country several intermediate qualities, varying from each other by such small percentages of aJloy, that were it not that the shape of the mould into which the silver is cast varies in Ihe different provinces, and that each piece is stamped by the assayers, the various grades would be undistinguisTiable by any but experts. In order to ascertain the e;:act value of a tael in the large trade centres of the interior as compared with that of Shcinghai, it is necessary to first determine- the weight and value of the tael in the latter port, and to use this as a basis of calculation in the other cases. i8o THE BLACKBURN CHINA MISSION. The Shanghai tael weighs 565.5 grains troy, and is composed of silver containing 7 per cent, of alloy, and has an exchange value of say 2S. lod. The silver in use in Szechuan is better in touch by 6.85 per cent, than that of Shanghai, whilst the scale in use is lighter than that of Shangliai by 2.24 per cent. Thus, with excliange at par, 100 Shanghai taels will exchange for 95.39 Chung-king taels ; or, in other words, when the tael in the former port is worth 2s. lod., that in Chung-king is worth 2s. 1 1.5 id. But, as a matter of fact, the difference is much greater than this, for, owing to the value of the exports from Szechuan greatly exceeding that of the imports, and because Shanghai silver, in consequence of its inferiority in touch, cannot be sent in exchange for these exports, the Chung-king tael is always at a premium, ranging from 5 per cent, to 10 per cent In summer, when the traffic in exports is most brisk, and on the other hand, owing to the high water in the river little importing is done, a merchant can often get 1,000 taels in Shanghai for 890 Chung-king taels, and though in winter, when the export trade is slack, exchange rises to 920, or 940 taels, it never reaches par. When exchange goes up it is generally being influenced by remittances of Government money being sent from the Viceroy of Szechuan, either to the Central Government or for the assistance of other provinces. Taking 6 per cent, as being the average premium of the tael throughout the year, and taking into account the difference in scale and in the quality of silver, the Chung- king tael would be worth 3s. i.6d. at the same date as a Shanghai tael is worth 2s. lod. Consequently, owing to the appreciation of the tael, goods can be sold in Chung-king at the same price in taels as was given for THE KUNG-KU INSTITUTION. i8i them in ShangHai, and yet show a margin of over lo per cent. In Cheng-tu the silver in use is the same quality as that of Chung-king, whilst the scale is laiown as chuan-ping, which is 3 per mille heavier than yu-ping. Thus i.c^o Cheng-tu taels are equivalent tc 1,003 Chung-king taels. In Hankow the tael is weighed by "sha-ping," or Shashih scale, which is .6 per cent, heavier than "yu-ping," or Chung-king scale, whilst the quaUty of the silver is known as " Kao-pao," i.e., sycee that has passed Kung-ku, or the assay office, and is 3 per cent, inferior to Szechuan silver. As the Kung-ku is an institution found in every province, the following extract, taken from the Decennial Report, 1882-91, of the Imperial Maritime Customs of China, will be of interest : — " Sycee is appraised and the touch of silver determined " by a Kung-ku, or assay office, founded by the salt firnis " and leading banks of the place. The expenditure " incurred by the establishment amounts to about Tlsi,ooo ' per annum, and this is met by subscriptions from die " salt firms and banks. The mode of valuation is by " comparing and testing the colour of the silver only ; '■ hence the Chinese expression of se (colour), equivalent to " touch. The result of this valuation, viz., the actual "weight in taels, and the ' betterness,' or amount, that has " to be added to the weight in taels to obtain the value in " taels, is written in ordinary ink on the silver ingots passing " through the assay office. In the case of broken silver " this valuation is written on the outside wrapper, together '• with the number of pieces in the parcel. Silver thus " valued passes unquestioned at the value fixed by the " Kung-ku. The appraising fee is 100 cash per 100 taels." This description relates particularly to the I-chang assay 1 82 THE BLACKBURN CHINA MISSION. office, and the system is the same, with but slight variation, in other towns of the Empire. In the province of Szechuan no silver but piao-yin, or Chung-king silver, is in circulation, and when by chance one tenders the low grade sycee of other provinces, it is absolutely refused. We had a personal experience that illustrates the difficulty of disposing of inferior sycee in Szechuan, for after trying in vain to get lOO taels of Yunnan silver changed into piao-yin, we were obliged to have the metal melted down and purified until it was up to the standard of Szechuan — -an operation in which a loss of 7 per cent, was incurred. In Yunnan Fu the silver is loiown as kung-ku yin, and is inferior to Szechuan silver by .3 per cent whilst it is weighed by tien-ping, a scale .3 per cent lighter tlian yu-ping or Chung-king scale. At Tung-chuan Fu the silver is the same as at Yunnan Fu, but the scale is 2 per cent heavier. At Huang-tsao-pa, in Kui-chow, the silver in use is 2 per cent better in touch than in Kui-yang Fu, or Yunnan Fu, whilst the scale is the sam.e as at the latter place. At Anshun Fu, also in Kui-chow, the local silver is of very poor quality, and is in such disrepute that Szechuan silver is accepted at a discount of 14 per cent The local scale is 1.27 per cent, heavier than Chung-king. At Kui-yang Fu there is. quite a plethora of various grades of sycee in use, the two roost generally met with being Piao-yin, or Szechuan silver, and Kai-shih-yin, or market silver. Of the two, the former is much the purer, and is accepted at a discount of iiyi per cent; that is, 100 taels of market silver will exchange for 88.5 taels of Szechuan silver. There are several other grades of silver in use, each being Icnown by some distinguishing name such as Lui-chow-yin, Hunan-yin, and THE COINING OF COPPER CASH. 183I: Pei-fang-yin, the last named being so called on account of a resemblance between the shape of the m.ould and the memorial arches, known as "Pei-fangs," tha.t are to be seen in all parts of the empire. This use of two or more kinds of sycee in the same city leads to endless confusion and trouble, and it is customary for a person, when asking the price of an article in a shop, to show the silver with which he proposes to pay, and the price quoted depends upon the quality of the sycee prof erred. The scale in use is 1.27 per cent, heavier than that of Chung-king. In the West River ports there is in circulation a quantity of broken Mexican and other dollars, which are weighed in the same manner as sycee, and this form of currency is more in favour than keeping the coins intact, and passing them at their face value. The mint at Canton, said to be the largest in the world, is almost idle, for, as the dollars turned out only sell at their intrinsic value, there is no profit in coining them. A portion of the establishment is still engaged in minting copper cash, and small silver coins, which, being of a convenient form, are in demand, and can be sold at a profit. The Canton tael weighs 579.84 grains troy, and the Tientsien tael SS^-S grains troy. Copper cash is coined in many provincial capitals, and here again there is an utter lack of system so typical of Chinese undertakings, and no attempt is made to have a recognised standard of weight, size, and quahty for all the provinces. Hence there are in circulation what are known as large and small cash, and as the larger coins are more valuable, as containing a greater weight of copper, they are preferred to such an extent that in some districts the people refuse to accept small cash at any price. Again, in some cities both sizes of cash are current, 184 THE BLACKBURN CHINA MISSION. though they have not the same purchasing power, the heavier coins being at a considerable premiiun. It is customary in parts of Kui-chow to weigh cash in the same manner as sycee, and upon inquiring the price of an article, one is told, say, "12 ounces of cash." This custom has grown on account of the gTeat variation m the size and quality of the coins. Of recent years there has been a steady rise in the value of cash, and whereas a tael of F.ilver would a few years ago purchase 1,500 cash, to-day it will only change for say 1,200 cash. In Szechuan, in 1895, the price was 7 mace silver for 1,000 cash, and in June, i8g6, the price had risen tc> 8 mace per 1,000 — z. rise of 1 1.43 per cent, in one )"ear. In Yunnan Fu exchange was formerly 1,500 cash to the tael; to-day it is 1,280, and at Kui-yang Fu, the capital of Kui-chow Province, it is 1,200 cash. There are several reasons adduced for the scarcit^'^ of cash, and the subsequent increase in value, but, no matter how much is minted, so long as 1,000 cash, costing 8 mace, can be melted down and sold for i tael 3 mace, so long will cash disappear out of circulation. At the same time, owing to the high price of copper ore, there is a loss on every 1,000 cash turned out, and the authorities naturally coin as little as possible. There is no space, nor is it necessary, to take note of the local variations in the tael and the cash in the small towns, for it will be seen from the above brief description, in what a hopeless state of confusion the surrency of China is. At all times there are frequent disputes, and much time is lost in money changing, or even in paying and receiving money, for the number of cash, the proportion of good and bad cash in the string, and the purity and weight of the tael, have all to be settled beforehand. "There is, in China, an army of experts in cash and THE BID FOR THE TEXTILE TRADE:. 185 sycee whose occupation would be gone were the currency reformed, but the gain to the rest of the nation would be incalculable." VI. — Competition. To everyone interested in the progress and development of our textile industry probably the question, " How far are we increasing, or even maintaining, our hold on this great market of the Far East?" is one of the first importance, is very pertinent, and is one which ought to be met in the frankest possible manner. Nor is it of less importance to know what our exact position is as regards those opposing forces which hamper and threaten the great interests in which we are so deeply involved. We look to gain ground and increase our business in a country whose every province is an undeveloped market, but if we find that we are far from gaining ground, or increasing our business, then it is of paramount importance that the causes for such loss shall be accurately determined. While we may comfort ourselves with the fact that in given classes of goods we have little or no competition to meet, yet it must be acknowledged, that the bid which others are making for the textite trade with China is at once serious and menacing; nay it has even gone so far as to force a restriction on our output of certain classes of fabrics of which we once had a monopoly. To give this point we have only to examine the amount of imports into the country of such commodities as drills, sheetings, T-cloths, and yarn, and we have a measure of the active competition, and the direction in which such compe- tition is likely to be maintained. Beginning to analyse the piece goods imports of 1 86 XHE BLACKBURN CHINA MISSION. Shanghai, we soon gauge the strength of those countries which are in direct competition with our own. I.— The United States. On referring to the tabulated returns of the total annual amounts of drills and sheetings which this country sends into the Shanghai market, we see that the Americans have made this particular branch of business all their own, and that it has grown to such proportions as may well cause us to think From the Customs' returns we have these particulars for the years 1 892-6 inclusive : — 1892, 1893. 1894. 1895. 1896. Drills ...pes. 621,882 422,190 720,084 586,983 1,214,577 Sheetings „ 1,302,695 903,335 1,287,397 888,773 2,248,032 Jeans ... ,, 18,000 24,000 26,000 22,000 52,500 1.942.577 1.349.525 2.033481 1,497.7563.515-109 Examining these figures one finds a fluctuation in the quantities of each particular kind of cloth, as well as in the total consignments, which is not very difficult to account for, if we only remember that the American manufacturer works under a combination of circumstances entirely in his favour. While a system of trusts frees him from any serious home competition, his high protective tariffs give him a perfectly free hand in the home market, and there seems to be little doubt but that his exports to the China market are con- trolled more by the state of tlie home market than by any active demand in Shanghai. This is frequently emphasised by the Shanghai market reports. For instance, in the Piece Goods Trade Report for October 21st, 1897, we have a reference to the subject "It looks," says this report, "more than probable PREFERENTIAL FREIGHTAGES. 187 "that our worst fears, as expressed last week, "will be fully realised by the action of "manufacturers in the United States, and this become the " dumping ground of their surplus stocks. . . . The '■ goods are made in utter disregard of the probable or " even possible demand for them, and have to be got rid " of, and will be offered at lower and lower prices until " some one is tempted to buy them." All the goods are consigned for sale on a commission of 2^ per cent, plus yi per cent, for the native broker. But, this is not the whole of the matter. This export trade is fostered by preferential freightages as between New York and Shanghai via Liverpool, and Suez, and Liverpool and Shanghai via Suez, the quotations at a given time being 25 s. 6d. and 40s. per ton respectively. This is, in effect, a subsidy -to American manufacturers of 14s. 6d. per ton, which in itself is equal to .gd. on I2lb. sheetings, i.opd. on 141b. sheetings and drills, and .62d. on 81b. jeans, in favour of the American cloths ui the Shanghai market. Again, these preferential rates are equally against us on return cargo, as is shown by a Freight Memo., dated Shanghai, 28th September, i8g6, which sets forth the following particulars: — Subject to rebates as per Conference Circulars, s. d. London, w« Suez Tea 40 o per ton of 40ft. Do. „ General... 35 o „ Do. through rate from Hankow Tea 47 6 ,, Manchester, wz« Suez General... 47 6 „ Liverpool „" >, ••• 42 6 „ New York „ Tea 40 o „ Do. „ General .. 30 o „ Do. through rate from Hankow Tea 37 6 „ 1 88 THE BLACKBURN CHINA MISSION. Subject to rebates as per Conference Circulars, s. d. Boston, wa New York General... 40 o per ton of 40ft. Baltimore ,, ,, ... 40 o ,, Philadelphia „ ,, ... 40 o „ The aBove particulars are comment enough in themselves to show under what disadvantages we labour as compared with our competitors in this Eastern trade. But there are several reasons advanced why the American cloths are preferred to ours : — (a) That their goods are purer, and freer, from oily and greasy substances than the EngHsh fabrics, and that owing to this quality they all the more readily absorb dye matter. This is of serious import to us, especially when we remember that fully 90 per cent, of all greys sent into this market are ultimately subjected to a dyeing process. Though there has been a great improvement in our goods within these last few years, yet we were . assured that a Chinese buyer will, from preference, take an American before an English sheeting, or drill, on this count alone. (b) That the American drills and sheetings have a fuller, rounder, and more even thread, and are at once cleaner and of better appearance. These qualities give, without doubt, a full, clothy appearance and texture to the fabrics which ours do not possess, and a " handle " which approaches in bulk and substance the better class fabrics of the Shashih looms. The Pepperill drill and Indian Head Sheeting, are examples of this. They are favourite makes in the market, and sell for more money thaii English goods of corresponding makes. ' (c) That tlie American }nanufacturers, having so few outlets for their goods, are willing to take extremely low prices during the depressions in their own home trade, such prices as an English manufacturer could not entertain. AMERICA'S INCREASING TRADE. 189 Under such conditions large quantities of goods are sent into this market. There can be no doubt but that such considerations have created a demand for American goods, that in this way American trade has been fostered, and that fresh demands for the products of American looms have been met by making the American people pay for them. But, when we examine and compare the American cloths with corresponding ones sent out by Lancashire, we must admit that we are beaten in quality and price, points in favour of the American piroducts which the critical Chinese buyer is not slow to appreciate. And, we have only to examine the returns of one of the Northern ports to which the bulk of the American goods are ultimately consigned, and note the growth of its trade in these products, to have this fact brought home to us in a forcible sort of way. For instance, in the Customs Decennial Report relating to the Port of New-chwang, for the years 1882-gi, we have this remarkable paragraph : — " I have already said that both drills and sheetings have " advanced considerably, but it yet remains for me to say a " few word.T about the rivalry that exists between the English " and American varieties. Taking first the drills, I find "that in 1882 there were 22,009 pieces of English, and "90,240 pieces of American disposed of. In 1891, the "English had only advanced to 26,170 pieces, or hardly " 19 per cent. ; while the American reached 220,715 pieces, " or an increase of over 144. per cent. Of sheetings, in " 1882 there were imported 24,739 pieces of English, av.d ' 55j350 pieces of American, so the import of the latter was "greater by 123 per cent, than that of the former; but in " J 891 we received of the American product 456,205 pieces, " and of the English 28,000 pieces only, so the American, "instead of being 123 per cent, greater, as was the case 10 "years ago, is now 1,529 per cent, greater," igo THE BLACKBURN CHINA MISSION. That this position has been maintained is evidenced by the latest returns, for in 1896, while England only sent 201,618 pieces of drills and 1,123,802 pieces of sheeting, the Americans sent 1,214,577 pieces of drills and 2,248,032 pieces of sheetings ; a delivery of drills and sheetings equal to 502 per cent, and 100 per cent respectively, more than we did. The following curious fact, which only goes to show the ramifications of American competition in textile goods, has come under our notice since returning home: — ^A well known firm of Manchester shippers actually buys in Man- chester its requirements of Pepperill drills for the China market ! II. — Japan. Whether we examine the texture, or the variety, or the general effective appearance of the piece goods which Japan is sending into the Chinese markets, the more are we led to admire the bold bid which they are making for the custom of their neighbours. By ahnost imperceptible degrees, they are educating and prompting Chinese taste in matters textile with a tact that is suggestive, and are tempting the Chinese love of dress by a study of exact requirements, rather than by a speculative intrusiveness, which throws into the market a mass of something which may or may not sell. Versatile and energetic to a degree, not only are they continually introducing new qualities and varieties of goods, but they are alsc closely imitating the older established makes ol English and American greys with a certain amount of success, though the quantity imported is com- paratively small, and the quxiily not up tc the standard of the cloths they would imitate. Ol the Imports which Japan is sending into the Siianghai market, we take the JAPANESE IMPORTS. 191 following particulars for the years 1892-6 inclusive, from the Customs' Returns : — Name of Goods. Years. 1892. 1893- 1894. 1895- 1896. Shirtings, Grey, pes. — — 10,670 850 13,962 T-cloths, 32" „ — — 1,500 10,294 11,232 Do. 36"....,. „ — — — 103 431 Drills „ — — 11,606 11,205 8,941 Sheetings „ — — 10,871 2>59i 21,625 Cotton Crimps... „ — — 5. 171 39,016 Handkerchiefs, dozs. — — 21,842 34.579 Towels ,, — — 56,749 64,727 92,799 Cotton Flannel, pes — — 52,416 63-373 35-650 • Cotton Cloth ... „ 50-979 68,089 101,722 78,388 17-517 Cotton Crape ... „ 48,767 74,284 60,985 63,076 32,257 Yarn, piculs of 1331b. — 2,516 31,012 21,831 96,075 The imports for the years 1894-5 were, of course, influenced by the war, but still the above list is full enough to indicate the hold the manufacturers of Japan have taken upon the Chinese market. These fall, almost naturally, into two divisions, in the first of which we have the ordinary grey goods, shirtings, sheetings, drills, T-cloths, and cotton flannel ; and in the second such fabrics as are ornamented either by colour, varied materials, varied weaves, or applied ornament 192 THE BLACKBURN CHINA MISSION. (A) Grey Goods. The texture of these goods ir, poor ; they are " sizy," and lack the bright, clean appearance of the American fabrics, while the thread of which they are composed is very uneven and lustreless, wanting roundness and fullness ; hence these cloths have a "paper" like "handle" and "feel," common to all fabrics of like grade. The only recom- mendation these cloths possess is that they are cheap, and the Chinaman buys them simply on that account. But, there is one of the greys — the cotton flaimel — ^which is an undoubted success in this market, and its success is due to the raising, which is only moderate in length, and less dense than the Ellerton (American) flannel. This means that the raising does not felt into a hard, non-porous surface by being worn, as would a denser pile, but remains compara- tively free and open. Tliis fact, and its price, are inducements for using it for underclothing during the winter months. We do not think, for a moment, (hat Japanese greys v.ill oust from this market, or seriously damage, our Imports of like goods, but in the second half of our list of Imports we are brought face to face with something which is not competition, since we do not send thereto goods ■ of like character, but with a speculation which has for its object the introrluction of variety, which shall at once meet the requirements and satisfy the taste of the Chinese people. Their policy, in this respect, seems an embodiment of the advice tendered to us by a leading merchant in the city of Sui-ning. Speaking of our goods, he said : — " We like your goods for their quality, but why don't you '' send us greater variety, and something new ? All that "we see of yours are a few chops of shirtings, figured " lastings and prints, and it is no use attempting to send " ws any more of these, since we can get all we want of SUNDRY AND FANCY GOODS. 193 " such goods. We spend little money on things in general, " but we don't mind spending on dress, if we can only get " such thing as we like." This the Japanese arc doing with a marked degree of success, as appears by analysing the returns in the second half of our list. (B) Sundry and Fancy Goods. (i) Handkerchiefs. — In 1895, Japan sent into the Shanghai market 21,842 dozens, and in i8g6, 34,579 dozens. The making up of these articles into boxes of one dozen, is done in a very attractive way. The boxes themselves might be of English or French origin, and the descriptive tickets are in English and Chinese. The printed hand- kerchiefs are sometimes all of one colour and design, sometimes of assorted colours and designs, but the ornament is always Chinese. (2) Towels. — These are a cheap and rather flimsy imita- tation of terry hand towels, but the import of them has now grown to respectable dimensions, for in 1894, 56,749 doz. ; in 1895, 64,727 doz.; and in 1896, 92,799 doz. were sent into Shanghai. They are all of cotton, soft and spongy in feel, and reversible as regards the terry. No attempt seems to have been made to introduce figured terry, or towels made of any other material than cotton. (3) Cotton Cloth. — These cloths are solely of Japanese origin, and have evidently hit the popular taste, as is evidenced by the amounts imported, and b)'^ the fact that they were found in every city and town visited by us — ^from Shanghai to Chung-king, from Chung-king to Cheng-tu, from Cheng-tu to Sui Fu, and Yunnan borders. In the South they are found in Hong Kong, Canton, Wochow, and away into the Province of Kui-chow. The cloths themselves 13 194 THE BLACKBURN CHINA MISSION. are simple enough, mere coloured stripes and small figured effects of blue and white cotton, or blue and white cotton and silk mixed. The stripes are narrow but decided, the figures small but effective, and, while there is nothing loud and shouting in tone, there is nothing finicking in the arrangements of colour, or figure. The goods are all narrow, averaging I4in. wide, but we have been frequently assured by native Chinese dealers that they would prefer them double the present width. Several of our samples show that they have been woven as splits, yet it is often asserted that the Chinese will not take goods woven in that manner. Again, these fabrics are graded in qualities to suit the varying purchasing power of the people, the all-cotton goods being, of course, cheapest By introducing a few threads of silk in every repeat of the pattern, a better appearance is given to the cloth, and a higher grade established. In still higher grades more and more silk is introduced, until in the highest class the warp is entirely composed of silk. These goods seem v/ell established in the market. (4) Cotton Crapes. — These are being sent into the market in almost endless variety, and style of texture, and get-up, from the comparatively coarse, filled, and finished whites, to fine, soft, fabrics, ornamented with a few threads of colour, either in stripe or check form, which are used by Chinese and foreigners alike. These goods seem as well established as the last species, though they have not permeated the country to the same extent as the last mentioned fabrics. It must not be supposed that Japan does not produce any better crapes than those she is sending into the Chinese market, as one of the writers had placed in his hands a short time ago a number of cuttings, which, for beautj- of JAPAN'S STRENUOUS EFFORTS. 195 texture, could not be equalled by the product of our looms. (5) Among ;the sundry goods we find cotton crimp stripes, plain and coloured ; striped twilled shirtings, one side of which is slightly raised ; and coloured cotton trouserings. There is, however, no great importation of these, except crimps, yet they point the direction in which Japan is tempting the Chinese market. (6) Not content with attempting to meet the require- ments of the working Chinama,n, Japan is venturing to coax the more critical and exacting tastes of the wealthy, by her consignments of fine sillcs, silk brocades, crepes,' plain and figured, silk brocatelles, and highly ornamental fabrics woven as tapestries, all of which are of a character which points to the fact that Japan is laying the foundations of a high-class trade, to accomplish which she is making the most strenuous efforts, and neglecting no detail that will help her to success. (7) Yarn. — The products of Japanese spindles are more in competition with the products of Indian and Chinese spindles than with our own, since these three have practi- cally a monopoly of the coarse yarn trade. The Imports have grown from 2,516 piculs, or 334,6281bs., in 1893, to 96,075 piculs, or i2,6io,ooolbs. in 1896. The yarn is clean and of better quality tEan Indian, consequently fetching a higher price in the market. This is surely a . range of textile production which forebodes no good to Lancashire, especially when we consider that it is all carried on with a fixity of purpose which does not mean to be baulked in its intention. This conduct in business is well illustrated by Japan's action in regard to Shashih, a Yangtsze city, made a Treaty Port by the Shimonoseki Treaty. Here the Japanese have secured premises which have been already converted into a Trade Museum, where are shown articles suitable to 196 THE BLACKBURN CHINA MISSION. Chinese wants, particularly textiles. To all samples are attached full particulars, and on these the persons in attendance are prepared to quote and book orders. The Museum is under the auspices of the Japanese Government, and is directly controlled by their Consul, already estab- lished in buildings acquired for the purposes of a Consulate. In strong contrast to this is the fact that at this time an English Consul had been assigned to the port, but had not taken up residence there, our "Consulate" being a large Chinese house boat, moored to the city shore of the river ! Japan's progressive spirit is shown, too, in the encouragement and prompting their manufacturers receive at home by the establishment of commercial museums, particularly those of Osaka and Tokio. At Osaka a fine range of buildings are grouped about quadrangular courts. One half of these is devoted to home productions, and a visitor can there see what Japan is capable of producing, can in many cases purchase the exhibits, and in others purchase on the samples shown. It was in this part of the Museum tliat we saw a number of handlooms, setting forth special gaitings and mountings for specific fabrics of high-class character, and in their apportioned parts of the buildings is to be found everydiing that appertains to an almost perfect textile industry, from raw materials to rugs and carpets, which, for colouring, design, and build, are fine examples of the weaver's art. In the second half of the building are set out exhibits of imported goods of every description. To these are attached the fullest possible particulars. In the textile division one sees attached to the samples the names of the producing or exporting firms, shippers' sample tickets with particulars of cost, and in many cases particulars of manufacture. The whole forms a fine object lesson, of which the A WARNING. 197 Japanese manufacturer is not slow to take advantage, as it shows him what other people are doing, and with what he has to compete. It is no use shutting our eyes to the fact that Japan is already a competing force that must be reckoned with, and that her present exports indicate the lines on which this competition is likely to move. Her present output of coarse grey cloths is comparatively of no serious amount, and if it were, it would be more in competition with the products of American, Indian, and Chinese looms than with our own. But, the whole genius of the people, and their traditions, which amount in their case to heredity, tend to thrust them to the front as producers of the higher grades of textile fabrics, and witli their more general adoption of the dobbie, and the Jacquard, to power-loom weaving, we may not hope to retain to ourselves for long our monopoly of even such goods as figured lastings. There is another phase of the question which is not much noticed at present, viz. , That the Shanghai cotton mills, in their giowth, will demand more and more native cotton, so that the Japanese chief source of supply will become in the future a dearer market for her to purchase in. This may ultimately drive her to make America her cotton market, which means that what is now only an active competition against English, American, Indian, and Chinese piece goods and yarns of low grade, would tlien become, under such conditions, just as active a competition against the higher grades of Lancashire staples. Some of the samples we have brought home point in this direction, and so full of innate possibilities are these people, so readily do they adapt themselves to changing circumstances, that Lancashire ought not to neglect the study of such conditions as these igS THE BLACKBURN CHINA MtSSlOM. III. — India. The piece goods of Indian manufacture, imported into the Shanghai market, are of low grade and quality when compared with English and American fabrics of the same name. Still, they are dealt with in large quantities, but owing to their rough, dirty, and. coarse appearance, the drills, sheetings, and T-cloths fetch low prices as compared with the prices ruling for the makes of other countries. They are sold simply on their merits, since they meet the purchasing power and requirements of a certain- class of the people. o ni ■" [« (u -a J3 o ' - ? O a. t-t 1-1 CO 00 m N lO ^ p) ^ i-i m o C4 0^ CO vO CO 00 ON 00 IH CO CO vo" o" ON CO C) l-< 00 >n to m cq VO en ^ t^ 00 O ^ 1 M °^ VO_ «3_ °o u 00 lO M cf CO CO >< 01 (y> in 00 i-i irs CO ON O \o ON ^ 1 c^ M N \0 CJ w 1 ^.T -f o" CO lO N M ON =5- • 00 in lO Q Ss lO ON P) 1 1> ■^ ^ q\ ^ 00 1 CO CO CO in Ti- CO On CO in ^ (J . in a* ;^ CO O CO 4-> t-" o 15 o ^ ^ 5 '^ J2 (U CO CO 3 n in o d P _I£ en .S 0) lU o c IS 1 'G JS J^ c« H c cr > THE GROWTH OF INDIA'S YARN TRADF. 199 The more striking figures in the above list are those appertaining to the amounts which set forth the steady growth of the yarn trade. The counts range from lo's to 2o's, and though the quahty is of no very high grade, yet it cannot be denied but that it meets more nearly the requirements of that vast hand-loom weaving industry spread over the whole of Central and Western China, than the yarn of any other country. It more nearly approaches the native hand-made yarn ; hence its wide-spread dis- semination. Such is its hold upon the country that in several districts, particularly those lying between Chung-king and Cheng- tu, native cotton is going out of cultivation as a non-paying crop, since this yarn can be laid down at a price with which even the native grown raw material cannot compete. . In some instances this foreign yarn is used as warp only, along with native hand-spun weft; in others, it is used both as warp and weft. There is very little doubt but that the hand-loom industry is being stimulated by this influx of cheap yarn, and that the home made cloths have largely supplanted foreign grey shirtings in provinces like Hu-nan and Szechuan, where domestic weaving is so very common. Analysing the above figures, we find that the Imports of yarn for 1895 showed an increase of 42^ per cent, on the Imports of 1892, and that 1896 maintained this improve- ment to the extent of 118 per cent, ever the figures of five years ago. But, we should probably appreciate more the immensity of this Indian yarn trade, by comparison with other imports than by mere percentages of increase or decrease, especially if compared with what more nearly affects our Lancashire trade. In 1895, there were imported into Shanghai 6,856,841 shirtings of all kinds, while India sent into the same port 200 THE BLACKBURN CHINA MISSION. 74,656,1 33lbs. of yarn. Dividing yarn by pieces, these figtires are equal to io.881bs. of yarn ior every piece of shirting sent into this market, and yet on every hand, on our journey up the country, we had evidences that this trade has by no means reached its limits, and that a further increased demand is almost certain. Again, let us assume that our Sj^, 10, and I2lbs. shirtings are all yarn, the above total weight of yarn in pounds is equal to 9,049,228 pieces of 8^1bs., 7,465,613 pieces of lolbs., or 6,221,344 pieces of I2lbs. shirtings — • truly startling figures, if we assume that if this Indian yarn trade did not exist, Shanghai would be taking so much yam or its equivalent in piece goods from us. It is such a consideration as this which leads to a reflection of a kind, which, though speculative, is none the less worth taking notice of, because it has to do with our future trade in another of our great markets. At present the yarn produced by the Japanese and Chinese mills is small in the total amount, compared to the total amount sent into this market by the Indian mills. But, we may expect that in the next few years there will be rapid developments in the Japanese and Chinese spinning industries, particularly in the latter, that the products of these will be immensely increased in volume, and that such an industry will come closer and closer in competition with India than with us, from the very circumstances under which they must need work. If such a result should come to pass, then the question : Will the Indian mills be forced to cut themselves out for a home trade ? will arise, and it will be one of serious import to Lancashire. IV. — Holland. There has been, for many years, a small importation of IMPORTATIONS FROM HOLLAND. 201 Dutch drills, jeans, and sheetings, into the Shanghai market, of which the Customs give the following Annual Returns : Years. 1892. 1893- 1894. 1895- 1896. Drills Pieces Jeans ,, Sheetings ... ,, 34,680 16,220 16,770 63,120 26,660 23,520 101,185 40,800 8,240 84.657 39J030 5.036 83,850 53.060 1,040 These figures show a marked increase in drills and jeans, but just as marked a decrease in sheetings. In the first named, the year 1895 shows 144 per cent, and the year i8g6, 1.41.7 per cent, of an increase over the year 1892, while the second class of goods show 140 per cent, and 227 per cent, for the years 1895 and 1896 respectively, over the imports of 1892. But the sheetings show a decrease of 6g per cent, in 1895 and 94 per cent in 1896, as compared with 1892, which looks as if these goods were going out of this market The quality of the Dutch goods is low, and, with the exception that they are rather cleaner in appear- ance, the same remarks might be used regarding them as were used for the goods mentioned under tlie head of India. V. — Germany and Other European Countries, Except Holland. After careful investigation and inquiry we were not able to trace any competition in grey piece goods by the pro- ducts of German, or other Continental looms. The heads of the principal houses in Shanghai, many of whom we auestioned on the matter, told us that they knew of no i02 THE BLACKBURN CHINA MISSION. importation of such goods, and this is confirmed by the fact that after very careful search in the shops of native dealers, we found no German greys exposed or being offered for sale. The only textiles of German origin which we were able to find are several varieties of woollens, and some camlets, a few black Itahans with woollen vefl, flannel, coarse blanket squares, printed cotton handkerchiefs, braids, tapes, and sundry smallwares. Russia sends some broad- cloths, but the quantity is retail in character. VI. — Competition in Southern Ports. Coming now to the Southern Forts, which are presumably fed from Hong Kong, the same factors are to be reckoned with, and the same forces are at work as in the more Northern Ports. The conditions under which foreign trade is conducted are just as irksome as anywhere else, and the obstructive tactics of unprincipled officialism just as hamper- ing to the advent of anything savouring of foreign intrusion. We have only to refer to that part of our Report dealing with the incidence of taxation on foreign imports, and the non-observance of Treaty Rights, in support of this. Turning, however, to the returns of the Imperial Maritime Customs for particulars, so that we may measure the extent of competitive trade, we have the comfortable satisfaction of finding that in our staple exports of grey and white shirtings we have practically no competitors. From climatic causes the heavier staples such as drills, sheetings, jeans, and cotton flannel of the Ellerton type, find little favour, and correspondingly small quantities are required, but of the amouiats taken we have a very fair share. In such things as handkerchiefs, towels, cotton flannel, and cotton crepe, the Japanese are running us very closely, in fact, out- stripping us, and with their cotton cloth, to which we send Defective re:turns. 203 no corresponding fabric, have established a business which has now assumed very fair proportions. India, in her yarn trade, is as active here in the South as in the North, and though the magnitude of the trade is not quite so great in actual quantities as is that of Shanghai, yet its predominance is none the less marked. For want of particularised Customs returns regarding the trade of Hong Kong, we have had to presume that the nine Chinese ports mentioned in the following tables, which have been compiled from the Imperial Maritime Customs' Returns for the respective ports, are dependent on Hong Kong for their foreign imports, and that the sum total of the nett imports of those places represent the totality of their trade carried on with our Colony. It is better that we should take nett figures, since they show the value of each port as a consuming market, whereas gross figures would give certainly the total trade of a port, but they would include re-imports and re-exports from and to other Chinese ports. But the returns are very defective in that they do not . sufficiently indicate the country of origin of several species of goods. For instance, T-cloths are all lumped together, yet on the West River we found quantities of them which were of Indian origin, as set forth by their stamps and chops. We found handkerchiefs of German origin in Canton, but they are not classified as such in the returns. It may be, too, that under the heading of shirtings there are some Indian and Japanese and Dutch fabrics, but these cannot be many, as we found very few even in Canton, and none up the West River. The following tables are self-explanatory, and, as regards the quality of goods of other than British manufacture, the same remarks as were used in reviewing the competition in Shanghai, are applicable to the various grades of goods found here. 204 THE BLACKBURN CHINA MISSION. Table showing the Principal Items of Cotton Piece Goods other than England Next Name of Goods. Lappa. Swa-tow. Canton. Foo-chow, American — Drills pes. 1.985 166 292 3.380 Sheetings „ ... ... ... Jeans „ Japanese— Shirtings „ 1.430 100 ... T-cloths, 32" ... „ ... ... Do. 36" ... „ ... Drills „ ... ... Sheetings „ ... Cotton Crimps „ ... ... Handkerchiefs, dzs. 727 1. 174 55 Towels „ 14,648 7,681 8,669 5,602 2,085 1,683 Cotton Flannel pes. 2,318 Cotton Cloth ... „ 6,720 4.738 7,700 2,897 Cotton Crape... „ 3.918 4.592 668 Yarn piculs Indian — Shirtings pes. ... 268 ... ... T-cloths, 32" ... ... Do. 36" ... „ ... 60 ... ... Drills „ ... ... 104 FOREIGN IMPORTS. 205 and Yarn Imports into Southern Ports from Countries for the Year i8c6. Imports. Pakhoi. Amoy. Mengtze. Kiung- chow. Kow-loon. Totals. 27 175 4,006 1.965 3.443 183 988 13 896 2,949 14,242 1,984 51 952 1.403 126 715 810 4. 1 13 294 917 21,524 1,209 17 6,811 13 1.430 127 120 2,425 44,010 22,913 43,074 16,671 319 969 60 106 2o6 THE BLACKBURN CHINA MISSION. Name of Goods. r Lappa. Swa-tow. Canton. Foo-chow. Sheetings pes. ... Yarn piculs Dutch — Drills pes. 34.942 106,267 94,200 26,016 leans Sheetings „ ... ... Table showing Principal Items of British Cotton Piece 1896, for comparison Next Shirtings. Grey, Plain pes. 74.521 84,664 66,416 61,635 White, „ „ 90,496 224,100 105.777 i6,i68 T-cloths, 32" „ 50,271 22,042 11,631 192,961 Do. 36" .. „ 15.481 8,004 ... Drills „ I 245 3.175 3.396 Sheetings „ 202 2 5 leans 2,690 2 Cotton Crimps... ,, ... ... • •• Handkerchiefs, dzs. 7,402 3.136 19,185 8,910 Towels „ 3 13.598 6,663 1.750 Cotton Flannel, pes. 22 2,492 1 20 924 Cotton Crape ... „ ... 529 212 ... Yarn piculs 23.742 2,142 ... BRITISH IMPORTS. 207 Pakhoi. Amoy. Mengtze. Kiung- chow. Kow-loon. Totals. 68,283 65,699 4 46,361 16,704 55-310 513.782 4 Goods and Yarn Imports into Southern Ports for the Year with preceding table. Imports. 40,362 14.457 8,880 9.171 2,467 362,573 30,743 55.050 404 19.526 4.785 547.049 34,287 51.421 7,222 13,868 4.079 387.782 12,172 18 6,696 ... 42.371 27 151 3 7 ■ 525 1,056 917 8,576 212 2,701 917 7.994 4,812 1.715 1,138 54,292 1,787 1. 510 200 714 44 26,269 5 75 ... 3.461 7,099 741 ... 30 ... 28 25,942 2o8 THE BLACKBURN CHINA MISSION. Aggregating the species set forth in the two preceding tables, we have the following, which shows in per centages, the excess or deficiency of our own textile Imports for the year 1896, as against those of competing countries. Nett imports only are taken, and of these only the principal items. The differences are so great in some of these totals that per centages need not be worked out. Class of Goods. English. Foreign. Percen Excess. 362,573 127 547.049 387,782 1,089 42,371 60 ... 8,576 6,921 247. 212 13 2,701 1.430. 887„ 917 ... 54,292 2,425 26,269 44,010 7.099 22,913 741 16,671 25,942 514,101 43,074 Shirtings. Grey, Plain pes. White, „ , T-cloths, 32'' „ Do. 36" „ Drills , Sheetings ,, Jeans ,, Cotton Crimps ... ,, Handkerchiefs, dozs. Towels „ Cotton Flannel ...pes. Cotton Crape ,, Yarn piculs Cotton Cloth pes. 437o 697o 957o NO PREFERENCE FOR LANCASHIRE. 209 If there is one feature more than another that deserves attention it is the large and striking increase in the number of German houses which have estabHshed themselves in recent years in Hong Kong and Shanghai, but more particu- larly in the former port. The majority of them are small firms possessing but little capital, but, by assiduous attention to business, by never neglecting the smallest open- ing, by working long hours for less money and commissions than Englishmen in the East are willing to do, they are gradually acquiring business which has hitherto always been in British hands. Though the piece goods which these firms import are almost without exception of Manchester origin, other articles m which they deal are of German manufacture, the principal items being aniline dyes and buttons. It must not be thought that they buy piece goods from Manchester by pre- ference, but rather that similar goods are not made by their own manufacturers, nor can these houses be reasonably expected to forward English interests in the way that is essential for the success of the British manufacturer — a feature common to )all Itrade out here except in those particular cases where a firm is directly representative of a Manchester house. It is time we realised the fact that none of these Eastern trading firms can afford to lose business out of a spirit of patriotism and loyalty to the interests of Lancashire, that they are merchants and traders first, and everything else after, and that if they can see a profit in any transaction they are as unlikely to display any sentiment as to whether the commodities are of English, Indian, American, or Japanese origin, as a Blackburn manufacturer would in sell- ing his cloth on the Manchester Exchange. Hence we are face to face with factors of competition among wiiich we have no preference, except by virtue of 14 2IO THE BLACKBURN CHINA MISSION. our prestige and the extent of our trade, which must be maintained at all costs. VI.— China. China herself is our greatest competitor in cotton cloths, if we allow that a home industry is competitive with foreign imports, but even if we do not allow this, we must admit that foreign imports have to compete with the products of her looms and force themselves, as it were, into the require- ments of the people. But so extensive is China's textile industry that we must needs examine it under several divi- sions before we can fully realise the importance of its immense volume. Thus we have : I. — The Distribution of Raw Material. (A) Cotton. Commencing close to the Settlement of .Shanghai, and extending as far as Hankow, are large cotton- growing areas which ha,ve a producing capacity equal to the requirements of what is left of tlie native hand-spinning in- dustr}' and the demands of the Shanghai and Hankow mills ; and while these fields are the sources whence Japan draws the bulk of her supplies, large quantities are forwarded up the river for distribution over less-favoured districts in the interior. What the present acreage is, or what is the weight of crop in bales, we had no means of determining, but it is certain that the productiveness of these fields is equal to all present demands, and we have been assured that there are yet large tracts of land given over to general agriculture, which are equally as suitable for cotton cultivation as the present fields, that they would prove quite as productive, and that COTTON GROWING. 211 they are only waiting the impulse of demand to be at once placed in crop. The quality of the cotton grown in the Tung-chow dis- trict is of higher grade than any other Chinese cottons, and was selling in Shanghai at the time of our visit (October, 1896), at i6j^ taels per pi:ul. This was equal to 4 5-16 pence per lb. At Hankow, on November gth of the same year, local cotton was selling at Tls.14.30 per i5olbE, or equivalent to 3.41 pence per lb. Proceeding up the river large yields of cotton are grown in the districts between Hankow and I-chang, of which Sashih is the centre, but between I-chang and Chung-king the nature of the country forbids its cultivation, and. it is not until we leave Chung-king and strike the great river plains ot Northern Szechuan that we find any extensive areas given up to it. During the season many of these are entirely given over to its cultivation, but many of the districts are feeling the competition of cheap Indian yarn, and cotton is going out of cultivation as a non-paying crop. Coming South, Yunnan is dependent on Burmah for its raw material, but this is mostly used for waddmg purposes, and such weaving centres as it possesses rely upon imported foreign yarn. In Kui-chow small quantities are grown in isolated dis- tricts, the cultivators invariably being aborigines, numbers of whom are still to be found in out-of-the-way districts. Little of this cotton comes on to the market, being spun by the growers, and woven into rough coarse cloth, which better suits the circumstances of these people than would cloth woven from the finer and more even Indian yarn. The largest quantity, as far as can be ascertained, conies from a district called Hua-shan, seven days' from the capital of the Province, and is worth at Anshun Fu Tls. 22 per 212 THE BLACKBURN CHINA MISSION. picul, or 6.27 pence per pound. This was in May, 1897. In Kwang-si little or no cotton is grown, as far as we could ascertain. In the Kwang-tung Province several unsuccessful at- tempts have been made in the neighbourhood of Canton, and further experiments are now being tried to raise cotton in view of the demand which is likely to spring up from ihe establishment of mills in Hong Kong. These do not promise very much at present. The most curious feature in connection with the native cotton industry is the high price of the raw material in comparison with other agricultural produce. Thus, at the times of our visits to the several places mentioned, the quotations were as follows: — October 8th, Shanghai, local cotton 4 3-16 pence per pound October 26th, Shanghai, Tung- chow 4 5-16 „ „ „ November gth, Hankow, local cotton 3.41 ,, „ „ January 30th, Sui-ning, local cotton 5.6 „ „ „ January 30th, Sui-ning, local cotton bowed 4.64 pence per 10 English ozs. February gth, Tung-chuan (Szechuan) local cotton 6.4 pence per pound. May 7th, Hua-shan (Kui-chow) local cotton 6.27 pence per pound. This is equal to an average price of 5.37 pence per pound. Some measure of the great extent of the trade in raw cotton in the Yangtsze Valley is seen in the following figures, which represent the gross Imports and gross Exports into and from the several ports mentioned, for the year i8y6 : fHE TRADM in RA W cotton. 213 Name of Port. Gross Imports. Gross Exports. Shanghai Piculs Chin-kiang „ Wu-hu 98,309 225 1,315 85,036 29,224 13,088 610,436 8,455 125 33,801 20,895 Kiu-kiang „ Han-kow „ I-chang , Chung-king „ Total Piculs 227,197 673,712 Total Pounds 3o;292,933 89,828,266 Thus, there is a known trade here of I20,i2i,ig9tbs., which is equal to 3,003,028 bales of 40oibs. each. These are only the amounts which pass through the Imperial Mari- time Customs, and are probably only a tithe of the actual amounts dealt in, for in addition there is whatever is sent through the native Customs, as well as the quantities re- tained for local consumption, which does not pass through any Customs, and which in both cases must be enormous. (B) Raw Silk. The silk fibre is indigenous to China, and as a fabric is of universal use in the apparel of its people. The areas of its cultivation are as wide as the country itself ■ — ^from Cheefoo in the Nortli to Canton in the South, and from Shanghai in the East to Chia-ting in the West — of course, with this modification, that some districts produce more or less in quantity, and of better or worse quality than ^14 THE BLACItBtJRN CHlNA MISSION. others. In the North, the Province of Shan-tung produces silk of very fine quality. In the Yangtsze Valley the more notable districts are those around Chin-kiang, Hankow, and I-chang. In the Province of Szechuan the great silk centres are the cities of Cheng-tu, Mien-chow, Jen-show, Paoning, Tung-chuan, and Chia-tiiig — the city of Chung- king stand- ing in relation to these as the port for exports to the Yangtsze Valley ports, Shanghai, and foreign countries. In the South, Canton is the centre of a great silk industry, her raw and manufactured products being exported in large quantities to Europe and America. The establishment of steam filatures, under Europeans, in Cheefoo, Shanghai, Chin-kiang, Hankow, and Canton, has done much to make this product of high commercial value in foreign markets, and the nice grading of qualities leaves little or nothing to be desired in this respect In the year i8g6 Shanghai exported to foreign countries and Hong Kong the following quantities and values of raw silk:— Piculs Value. Silk, raw, white 21,587 7,339,536 H.K. Taels „ „ re-reeled 9,673 3.675-930 „ „ „ Shanghai steam filature 5,293 3,069,859 „ „ cocoons 7,181 430,890 „ „ » waste 9,701 436,562 „ „ cocoons, refuse 1,608 40,210 „ „ „ noil yarn 344 27,555 » , wadding 3,338 13,614 „ In lilce manner Canton exported to Hong Kong, pre- sumably for foreign exportation, the following quantities and values : — EXPORTATIONS FROM CANTON. 215 Piculs. Value. Silk, raw white 1,475 498,078 H.K. Taels „ „ „ thrown... 62 27,874 ,, wild 419 35,067 „ „ steam filature .. . 21,748 8,056,163 „ yellow Shan-tung ... 36 9,221 „ Szechuan ... 18 3,840 „ cocoons, whole 627 43,670 „ refuse 1^683 871,144 'Though the exportation of this raw material is not a competitive matter, their manufactured and embroidered silk piece goods are put on the European and American markets in large quantities, ar^ the trade is a very active one. In i8g6, Shanghai exported To, Value. Silk Piece Goods. — Foreign Countries 1,868,948 H.K. Taels Hong Kong i,iS9>059 .. Chinese Ports... 2,713,220 „ „ or a total of 5,741,227 „ „ worth, in piece goods alone, besides other oddments, in which more or less silk was used. In like manner, the Exports of Canton are serious items, for we have, as the Exports of i8g6, the following : — To Hong-kong. To Chinese Ports. Silk Piece Goods.... value 2,649,420. 336,010 H.K. Taels „ embroidery ... „ 469.834 5.331 „ „ and cotton mixtures ... „ „ floss „ „ tliread „ „ ribbons „ 19.774 170,228 37.359 304 139,981 370 14,252 220,438 3,330,620 732,681 ii6 TH& BLACKBVRN CHINA MISSION. Large as are these several items they can but represent a fraction of the actual production of manufactured silk goods ; they are only the Exports which come through the foreign Custcims. If we could only add the quantities which pass through the native Customs as between place and place, and at the same time were we able to determine the amounts consumed locally in the silk producing districts, we could form some estimate of the actual amounts of these native products of Chinese looms — ^products which are with- out doubt serious elements in the mass of competition with which we are faced. The comparative cheapness enables a very ordinary person to use many of these fabrics in one form or other, while their texture is more suited to a climate which for several months in the year is all too hot for the wearing of the ordinary cotton clothing — causes which prompt every individual to wear silken fabrics if the nature of his work and his means enable him to do so. (C) Native Cotton Goods. We have endeavoured to show so far, to what extent the products of foreign countries are competing with our own in the great markets of China. But, there is one form of competition which is very apt to be overlooked, or at least under-rated, and which, from the conditions under which it 'is carried on, acts as a greater deterrent to the more general use of Lancashire cloths than all other outside competition put together. We refer to the universal production of native hand- made goods. The sooner we drop the fond illusion tliat we, and other competing countries, clothe China's millions, and grasp the fact that as regards the trade in foreign piece goods every province in the country is an mndeveloped market, the more hope shall we have for the future of our trade in the Far East. The fact is, we do not clothe China's .niUions ; they clothe themselves, the purchasing power of tlie individual PRODUCTiON AND CONSUMPTION. ii^ deciding whether he does or does not wear garments made from foreign cottons. There are several reasons why this factor of competition has been so long overlooked — that it is a home industry; that the business and trade in these goods are entirely in native hands, the foreign merchant having no part whatever in the trade ; and, that the importing and re-exporting of such goods in the bulk is done through the native Customs, and not through the Imperial Maritime Customs, whose returns can only represent a fraction of tlie trade. Hence it happens that the extent of the production and consump- tion, as well as the magnitude of the industry can only be gauged by personal observation, such as the mission had the opportunity of making in their travels across the country. Go where we would in the Yangtsze Valley, or in the Provinces of Szechuan, South Yunnan, Kuei-chow, or Kuang-tung, we found more or less weaving carried on, and and in many widely extended districts it is no exaggeralion to say that every cottage has its hand-loom. Though many of the towns and cities we visited had little textile industry of which to boast, yet they were well supplied with fabrics brought in from the country side. On the other hand there is a locahsation of the industry in given cities and their immediate neighbourhoods, and from these centres large consignments of goods are sent over very wide areas. Notably is this the case with Shanghai, Hankow, Shashih, and Wan-hsien in the Yangtsze Valley; Sui-ning, Le-chi, and Sui Fu in Szechuan; Ku- tsing Fu and Tsin-ning-chow in Yunnan ; Huang- tsao-pa, Anshun Fu, and Tu-shan in Kuei-chow; and Fat-shan, Canton, and Ho-nan in Kuang-tung. ^ Hence we find Shanghai native cloth far up the Yangtsze valley, and the products of Hankow looms scattered over 2i8 THE BLACKBURN CHINA MISSION. the Provinces of Kuei-chow and Kuang-si ; while the cotton fabrics of Shashih are found in large quantities on the Upper Yangtsze and in the Province of Yunnan. But in all this distribution there is an organisation of effort as well calculated to serve the conditions under which the trade must be carried on, as are our distributing methods to us. Noticeably is this the case in Shashih. In this city a daily market is held for the sale of piece goods, which is attended by agents, traders, and merchants, who, having satisfied their requirements, at once go through their goods and sort them into grades of quality. Each grade is tiien put under a given stamp, or chop, and these chops are so well-known in the markets to which the goods are sent that no other guarantee of quality is necessary, so that in Kuei- chow, say, a person will go into a shop and ask for " Ta-pan- letzu," which is a description of a given chop. The intend- ing purchaser would then be shown a piece of cloth bearing an impress on the tab of the chop asked for. Such, in brief, is the trade in native piece goods fostered by cheap labour, cheap silver, official recognition and en- couragement, differential taxation in its favour as against the importation of foreign piece goods, and the encouraged importation of cheap foreign yarn. Here, we may ask the very pertinent question. If the native piece goods trade have all this in its favour, can we compete in a class of goods produced under such favourable circumstances? It must be remembered that fully 70 per cent of the population of the interior is wholly clad in native home-spuns, and the remaining 30 per cent, but partly clad in foreign cottons. If we cannot do \hi% then our goods must wait more favourable circumstances before they become of universal use. If we cannot supply this people with similar cloths to those they have a preference for, then the market is of no more value to us than at MXPORTS FROM SHAN&HAl. 21^ present, and we must be content to wait until all that mili- tates against the use of our goods is modified or altogether done away with. Having dealt fully with ihe Chinese cotton mill industry in another place, we only wish to point out here that the growth, as measured by their exports to Chinese and other ports, has been very rapid, and that the output now reaches such figures as form serious items in the sum total of foreign competition. From the Imperial Maritime Customs Returns we find the exports of mill products from Shanghai for the years 1 892-6, inclusive, to have been : Description of Goods. 1892. 1893 Years : 1894.* 1895- Drills pes. Sheetings ,, Shirtings „ Yarn ...piculs 37.930 58>357 1.492 56,840 64,661 23 4,212 14.S93 31,090 48,100 55,526 12,444 * Manufactory burned down From the same source the exports of the Hu-peh cotton mill at Hankow are found to be : — r Description of Goods. Years : 1892. 1893. 1894. 189s, 1896. Drills pes. Shirtings „ Yarn piculs 2,013 5.970 70,288 4.413 4.255 94,698 7.263 1,560 72,980 18,868 220 THJ^ BLACKBVRN china MISSION. The above figures do not include the quantities of piece goods and yarn consumed in the immediate neighbourhood of the mills. What those quantities are we do not know, but we do know that many of the mills retail, as it were, large quantities of their produce, which, of course, do not figure in the Customs Returns. We have now dealt with the more potent factors of competition, and when we couple these with such things as taxation, nullitying of transit passes, fluctuation of exchange, the difficulties of transit, and the possibilities of cheap labour, the whole forms an array of difficulties which must be considerably modified before we can hope for any con- siderable expansion of our textile trade. The incidence of taxation alone is prohibitive to the more generril use of our goods, and we have everything to gain by insisting on a more liberal interpretation of our treaty rights than that which obtains at present. Yet the position is not without hope, for though we have been worsted in the competition in certain classes of goods, we have a monopoly iu odiers — a position which no other country seems to have been, so far, bold enough to chal- lenge. Time after time were we assured in oiur progress through the country that the goods sent in by us were per- fectly satisfactory, and weilsuited to the class of people who had the purchasing power and the desire to possess a better finished and lighter cloth than their own home spuns, nor could any of the lai'ge merchants in Szechuan, Yunnan, Kuei-chow, Kwang-si, or Kwang-tung, suggest any im- provements in widtli, lengtli, quality, or make up, ihat would Ijc likely to lead to any increased demand. So that, to attempt any cutting at the quality of our cloths would be a fatal policy, for it is solely owing to the fact of our not having done so that after years of practical experi- ence, these people have proved the high quality and COTTON MILLS IN CHINA. 221 regularity of our goods. That which is our greatest security proves the greatest obstacle to the introduction of any new chop of lilce goods into such a market as Szechuan. Yet we have everything to gain by keeping to a high standard of quality in all we send to this people. VII.— Cotton Mills in China. The end of the disastrous Japanese campaign, and the subsequent signing of the Treaty of Shinionoseki, marked the beginning of an era of commercial and industrial enter- prise and activity that has already produced results satisfactory to the initiators, and that cannot fail to be a source of great wealth to the country in the future. The Central Government, almost panic stricken by the fear of fuither disasters, recognised the futility of hoping to check the Japanese troops, splendidly officered, and efficiently armed, by despatching against them dro^-es of ill- clad, under-fed coolies, armed with a heterogeneous collec- tion of antique and rusty weapons, and led by military mandarins of the most effete type, whose only thought for the men under them was as to how far they could squeeze their pay and rations. The prospect of the investment of Fekin, or Moukden, was, to the official mind, too awful to contemplate, and led the Government to seek peace on the victor's terms. Amongst the concessions thus wrung from China^ — and it may safely be said that but fcr the exigencies of war they never would have been grantee — ^thc one most important to foreigners was that conceding to them the right to import machinery, and to engage in all kinds of manufacturing industries in the open ports of the country. Foreign firms, who were large importers of English piece goods and Indian yarn, and who saw the ever increasing and almost illimitable demand for yarn of coarse counts, at 222 THE BLACKBURN CHINA MISSION. cnce took advantage of the new Treaty, and began the erection of four spinning milJs. Tluee of these were to contain 40,000 spindles each, and the other 25,000 spindles. Previous to this time there had been in operation in China six mills, containing 183,000 spindles, owned and worked for the most part by officials, who had, to their chagrin, found foreign supervision indispensable. These officials look upon the mills in which they are interested as very proper places of employment for their needy friends and relations, and in Chinese owned mill -5 one is surprised to see in every department numbers of richly-dressed, indolent gentlemen, lollmg about, or deeply engrossed in the study ol Chinese classics. Enquiry from, the English manager elicits the information that these are the friends of the controlling officials, and that, although they know absolutely nothing of the work, in fact being literati, they have a pro- found contempt for manual labour of any kind ; they are all on the pay list, as " superintendents, overseers, and as upper hands," with similar euphonius titles. These men are simply to be regarded as parasites fattening on the labour of others, for, although they jjominally occupy lesponsibie posts, they are mostly content to leave everything to the foreign manager, and, in fact, may for months together never be seen at the mills, except when their salaries are due. The following is a complete list ol the mills now at work in China : Name. Ring' Spindles. Looms. Shanghai, Hua-sheng-chang Cotton, Cloth, and Yarn Company 65,000 750 Do, Ta-sheng-chang Cotton, Cloth, and Yarn Company 25,000 Do. Chinese New Spinnhig Company .. 15,000 350 Do- Yu-yuan Spinning Company 27,000 THE NATIVE GROWN COTTON. 223 Name. Ring Spindles. Looms. Shanghai, Chang-kee Cotton Mill 17,000 Ning-po New Mill 11,000 Hankow, Hu-peh Cotton Mill 34,000 1,000 Do. Hu-peh New Mill 50,000 Shanghai, Ewo Cotton Spinning and Weaving Company, Ltd 40,000 International Cotton Manufacturing Co , Ltd. 38,000 Laou-kung-mow Cotton Spinning and Weaving Company, Ltd 25,000 Soy-chee Cotton Spinning Company, Ltd.... 40,000 Soo-chow New Mill 30,000 417,000 2,100 The erection of several other mills is being contemplated, and for one at least — a mill of 100,000 spindles — the order for machinery has already been placed with a Lancashire firm. The four inewly-erected foreign-owned mills only commenced operations in the early part of 1897, and have not yet all their spindles working. The cotton used is all of local growth and origin, and one sees the cotton plants — an armual shrub — growing abundantly right up to the very gates of the factories. The greatest quantities are grown in -the Eastern provinces, abutting on the Yangtsze, and in the Hankow district, though the plant is to be found along the course of that river as far west as Kuei-chow Fu, in gradually decreasing quantities. Prom the samples forwarded to the Chamber it will be possible to grade the quality of cotton on which the manufacturers have to rely. It will have been seen that the staple is short, harsh in " feel," but of good colour, and very clean and free from chips. The best quality is that grown at Tung-chow — a place fortv miles distant from Shanghai. 224 THE BLACKBURN CHINA MISSION. There is a considerable quantity of brown cotton grown within a few miles of Shanghai, which is now being used in some of the mills. It has all the qualities of the white, but 13, in addition, more woolly, and has better flocking qualities. It would not be found profitable to attempt the spinning of higher counts than 20's from the cotton as it is at present brought into the market. One local authority, however, assured us that could he have a free selection of cotton he could spin far higher counts than at present, and that all of it is capable of improvement in its staple by better cultiva- tion. As he says, all grades are lumped together when being brought to market. It is very improbable that the farmer will see the advantage of attempting to produce a better stapled cotton by careful selection of seed, and impro-\'ed methods of cultivation. The Chinese, in their ultra- conservatism, are very slow to move, and seldom attempt to improve the breed of animals or growth of plants, as is shown by their failure to produce teas suitable for the altered taste of people in Europe. From time to time other cottons have been experimentally tried, with a view to ascertaining whether a suitable cotton could be imported cheaply enough to compete with the Chinese crop. Thus one Shanghai mill has tried 100 to 150 bales of American in this way, and although a much greater production and a better yarn were obtained, the cost of the raw material was too great, and a correspondingly higher price could not be realised for tlie yarn. In October, 1896, local cotton was quoted at Tls.i6ji^ per picul, equivalent, with exchange at 2S. lO^d., to 4 3-i6d. — 5-16 per lb., whilst in October, 1897, the price was Tls.14^ per picul, equivalent, with a 2s. 8d. exchange, to 3 7-i6d. per lb. Previous to the erection of the new mills cotton had for years never been dearer than ris II per picul, and the great advance in 1896 was attri- buted to the action of Chinese capitalists buying and holding LARGE COTTON GROWING AREAS. 225 large stocks of the raw material, in view of the early starting of the mills. There can be no doubt but that the rise — 33 per cent, in twelve. months- — ^was purely artificial, for such large areas of land in the Yangtsze valley are under cotton that the demand from one or two mills could have little effect upon the price in the absence of local restrictions. At one of the new mills, where Chinese cotton is being solely used for spinning 14's and i6's, the percentage of loss at the engine head is as follows : — looLBS. Ginned Chinese Cotton. Lbs. Ozs. Loss in exhaust opener 3 8 ,, finisher i 3 ,, card strips 2 3 ,, card fly i 9 Invisible loss 2 9 =11% One would expect, considering the natural cleanness of the cotton, the percentage would have been lower, but it must be remembered that in every department of a mill worked by Orientals there is an amount of waste continually going on that in a Lancashire mill would speedily end in bankruptcy. We are unable to explain why Chinese cotton should be so dear as compared with similar qualities grown in other countries, especially when the low prices of other native productions are considered. For instance, rice in Shanghai is worth >^d. per lb., in the interior 4>^lbs., one penny ; best indigo in Kwang-si, 2d. per lb., best Shanghai silk, 8s. 6d. per lb., coal at Hankow, 3 s. per ton. Yet, w-.th such prices prevailing, the local cotton is dearer than mid- dling American in Liverpool. The counts spun range from lo's to i6's, there being the 15 226 THE BLACKBURN CfflNA MISSION. greatest demand for 14's to i6's. There is no difficultj' in selling the yarns, and large quantities are purchased by people coming to the mills for a few bundles at a time. Those mills which have looms, spin some weft for their own use, but no weft is put on the market from any of the mills. As we have stated before, much of the yarn is sold at the mills for distribution among the handlooni weavers of the district. This is made up by the purchasers in quantities suitable for being easily carried into the surrounding country. Yarn intended for shipment to Yangtsze and other ports, is made up into bales of 40olbs, or 3 piculs. At the Wu-chang Mill, Hankow, where the manager studies the details of transportation, yarn that is intended for over- land transit is made up into packages of 8olbs. each, this being the load usually carried by coolies. As at only two of the Chinese-owned mills are any reliable returns kept of the production, and as :he European owned establishments had only a few spindles running at the time of our visit, we are unable to enter as fully into the most important question of production as we could wish. At one mill the production is i2,6oolbs. per day of eleven hours, spinning 14's and i6's twist, or equivalent to 5.S0Z. per spindle. At the other mill, the production is 6.50Z. per day oi 11)4 hours, spinning the same counts. At the otlier Chinese owned mills the question of production does not trouble the management, who, so far from having accurately determined what the various frajmes are turning off, are unable to give the total weekly output ! The foreign owned mills are likely to do much better, and. the managers are expecting, when all the machinery is in operation, and when the natives understand their work, that they will produce 80Z, per spindle per day of 11 hours, of counts 14's and i6's. It must be remembered that the majority of the workpeople when first taken on know absolutely nothing of the work, NIGHT AND DA Y SHIFTS. 227 and have to be taught everything — difficulties that put, for the time being, the question of production in the back- ground. The cloths produced at the mills we have visited have no wide range of quality or character, consisting, as they do, of plain cloth, sheetings and drills. Whichever we examine we find that lack of finish so characteristic of hand-made goods, though they are more even in texture than the latter. This arises from the fact that the weavers are not the highly trained operatives we are accustomed to in Lancashire, whilst the low reeds and pick, and the coarse nature of the material, and counts of yarn used, are sufficient to account for the imperfections in cover, that mar these cloths. Though these are suited, both as regards quality and price to the requirements of the people, we are assured that yarn finds a more ready sale than cloth ; so much so, that, at the Wu-chang Mills we found over one half of the looms stopped, the manager explaining that such was the demand for yarn that it was more profitable to sell the yarn than to make it into cloth. All the mills work night and day, thus necessitating two shifts of workpeople, and on taking an average of the various mills, we find that each set work 71% to 72 hours per week, and will put in 200 — 320 v/orking days per annum. During the day there is a break of one hour for the mid-day meal, but during the night there is no stoppage, the workpeople sustaining themselves by a small quantity of food, hastily taken as opportunity serves. At the time of the Chinese New Year the mills stop for one week, and considerable trouble is experienced from the laxity of the people in not returning to their work at the appointed time. It is difficult to get them to realise that at the end of one week they must return promptly, and they seem to think that a day or so is too small a matter to make any- trouble about But it is when we come to enquire into the 228 THE BLACKBURN CHINA MISSION. question of wages that we, coming directly' from the midst of the highly-paid Lancashire operatives, are confronted with statements of fact that are difficult to credit, or appreciate. For we find that, with the exception of reelers, all persons are paid by time, and that an able-bodied, experienced hand will only earn 15 to 20 cents per diem — 3.36d. to 4.5 5d. English^according to the individual capacity for work; whilst children, whose ages vary from 8 to 13 years, are being paid at from six to nine cents per diem — i.36d. to 2.od. English. Reelers are paid at a fixed rate per everj'^ 100 hanks reeled, and the average earnings are not more than 20 cents per diem. There are no operatives working in the spinning mills in China, excepting foremen and mechanics, earning more than 5d. per day of 1 1 hours. The starting of the new mills, and the subsequent insane compe- tition amongst the various managers to attract each other's hands, has led to a rise in wages which can, however, only be temporary, and which, had selfish interests been sub- ordinated to those of the trade, would never have taken place. There is such a mass of labour seeking employment, and only prevented by lack of opportunity from becoming expert, that any permanent rise of wages is most impro- bable. To such ridiculous lengths was this touting for hands from other mills leading the managers that they met and mutually agreed not to pay more than a certain rate, and to cease competing against each other. Turning to the weaving department, we find there is, owing to the mills running night and day, and two shifts of weavers working the same looms, a different system of payment in vogue to what we are accustomed to in Lanca- shire. Each weaver is paid according to the number of cops he or she weaves, a careful account being taken of the quantity issued, and all waste and tubes being weighed against the weaver. In Shanghai, weavers earn from 20 to CHILD EMPLOYMENT. 229 35 cents per diem — ^4.S5d. to 7.94d. — a wage complained of by the managers as being excessive. At the Wu-chang Mills rates are lower — a weaver's wage not exceeding $3^, or 6s. 6)^d. per month. Good experienced foremen in the various departments of these mills are paid 30 — 35 cents per diem — eqaal to 6.82d. to 7.94d. English. Mechanics who. can erect or repair a machine as skilfully as any English artizan, though not so quickly, receive lod. per diem, and stokers and engineers 26s. to 28s. per month. In going through the mills we were astonished at the large numbers of young children employed on the various machines. On our remarking on this to the managers they informed us that their work was quite satisfactory, but that more super- vision was naturally required in consequence of the youth of the children. The coal consumed is entirely imported from Japan, and a fair quality costs, laid down at the gates, 3 J^ to 4 taels per ton, equivalent to lOs. 6d. to 12s. English. At Hankow, Chinese coal can be bought at i^ taels per ton, or say 4s., but the quality is inferior to Japanese. Were the officials to encourage in any way the development and worldng of the enormous coal deposits in the country, so far from it being necessary to import coal from Japan, the position would probably be reversed, and China would become the exporter. The equipment of these mills is as complete in every respect as the most modern of our English factories, and no expense has been spared in buying machinery and ap- pliances of the latest and most approved designs, Each building — they are, on account of the difficulty of obtaining good foundations constructed two stories high only — is lighted throughout with the electric light, and has a complete sprinkler installation, whilst the machinery, engines, and boilers are of the best Lancashire make. In only one case, and that arising from ignorance and an economical spirit 230 THE BLACKBURN CHINA MISSION. amongst the Chinese owners, did we find the management tampered by antiquated appliances — a case where the directors had purchased partially used marine boilers, and had them placed in position. These had done very weil for some time, but now required replacing by a more •suitable type. Ihe general planning of the mills and the disposition of the machinery is very good —the ample floor space being in striking contrast to our own ever-crowded interiors, while the head space, in all departments where dust and steam, are generated, is so liberally adequate as to ensure the best hygienic conditions. The question of the competing value of the labour eiic ployed, an organised body of producers competing with our home labour on unequal terms, is one of the most serious we are called upon to consider. The value of this labour is enhanced, as a. competing force, by the circumstances uader which it is being employed. I'lie conditions are not equal, and are in favour of the Eastern employer. The sooner Lancashire people begin to realise tlie meaning of this, and set about to counteract it, the better it will be for employer and operative alike. For we have (i) A people physically and constitutionally capable of great endurance in following any employment however arduous ; (2) a people whose temperament and disposition are suitable to their being organised into a producing body of workers, incapable, as yet, of dictating terms ; (3) a people having a capacity for applying themselves to any mechanical work such as is demanded from the majority of cotton operatives ; (4) a people who as handicraftsmen to the manner born, are readily adaptable to any kind of work where deftness of manipulation is required ; (s) a people who, on account of the low cost of living, are content with small wages, and make no anreasonable demands. If we e.\aminc these pomts one by one we can come to no other conclusion but THE DOCILITY OF THE CHINAMAN. 231 that, on the whole, their circumstances are favourable to the development of the Eastern cotton industry. Comparing the conditions now obtaining in the case, this Oriental labour and our own, there is on the one hand, cheap, plentiful, submissive, capable labour, plus the best machinery we can give it ; on the other hand, dear, dictating &nd exacting labour, plus the same: machinery. Can anyone call these equal conditions? Are they not in favour of the Shanghai capitalist, who can see that his money will be more profitably employed by utilising this labour than by selling English piece goods? We find these people working, in two shifts, 144 hours per week, and requiring nothing more than a bowl of rice, or wheaten cakes, to enable them to work without intermission for 11 hours. The managers are all unanimous ,that the production of yarn by the night shift is not so satisfactory either in quality or quantity, as that of the day shift, nor could it well be otherwise, especially seeing that during a great portion of the night the European supervisors are absent. The mental habitude of the people is such that they readily acknowledge authority, and quickly become amenable to discipline, and are wanting in that self-assertiveness and pugnacity which are so characteristic of the Lancashire operative. Their ready adaptability to any mechanical work is shown by the fact that a new hand is just as readily taught to run one machine as another. One has only to take note of the thousand ingenious devices these people employ for simplifying or accelerating their work, and couple this with the fact that, so soon as ever a child is able to do any piece of work, it is at once employed, to see that here is a mass of plastic material, all the more readily adaptable from its training, and ever ready to be usefully employed. But, more than this, previous training in mechanical handicrafts has fitted the Chinaman for the 232 THE BLACKBURN CHINA MISSION. delicacies and intricacies of mill work in an especial way. One has only to walk through one of these mills to see that worlcers are quite at their ease in looking after the several machines, and carrying on the necessary operations. Vv'hat can we say when we find adult labour uncom- plainingly receiving 5d. for a day's work of ii hours, and not in a position, at present, to make irritating demands on the employers? We find children receiving i^d. to 3d. a day, and foremen, who are responsible for their work- people and the machinery in their respective sections, being paid 7^d. to 8d. per day, and one speculates on what it must all mean. It must, however, be admitted that, on the whole, the quality and efficiency of this labour is greatly inferior in productiveness to the high standard we have attained in Lancashire, that the perfcctness of finish at each operation is not so complete, and that it is wanting in that quick, alert, persistency of application so familiar to us in the case of our own workpeople. There is a waste of material that compares unfavourably with the rigid economy rendered necessary by the severity of competition, practised in our Lancashire mills. The relative efficiency and producing powers of Chinese labour and that employed in a similar capacity in Lan- cashire, bears the ratio of 3 to 5, though in many instances the hands attain a degree of proficiency, particularly as regards quality, at least equal to, if not better, than that obtained from English and otlier European labour- It seems to us that this question of the efficiency, price, and supply of Asiatic labour, is of the utmost importance to LancEishire, for the real point is, not what its present value is, but what it may become ; that it is not about the present imperfections, but about the ultimate comparative perFectness to which this labour will attain in the near future. For we must not forget that every mill erected in OPERATIVES WELL PAID. 233 China, is a training school for the greater perfecting of a mass of la.bour that is for the moment more abundant than the demand. The system of apprenticeship, which is universal throughout China, is already taking root in the new industry, and the hundreds of young children now at work are destined to become skilful, trained hands in the future. There can be no greater fallacy than to call the wages now being paid "starvation wages," or by similar phraseology to imply that the employees are accepting a remuneration insufficient to meet the daily requirements of life. To the Lancashire operative, who is receiving as much per he air as these people obtain for a whole day's work, it may appear so. Stich, however, are the conditions of life, and so low is the cost of Hving in China, that the mill hand with 5d. per day is just as well off, and can command as niar.y luxuries as the man in Lancashire, who thinks he is underpaid at 22s. per week. Many of the people can earn J 00 per cejit. more at the mills than they can make at any other occupation, and are better off by that percentage than agricultural labourers and coolies of every description. A Chinaman, with 5d. per day coming in, will be well fed, well clothed, well housed, will smoke more opium than is good for him, and will be able to indulge in theatre going and other social extravagances to his heart's content. The fact is that a cent in China has a greater purchasing power than has one penny in England, so that a native mill hand in Shanghai is in no sense inferior to a Lancashire operative in being able to satisfy the requirements of everyday life. Both Australia and America have had experience of the Chinaman's capacity for work, and of the manner in which the Oriental can grow rich on a wage that a white man would find inadequate to purchase food alone with. So overwhelming did the immigration of Chinese into these two Continents threaten 234 THE BLACKS If RN CHINA MISSION. to become, that an almost prohibitive poll tax is now imposed, placing a check on the flood of Oriental labour that was carrying all before it The fact is, that a man of good physical, constitutional, and intellectual qualities is cheaper in China than in any other country of the world, but he lacks those higher moral qualities — honest}-, patriotism, public spirit, and backbone — that seem to be innate in those destined to become leaders of men. It was said to us in Shanghai, that the mills are not in competition with Lancashire, but that their erection could only affect Bombay and J.ipanese spinners, and that they are but a natural growth, arising out of a favourable combination of circumstances that seemed specially to invite the founding of new industries. They may not be in direct competition with Lancashire, because the coarse yarn trade was lost to that county years ago. It is a state of things past competition. But, since they provide a supply of yarn which is utilised by the native industry to the detriment of English piece goods, they must be considered, in one way, as being in competition with us, and signs are not wanting that the immense quantities of cheap yarn now being distributed all over the country are curtailing the demand for imported piece goods. In many parts of Szechuan the native piece goods are, to some extent, displacing English shirtings, and merchants find the yarn trade much more profitable than the selling of piece goods. It may be argued that cloth made from foreign yarii is very different from English shirtings, and this is so ; but the inducement to a Chinciman m.ust be strong, especially if he be only a grade above the coolie class, and a smart appearance be not essential to his happiness, to change from a cloth made, perhaps of 2o's/2o's to one made . of 28's/28's. The English shirting looks smarter, but the homespun is cheap and durable. It is not that the people CLOTHS FROM HAND-SPUN YARN. 23S are requiring less, or that their powers of purchasing have become more straightened, but that their wants are being met from other hands than our own, which is the cause of the falling- off in our export of piece goods and yarn. For the immense quantities of cheap yarn produced by their own, the Japanese, and Indian spindles^ are fostering the native hand- loom weaving industry, finding employment for an abundance of cheap home labour, and resulting in the production of fabrics of a quality more suited to the lives and occupation of the mass of the people than otir own finer goods. Nor, vast though its proportions now are, has the trade reached its limits. In many districts the machine-made yarn has caused the spinning wheel to be thrown aside, the weavers preferring to go to the nearest town, and buy, in a convenient form, just what suits their requirements. But there is still an enormous quantity of cloth produced from hand-spun yarn, and Mr. Neumann, Commissioner of Customs at Shashih, estimates the export of locally made piece goods to other districts to be more than 150,000 piculs, or i9,995,ooolbs. per annum, all made from hand-spun yarn. It can only be a question of time before these cloths are all made from imported yarn, and already they are feeling the pinch of competition with the cheaper' cloths woven in o.lher parts from machine made yarn. At one time, there seemed to be a prospect of an excise duty of 10 per cent, being imposed on the produc- tions of the mills, but it has now been definitely settled that yarn produced ;it the milL shall pay exactly the same duty, and no more, than yarn imported into the country from India, Japan, and elsewhere. By this equitable arrangement, greater security is given to the industry, and what at one time was a serious menace to the interests of the trade, lias, for the present, been removed. That it was certainly the intention of the Chinese 236 THE BLACKBURN CHINA MISSION. Government to tax the yarn produced at the new mills is beyond all doubt, and the keynote was sounded to 11s by Lo Feng Lu, secretary to H.E. Li Hung Chang, whilst crossing the Pacific. He said, when discussing the present commercial situation, that our Chambers of Comm.ence in England ought to support China in her attempt to tax the productions of the new mills, thereby raising money for Imperial purposes, and look, said he, "How this would help Lancashire." But would it help Lancashire? Rather would it help Japan and India. This gentleman seemed to shut his eyes to the fact that the present industry is already taxed, inasmuch that their raw material has paid likin before reaching the mills. It is contrary to Chinese ideas of governing a country to encourage or foster any new industry. They solely regard commercial development in any form as something to be taxed. There is another consideration which may in the future modify the con- ditions of textile manufacture in the East, and which is worthy of note. We have already seen that Chinese cotton, for its quahty, is certainly dear. In view of the great extension of the spinning industry, which is certain to take place in China, can that country respond to the demands made upon her for raw material, without raising the price immoderately? If not, is Japan, no longer able to look to China for 25 or 30 per cent of the cotton necessary for her spindles, going to purchase more and more from the American mairket? The Pacific seaboard is said to present large areas of land very well suited to the growing of cotton, and it only requires an active demand from Japanese spinners to ensure the production of cotton in districts more accessible to the source of the demand, than are those from which the present supplies are derived. We may be sure that the Japanese, as soon as they can obtain a higher grade of cotton at a low price, will try to produce GOOD DIVIDENDS FROM THE NEW MILLS. 237 finer fabrics, imitating and competing witH old-established grades and qualities. Turning to the more practical side of the question, we are confronted with the inquiry. Do these mills pay, and how far are they realising the expec- tations of the promoters? The answer to the first will cover, also, the second query. The Ewo Cotton Mill Co., whose agents are Messrs. Jardine, Matheson, and Co., completed their first working year on October 31st, 1897. All the spindles had not been ready for working, nor did any machinery start till May ; but for 24 weeks 3 days there had been at work, taking an average, 14,249 spindles, and the working of them for that period results in a balance to credit of profit and loss account, after payment of preliminary expenses of Tls. 37 303.86, out of which a dividend at the rate of 7 per cent, per annum on the full capital, Tls. 1,000,000, is being paid. For a full year's working of all the spindles, this is equivalent to ig per cent. per annum, after allowing for ample depreciation. The International Mill commenced operations on January 17th, with 2,000 spindles, gradually increasing the number to 32,000, which had been wor Icing two full months previous to stock-taking. The average number of spindles at work since the mill started was 11,000, and there is a nett profit of Tls. 30 1 1 1.69 up. to the end of October 31st, 189. The present capital of the compEUiy is Tls. 783,000, and on this a dividend of 3^ per cent, is being paid. Owing to insufficiency of capital, this company found it necessary to obtain an overdraft from their bankers of Tls. 367,360, on which 6 per cent, interest was paid. When the number of spindles working, and the overdraft are con- sidered, this result must be satisfactory to the promoters, especially, remembering the source from whence their labour is derived, and its previous lack of all training. The possibilities of such labour arc boundless, and, having the 238 THE BLACKBURN CHINA MISSION. advantages of a humid climate, cheap silver, raw material at the very gate of the mill, and an insatiable demand for yarn, the cotton spinning industry of China is certain to show a .remarkable expansion. Japan is already feeling the effects of the recently adopted gold standard, and Osaka spinners are face to face with a financial crisis that has already resulted in the working of half-time at the niilh. There is, moreover, no hampering legislation, for which there has been such a reckless demand of recent years in the West, curtailing the liberty of the labourer within the narrowest possible limits, and unduly harrassing the employer. In the East, every man, woman, and child is allowed, without restrictions, to sell his or her labour at the best price obtainable, and to work under any conditions as to hours, system, or place. Employers are at liberty to conduct their own business as seems best to their discretion and judgement, without being confronted at every turn by Acts of Parliament, and systems of espionage, that seein specially designed to restrict individual enterprise and to frustrate individual endeavour. The great drawbacks to the new industry are : Firstly, high cost of machinery ; secondly, expensive, but indispensable, European super- vision ; thirdly, small production. In addition to these, there is another deficiency that cannot fail to be a source of weakness in their economical working. The mills have been erected by leading men in Shanghai, all eminently successful in their own particular businesses, and all intimately connected with firms of high repute, who, from their Icinowledge of local conditions, and the demands of the yarn trade, regarded the establishment of spinning mills as a promising field of investment for their capital, without themselves possessing that specific knowledge of the internal economy and working of a large manufacturing concern that is essential, if the best results are to be SHANGHAI MERCHANTS POSSIBILITIES. 239 obtained. Everything, under these conditions, depends upon 'the manager, who, however good a man he may be, is never infallible, and errors of judgment may be corn mitted, which, in the absence of any authority possessing the experience requisite for the checking of a manager's work, may lead to serious losses. There is still another feature connected with this industry that is not at all reassuring to Lancashire. Is it to the interests of our county that the very firms who are selling the productions of Lancashire looms and spindles should be directly interested in the working of the spindles and looms of C'hina? We cannot blame them in any way for seeking fresh outlets for, and employing their capital to the best advantage, for, as they will quickly tell us, they are not living in China on account of the salubrity of the climate, but in order to make money more quickly and easily than can be done at home. It requires no great stretch of imagination to picture a time when the Shanghai merchant will be able to show his clients the productions of Chinese and Lancashire looms side by side on his sample room table. At the new mills land space has been left for the erection of weaving sheds, and, as soon as the directors feel assured that cloth can be manufactured profitably, it is intended to add looms to the present spinning. In conclusion, we repeat that the mills at present working in China carmot be considered as directly competing with the productions of Lancashire looms and spindles, for they are catering for a trade long since lost to us killed by excessive cost of production, and the remoteness of the consuming market, but, so favourable are the surrounding circumstances and conditions to the expansion of the trade, and the ways Lancashire can indirectly be .affected are so many, that it behoves every man who is connected in any way with the textile industries 240 THE BLACKBURN CHINA MISSION. of the county to ponder over, watch carefully, and have accurate information of this new industry of the Far East VIII. — Importation of Piece Goods into Szechuan, Trade Discounts and System of Payment. Native Banks and Facilities for Trading. Though there is a smaU overland trade conducted between Wan-hsien and the North-east of the province, Chunk-king is the commercial capital and entrepot for the Imports and Exports of Szechuan. Notwithstanding its importance as the principal trade centre of the most fertile and densely populated province of the Empire, there are only five European firms doing business there. Two of these are shipping and insurance companies, represented by Chinese only. Another is a German firm doing an export trade in feathers, whose buyer in Chung-king is a German. The fourth is a Frenchman, who exports furs, silks, embroidery, etc., and imports clocks and Parisian articles of vertu ; whilst the fifth is an Englishman, doing a general import and export business. The latter is the only European at present importing foreign piece goods into Chung-king, and even he is more interested in exporting wool, bristles, and silk, than in importing cottons. With this exception, the whole of the piece goods import trade is in the hands of 27 Chinese firms, who are directly represented in Shanghai. In addition to these Chung-king firms, there are three hou,ses in Cheng-tu, and one in Kia-ting, which have also their agents in Shanghai, buying whatever from time to time may be required. The transactions of these four firms are on a comparatively small scale, and the fact of their doing business directly with Shanghai does not materially affect the position of Chung- king as the principal mart and distributing centre for the GUILDS AND SYSTEM OF PAYMENT. 241 trade of the province, a position which, on account of the peculiarly advantageous geographical position of the city is never likely to be seriously challenged. At certain seasons of the year, merchants come down to Chung-king, some travelling overland, and some by water, from cities and towns so remote and wide apart as Cheng-tu, Paoning Fu, Tung-chuan Fu, Sui-ning-hsien, Kia-ting Fu, Sui-chow Fu, Mien-chow, Ho-chow, and other important places, bringing with them native produce — opium, medicines, silk, etc. — and returning with foreign merchandise. All merchants and dealers resorting to Chung-king for the purpose of trade, are bound, in their commercial tran- sactions, to rigidly adhere to the system of payment, as formulated by the various Guilds, and to observe the old established trade customs in vogue in that city. To acquire a knowledge of the details of finance and methods of commerce in Chung-king is, therefore, tantamount to being conversant with the fundamental principles upon which the whole trade of the province of Szechuan is based and conducted. So far as we were able to ascertain, there are 31 firms in Szechuan, whose business is large enough to warrant their being directly represented in Shanghai, and the practice is for their agents to leave Chung-king for that port in August, and return in May. Very few goods, practically none, are bought for Szechuan from May to August, or during those months when the Yangtze is in flood, and upward navigation between I-chang and Chung-king almost at a standstill. The agent, whilst in Shanghai, receives 10 taels (30s.) per month, and expenses, but no commission, and his instructions are to send by post, at intervals of five days, a report of the market, and particulars of any purchases, etc, to his employer in Szechuan. As these agents are generally unable to speak English, and as = 16 242 THE BLACKBURN CHINA MISSION. foreigners consider a knowledge of the Chinese language unnecessan/, the non-English speaking buyer from the interior is obliged to employ an intermediary in dealing with an importing house. Sometimes he will buy through a native Shanghai broker or dealer, at other time.s he will I approach the compradore, and buy through him. hi each I case the objectionable middle-man has to be resorted to. The better class Shanghai native brokers and merchants do a large distributing business in this way, ordering, at limes, 500 bales of piece goods in a line, delivery to commence in two or three months, and to be completed by monthly instalm.ents. Those brokers who aim at doing a sound business, and eliminating all elements of risk, settle the rate of exchange and cover on the day of purchase, though there are many who, more speculative, do not take this precaution, a course that has, during thfe violent fluctuations of exchange in the last twelve months, frequently ended in disaster. Delivery of goods is made on the purchaser giving an order on a good native bank at five days' sight, whilst the agent of the Szechuan merchant, on whose behalf the goods are being bought, also gives the native Shanghai dealer or broker, or the importer, if he is dealing direct, an order on a native bank at five days' sight. A Szechuan merchant, therefore, when buying goods in Shanghai, pays cash. The native broker receives no payment or com- mission from the purchaser or his agent, but is paid ^ per cent., as commission, by the importer. Out of this yi per cent, he is expected by the Szechuan agent to contribute something towards defraying the cost of placing the goods on hoard a Yangtsze steamer. Cases of embezzlement or peculation are rare, for the agent is always an old and •/ trusted employee, who is a partner, or at least has an interest in the business of the firm he is representing, and the detection of any irregularities would mean utter ruin TRADING AND EXCHANGE. 243 for him. SticH a matter the Guild would take up, and small would be the chance of a defaulter ever again obtaining employment from any of the members of the Guild. The full particulars ol every order are recorded in an order book at the importers, and if the up-country merchant has any suspicions that his agent is " squeezing " the price, he can have access to this book, and see what prices are actually being paid. There is no signed contract between tlie Szechuan agent and Ihe native broker. When the sale takes place between the importer and the agent, without the intervention of intermediaries, a contract is usually signed by both parties. There is a margin of four weeks over the contract time allowed for the delivery of goods in Shanghai. If the goods do not arrive within that time, the buyer is at liberty to repudiate the contract, and, if, on the other hand, the buyer does not take delivery within a monih, supposing the goods to have arrived at the stipulated time, the importer can sell them at the best price obtainable, the original buyer being held responsible for any loss that may be incurred. As a matter of fact, this course is seldom resorted to, for both parties to the contract recognise the necessity of working harmoniously together if possible, but complaints are now very prevalent in Shanghai, and more so in Hong Kong, that it is becoming more and more necessary to hold the goods beyond the contract time. This non-literal observance of contracts presents a problem of great difhculty. A native dealer may have several clients in the interior who are temporarily financially embarrassed, and cannot fulfil their contracts, whilst the dealer cannot afford to take delivery from the importer, and hold the goods indefinitely. The importer, on his part, has the bales Jying in his go-downs, with no immediate prospect of their being paid for, and yet does not wish to 244 THE BLACKBURN CHINA MISSION. have recourse to such measures that may end in the bank- ruptcy of a man who has alv/ays been a large buyer of his goods. In respect of this difficulty, there are naturally more complaints about the smaller dealers, men of small capital, whose standard of commercial morality is greatly inferior to that of the old school of dealers, whose sense of honour and straightforwardness gained for them a reputa- tion for commercial integrity that is now frequently bestowed upon men with no claims to the distinction. If the buyer is a stranger lo tliem, the importers require a deposit of 5 per cent, to show bona-fides. Most of the 27 firms in Chung-king v/ho import foreign mercliandise from Shanghai, have, in additions to go-dov/ns, large piece goods shops in the city, but they do not sell less quantities than one whole piece of cloth to any customer. These shops are one of the most notable features of the Chung- king streets, being lofty, commodious, and ornate, with gilded and varnished carvnig, and containing a large and varied assortm.ent of imported piece goods, and native woven silks. Large staffs of assistants are employed, and the profit-sharing system is in vogue, at least 60 per cent of tlie employees having some money in the business, and receiving a share of the profits. There is, throughout the Empire of China, a most excellent and reUable system of native banking, and one finds, in all large commercial centres, institutions doing a sound and apparently prosperous business in issuing credit notes on banks in other cities to traders requiring such facilities. One remarkable feature about these banks is that they are almost invariably owned and managed by Shan-si men, who seem to have made exchange banking their particular business and study, and who are credited in mercantile circles with a high standard of integrity and ability. The business they do is a very sound one ; every •DESPOTIC POWER OF BANI^ERS. 245 detail is studied, and no risks are accepted. Amongst the Shan-si bankers, v/ho must not be confused with the small local bankers, who are not at all reliable, and whose business is on a small scale, cases of inability to meet liabilities are almost unknown. The most terrible punishments may be meted out to the managers of any institution that may find itself obliged to close its doors. A strict Government inquiry is held, and if any instances of negligence can be proved, not only are the responsible persons summarily decapitated, but their entire families are seized, and imprisoned until all losses are made good ; all their property and belongings are confiscated, and nobody in any way related to the unfortunate offenders is ever afterwards allowed to live in that family's native town or village. The following extract, written by Mr. T. W. Wright, of the Imperial Maritime Customs Service, shows the despotic power of these Shan-si bankers : — '' A peculiar feature in '■ the constitution of these banks is the extraordinary ■ manner in which the employees are treated. The bankers, " tliemselves being Shansi men, employ only natives of that " province, and, when possible, select men out of their own " villages. When a man is appointed to a post at one of ''the branch offices, his family is taken charge of by the " bank, and held as security for fidelity and good behaviour. "At his post, the employee may send no letter to his "family, except an open one through his master; he " receives no pay or salary of any kind whilst away ; " officials are entertained, clothing is purchased as required, " and sundry expenses are incurred, and every item is met " with the bank's money, the strictest account being kept "of all expenditure on behalf of the individual. A man '• holds his appointment for three years, and then returns " to his employer's house, taking with him the account of 246 THE BLACKBURN CHINA MISSION. '■ the money expended during his term ; he is duly searched, ' and the clothing he has purchased undergoes exaniinatioa " Should it happen, after examination, that the accounts, etc., are satisfactory, and the affairs of the bank have been " prospering during the ma.n's tenure of office, he is ■' handsomely rewarded, and is allowed to join his family, " who are immediately released. If, on the other hand, " business has not prospered under the man's management, '" and he has presented an unsatisfactory account, clothing '■ and everything are retained, and the family are held in " bondeige until a suitable fine is paid, or the man himself " may be imprisoned." Many of these banks may be considered to be semi- Government institutions, for it is through their medium that treasure is remitted from the provincial authorities to the Board of Revenue at Pekin, whilst, advances are made to expectant officials to purchase rank with, and also to newly-appointed officials, who have to employ an agent of the financing bank to receive their emoluments, and to exercise a check upon their expenditure until the loan is repaid. On advEinces of thib character, rates of interest are high, as the risk must be considerable. There are in Chung-kdng 18 exchange banks of this character, 17 being owned by men from Shan-si, and one by a wealthy banker from Yunnan. In addition to these there are 20 cash shops, whose business is confined to the exchanging of money and advancing loans, and whose managers are in close touch with the exchange banks. It is only as a favour that the banks will accept deposits, and, so little do they care about this class of business, that tliey will not pay more than 5 per cent, interest on sycee held by them on deposit Advances are made to well-known merchants on the security of merchandise, or the written guarantee of another banker, or, in the case of highly favoured individuals, on BANKINQ RULES. 247 personal security, at from 7 per cent, to 1 2 per cent, interest. Money is never lent on houses or land. Anybody requiring a loaji on such security would, if well known, be accom- modated by the cash shops, who, in turn, would borrow from the bank. For their mutual protection, the advancement of their interests, and the regulating of their business, the heads of these banks are associated together in a Guild, and meet, at regular intervals, at their Guild house, when matters requiring their attention are discussed. When occasion requires it, a hne of poHcy is laid down. We were unable to obtain any particulars of the constitution of the Shansi Guild in Chung-king, or what regulations are in force for the attainment of the objects of the corporation, but the rules drawn up -by the Wu-hu Bankers' Guild will show what a power they wield, and how heavy are the penalties attached to any infraction of the Guild's regulations on the part of any of its members. After having stated : " That many irregularities having ' recently been discovered, it is desirable to put a stop to " them without delay, the bankers have accordingly " drawn up, and sworn to abide by, the following rules and "penalties for infringement," the regulations proceed:' — '' I. All bankers, when exchanging sycee into Carolus or '■ Mexican dollars, must calculate the exchange at the rate ' posted on the Guild notice board. Any banker giving '" or accepting a different rate will be fined Tls.ioo. 2. " In issuing drafts on Shanghai, the exchange shall be " calculated according to the Guild notice board, and the " time limited to 10 days after sight, or to a maximum of " 12 days, from the date of the draft. Any banker giving "or accepting a lower rate or longer time to be fined " Tls.ioo." Rules 3 cind 4 are of no interest, but the fifth rule is as follows: — "Every banlier must attend at the Guild 248 TItE BLACKBURN CHINA MlSSlOlf. "house on the 15th of each month, to decide on the rates "of exchange, interest, etc., and post them on the notice " board. Anyone secretly adopting a different rate to that "decided on to be fined Tls.ioo. 6. No bankers are "allowed to grant favours by ante-dating or post-dating "drafts. Penalty for infringement Tls.ioo. 7. Every " banker must deposit Tls.ioo with the Guild, at interest at ' the rate of 3 mace per 10 days. If any banker breaks " the rules, his deposit will be forfeited to pay the fine ; if " there is no infringement in cne year, the interest will be " payable in the first month of the following year. 8. Any " banker who has once been fined must again deposit with ■' the Guild Tls.ioo. If this amount is not deposited, the ' defaulter will be expelled from the Guild and boycotted " Any member of the Guild doing business with a defaulter "will be fined Tls.ioo. g. Any person who denounces to " the Guild a banker who has infringed the rules, shall "receive one-half of the fine of Tls.ioo, while the other "half will go to the funds of the Guild. 10. If, when the " books are balanced at the end of the year, it is discovered " that any member, by underhand dealing, not covered by '■ any of the foregoing rules, has caused loss to any other "member, the offender's deposit of Tls.ioo shall be " forfeited, and he shall be suspended until he makes good " all such losses." A merchant wishing to obtain a draft on a Shanghai bank, would send round to several banks with which he has business relations, and ask for quotations for rates, but would not employ a broker. One hundred taels of piao-yin are exchanged for a draft on Shanghai, payable at one month after date, for 107, to 108 and no Shanghai taels, according to the state of the money market At times the rale is as low as 105. For drafts on Shashih, Hankow, and Shanghai, Ihe rate of interest varies from Long credit. 24^ 5 mace to i tael per cent, per month. If a native merchant needs an extension of credit in Shanghai, he- has to pay interest, when money there is easy, at from 2 mace to 4 mace per 1,000 taels per diem, equal to 11 per cent, per annum, but when money is dear in Shanghai, as much as 8 mace per diem is paid, equal to 29.2 per cent, per annum. On money deposited with the Shanghai native banks, interest is paid, when rates are low, at the rate of 2 mace 5 can- dareens per 1,000 taels per diem, equal to 9.12 per cent, per annum, but with tight money 7 mace 5 candareens per diem, equal to 27.375 P^^ cent, per annum. On money advanced by banks and cash shops in Chung- king, the rate of interest is more steady, varying usually from 3 to 4 mace per mille per diem on promissory notes payable at fixed dates, and at from 4 to 5 mace per mTlle, per diem on running (undated) promissory notes ; but, if money is tight, the rate is from 5 to 6 mace, principal and interest repayable in the middle or at the end of the current moon. Engraved and printed local sycee, or copper cash notes, are not issued by the banks here, as in Cheng-tu, and all transactions in shops are in hard cash. Although the merchant has to pay for his goods in Shanghai not later than five days after delivery, when sell- ing to the up-country dealers in Chung-king he has to allow long credit. There are three pay days in the year, and the custom is for accounts to run over one pay day, and to be paid on the second pay day from the date -jf the transaction. Thus accoimts run on for six, seven, or even seven-and-a-half months. Goods purchased in first, second, third, or fourth Chinese months, will be paid for at the end of the Chinese eighth month ; in fifth, sixth, seventh, eighth months at the end of the twelfth month ; in ninth, tenth, eleventh,, twelfth, at the end of the fourth month. If he so chooses, the buyer can bring his money at any time before the account is cue, 2SO THE BLACKBURN CHINA MISSION. and is in that case entitled to 1.2 per cent, interest per month from the seller on the amount paid in for the period between the time of payment and the date the account falls due. This rate of interest has been fixed by the Piece Goods GTuild, and is recognised by all connected with the trade. The seller prefers to give long credit, as this pays him better tlian receiving his money before the fixed pay day, and allowing the high rate of interest As explained in a previous page, the scale by which sycee is weighed in Chung-king is a fixed one, known by the name of yu-ping, but in the piece goods trade, by one of those inexplicable inconsistencies upon which the whole social fabric of this unsystematic country is built, local custom has introduced a different scale from that used in other transactions thus rendering the system of payment still more complicated. In all piece goods sales, sycee is weighed by the huo-ping balance — ^goods balance — ^v/hich is 8 per mille heavier than yu-ping, i.e., 1,000 yu-ping taels are equivalent to 999.2 huo-ping taels. There is very httle wholesale trade done for ready money, cash payments being almost entirely con- fined to retail transactions over the shop counter. If, how- ever, a buyer wishes to pay cash on delivery the credit price of the goods is invariably taken as a basis, and from this four discounts are deducted. There is first a discount of ;>.8 per cent, or, as it is expressed in Chinese phraseology, 92.2 to 100. This is an old trade custom, and has been in practice over 100 years, its origin, it is said, dating from the early trading days of Canton. Then there is a second dis- count of I per cent., which is to cover all allowances for damaged and faulty pieces. This second deduction dates from the time Hankow was opened to foreign trade in 1861. Then there is a further discount of 5.8 per cent, or 94.2 to 100 for good silver. Some years ago much friction was caused by a growing practice on the part of certain un- SYSTEM OF PAYMENT. 251 scrupulous people of paying for goods in inferior or bad silver, and the trade, in self-defence, met, and, through their Guild, resolved to give a substantial discount for good sycee. From the price, after the third discount, there is deducted 1.2 per cent, per month for interest, reckoned from the date of the cash payment to the next pay day for goods on credit. The price after these successive discounts have been de- ducted would be the quoted price of goods for ready money payment. In order to more clearly illustrate this somewhat intricate system of payment, let us take, as an example, a piece of I2lbs. shirting, imported by Messrs. Iveson and Co., and stamped " English Soldier C.C.C." This, on January 8th, 1897, was selling in Chung-king at Tls.4 3 mace for payment June 5 th, 1897, and to ascertain the value of this shirting for cash the discount, as explained above, must be deducted in the order named : Tls. 4"30, price for payment, June Sth, 1897. Tls. 3966 =less 7'87„ for old custom. Tls. 3*9264 = less 1°/^ for damages. Tls. 3'699 =less 5'8°/^ for good silver. ■ Tls. 3'478 =less 5 months' interest at i'2°/^ per month. This gives, after allowing for the difEerence between huo- ping and yu-ping, a cash price of 3.481 Chung-king taeis. We may reasonably assume that goods being sold in Chung-king in January had been bought in Shanghai, in September or October, at a time when the same shirting was worth in that port 3.4 Shanghai taels. Taking the pre- mium of the Chung-king tael at 6 per cent., and the differ- ence in scale and touch of sycee between the two ports, at 4.61 per cent, in favour of the Chung-king tael, 3.481 yu-ping taels are equal to 3.85 Shanghai taels. Including all charges — freight, insurance, agent's expenses, coolie hire. 252 THE BLACKBURN CHINA MISSION. re-packing, etc. — ^it costs 25 tael cents, or g^d., to lay a piece of I2lbs. shirtings down in a Chung-king go-down from Shanghai, so that in the case of the particular shirting under review, there is a nett profit of 5.48 per cent, remain- ing to the Chung-kdng merchant after paying all expenses. To take another example, on January 8th, 1897, Messrs. Dent and Co.'s, 81^ lb. shirting, "Eagle," was selling in Chung-king for Tls.3.1, for p.iyment June 5th, 1897, and by deducting the discounts as berore we have : TIs. 3'io, price for payment, June 5th, 1897. Tls. 2-858 =less 7-87„ for old custom. TIs. 2-8297 = less i7o for damages. Tls. 2-665 =less 5-87„ for good silver. Tls. 2 506 =less 5 months' interest at i"2% per month. This gives, after allowing for the difference between huo- ping and yu-ping, a cash price of 2.508 Chmjg-king taels. In October, this shirting was selling in Shanghai at Tls. 2.47^, so that there is a margin, after allowing 10.61 per cent for premmm and difference in value of the Chung- king tael, and reckoning cost of laying down in Chung-king go-down at 18 tael cents., of 6.84 per piece, or 4.49 per cent In cotton yarn transactions, five to six months' credit is given when trade is good, and as long as 7^ months' when trade is bad. A deduction of 1.2 per cent per month is made for earlier payment, and the usual discount of 5.8 per cent for good silver is allowed. The tael is measured by huo-ping, or goods balance. Iii dye-stuffs, and miscellaneous foreign goods transac- tions, eight months' credit is the custom, with 1.2 per cent per month discount for cash payments. The sycee used in these branches of trade is known as lao-piao-tsu-se, or good second class silver, and is weighed by the huo-ping balance. FEW MANUFACTURING CENTRES. 253 IX. — Native Made Cotton Cloths in Szechuan. After a journey extending over two and a half «ionths, during wliich the greater part of the province was traversed, nothing had created a greater impression on our minds than the almost absolute independence of the Szechuanese as regards the importation of foreign-made piece goods. If any corroboration were needed of the correctness of this conclusion, one has only to turn to the returns of the im- ports into Chung-king — the gate of the province — issued by the Imperial Maritime Customs. From these we learn that in 1895, 731,276 foreign co.tton piece goods, and in 1896, 518,068 pieces were injported into a province containing an estimated population of over 40,000,000 people. Examining the province as a whole, we conclude that whilst there is a certain localisation of the silk trade, there are but few places worthy of being designated cotton manu- facturing centres. With a more catholic tendency, the humbler industry is spread- all over the province. The lowly occupations of the people, the overwhelming abun- dance of cheap labour, ever seeking employment, and the desperate struggle for "existence, compel every phase of household economy to be practised. Hence the head of a family finds in his own house a power of productiveness equal to his family's requirements, whilst favourable condi- tions will give him, in many cases, an overplus beyond the needs of his own immediate circle, that enables him. to supply the wants of others. It so comes about, then, that the textile industry is essentially a home one, and is pur- sued under economic conditions with which the foreigner, in spite of all mechanical advantages, cannot compete. The surplus of production is a source of spending power, which helps to maintain those who, at a cost of no wages, clothe the whole family. No sooner is a child capable of doing 254 THE BLACKBURN CHINA MISSION. the smallest or lightest piece of work than its capacity is taken advantage of, and, in a land where the patriarchal system /)f family government is a religion, unrestricted by Board School regulations and Factory Act legislation, one finds young and old, child and adult, working side by side, to the utmost of their capacity and strength. All this is re- quired in the terrible struggle for existence, and in no part ' of the world can one see the gospel of work more in evidence than in Szechuan, where thrift is not so much a virtue as a necessity, and where indolence is soon cut short by starva- tion. Notwithstanding the magnitude of the cotton weav- ing industry in that province, it is found necessary, so dense is the population, to augment the supplies of local textile productions, by importing, in considerable quantities, the cloths woven in the adjoining Province of Hu-peh. As this is a traffic that does not pass through the Imperial Maritime Customs, but though the channels con- trolled by the likin officials, it is not possible to obtain any reliable returns as to the extent or value of the trade. The best informed authorities we conferred with estimated the annual import into Chung-king to be 200,000 pieces ; into Sui Fu 250,000 pieces, and into Ya-chow 340,000 pieces. Chung-king itself is not a manufacturing centre, and draws its supplies of native-made cloths, in addition to those of Hu-peh, from the country districts lying north of tlie city, where it may be said, without exaggeration, every other cottage has its hand-loom and its spinning wheel. The area over which the industry is spread extends, according to O'jr observations and enquiries, as far nortli as Tung- chuan, and as far west as Ya-chow, and includes such impor- tant centres of trade as Ho-chow, Sui-ning-hsien, Tai-ho- chen, Wan-hsien, Cheng-tu, Mei-chow, Chung-chiang, Kia- ting, Sui Fu, and Lu-chow — practically every large town in the province. It must not be understood that these are all PRACTICAL-MINDED COOLIES. 255 places depending for their prosperity solely upon weaving, for in some the number of cotton looms is quite small, whilst in others it is large ; they are named, only to indicate the wide-spread character of the industry. The variety of cloth produced is not great, and the range and assortment of qualities call for but few remarks. All the fabrics are simple in structure — plain cloths, plain coloured stripes and checks, small spot and diapered effects, and a few weaves corresponding to our hucks ; the latter are used exclusively for sm.all hand towels. Nov/here have we seen any attempt made at elaboration of pattern in these cotton cloths, as the nature of a cotton /thread precludes it from being woven with the mountings and harness used for the production of silk brocaded damasks. The widths vary from. 1 3 to 1 7 inches, and the lengths from 28 to 30 Chinese feet (13}^ inches), though it is customary in some districts to weave double pieces. By far the greatest part are manu- factured from, foreign yarn,- which, by reason of its cheap- ness, convenient form, and the ease with which it can be manipulated, is rapidly causing the spinning wheel to be thrown aside. In the cotton producing districts of Sui-ning and Tai-ho-chen, hand spuji yarn is still largely used, and so highly esteemed are the cloths made from this form of material, that people from other districts, when visiting Sui- ning, generally purchase some of these pieces to take back with them. When carrying coolies, say from Chung-king, in the ordinary course of their work are despatched with merchandise to the districts where cloths of hand-spun yarn are still to be foxmd, invariably, before returning, they buy as much of this cloth as their scanty wages will allow, knowing they can sell it at a handsome profit in Chung-king. The same stereotyped reply is always given in answer to enquiries as to the reason of the preference shown for cloth of native manufacture over our own shirtings, and other 256 THE BLACKBURN CHINA MISSION. plain cloths. Why was every one of the forty-five coolies who were in our service when we started from Chunf(-king on our overland journey, clothed in native nankins? And why are 80 per cent, of the people of this province similarly clad? Because, to use their own words, our foreign shirt- ings are too fine for use in winter, and lack the durability and warmth of the coarser native cloth. We made a prac- tice of closely questioning the natives on this point v^heu- ever an opportunity presented itself, and the answer v/as always the same. Only in one place — Wan-hsien — did we find any instance of organised labour in any way approaching our owr work- shop industry, or our factory system. In that town are to be found several weaving establishments, emf)loying up to as many as 80 hands, working under the supervision of the laopan, or head, who employs them. The number of looin.s in the various houses — they cannot be described as sheds — ranged from a dozen to fifty, and all were engaged in weav- ing greys, with here and there a figured stripe or a check. The weavers, who are all men, work from dawn to 9 o'clock, p.m., and are paid at fixed prices per piece, deductions being made for irregularities of quality. A piece measures 52 Chinese feet in length (60 feet 8 inches English), and takes two da>s to weave, the employee receiving go to 100 cash per piece (2.65 d. to 2.g4d.), and being provided with food during the working hours. In this town a number of children are eni ployed in weaving tapes and bands for use as anklets, etc., though, owing to their narrowness, these are not woven in a loom, but in a frame built for the purpose. From a Lancashire point of view, it is a matter of the gravest concern to find the imports of Bombay yarn into Szechuan so largely exceeding in value that of foreign made piece goods. The demand also for yarn of coarse counts, and for the cloth made from it, is an ever- increasing one. CLOTH TRADE ARRESTED. 257 According to the returns of the Imperial Maiitime Customs of Chung-king, the relative positions of yarn and cloth in 1895, were : Imports of cotton cloth (including all countries) 312,7(2 Imports of Indian yarn 663,766 In 1896: £. Imports of cotton cloth (including all countries) 277,140 Imports of Indian yarn 633,766 When access can be had to such reliable figures as these, it IS unnecessary to record the estimates of up-country mer- chants as to the relative proportions of the cloth and y^rn trade. Though these men are well qualified to form an opinion on the subject, such estimates are but approximate, and when based upon the amount of trade being done by a particular individual's firm we may elect to question them. It may, however, be said that there is a general consensus of opinion amongst those merchants with whom in various towns we can'e in contact, that whilst the yarn trade is a most lucrative one, and is rapidly increasing, the importing of foreign piece goods is a cut business, in which the pros- pects of any development under present conditions are but small. The largest dealer in Kia-ting — a man in whose go-downs were stocked some 80 to 100 bales of shirtings, as well as large quantities of lastings, long ells, etc. — said that, in his experience, the yarn trade was increasing by leaps and bounds, whilst the cloth trade was stationary, if not actually decreasing. Another dealer, at Tai-ho-chen, said that the demand for yarn was steadily increasing, and that it was a splendid business, being much more lucrative than selhng piece goods. Again, Sui-ning merchants regard the cloth 17 258 THE BLACKBURN CHINA MISSION. trade as having reached its limits, unless new and attractive varieties are introduced, but that, on the other hand, the yarn trade would still further increase. Similar opinions to these were expressed to us wherever we discussed the sub- ject widi those whose testimony we considered to be of value. We by no means concur in these pessimistic opinions, though under existing condicicms they may be j'ustified. One has only to call to mind the m.any forces operating against the laying down in the great markets of the interior of suit- able goods at reasonable prices, and to appreciate the grave defects in the distributive system, to see that our trade is suiTering under burdens, the even partial removal of which would lead to a new era of prosperity to Lancashire. Native-made Cotton Cloths in Yunnan. When undertaking a brief review of the present condition of the native cotton textile industry of Yunnan, and enquiring as to what extent the people are supplying their own needs in the matter of clotliing, two features stand predominantly forth calling for special attention. These are (a) the large importations into the north of the province of Shashih-made cloth ; (b) the extraordinary growth and present dimensions of the weaving industry in the south of the province — a result directly attributable to the importation of cheap Indian yarn by the Red River and Mengtze route, and the stimulating effects of a moderate fiscal policy specially calcu- lated to foster and encourage the industry. Whether there was, before the time of the Mohammedan Rebellion, any extensive production of textile fabrics in the north of Yunnan, is a question to which we are not in a position to give a definite answer, though the probability is that the same conditions that now obtain, ai.d that are Y\UNNAN AND TEXTILE INDUSTRY. 259 in themselves insuperable obstacles to ihs successful in- ception of a textile industry, were in existence at that time. The absence of any cotton producing lands, and the extreme difficulty of transporting either yarn or raw cotton over a country presenting so many natural obstacles as this, and where roads, as understood among Western nations, are conspicuous by their absence, preclude the possibilitj^ of the natives supplying their wants in the matter of clothing by their own looms. Living rough and primitive lives, in a wild, mountainous country, exposed to the vicissitudes of a variable climate, they found, in the im]Dorted productions of Shasliih, a cloth eminently suited to their requirements as legards durability and warmth, whilst ils clieiiimeas placed it within the range of their purchasing power. Formerly, it is said, no less than 300,000 bales of 39 pieces each, of this Shasiiih cloth were imported into Yunnan every year, but at the present time, owing to the increase of weaving in the south, and a consequent dinunished demand for outside pro- ductions, the importation does not exceed 60,000 bales per annum. Chuo-tong Fu, the first place of any size after crossing the Yunnan border from Szechuan, consumes 10,000 bales per annum, and Tung-chuan Fu and distiict some 20,000 bales per annum, the balance being disposed of in the country lying between these places and the capital, Yunnan Fu. The cloth is known as kwang-pu, and is imported via Chung-king, Sui Fu, and Lao-wa-tan. There is no more familiar sight on the Yunnan main road, than caravans of pack animals laden with bales of this cloth. The pieces are of uniform widtli and length — 14 inches wide and 30 feet long — ^and are entirely made from Shashih and Hankow cotton, spun by the weavers themselves. Pre- viously to being exported from the place of manufacture, all pieces are carefully examined, and graded according to their several qualities, special attention being directed to 26o THE BLACKBURN CHINA MISSION. the quality and counts of the yarn, and the counts and CYCjiness of reed and pick. As in all hand-made good", there is great variation m quality, yet by a system broadly based upon a consideration of the weights and appearance, tliese goods ire graded into three divisioni, namely: ist, Le-tzu ; 2nd, Shen-tzu ; 3rd, Chung-tzu. Each bale con- tains 39 pieces, and there is a fixecl ratio between the values of the three qualities of i tael per bale. Thus, if the first quality is worth 21 taels, the other two grades would at die same time be quoted at 20 and ig taels rcspe tively. Some of the pieces of le-tzu are really above the standard, and it is customary to further sub -grade them uito two divisions, known to the trade as kao-pan le-tzu, or upper board le-tzu. and te-pan le-tzu, or lower board le-tzu. The first-name(.l, which is also known as shan le-tzu, or upper le-tzu, is worth fro^n 3 to 5 mace per bale more than the standard pieces of the first quality. Every piece is stamped on the tab with the name of the exporting merchant at Shashih, together with characters designating the class to which that piece belongs, and this stduip, which really takes the place of the cliop of our own goods, is accepted by all as a suffi- cient guarantee of the qualify and make. A few pieces made at Lu-chow Szechuan, and known as chop-pu, are imported into Chao-tong; their quality is In- ferior, no system of grading of weights, etc., is in vogue, and altogether they are considered as quite an outside make. In Fung-chuan Fu some few looms are engaged in manufac- turing narrow cotton bands, four inches in width, and used by the coolie class as bandages for the protection and support of their otherwise bare legs. Outside the limits of tlie city, the aboriginal Lo-los, who in the more inaccessible parts of Yunnan and Kui-chow are still numerous, weave a coarse, rough cloth from the hemp known to the Chinese as yuan-ma, which provides a cloth eminently suitable for SALES OF NATIVE CLOTHS. 261 those engaged in agricultural pursuits in wild mountainous iHstricts. With these exceptions, which, thottgh recorded, are quite insignificant, the only native cloth to be seen in the towns and villages between Lao-wa-tan and Yunnan Fu is kuang-pu, and one is prompted to ask whether we can successfully compete in this trade— amounting to at least 2,340,000 pieces every year — or must this be set down as another instance of how we, despite all the advantages of modern machinery, are beaten by the capacity and cheap- ness of Oriental labour, and the favourable economic conditions under which it is employed? At the capital, Yunnan Fu, in addition to kuang-pu, and the cloth woven actually in the city, there are considerable c]uantities of goods on sale from Sm-hing- chow, which, together with Ku-tsing Fu and Ho-si, are the largest centres of weaving in the province. The cloths from these three places are plain and narrow, and from the fact that they are made from imported yarn, are known as " yang-sha-pu," foreign yarn cloth. From the same cause they are lighter in character than kuang-pu, yet their comparative cheapness renders them attractive to certain classes of the community, and reliable dealers estimate that about equal quantities of Sin-hing-chow and Shashih-cloth are sold in the city every year. We are unable to give any details of the conditions under which these cloths are produced, as the places are situated widely apart, and lie at considerable distances from the route followed by the Mission. The weaving industry of Yunnan Fu is of quite recent origin. Six years ago there were but few looms in the city. To-day, if it were possible to obtain an accurate return, they would be found to number many hundreds. The increase dates from the time of the advent of several Szechuan families, who, driven from their own province by the terrible struggle for existence consequent on over population, settled 262 THE BLACKBUkN CHtNA MISSION. in this cfty, and commenced weaving. In time, more and more Szechuane:-ie came in. At the present moment we find the majority of the weavers in Yunnan are natives of Szechuan. A most interesting and remarkable feature in the industry is the kind of building selected for carrying on the manufacturing process. In all cities and towns in China there are to be found a number of temples, usually consist- ing of a range of buildings, surrounding a spacious court- yard, with several large halls, in which the gilded and painted idcls are placed. The ample accommodation more tiian suffices for the requirements of the priests, and their follow- ing, and many of the rooms are frequently unoccupied In no country of the world can one's personal ends be attained with greater facility than in China. If, amongst some Western nations, the dollar is all powerful, this is equally true of the Celestial Empire. Hence it is a matter of no surprise to . find the com-modious rooms of some of tlie Yunnan Fu temples being used as small weaving sheds by the Szechuan weavers, who thereby obtain the" dual advan- tage of light and space — desiderata seldom found in a Chi- nese artisan's dwelling-house. We visited a temple where weaving was being carried on, and we fotmd several rooms round one of the large open courtyards filled with looms, all in operation. In an adjoining hall, in which were several gilded Buddhist idols, a native was engaged in warping Indian yarn.. Within a few yards of where this process was being carried on, were to be seen people, not in the least disturbed by the burr of the warpers' bobbins, reverently bowing and worshipping before the hideous and grotesque idols, whilst the long-robed, dejected-looking priests watched with curious eyes the intruding foreigners. Several other temples are utilised for the same purpose, and, in addition, there is a considerable quantity of weaving Hone in the people's houses. With the exception of a few striped ENCOURAGING TECHNICAL EDUCATION. 263 towellings, and some blue and white checked linings, nothing but plain cloths are produced. These are made entirely from Indian yarn, and measure 14 inches in width and 30 feet in length, weighing lib. 140Z. Those in a position to form an opinon, all speak of the rapid growth of the textile industry, since the importation of foreign yarn commenced through Mengtze, and of the present dimensions of the trade. The Rev. C. Stevenson, of the China Inland Mission, whose experience of Yunnan extends over 14 years, informed us that eight years ago there was but little weaving in the province, but now the trade is enormous, the increase being solely attriV'Utable to the almost simultaneous advent of Szechuan immigrants and cheap foreign yarn. Again, Mr. Wong, the wealthiest and most influential banker in the Province of Yuiinan, said in conversation with us, that the yarn trade was rapidly increasing, and that now practically the whole population of South Yunnan A^as clothed in cloth made from Indian yarn. With regard to imported piece goods this same authority said that the cloth (i.e., foreign) trade in Yunnan Fu was worth very httle, and that one day's trade in Chun-king was worth a whole year's trade here. It is more than probable that there will be a still further increase of weaving in the city and surrounding districts. The industry being fostered by the large importations of cheap Indian yarn, and by the lightness of the taxation both the raw material and finished article are subjected to, and in other ways By applying at the office of a certain Benevo- lent Society in Yunnan Fu, we were fortunate enough to obtain a copy of the poster they had issued advising women to learn weaving, and the following translation, necessarily a somiewhat free one, will be found most interesting and instructive. 264 THE BLACKBURN CHINA MISSION. Translation of Proclamation Advising Women to Weave Cloths From Foreign Yarn: — " It is well known that the requirements (of people) in " the matter of food and clothing depend upon (i.e., are met " by) the cultivation of land and weaving. Formerly, when " times were prosperous, the men and women were either " farmers or weavers, so that the farmers often produced ■' enotigh grain, and the women wove enough cloth to enable '■ them all to live in comfort. People in our country possess " no lands, but during the time of peace, even the upper- " class fanailies never gave up spinning and weaving, and in " consequence they were well-to-do. Soon after the " Mohammedan Rebellion, people became luxurious, 'economy giving way to extravagance, and these works (spinning and \veaving) were abandoned ; but, even in ' those times, merchants and itinerant traders could still ' make threefold profits in their business, and were able to ' tide over the bad times. " In spite of our markets being very poor, people are still ' in the habit of living extravagantly. In consequence, they have not enough money to pay for what they buy daily. It is on this account that not only are servants and men ' out of work unable to help themselves, but such men, as well-known and old-established merchants, are not able to live so comfortably as before. There is great difficulty in obtaining the neces.^aries of life, and, moreover, one man's wage is not enougli to support a whole family. There are some amongst the women who are able to embroider quickly, and, although they work night and day, they earn but little money— only 30 to 50 cash a day, and such a small amount is quite inadequate. If the people are not now going to find some way of adding to their scanty earnings by creating fresh industries, certainly they will A PATERNAL PROCLAMATION. 265 " lead more miserable lives in the future ; and what are they " going to do for a living in the end ? " Now, we have all decided, for the sake of the public, to '■ make a subscription to 'teach people the weaving of " Yunnan cloth from foreign yarn, and a commencement was " made last year. In addition, we now are establishing one " weaving house at each cf the six gates, and are sending " women specially experienced in the work, into the place " to teach weaving, beginning on the i6th day of the first '■ moon, this year. Any women who desire to learn weaving '' must first apply at Ti-jen t'ang in the San-sen-miao-kai, " or the street of three Joss temples, as being a convenient " place for us whence to send them to the weaving house to " learn. Such as .'ive near the West Gate are sent into the " west weaving house, and such as live near the East Gate " are sent into the east weaving house, and the others will " lie sent where it is most convenient for them, according " to where they live. It is a fact that if the women learn " it with attention, entering in the morning and returning in '■ the evening, the intelligent ones would succeed in learning ' in ten days, the dull ones in 20 to 30 days, and certainly " there should never be any who fail to learn after a time, ■' so that when a woman has succeeded in learning, she " weaves one piece a day, besides managing her family, thus " earning i mace of silver for it, or 3 taels a mopth, or, if " there are t-wo men in a family who can weave cloths, they " can get 6 taels per month. If we suppose a husband and ■' a wife to be two men, they will be able to live comfortably " on 6 taels per month. When 3 or 4 members of a family " can weave cloths they will become a rich family ! " Finally, if we examine the 1 1 Prefectural districts (we " find) Sin-hing-chow is certainly rich solely owing to the' " weaving of cloths from foreign yarn. There are about " 1,000 famihes engaged in this occupation, and more than 206 THE BLACKBVRN CHINA MISSION. " io,coo (?) pieces are produced daily. People there have " large and well-appointed houses, new and beautiful clothes, " and good food, so they are better off than (the people) of "any other Prefecture. People in our country must be " anxious to find out the way to improve their position and " build up other industries, and then men can become land- " owners, and get food without the trouble of cultivation, " and this is a permanent plan. " We hope that the people will exhort and advise each '' other to carry on this business. It is really a great benefit "to our country, and we advise you to hear us on that " account. "ist month of the 23rd year, of tjie Emperor Kwang-Hsu." Some portions of this curious and interesting document, especially that urging the establishment of new branches of trade, might be studied with advantage in towns less remote than Yunnan Fu. Native-made Cotton Cloths in Kui-chow. Throughout the Provinc-^ of Kui-chow, there is a much greater demand for goods of native manufactiure than for those of foreign origin, and enquiry from the people as to the reason of this, always elicits the same reply. The majority of the natives, they say, being engaged in pursuits that render a warm and durable garment an indispensable necessity, find, by experience, that their own cloths are far more suitable for every-day use than are the finer and better finished imported piece goods. The latter, they say, are very good, in fact, could not be improved, for use in summer time by tliose who are not called upon to do any manual labour, but they lack the durability and warmth essential for those employed in humbler stations of life. Ever3^where, in our journey through the province we had ocular proof of the SIMILARITY m TYPE OF FABRICS. 267 enormous dimensions of the trade in Hand-loom cottons. Every town and village is a manufacturing centre ; on every trade route are to be met long caravans of mules and ponies laden with Indian yarn, raw cotton, or bundles of manufac- tured pieces, and eight persons out of every ten met in town or country, are exclusively clothed in the productions of local looms. There is such a similarity of type in the fabrics produced that it would entail superfluous repetition to examine in de- tail the productions of the various towns and villages, as we visited them on our journey. It will sufhce for all practical requirements if we closely examine jinto this particular branch of trade at some two or three important centres. Let us select Kwan-tung-kai, the main street of the new portion of Kui-yang Fu, the capital of Kui-chow Province, and let us proceed to examine the contents of the piece goods shops found there. Lancashire is meagrely repre- sented by some half dozen qualities of grey shirtings, Si^lbs., lolbs., and I2lbs., a few pieces of .black Italians, figured lastings, and prints, that is all ; whilst home manufactures are represented by bundle after bundle, piled from the flocr to the ceiling, of grey goods, carefully graded into varioiis qualities, dyed and finished goods of varied colourings, prints, flannelettes, and towels of assorted patterns. Within the actual limits of the city wall, there is but little weaving, the industry being spread over the country districts around, whence quantities of pieces are brought mto the city for sale, frequently by the very people who have woven them. These consist for the most part of cloths 13 to 14 inches in width, 31 feet long, 60 by 58, and are made from imported yarn of counts 12's to 20's. There ' is, in addition to these, a large importation of cloths made in the Huang-pei-hsien district of Hu-peh, coming via Hankow, the Tung-ting Lake, and Chen-yuan 268 THE BLACKS Urn CIUnA MISSIOI^. Fu, the cost of carriage from Hankow being the same as for goods of foreign manufacture. These imported native cloths are of three kinds, and are known in the market as Yang-lo-pu, Kow-hsien-pu, and Hu-lu-tsui-pu, these being the names of the towns or districts in which they are made. These places were not included in the itinerary of the Mission, but ample evidence was obtained to show that Yang-lo and Kow-hsien are manufacturing centres on a large scale, whilst their commercial organisation is illus- trated by the fact that all cloths from those towns are carefully graded and stamped, according to quality. Of the two makes, Yang-lo is the best, being made entirely from hand-spun native yarn, whilst in Kow-hsien cloth the twist is imported yarn, and the weft hand spun. The three quahties into which the cloths are graded are: — First, superior ; second, middling ; third, inferior. The ftrst quality of Yang-lo weighs 2lbs. to 2 3^ lbs., and measures from 14 to 15 inches in width, and 32 Chinese, or 37^ Enghsh, feet in length. In a bale of Yang-lo there are twenty such pieces, including two that are used as outside protective wrappers. A fixed ratio is always maintained between the values of the various qualities, the second being sold at i tael per bale less than the first, and there is the same difference between the values of the second and third qualities per bale. In May, 1 897, the prices of Yang-lo were : — . 1st quality, 13 taels per bale. 2nd „ 12 „ 3rd „ II „ „ „ The best Kow-hsien cloth weighs ij^lbs., and measures 14 inches in width, and' 32 Chinese, or 37X English, feet in length. A bale o^ Kow-hsien also contains 20 piefces, and on the same date the prices were : — UNGRADED CLOTHS. 269 ist quality, 9 taels, i mace, per bale 2nd quality, 8 taels, 5 to 6 mace, per bale. 3rd quality, 8 taels, to 8 taels i mace, per bale. Hu-lu-tsui-pu IS a much inferior cloth to either of the above varieties, and, being made entirely from imported yarn, twist being used both for warp and weft, is not so full as the others. On account of its cheapness, however, it is largely bought by the country people, who cannot afford the better-class fabrics of Yang-lo and Kow-hsien, arid it is said to be in fair demand at Anshun Fu and Kui-ting. It is packed into bales, containing 40 pieces, including the two used as wrappers, and each piece measures 1 1 niches in width, and 36 Chinese, or 42 English, feet in length. There is great variation in the quality of this cloth, and examination reveals many irregularities of make, and the presence of numerous weavers' faults. Unlike Yang-lo and Kow-hsien cloths, those from Hu-lu- tsui are neither graded nor stamped, and it is evident that the industry is not so highly organised as at the former places. The value of a bale of 40 pieces was 23 taels, on May 13th, 1897. This, and the prices of Yang-lo and Kow-hsien given above, were the current prices quoted to the shopkeepers by the connnission agents, who are entrusted with the sale of the goods, and are for two months' credit, payment to be made in piao-yin or Szechuan silver. There is a trade discount off Tsui-pu of 2^ per cent., liut Yang-lo and Kow-hsien are nett The chop with which the latter are stamped always gives, in addition to other characters, the name of the merchant who exports the goods from liuang-pei-hsien which appears to be the entrepot for this trade. These merchants are well known, and their names are accepted as guarantees of the quality. There is said to be a considerable amount of swindling practised m passing off inferior pieces of Yaug-lo and 270 THE BLACKBURN CHINA MISSION. Kow-hsien as the best quality, though this can only be clone when the pieces are dyed, and the stamps obliterated. There is a small industry in Kui-yang Fu in raising cloths by means of combs, so as to resemble flannelettes, the methods and appliances employed being the same as at Hankow. The looms in the city are solely engaged in producing plain cloths and striped (towellings of simple patterns, all made from imported yam. In and around Anshun Fu, the second most iiriportant town in the province of Kui-chow, the weaving industry is a large and profitable one, and the weekly output of the looms amounts to several thousand pieces. The material used is Hankow and Hua-shan cotton, together with large quantities of Bombay and Japanese yarn, all of which comes up from Hong Kong via Pose-ting. It is estimated that between 3,000 and 4,000 bales of unported yarn are sold in Anshun Fu itself every year, and the demand is greater than the supply. The majority of the cloths produced in this particular district are plain in character, and measured from 12 to 14 inches in width, and 32 English feet in length. Other varieties of fabrics are striped towellings, and a check cloth, made to closely resemble a silk cloth, known to the natives as " kuan-hua-chin.' 1 his weave is of comparatively recent origin, and was introduced by Szechuanese immigrants, who doubtless came from a district in Szechuan where the real " kuan-hua-chin " was manufactured. This well illustrates the adaptability of these people. Though, owing to the lack of raw material, they were unable to produce silk fabrics, they were enterprising enough to copy silk patterns, with which they were familiar, in other materials, thereby creating a new industry. Other large weaving centres are Hsin-cheng, Tu-shan, and Huang-tsao-pa, and during our visit to the latter place HUANG-TSAO-PA MARKET. 271 the holding of the weekly market afforded us an excellent opportunity of seeing the textile productions of the district. Placed on the ground, in the market square, were to be seen innumerable piles of narrow cloth, dyed and undyed, all produced by the local looms. Some of the sellers were the actual weavers, who had brought in a few pieces to the market, whilst others were small dealers, who had bought a number of pieces from the weavers in the surrounding hamlets ; the cost of distribution in either case being practically nil. Examination of the various piles of cloth failed to reveal any new varieties, the greater portion con- sisting of narrow plain cloth of the usual type, made from imported yarn. Up to within a few years ago all the material used in the production of these cloths was hand- spun yarn of Hankow and Hua-shan cotton, but the impor- tation of Indian yarn, at once cheap, easy of manipulation, and of the required degree of coarseness, caused practically a revolution in the trade, and the complete displacement of hand-spun yarn soon followed. One can see to-day, in almost any cottage one chooses to enter, the once indis- pensable spinning-wheel lying dust covered and forgotten, an anachronism to which the machine compressed bundles of Bombay yarn seem almost to invite attention. Hsin-cheng, a small but populous town lying between Kuiyang Fu and Huang-tsao-pa, furnishes another instance of how the cheap and convenient productions of the Bombay mills have completely ousted yarn spun by hand from local cotton. The number of looms in this place is said to be 3,000, and, whereas formerly considerable quantities both, of Hankow and Kuangsi cotton were imported, at the present, time the sole material employed is Indian yarn, twist being used both for warp and weft alike. It is a curious fact that the weavers know nothing about the counts of yarn as understood by us, but judge 273 THE BLACKBURN CHINA MISSION. the quality and fineness of the thread by the eye. When buying, they ask for shang-pei, tseng-pei, hsia-pei, according to the fineness of yarn they wish to purchase, and the experience of many years has rendered them such expert judges of quality, that they seldom make a mistake. There is the greatest demand for yarns of low counts, and, although 2o's comes into the market, it does not sell so well as 12's and 14's, which numbers are preferred, since from them a cloth more closely resembling that formerly made from hand-spun yarn can be produced. The most remarkable feature about the textile industry of this town is the fluctuation in the price paid for weaving exactly the same cloth at different times of the year, due to the fact of there being a slack and a busy season. The pieces measure 44 Chinese feet, or 51 feet 6 inches English, in length, and the weaving price, at normal times, for one piece, is 5 candareens, or i.god., in addition to which the employer provides food for the weavers during the time they are at work Long hours are worked — 12 to 14 per diem — and the production per loom is decidedly above the average, a good hand turninp- off two pieces per diem. In November, December, and January, there is a great demand for cloth, owing to the comparative coldness of the weather. The number of weavers being limited, they are able to command higher wages, the price for weaving one piece rising from 5 candareens to 7, 8, or even 10 candareens, or from I.god., to 2.6d., 3.04d., or 3.8d. On the other hand, during February, March, and April, there is very little weaving done, owing to the scarcity of yarn, and only tlie female operatives are retained during those three months, the men seeking other employment In April, Cantonese traders begin to arrive, bringing up large quantities of yam and other merchandise, the proceeds of which they invest in opium and other native produce. PRICES OF CLOTHS. 273 At Tu-yuan Fu, a preteccural city, lying between Kui-yang Fu and Sari-duore, the productions of the local looms are insufficient to meet the requirements of its inhabitants, and considerable quantities of nankins are imported from Huang-chow, near Hankow. These cloths are preferred to local makes, since they are manufactured entirely from hand-spun yarn, and as, like the Yang-lo, and Kow-hsien cloths, they are carefully graded into three qualities, a more exact and reliable purchase can be made. The bales, as imported from Huang-chow, contain 25 pieces, including one piece used as a protective wrapper, and ui May, 1897, a bale of the best quahty was worth 15 taels 4 to 5 mace, each piece weighing 2 catties of 16 Hang, or Chmese ounces ; a bale of the second quality 6 mace less, and 2 liang per piece less in weight ; a bale of the third quality 6 mace less than the second quality, and 2 liang per piece less in weight. These were the prices being paid at tlie time of our visit by the shopkeepers to the " Fan-tzu," or itinerant dealers, who had brought the goods up from Kuang-chow, and were for nett cash, to be paid in " pioa- yin " silver, weighted by the Tu-yuan scale, whidh is i per cent, lighter than Kui-yang scale. The pieces measure 16 to ]/ inches in width, and 39 feet of 1^1% inches in length, and, reducing the above prices and weights to an English equivalent, we have : — Exchange 3/2. d. A piece of 1st quality, 2|lbs sells at 1/11-56 ,, 2nd ,, 2lbs. 80ZS ,, 1/1065 3"! .. 2lbs. 5-330ZS „ 1/973 In summer, when the rivers are at their highest point, these goods come by water the whole way. from Hankow to this town, and in winter to a point no li distant — Hsia-ssu — whence they are carried forward by coolies, the journey occupying two days. 18 274 THE BLACKBURN CHINA MISSION. Other iniportant weaving centres in Kui-chow are Hsi-chang, Lung-li-hsien, Cherining-chow, and Mu-yu-ssu, where are produced cloths exactly similar in character to those already described. Weaving forms one of the principal occupations of the Miao-tze and other aboriginal tribes, who, despite the cruel persecutions and exactions of Chinese tax-gatherers, ara still numerous in Kui-chow, but, from the fact that they inhabit villages as remote as possible from the main road, they are seldom seen, except on market days. In these three principal centres, Anshun Fu, Huang- tsao-pa, and Tu-show, there has been a rapid growth of the weaving industry during the last twenty years, and well informed residents assert that it has by no nrieans reached its limit. In whatever direction we look, the exceedingly meagre dimensions of the imported piece goods' ti-ade, on the one hand, and the enormous range and extent of the home textile industry, are illustrated in a manner more patent than pleasant. In Huang-tsao-pa, for instance, the largest merchant in the town was emphatic in his assertions that the import of fcreigti piece goods did not exceed 1,500 pieces per arui,tim, whilst, on the other hand, he informed us that a moderate estimate of the number of looms in the town and immediate vicinity was 2,500. What the productions of these looms amount to there is, unfor- tunately, no means of ascertaining ; but, when compared with them, either in value or quantity, imported cloths must sink into insignificance. Nor is this all ; for such are the appliances these people have at their command, they are able to satisfy their ordinary requirements in the way of dyed, finished, and printed goods without having recourse to the foreigner. Of the methods of dyeing and finishing we have already written in another part, and in the printing of woven fabrics there is an industry NATIVE CALICO PRINTING. 275 quite as widely extended as either of the first named, though not on such a large scale. A sample of calico printing we brought home with us is probably ' contem- poraneous with the earliest periods of Chinese civilisation. In that most conservative of countries it still holds its own, in spite of the productions of Westei-n machinery, and it is worthy of notice. In the first place, the whole design, whatever its character, is produced by stencilling. Upon the previously stretched out fabric a stencil, cut out of stout native pa.per, is placed, and this is then gone over with a white paste, which has tTie property of resisting dye matter when the cloth is immersed in the dye vat. After the immersion, the goods are dried, and the stencilling paste is brushed off, or, as is sometimes done, it is allowed to wear off. Whatever parts are protected by the paste resist the dye, thus forming the pattern. Clumsy and primitive though the operation seems, most elaborate and beautiful effects are obtained. The definition of the pattern is not so clear as in our machine-printed fabrics, but this is not altogether a disadvantage, as there ds ai; indistinctness given to its outline which lends softness to the whole, and forms a relief from the harsh rigidity of many of our printed effects. Such, in brief, is a resume of the present situation in Kui-chow, of the trade in native textiles, and it is soniewliat disconcerting to find that 80 per cent, of the people of that large province are absolutely inde- pendent of the productions of Lancashire looms, and are likely to remain so, until great economic and social changes take place. X. — The Silk Trade of Szechuan. The production of" raw silk is universal in the Province of Szechuan. The great centres of the trade are : Mien-chow 276 THE BLACKBURN CHINA MISSION. and Si-chung-hsien, in the Prefecture of Tung-chuan Fu, Shuan-king Fu and Nan-po-hsien, in the Prefecture of Pao- TLvng Fu. Along with Jen-show the most productive dis- tricts are Kia-ting, Paoning, and Shun-ching, while Nan- chuan, Ki-kiang, and Pi-shan produce moderate quantities. Though Kia-ting produces the greatest quantity, which is inostly white in colour, the finest silk comes from Jen-show- hsien, in the Prefecture of Chia-ting Fu, and is mostly ex- ported to the great weaving district of which Cheng-tu is the centre, there to be wrought irito the finer satin cloths for which that city is famous. The so-called " water " silk comes from Paoning Fu, while the best in quality come.s from Mien-chow and its immediate neighbourhood. Raw Silk. — Chung-king is the exporting city for the whole of the province, and the generally recognised qualities as determined by the district of origin, colour, fineness, and quality, which come mto the market for export, seem to be as follows : — (a) Water Silk — This particular quality, which is of very high grade, comes from Mien-chow, Tung-chuan, and Jen-show. But the term " water " here seems to be but a figurative term for fineness. (b) Qua-ping. — This is a silk which has been treated to several washes of water, and is probably the "water silk " of commerce. It is a product of the Paoning Fu district. (c) Si-chung. — A silk of coarse character produced in the district of Si-chung, in the Prefecture of Shun-chiang Fu. (d) Shin-chiang. — This is also a coarse silk which comes from Chia-ting, but it is a little finer than (c), mostly -white, intermixed with a little yellow. Samples of chung-king silk. 277 (e) Kao-ciie. — This also is a product of Cbia-ting, but it is a little better and finer than (d), and is more white than yellow. (f) Pi-shanpu. — A silk used in Chung-king. It is nearly all yellow, and about equal in quality to (e), but is a little better than (d). (g) Chi-chiang. — ^Also a yellow silk, and, much the same in quality as (f). (h) Wild Silk, or Tussah. — Szechuan produces some wild silk in the district of Chi-king-hsien, in the Prefec- ture of Chung-kinig. But this has become a decreasing quantity in the market owing to the denuding the country of woC'd, particularly the scrub oak, on which the worms feed. On this account its price, which was formerly 5 to 6 mace per cattie of 16 Chinese ounces, has gone up to 9 mace per cattie, with the probability of its being still higher. The local uses to which this kind of silk is \m\. are .• The manufacture of piece goods which are woven in the natural colour of the silk, a soft dull fawn; the making of bow-strings ; and the making of strings for the bows used in bowing cotton. Some quantity is exported to Shanghai for foreign shipment, as well as to the Pro- vince of Ho-nan, where it is used for mixing with other silks. Though our visit to Chung-king was ill-timed as regards the silk season we were yet fortunate enough to get samples which fairly represent the silks in which that City deals in her export trade, as well as the pro- ducts of the districts from which her supplies are drawn. The samples, which may be seen at the offices of the Chamber, are numbered, 2 R.S., and 6 R.S., to 14 R.S., in- clusive, the particulars of which are as follows : — 278 THE BLACKBURN CHINA MISSION. No. 2 R.S. — Place of origin, a district three to four days' south of Chung-king. Quahty known as Szechuan Tussah. Price in Shanghai, Tls.125 per picul ; equivalent to 32.58 pence per pound. No. 6 R.S.— Yellow waste silk from Chia-ting, bought in Chung-king. Price, 4 mace 5 — 6 candareens per cattie ; equivalent to 11.79 pence per pound. No. 7 R.S. — White waste silk from Chia-ting, bought in Chung-king. Price, 4 mace 5 — 6 candareens per cattie ; equivalent to 11.79 pence per pound. No. 8 R.S. — Sample of unpicked waste silk from Chia- ting. This is picked and sorted in Chung-king, and fioin it samples 6 and 7 are got No. 9 R.S. — Place of origin. Mien-chow. Quality, best fine water silk. Price, i mace, 5 candareens, 8 li for i liang. Weight of knot, 8 liang i mace ; equivalent to 3.75 pence per ounce. No. 10 R.S. — Place of origin, Se-choon^ in the Shuii-ching Fu district Best quality. Price, i mace i cand.ireen 5 li for i liang ; weight of knot, 8 liang I mace ; equivalent to 2.99 pence per ounce. No. 1 1 R.S. — Place of origin, Paoning. Quality, best fine water silk ; price, i mace 5 candareens, 4 li for i liang ; weight of knot, 2 liang 8 mace ; equivalent to 4.>"2 pence per ounce. No. 12 R.S. — Place of origin, Pi-shang in the Chung- king Fu district Quality, best fine water silk ; price, i mace 6 candareens, for i liang ; weight of knot, 3 liang 3 mace ; equivalent to 4. 1 7 pence per ounce. No. 13 R.S. — Place of origin, Chen-an in the Province of Quei-chow Quality, best fine water silk; price i WASTE SILK. 2^9 mace, 3 candareens, 5 li for i liang; weight of knot, f) liang 4 mace ; equivalent to 3.52 pence per ounce. No. 14 S.Y. — Place of origin, Tseng-yi Fu, in the Pro- vince of Quei-chow. Quality, wild coarse silk — Tussah ; price, 9 candareens for i hang ; weight of knot, 8 liang 3 mace ; equivalent to 2.34 pence per ounce. The district, of which Tung-chuan is the centre, produces some 500,000 to 600,000 tales worth of raw silk annually, to which the name of Tung-chuan silk is given to distinguish it from the silk of Mien-chow. Locally, the silk is divided into three qualities : — i st, Shang-chuang ; 2nd, Chung- chuang ; 3rd, Hsia-chuoh. The first and second qualities are exported to Shanghai, and are classed simply as first and second qualities. The third is retained for local con- sumption. The general quality of the silk produced is classed as " fine," and is said to be a trifle better than Mien- chow. There is not nearly enough silk produced in the neighbourhood of Cheng-tu to meet the requirements of its manufactures, the whole crop being estimated to produce not more than 20,000 pa, a pa being 200 liang, or Chinese ounces. This would give 4,000,000 liang, or, reduced to its English equivalent, 333,333ibs., avoirdupois. It is graded into two qualities, known by the names " Tou-tung," and " Erh-tung," which simply mean first and second qualities respectively. Since the district cannot meet the large de- mands made upon it, there is a heavy import of raw material from such centres as Mien-chow, Chia-ting, Jen-show, Pao- ning, Tung-chuan, and Shun-ching. Waste Silk. — Since the Chinese have no use for waste silk, comparatively large quantities are put upon the market for foreign export, the dealers picking and sorting it before shipment. For this purpose the Chung-king dealers grade such refuse into four qualities : i, Chien-pa ; 2, Kou-tow ; 3, 28o THE BLACKBURN CHINA MISSION. Ssu-tow ; 4, Chien-ketzu, which is the refuse of Tussah, or wild silk, veiy rough and coarse in character. Df course, this waste is drawn from the silk producing districts of the Province, Mien-chow, Chia-ting, Se-choon, and Pi-shan being regarded as the principal ones. In buying from the growers, dealers get lOO catties to the picul, each cattle being i6 liang for large lots; but if small quantities are tendered the buyer gets 20 liang to the cattie. But in all buying there is a weight discount of 20 catties per picul, so that every hundred catties bought is reckoned as bo only — an allowance of 20 per cent for dirt of every des- cription. Payments in this particular branch of trade are made in ready money, little credit being given ; for being a compara- tively new business, local custom has not yet fixed any rules for regulating it, as in the case of all other businesses. The discount on payments is at the rate of Tls. 3.5 for every Tls. 100 of good silver ; an equivalent to 3.5 per cent Local Scales of Weights and VALtJES for Raw Silk. — In the City of Chung-king the standard of weight for the buying and selling of all raw silks is the Chung-king ounce, of which 16 make one cattie. But, in export- ing to Shanghai, there is a discount in weight of 6 catties to the hundred, owing to a difference of scale between the two places, so that 100 catties equal 94 in Shanghai, 94 catties 10 the picul being- the basis of the export scale. During the year 1896 raw silk had been sold at Tls.9 odd for 84 ounces, but from several causes this price has been much advanced upon, and during the time of our visit in January, 1897, prices were ranging between Tls. 10 and Tls. 11 for 84 ounces, according to the quahty of the silk. In the Tung-chuan district, a buyer has the option of taking all quaUties together at an average price of Tls. 11 EXPORT OF SILK. aSi 7/8 mace per pa, the pa being locally 83 Chinese ounces. But if a buyer takes only the first and second qualities togethi.r, refusing the third or lowest quality, then he mr.st pay 5 mace more per pa. The third quality is sold to local weavers at Tls.i less per pa. In exporting to Shanghai the pa is reckoned at ioo ounces Chinese — ^which is 17 ounces per pa in favour of Chung-king as the exporting agent. In Cheng-tu the local scale of weight used in buying and seUing is the liang, or Chinese ounce, which is equal to ij^ English ounces. But this is mcdiiied when dealing with large quantities, the pa of 200 liang being foand more con venient than the smaller measure. In other districts, too, local custom has arbitrarily fixed what shall, or shall not, obtain as standards of weight and payments. Thus, in Pi-shan, Mien-chow, and Paoning the picul is only 97 catties, not lOO ; while in Chen-an, Se- choon, and Tseung-yi Fu, the standard of weight is as low as t,c cafcb'es to the picul. But this is not the whole of the mattei, for each town seems to have trade discounts peculiar to itself. In Pi-shan, for instance, a buyer will only pay Tlsg4 of good silver for every Tls. ico worth of silk pur- chased—a discount of 6 per cent. — ^but if he prefers to pay in inferior silver, then the discount will vary as the touch, or fineness, varies from that of good silver. Again, in Mien- chow, Paoning, Chen-an, and Se-choon, the ratio is as 93.5 taels of good silver to every 100 taels' worth purchased- -a discount of 6.5 per cent. — ^■while in Tseng-yi Fu, • the dis- count is Tls.93 for every Tls. 100 worth, or 7 per cent. Export of Silk, Raw and Manufactured. — The following particulars of raw and manufactured silk exported from Szechuan through Chung-king are taken from the 1896 returns of the Imperial Maritime Customs Report on the trade of that city : — 282 fHE BLACKBVRN C It in a MISSION. Description of Goods. Quantity. Value. Silk, Raw, Yellow Piculs Do. „ Wild „ Do. Refuse „ Do. Cocoons „ Do. „ Wild „ Do. „ Refuse „ Do. Pongees, Szechuan ... ,, 3.271 568 800 278 308 7,748 75 H.K. Tls. 615,018 44,962 21,606 9.995 9.154 193,886 17,640 Totals 13,048 912,261 These totals are equivalent to i,739,733lbs., having a value of ;£^ 1 52,043, an item of export which might be made to grow to far greater dimensions in the very near future, if the Szechuanese could only be impressed with the idea that it is of the utmost importance that the exporter shall have clean and nicely graded fibre. We have frequently seen consignments of silk in which individual knots have shown every -^liade of colour between the two extremes of deep yellow and dirty white; cocoons of varying shades and quality indiscriminately mixed together ; while the rough- and-ready methods of packing are productive of a great deal of broken fibre. This great province offers a wide field for original research to the silk expert, for we have been assured that there are many varieties of silk being used locally in well-defined districts which are altogether unknown to foreign commerce. Woven Fabrics. — Szechuan is notably a province where WOVEN FABRICS. 2% silk manufacture is indigenous. District after district may be passed through only to find the same universality of occupation among the people, which is only qualified by this, that one district is noted for some speciality which is distributed over wide areas of country, and that another is equally noted for a more general and varied production of textiles. After examining the means employed to produce such, one cannot conceive the processes of preparation and manufacture in vogue as being a borrowed something adopted from mere imitation of others. The thing is too old, but how old one may not speculate, for one finds appa- ratus in use which is of a type preceding that employed by our early European weavers, by which a maximtim of labour is employed with a minimum result. But though intricacy and setting of parts are the most noticeable features of the looms themselves, there is nothing produced in the whole range of fabrics more comphcated in structure than cloths depending on twill and satin weaves for their construction. We have no fabrics woven as double cloths, no attempts at producing anything corresponding to our tapestries, and only one or two cloths as examples of figuring with extva niatciial. The compound gai tings in use for the production of figured goods are made imperative by a straining after large pattern rather than as a necessity in the actual pro- duction of a piece of cloth. While the products of the Szechuahese looms are as varied as the requirements of daily use as regards width, length, weight, and quality, the texture ranges from the light gauzy ling-tse to the heavier brocades, satins, and figured damasks. Though many of these correspond to fabrics made by ourselves comparison is not favourable to the Chinese fabrics, which is due, not so much to bad weav- ing as to want of finish, and the free use of shady yarns. The latter fault is s.o prevalent that one can scarcely get hold of 284 THE BLACKBURN CHINA MISSION. and examine a piece, but the eye is readily caught by long lines of unequal colour tone, sometimes running welt, some- times warp way — a. faulty variableness made more patent by an unequal number of picks being placed in a given space of cloth. All woven fabrics are classified, species being de- fined according to width, weight of material employed, structure, or ornamentation, and, with one or two exceptions, they are sold by Kung-i-chih, a foot measure equalling 13:4 English inches, as distinguished from the " ts'ai " or cotton measure, which is 14 English inches to the foot. The samples we were able to collect are enclosed in folios Num- bered 5, 6, 7, 8, g, 10, II, 12, 13, 15, and 18, S.C, of which we append the following particulars, the names given being those by which the Chinese know the several fabrics : — Tuan-tzu. — Folio 5. One pattern. Price in Chung-king 2 mace 6 candareens per foot, equivalent to. 9.88 pence ; width 28 inches, English- This is known by the name of Cheng-tu satin, a plain satin of very general use arid distribution, not being peculiar to any dis- trict. Used for jackets and coats. Ning-chow.- —Folio 6. Three patterns. Width 29^2 inches, English. A Cheng-tu production, but called Ning- chow from being a copy of a fabric originating from Ning-chow, a town in the Nankin district. Price, 2 mace 6 candareens per foot, equivalent to 9.88 pence. It is dull ill appearance, but of firm texture, and the figures are large. It is reversible, since the whole is got up with equal reversed twills, that in the figure running in an opposite direction ito that of the ground. It is a dress fabric in common use. Fu-tsow. — FoHo 7. Ten patterns. Price in Chung-king, i mace 4 candareens per foot, equivalent to 5.32 pence ; width 19 inches, English. Made in Cheng-tu. A SAMPLES OF WOVEN FABRICS. 285 light dress fabric of crape-like texture and brocaded with figures, Tlie;se figures have a stepped irregu- larity of outline, peculiar to all figures produced by any mountings arranged on the pressure-harness principle. The fabric is not reversible. Kin-chov/. — Folio 8. Ten patterns. Price in Chung-king, I mace per toot, equivalent to 3.80 pence. Width 21 inches, English. Made in Cheng-tu. A similar fabric to Fu-tsow, but a little heavier. It is also known by the name of Quei-chow, being made from the wild Tussah silk of that province. Mo-pun. — Folio 9. Three patterns. Price, 3 mace 5 can- dareens in Cheng-tu, equivalent to 13.30 pence per foot. Width, 29)^ inches, English. A rich dr.-ss fabric, the ground of which is satin of bright and lustrous appearance when compared to the figure. This is also a copy of a fabric produced in Ning- chow, Hay-chow, and Si-choon. Pa-tuan. — -Folio 10. Seven patterns. Price in Cheng-tu, 3 mace 7 candareens per foot, equivalent to 14.06 pence Width 2,^)4. inches English. - . Made in Cheng-tu. A rich dress brocade, affected by the richer classes. The peculiarity of this fabric is that it is always diapered with a small diamond effect. Should any other figure be present it is got up v/ith reversed twills running the length of the piece, which gives a very uncertain definition of outline. Quan-hua-chin. — Folio 11. One pattern. Price in Chung- king, 2 mace 6 candareens per foot, equivalent to g.88 pence. Width 26^^ inches, English. Made in Cheng-tu. This is known as a " five-coloured check," a strongly coloured check forming squares of ^)A inches, ornamented with geometrical and other figure 286 THE BLACKBURN CHINA MISSION. motives. Now being freely imitated in cotton 'x:ty the native weavers. Used as bed-spreads, and when specially woven has cross borders top and bottom. Lang-kans — Folio i8. Twenty- two patterns, varying in width from 3^ to i^ inches in width. There is an immense amount of these woven in silk, and silk and cotton, their construction being exactly that of our figured dhootie border ; a plain cloth ornamented with extra material. Some of the richer kinds have satin grounds. THey are universally used as a sort of appHque on the borders and hems of ladies' cloth- ing, and also as ribbons. Folio 19 contains four patterns of imported Lang- kans. These are Japanese, and are to be seen ex- posed for sale in many Bzechuanese towns. These enterprising people are certainly making a bold bid for this particular branch of the textile trade. Special Weave (Mo pun Ning-chow). — Folio 12. One pattern. Width 29 inches, length 48 inches. A figured satin of the Mo-pun class. We wish to draw attention to this fabric as an example of ornament specially planned to meet a particular requirement The whole is proportioned in width and length for a lady's divided skirt, and the figured motives of the ornamentation are so planted that they fall in exact corresponding places in each half of the garment These are sold in lengths. Price in Cheng-tu, Tls. 2.27 per length, equivalent to 86.26 pence. Ta-chowl — Folio 13. Two patterns. Width 23 (inches. Price in Chia-ting, 2 mace 6 candareens per foot ; equivalent to 9.88 pence. A strong plain dress silk, much used for clothing. Takes dye well. A speciality of Chia-ting, and found all over the pro- vince. A NICE CLASSIFICATION OF FABRICS. 287 Sun-sse. — Pattern No. 9, folio 15. Width, 17^ inches Price in Chung-king 8 candareens per foot ; equiva- lent to 3.04 pence. A Chia-ting production woven as a muslin from un-gummed silk, and much used for cloths in hot weather Ling-tze — Pattern No. 18, folio 1 5, made in Shun-king Fu, bought in Chung-king. Width i /^inches. Price 100 cash per foot ; equivalent Ito 3.16 pence. Pattern No. 19, folio 15, made and purchased in Chung-king. Width, 141^ inches. Price, 50 cash per foot, equivalent to 1.5 8 pence. A light satin cloth used for lining drawings. Not peculiar to any district. The rate of exchange for the above has been taken at 3s. 2d. In addition to the above, there are sewing and embroi- dery silks in almost endless variety ; braids, made exactly as we make bobbin lace ; and knots and tassels in variety to suit the most fastidious taste. The above illustrates, if anything can do, a nice classifica- tion of fabrics which, with the Szechuanese, has grown into a system arbitrary in its application. But we have else- where pointed out that ornament applied to woven fabrics is in all cases symbolical to the Chinese mind. In support of this we refer to patterns i — 6 in folio 15 S.C. — a general collection of patterns indicative of preferred colours and ornamentation — of which we gleaned the fol- lowing particulars : — Pattern i — Colour, bamboo grey ; ornament. Wan character and aster, the combination being called " Wan-tze- kue-hua." Pattern 2. — Colour, cray fish green ; ornament, eight knot key on plain ground, called by the Chinese " Su-ti- pah-kia.'' 288 THE BLACKBURN CHINA MISSION. Pattern 3. — Colour, pale blue ; ornament, promegranates, young and old, meaning fruitfulness through life. Pattern 4, — Colour, bamboo green ; mixed ornament, called " Sia-cli'uen-fu-shir, which means literally, " Happi- ness and age of spring." Pattern 5 - — Colour, blue ; ornament, butterfly and orchid flower, called by the Chinese " Dih-lang." Pattern 6. — Colour, snow green ; ornament, peony on plain striped ground, the combination being called " Su-ti- niu-tan " A similar descriptive classification is attached to ali the products of the weaver's art by the Chinese themselves, and unless our manufacturers of cotton brocades pa).- strict atten- tion to such minute detail they cannot hope to maintain their interests in these markets. It is to illustrate what is required in colour and character of ornament that we have made this collection of silk patterns, and we hope they will be studied, and, if need be, faithfully copied, for it is no use attempting to give a Chinaman a three-toed dragon instead of one with five, or vice versa ; and it certainly is not a wise proceeding to irreligiously tamper with the tra- ditional figure " motifs " of applied Chinese art. XL— Dyeing and Finishing of Cotton Piece Goods.. It would be difficult to find in China an industry of which the ramifications extend over such a wide area of country as tlie dyeing and finishing of cotton and silk goods and cotton and silk yarn, unless it be the actual production of the fabrics themselves. We are assured from various sources, and our personal observations corroborate the assurance, that fully 9-ioths of the grey and bleached shirtings which we send to that country are dyed before being put into use, CHEAP ANILINE DYES. 2S9 the remaining tenth being used in the grey state for under ■ clothing, or as linings to the various garments. Of the native Nankins, or hand-made piece goods, pro- bably ^-loths are dyed, the prevailing colour for these, as well as for the finer imported shirtings, being three or four shades of blue, derived from the native, and, frequently, locally grown indigo. The other primary colours, yellow and red, are readily derivable from other native vegetable and mineral dye-stuffs, though the importation of clieap aniline dyes in a commercial form, is rapidly causing a decreasing demand for the indigenous products. Plains that at one time were entirely given up to the cultivation of the safilower plants nov/ produce nothing but opium, and indigo is the only vegetable dye-stul^ whose cultivation is still pi'ofitable No wool of any description is subjected to either the dyeing or finishing processes, whilst in the case of grass cloths, made from rhea, or China grass, bleaching takes the place of dyeing, followed by the usual finishing. All yarns which have to be dyed, whi^ther cotton or silk, are dyed in the hank, and in no instance did we come across any yarn being dyed in the ball or rope. The hanks are dipped into the solution, and then all excess of dye which the yarn cannot absorb is wrung out by twisting the liank by' means of a stick. The number of dippings in the dye vat determines the shade of that par- ticular colour. When, in the judgm.ent of the operator, the desired shade is obtained, the hanks are exposed to dry in the sun, or in some covered shed, or room, open to a free current of air. When dry, the hanks are opened and dressed, in some cases being brushed to ensure the easy separation of the threads, and to remove any granular dye matter adhering to them. Turning to the dyeing of piece goods, the most note- 19 ago THE BLACKBURN CHINA MISSION. worth}- feature is that imported goods — ^white Irishes — ^wb'ch have been bleached and finished in England, should be sub- jected to a dyeing and a rude finishing process, partially destroying the oiiginal finish, which by the subsequent pro- cess cannot be \vholly regained. The reason assigned for tliis somewhat remarkable operation is that as the finish is partially retained, these goods have a better appearance than grey goods undergoing the same process. Here is an instance clearly proving that the natives are prepared to pay for a cloth that suits their tastes and re- quirements ; for naturally the original bleaching and finish- ing considerably enhance the value of the goods. Except in the case of low grade cloths, and those made from an admixture of silk and cotton, it is not usual to dye silk goods in the piece, for tlrC better class fabrics, the silk is dyed to the required shade before being waiped, the same methods being employed as with cotton yarn, though a great amouiit of care and atteniion is displaved. In the case of undyed Tussah however, the goods after leaving the loom are filled and finished, the filling consisting of a gummy paste spread upon the fabric, which is then sub- jected to the finishmg process. Finishing. — The apparatus used for finishing all classes of goods is very primitive and rude, and produces, as might be expected from a glance at the subjoined sketch, but very indifferent results. There is an unevenness of glaze so un- like the perfectly even glaze which we are accustomed to in our finishes. The following will illustrate what takes place in finishitig a piece : — A. is a block of stone, cut, as shown, and weighing some five or six hundredweights. When out of use it is lilted over on its side. B. is a wooden roller upon which the cloth is wrapped. C. is a hollowed bed of stone upon which the roller B. rests. HOW PIECES ARE FINISHED. 291 The cloth to be finished is wound upon the roller B., sheets of paper being put between each lap of cloth. The finisher mounts the presser A., planting a foot on each wing at I. I. poising and supporting himself by horizontally fixed poles placed conveniently for the worker. By alternately pressing upon the wings of A., a rolling, see-saw movement of A, is set up, by which the roller B. is caused to roll up and down the hollowed face of C. At Ihe same time a lateral movement is given to A., causing it to travel along the length of Ihe roller B., backwards and forwards. When this move- ment has been completed a lap of cloth is taken off the roller, and a fresh one presented to the presser A. To ensure a glaze on the face of the cloth, the faces of A. and C, which come in contact with the cloth are besmeared with insect white wax — the wax peculiar to this part of the country. MakinG-UP. — All goods treated as above are cut and made up into lengths suitable for the cuttmg-out of certain articles of clothing. The 40 yards imported piece goods, are, when cut for men's clothes, divided into eight parts ; but when cut for women's clothes, when shorter lengths are 292 THE BLACKBURN CHINA MISSION. required, they are divided into lO and 12 parts. The fold- ing and making-up are shown by Mmples 29 C.C., and 30 C.C, both of which are English bleached shirtings, dyed, finished, and made-up, according to native requirements. The native nankins are not cut into lengths. Cost. — The cost of .dyeing, finishing, and making-up, is a serious addition to the import price of piece goods, amount- ing as it does to, in Chung-king, dyeing, 3 mace ; finishing and making-up 3 mace, or 6 mace. This is equal to 17 per cent, on a shirting, costing Tls. 3.5 in Shanghai, the selling price of shirtings used for this purpose in October, 1896. The cost of dyeing a piece of native-made cloth — 14/30 feet, 2lbs. — is 5 cash, or \-yA. for each immersion in the dye vat. We find on enquiry that English blue-dyed and finished shirtings have been tried in this market, but that now there is neither enquiry nor demand, and this branch of trade is dead. The reasons assigned for this are, that such goods were filled, and the dyes fugitive, so that they would not wash. But the more serious fault was that in finishing, the pieces were pulled so that they could not be got straight in any direction except by cutting, whilst the selvedges in many cases had been pressed away from the body of the cloth. These are common faults to-day in our system of finishing. In Yunnan Fu the inhabitants affect very bright ga). colours, the men wearing garments of light shades of indigo, and the women and children startling combinations of greens, yellows, reds, and blues. This marked partiahty for soinetiiing bright is to some extent accounted for by the exceptional clearness of the atmosphere, and the great amount of sunshine with which that part of China is favoured ; it possesses, in fact, a climate with which sombre colours do not seem to harmonise. There is a fixed charge for dyeing a piece of .Shashih DISSIMILARITY OF TASTE. 293 made cloth— 14^/31 feet, 50 by 50, 13/11, 2lbs (grey weight), tiic deepest shade of indigo, of i mace, or 3. Sod whilst the lighter shades vary from 6 candareens, 2.38d. up- wards, according to the shade of colour required. The cost of dyeing a piece of Bombay made toilettings, 27/70, 68 by 60, is between 8 and g mace — 2s. 6.4d., to 2s. io.2d. — according to the shade of indigo, whilst for reds, greens, and yellows, the cost is 5 mace, or is. 7d. Indigo is not grown in the immediate neighbourhood of the city, and is consequently imported from the districts round Sin-hing-chow, the best quality being worth 8 taels per 100 catt-'es, or equivalent to 2.27d. per lb. To produce other colours aniline dyes of German origin are employed. The use of indigo dyed garments is not so general in the south as in other parts of the country, the Cantone£,e, whose commercial enterprise and trading in- stincts have carried them far beyond the confines of their own province, showing a marked preference for a colour best described as chocolate. In this respect they furnish but one instance, out of many that could be mentioned, of the great and remarkable dissimilarity of taste and customs which, ■ combined with racial and lingual differences, places a social gulf between the Cantonese and the people of other pro- vinces, and renders free and unrestricted intercourse impos- sible. There being no indigenous dye-stuffs that will yield the required shade of brown, a bulbous root, or yam, known to the Chinese as shu-liajig, is imported from Tonquin. This has the property, when ground into fine powder, of impart- ing to cotton and silk cloths that peculiar brown colour so generally seen ai the soutli. In i8g6 no less than 4,756,oiolbs. representing a value of :£'i,936, was passed through the Imperial Maritime Customs, and imported into Canton. There is a considerable variation in the quality of 294 THE BLACKBURN CHINA MISSION. the yams, and a corresponding variation in the price, the best sound roots fetching as much as $8 per picul, or 1.53d per lb. Not only are the native woven fabrics of cotton and silk dyed with the ingredient, but large quantities of English grey, and bleached and finished shirtings are so treated. It is a desire to obtain a glossy and consequently smarter appearance that actuates the dyers to select goods that have already, at considerable expense, been subjected to a finishing process in the country of manufacture. We were enabled, after some difficulty, to ascertain that the* exact cost of dyeing a piece of English-made bleached shirting, 36/40 ycirds, is 2 taels 3 mace, or, with the tael at 2s. lod., 6s. 634 ci- For dyeing to the same shade of colour a piece of native-made cloth, 13/14 inches in width, and weighing in the grey state 2lbs. 40ZS., for 21 feet, the cost is 10 cash, or .3d. per foot of 14 inches ; for blacks, 2 to 3 candareens, or .72d. to i.oSd. per foot of 14 inches, and for dark blue i candareen 8 cash .648 per foot of 14 inches One fails to see any economy in the methods and practice of the Chinese in fiurchasing our bleached and finished shirtings, and then subjecting them to a dyeing and finish- ing process before placing them in the hands of the retail shop-keeper. Yet probably 80 per cent of the bleached sh'.rtmgs that are disposed of in the Shanghai market are specially purchased for this pur- pose, and in all the districts visited by us, excepting the Province of Knang-tung, and Kuangsi, 90 per cent, of these goods are dyed t'.) some shade of blue with locally grown indigo. It is not that these goods lack any- thing in bleach or finish — they are as perfect as good machinery and highly-developed skill can make them, it is that though they approach the Chinaman's requirements most nearly of anything we send him, yet they are not exactly what he wants. A WANT OF UNIFORMITY. 295 But on the other hand, as might be expected when such rude appliances are used, the results of this native finishing are far from satisfactory ; the finish is blotchy, presenting a surface glazed only in parts. This is a consequence directly due to the using of a finishing stone of such a character — ^its concave surface may not touch every part of the roller upon which the cloth is wound, at the same tiiae, whilst its lateral traverse along the surface of the roller can only result in effects similar to those described. Exactly the same words may be used of the dye effects, there is '. great want of uniformity in the depth of tone, and a uniform wash of colour all over the surface of the piece is almost unknown. Two principal causes of <^his may be adduced (1) The want of proper convenience for handling and dealing with long lengths of cloth ; (2) The nature of the fabric dealt with. We must not forget that a fabric that has beer; finished by our English system of finishing is in the worst possible condition for absorbing dye matter, as the immense pressure brought to bear on the cloth in order to obtain a glaze, so flattens and solidifies the threads, that they present a surface which offers a resistance to the otherwise penetra- ting power of the dye, the threads, in fact, being only feurfiice dyed. If any filling has been employed, even worse effects are produced, as this is not discharged by the mere dipping of the fabric into the dye vat, and when the piece is made up into a garment, and put to the wash, both filling and dye are discharged together. As the ultimate cost of goods treated in this manner is considerably enhanced by the methods employed, one may ask the pertinent question, Is it not possible for our dyers and finishers to produce dyed and finished goods of a better appearance and superior in every respect to those now being given to the consumer by these rude handicraftsmen, and yet to come in at the price? 596 The BLACKBURN CHINA MISSION Dye-Stuffs, Native, in Szechuan: — 1. Indigo. — From Nan-chuan, Szechuan. Price 7 to ii taels per picul of lOO catties. 2. Tumeric. — Root, from Chung-tu. Price, Tls. 6 per picui of 170 catties. 3. Tumeric. — Ground in Chung-king (imported in root). Price, Tls. 4.50 per picul of 100 catties. 4. Red dye. — Sui Fu. Red leaves used foi red dyeings, having taken the place of the saffiower, which is now used as medicine. From Sui Fu. Price 10 Tls. picul. 5. Safflower. — From Shun-ching Fu, Province of Szechuaa Price Tls. 50 per picul. The picul here is a variable quantity of catties, as, say 100, no, 120, depending on the agreement of buyer and seller. TEe price is always the same ; it is the number of catties per picul that is bargained for. 6. Hartoll, or Orpiment — Chinese Shih-Huang, worth from 17 taels per picul of 118 catties, equivalent to 3. 1 2d per lb. 7. Huang-pai. — ^A yellow dye-stuff, bark of the Pterocarpus Flavus. From Szechuan, Hu-peh, Kwang-tung, and Manchuria XII. — Textile Design. It appears to us that textile design is as much a subject cf competition between the textile products of this or that country as is tlic actual production of two pieces of cloth which compete for favour in this or that market. We are led to this reflection because it is a fact that in most cases the comparative perfection of 'the designs, whether the design depends for its merit on colour, structure, ornamen- WHAT THE CHINAMAN DOES. 297 tation, or quality of material, will decide what will, or will not, be appreciated by a people who have a fine instinctive knowledge of the qualities that a fabric ought to possess. And of no people is this more true than of the Chinese, who are orthodox in all matters regarding historic orna- ment, and with whom ornamentation is synonymous with symbolism, which is made the dhief factor in all their applied art. These people have yet to learn how to jtistify the absurd practice of attempting the grouping together of fragmentary pieces of ornament taken from the art of all the world, and are simple enough to be content with their own traditions. Before proceeding to examine more closely how this question of design affects us, there are one or two points of great importance to be taken into consideration, for we take it that to note what the Chinaman does for himself is something of a guide in what we would do for him. In the whole range of fabrics made by and for himself, the Chinaman considers the uses to which the goods are to be put ; he does not unnecessarily add to their cost nor hamper their utility by misapplied ornament His cotton goods, which are meant to fulfil the requirements of the everyday workingman, have the qualities of strength and durabihty rather than elegance of appearance and finish. Such fabrics as printed or embroidered bed-spreads, and curtains are decorated to a degree bordering on extrava- gance ; fabrics for purely ornamental purposes, such as the trimmings for women's clothing, run the whole gamut of colour for effect without being tawdry; while in silk goods, either woven or embroidered, the imagination runs riot in schemes of colour, ornamentation, and the uses of material, of which we have little or no conception. Yet with all this, the Chinaman does not lose sight of the purposes of a fabric. 298 THE BLACKBURN CHINA MISSION. Colour. — So long as the CHinaman confines himself to the colourings derived from his native dye stuffs, he effects results soft, deep, and rich in tone, which would not ofEend Western taste. But he is losing much of this with the advent of cheap aniline dyes, which are permeating the whole country, and in many cases full advantage is being taken of the brilliancy derived from such colouring matter, with the result that the fabrics treated with them have a tone at once crude and raw, while much of their metallic brilliancy is offensive. The women mostly countenance tind affect the wearing of these loud colours, often mixing in the same garment the strongest contrasts, but with the men generally some sober shade of blue, derived from indigo, is their common colour for dress. Suitability and Classification of Design.— It is to the productions of the silk weaver that one must turn in order to find out what the Chinaman means by the application of ornament to textile fabrics, and there one will see that, in dealing with natural objects, the weaver does not aim at a mere copying and a naturalistic rendering of the subject, which reduces the whole to picture in light and shade, but rather that he treats the whole with a flat treatment, which depends on line for strength. For threads of any kinds are not the proper medium in which to express, say the delicacy of a flower, and to attempt it is a thing outside the weaver's art Herein the Chinese weaver shows his skill and good sense, since he confines himself to conventionalism, by which he suggests something more than is actually expressed. The sliced pomegranate, which seems to be a favourite figure motive among " Mo-pun " designs, is a case in point. The designer does not attempt any shading to represent the interior of thp fruit at the cut away part, but retains a line to suggest wholeness, and scores the intervening par*: with cross lines as THE CLASSIFICATION OF DESIGNS. 299 a suggestion of the seeds found tliere. This holds generally in the treatment of all plant and floral suggestions, but if the designer borrows form from the animal kingdom it is often rendered with a certain amount of ideality, while i'l his treatment of mythical forms the imaginabon runs riot, and ends in grotesqueness. But there is one peculiarity of this industry which adds much to the interest one can take in the products of these looms, viz., that a certain class of designs and constructive effects are assigned to given varie- ties of fabric?. One may not find, for instance, the designs say, of " Fa-tuan," woven on that class of fabric known as "Mo-pun," and it is this classification of motives for orna- mentation which shows the weaver's sense of the suitability and fitness of things in matters textile. The large bold designs of the two mentioned fabrics would be out of place on the narrow, light, delicate fabrics, known as " Fu-tsou,'' while the designs of the latter would be but badly expressed in the former, owing to the particular weave employed in their construction. Thus, the desigji, the construction, and the amount of material employed to produce a piece, are the chief factors which decide species. It seems to us that the whole range of motives which the Chinese designer uses would be fo-.ind by analysis to con- sist of a free rendering of a few simple plant, geometric, and animal forms, being rather a play upon several common objects to which are attached qualities representative of some desired condition of life, rather than the products of a fertile imagination. In this way much of their design has lieconie traditional, and they speak of this or that as bemg " old," and take such as a standard by which to measure any new adaptation or modification of " old " pitterns. Thu.?, tradition and symbolism are linked' inseparably together, and this ornamentation is made a medium in which to express a wish for such qualities and conditions of 300 THE BLACKBURN CHINA MISSION. being, as : Long life, happiness, fertility, riches, and ilie possession of precious things. They rate such as perfect examples of the designer's art, and in their self-conceit and desire for no change, object to any innovation from the outsider, and are very apt to express iheir non-appreciation of foreign design by some such words as " him belong foreign cargo." What We Ought to Do. — ^However much we -.nay desire to see our manufacturers and printers producing fabrics of high character as regards design, we must admit that where suL,h levels of comparative perfection have been reached we must bow to the inevitable by giving these people that which they can understand and appreciate. Here is the Chinese designer ornamenting, and the weaver pro- ducing, a fabric according to their sense of its utility, which tliey do not destroy by bad construction and over ornamenta- tion, and it would be well for those manufacturers who are engaged in wea-ving cotton brocades for this market, if tliey were to study, and even copy such designs. For we have frequently been assured, and tlie more we enquired the more was it asserted, that "if such designs were faith- fully copied in cotton, faithfully adliering to size and detail, such goods would find a ready sale in these markets, as such productions with their simple figure motives w^ould be understood by the Chinaman." This is quite true as regards those traditional designs which are purely Szechuanese, such as the designs for those silks known as " Fu-tsou," ' Pa-tuan," and " Quan- hua-chin," which, so far as we could learn, have never been copied in cottons for this particular market Certainly we do manufacture for the Shanghai market a great quantity of figured lastings, cotton brocades, and the secret of their success is the fact that tlie designs employed are copies taken from Soo-chow and Hang-chow silks — designs which WHERE ENGLISH DESIGNERS FAIL. 301 the Szechuanese themselves copy in their Mo-pun and Ning- chow. What We Do. — ^We approach lliis consideration with the utmost diffidence simply because we have had a rude awakening to the fact that of the hundreds of sketches seat out for approval by far the greater part are utterly useless in these markets, and designs for prints seem to be endowed with the same fatal quality. It was frequently asserted to us that of all such designs not more than two out of every ten had tlie least chance of being accepted — -a condition of things accounted for by the fact that our English trade designers do not seem to appreciate Lhe niceties of meaning and relationship of parts with which a Chinaman endows all applied ornament. Hence he has something given to him which he considers an absurd treatment of figure motives, wanting a sympatlietic relationship in ihe units which go to make up the design, and it appears to him as a bringing together of opposites which he fails to unritr- stand. Our designers do not realise the fact that with the China- man die application of all ornament is symbohcal ; that Iiis religion, his history, his mythology, enter into it ; that by it he means to convey a desire for some quality or condition of life ; that he is a master in the conventional treatment oi natural objects, and that he has an Art tradition on his side which rules his judgment in selecting and applying orna- ii;ent which he is conservative enough to retain. We fail to realise, too, that it is useless to try to force upon such an one our naturalistic renderings of natural objects, for he simply laughs and calls them " show things." Whilst we admit that it would be difficult for our de- signers to fully gauge the measure of Chinese taste in this matter, since to do so would require a familiarity with the motives of Chinese design, yet, it is a reflection on the Art 302 THE BLACKBURN CHINA MISSION. training of such designers that in the course of so many years' trade and contact with the Far Ecist we have failed so completely to adapt ourselves in these matters to the requirements of these markets. And all this is given point to and emphasised by the evidence of Shanghai. Speaking on this subject with the principals of several Shanghai bouses, we had assurances of this sort given to us. A. f.ay5, " It were better for you to leave it alone, as your attempting to do this for yourselves would only be a waste of time, m.one)', and energy." B. says, " There are not more than two out of every ten designs made in England which have a chance in this market, and I am forced to have designs made here by Chinese designers." C. supports B by sa,ying, " All my designs are made here, and I send them home for reproduction either as woven or printed fabrics." D. says, " I have all my designs made here, but I lead my Chinese designer by giving suggestions, prompted by my studying old silk and embroidery de.^igns, frequently buy- ing embroideries for diis purpose, because to me they seem to possess all that is knowable of applied Chinese art" These are admissions which point to a past wherein \vc- have neglected to adapt ourselves lo known requirements, and the study of such essential details as go to the succcess of a particular business. But what of the present and the future? — because there is one phase of this subject which our people at home would do well to think over, since it is to our prejudice that it exists. E. says, " When we have had our designs made here we cannot trust your English maruifacturer to fai'hfully re]oroT duce them ; he insists on modifying either size or detail, thinking thereby he improves what is asked of him, the result being that the buyer refuses to take the goods." AN ENCOURAGING' FEATURE. 303 While this attempted corruption of Chinese design creates distrust, every licence we allow ourselves to take in this matter may be momentarily convenient but it bring-s its ow.n reward by playing into the hands of .nir keenest competitors ■ — the Japanese. These people, with a similar literature, and Art traditions, send into these markets fabrics exactly suiting the Chinese taste in colour, constructive effect, and texture, which is a policy of wise adaptation to local re- quirements, and one that it would be well for us to study. XIII. — Export Trade of Szechuan : Its Position and Prospects. It would be well nigh impossible, nor does it come within the scope if this enquiry, to enumerate all the varied produc- tions of a province so vast and fertile as Szechuan, v/herc the piessure of over-population has rlriven the people to cultivate every available acre of land with a persistency that is no less remarkalole than the methods of its application. To all who look upon Western Cl.dna as a great future market for the productions of Lancashire spindles and looms, there is no more encouraging feature than the immense possibilities of the development of the export trade, the foundations of which have already been laid by two or three pioneer firms in Chung-king, whose operations owing to various causes, have, up to the present, been on a limited scale. The ability to produce such valuable animal and vegetable exports, as Szechuan is now giving to the foreign merchant is all the more reassuring since we cannot expect, for many years to come, until the official barrier of prejudice and obstruction has been broken down, and the surpassing stupidity of iriandarindom gives way to a more enlightened policy, that the wealth and prosperity of 304 THE BLACKBURN CHINA MISSION. the people will be materially increased by any development of the immense mineral resources of the province. It is only from Chung-king that v/e are able to obtain any reliable statistics by which the magnitude of the export trade can be gauged, and, even in that case, the figures do not represent the total exports, for no returns are available showing what merchandise passes through the channels controlled by the Native Customs, or hkin. That there is great competition between the Imperial Maritime Customs, and the Native Customs, to secure traffic, is well known, and in Chung-king the tariff of the latter organisation has been so lowered that much opium now passes through the hands of its officers. On the authority of one of the Yamen officials, it is said that no less than Tls.260,000 was received last year as likin on opium alone at Fu-chow, a great centre of the opium trade, situated on the Yangtsze, below Chung-kmg. The gross value of the exports of Chur^-king paying duty to the Imperial Maritime Customs, was, in 1894, H.K. Tls.4,gg7,688 (;£'832,948) ; in 1895, HK. Tls.6,396,;43 (;£'i,o66,i24); in 1896, HK. Tls.5,223,229 (;£'870,538). Taking the various items in the order of their value, opium heads the list, in 1896, with a value of HK. Tls.1,653,973 (;£^275,662). The whole of this was not produced in the province, a portion being imported from Yunnan. As this does not constitute a foreign expor';, we are not further interested in its fate. Silk of various kinds comes second, with a value of H.K. Tls.912,261 (;^IS2,040). This is all shipped direct to Shanghai whence it is distributed to America and Europe, the greater poriion of ;he waste silk being purchased for the English market. White wax, of which about one half is shipped abroad, is third, with a value of H.K. Tls.799,298 (;6"i33.2f6), followed by n-usk, H.K. Tls. 538,243 (;^89,707); medicines," H.K. Tls 507,900 (;^84,65o). In the latter category are included many of THE EXPORTATION OF WOOL. 305 those extraordinary articles that go to make up the Chinese pharmacopoeia, such as centipede, armaddillo scales, dried orchid stems, fossil teeth of antedeluvian animals, tigers' bones, fungus, etc. Then follow wool, H.K. Tls. 145,046 (:£'24,i74); bristles, H.K. Tls. 129,099 (;£'2i,5i6); fungus H.K. Tls. -91,440 (£15,240); hemp, H.K. Tls. 90,620 £15,100); rhubarb, H.K. Tls. 67,569 (£11,261); nutgalls, H.K Tls. 66,428 (£11,071); hides, cow and buffalo, H.K. Tls. 34,617 (£5,768) ; goat skins, H.K. Tls. 26,900 (£3,405) ; sugar, H.K. Tls. 28,702 (£4,783) ; feathers, H.K. Tls. 13,837 (£2,306) The remaining items of any value are coir, lead, leather, safftower, horns, and hams. Of this heterogenous list there are to be. singled out five items to which the foreign firms in Chung-king are devoting Iheir attention and energy, and which all promise to become important trades m the future. These are silk, wool, bristles, hides, and feathers. Of the first named we have written soniewhat fully in that chapter dealing \v-ith the silk trade of Szcchuan, and repetition here is superfluous. The exportation of wool is a growing trade, of quite recent origin, the first consignments having been sent down to the coast some five years ago. It is not until one approaches the extreme Western and Northern borders of the provinces, that one meets with any flocks of sheep, and it is from Ta-chien-lu, on the Thibetan border, and from Sung-pan, in the North of the province, that the wool at present exported from Chung-king is derived. From 'la-chien-lu there is almost an unbroken communication by water, whilst from Sung-pan the route followed is by pack animals to Kuan-hsien, thence by the Min River and the Yangtsze to Chung-laing. The wool is of good quality, long in the staple, and soft to handle, but arrives in bad condition, being wet and dirty. Of the whole deliveries 3o6 THE BLACKBURN CHINA MISSION. not more than lO per cent, are clipped fleeces,, the bulk being in rope form, whilst all qualities and colours are lumped together, rendering careful sorting by the exporter a necessity before^ being marketable. The trade has not as yet attained large dimensions, the quantity exported in 1896 being 21,977 piculs, as against 150,000 piculs from Tientsien, the principal outlet for wool from Mongolia. The bulk of the wool from these two ports is fonvarded to New York, where there is an increas- ing demand from the American carpet manufacturers. But this trade, like all others at this remote centre, is hampered by heavy likin charges and costly transport. At Mon-chow, the first likin barrier, wool from Ta-chien-lu pays 1 00 cash per picul ; at Kia-ting 300 cash per bale is charged, and at Lu-chow, on the Yangtsze, 360 cash per bale is charged. These three exactions are equivalent to Tls. 0.273 W^ picul of 1 33^ lbs., at the present rate of cash, or 3.03 per cent, on the Chung-king value of the wool. More hampering than these, are the heavy freights from Chung-king to Shanghai, which, in January, 1897, were as follows : — The charges by junk to I-chang varied from 25 to 30 tael cents per picul, or equal to about 9s. 6d. per ton. .^t I-chang the bales are transferred to tlie river steamers, the freight to Shanghai being 66 tael cents per picul. The two rates give an equivalent of 33s. 3d. per ton from Chung- king to Shanghai, a distance of 1,450 miles, as against 353. per ton from Shanghai to New York, a distance of some 14,000 miles. The export of feathers is a branch of trade in which much more might be done. The supply is almost illimi- table, but the feathers contain a large amount of dirt, and the introduction of cleansing machineiy is required before a first-class quality can be turned, out. The only buyer in the city is the representative of a German firm. GUILDS AND TRADE. 307 One English firm is doing an active trade in bristles, an article of commerce in which there are great variations of quality, necessitating constant inspection of consignments V)y the foreigner. Natives are too careless to be trusted with any work requiring constant attention, and it is difficult to make them realise the importance of exactness in sorting the different qualities. The bristles are graded by quarter inches, from 2^in. to 7in., and are then packed in wooden boxes for shipment to the London market. The present value is H.K. Tls. 22^ per picul, or 6^d. per lb. The export of hides and skins shows a steady advance year by year, and the trade is said to be a profitable one. One great drawback to the development of the trade in wool, feathers, bristles, and hides, is the lack of suitable accoinmod.'ition for the cleansing and inspection of the consignments as they arrive fi'cm the interior. Every available space inside the city being built on, it is of the utmost importance that land for a British Settle- mejil be secured in a suitable situation outside the city, on which foreigners could erect go-downs, and lay down the necessary machinery for cleansing, handling, and packing their exports. XIV. — Guilds and their Relation to Trade. If it were not that these Guilds exercise so great an influence on trade in general, it Here but a curious enquiry to examine their constitution, but such is their collective strength, and such is the power they exercise as regards the internal trade of the country, that to take note of them in this Report will be explanatory of much that is not matter of common knowledge to people in Lancashire. A Guild is presumably an association of men who have 3o8 THE BLACKBURN CHINA MISSION. common interests at stake. They meet regularly to discuss matters appertaining to their several businesses, and for formulating rules for conducting such ; for combination in all matters of cominon trade interests ; fcr extending to fellow-provincials such protection and help as they may stand in need of ; for dispensing charity in such cases as the Guild thinks deserving ; _and for entertainment, m which the Chinaman takes so much delight. Not the least of the objects ior which so much combmation takes place is mutual protection against the rapacity of high officials, since no trader or merchant can afford to make any display of comfortable circumstances without drawing on himself the notice of officials, whose system of extortion is always carried out in the most plausible manner. So much does the spirit of squeeze permeate through Chinese society that even those engaged in the lowest classes of work band themselves together in the form of Guilds, so that they may defend themselves against those immediately above them, and also enforce their claims upon others. So much does all this obtain, that their own trite saying, that " big fish live on little fish, Uttle fish on shrimps, and shrimps on mud," has been coined to express the relation that exists between official, merchant, trader, and labourer, and it is mor? true than many are aware of^ With such objects as these in view, the traders and merchants of a given province, who have established them- selves in business in a town or city in sonic other province, band themselves together, and form a Guild in the interests of the men of their own province. Thus, men of Shen-si and Hu-peh have their respective Guilds in Chung-king. In addition to these, tlie tradesmen of any given place have their own local trade (iuilds, as, for instance, Local Piece Goods Guilds, Cotton Guilds, &c., to which dealers in such commodities belong. TH& innMr Workings of guilds. 309 It is very difficult to obtain any information which is satisfactory regarding the inner workings of these Guilds, as, in many cases, no rules are published, while in others only such as place these institutions in the most favourable light, which may be taken as something to satisfy the inquisitiveness of a too curious public. In addition to this, the members of Guilds may not discuss in public, ncr give any information relating to any matter whicn is considered as coming within the province of a Guild to dea.1 with, under pain of a heavy penalty. When we add that the mysterious is always an accompaniment of Chinese doings, and that complication is a quality in whicli they revel, it is little wonder that men who have been in the country many years have to confess that they know little about such institutions. But the constitution of all is on similar lines, though some assume a more arbitrary and autocratic power than others, while some go so far as to exercise the powers of a corporate bod> in the towns or cities where they find lodgment. Whilst in Chung -liing, we were fortunate in enlisting the sympathies of several Chinese gentlemen with the objects of our Mission. One of these gave us the information we desired regarding the Guilds of that city, the information taking the form of answers to certain set questions, the substance of the conversation being as follows : — " There are eight Guilds in Chung-king, which represent respec- tively the provinces of Kwang-tung, Fo-kien, Che-kiang, Kiang-nan, Shen-se, Shansi, Kiangsi, Hu-peh, and Ho-nan, in addition to which are more than ten local Guilds. Each trade has its own Guild. The object of a Guild is not unlike that of a foreign club, but, of course, it is based on commercial principles. Trade disputes are settled b)' it on friendly terms, and it serves to bind the members of a trade together. Every big tradesman 3IO THE BLACKBURN CHINA MISSION. belongs to a Guild, but small ones do not necessarily enter. Membership is effected by subscription and entrance fees, which vary in the different Guilds from a few taels to one hundred. The Guilds are maintained by subscription and levy as need arises." In answer to our question, What are the rules of the Piece Goods Guild ? our informant gave us the following : — " (a.) There are three appointed times in a year for settling accounts, which are, the end of the fourth month, the end of the eighth month, and the last day of the year. " (b.) If an^'^one desires ready money on selling his goods, he must allow 1.2 per cent discount per month from actual date of payment to next settling day. " (c.) All sycee scales mtist be according to the Guild's scale ; if any are less they must be amended. " (d.) A balance must be struck at the time of the three festivals. If this is not done, interest must be paid on all debts. " (e.) Buyers and sellers must settle their business accord- ing to contract note. After the deed is delivered, business cannot be repudiated. " (f.) Should goods be damaged or broken, the purchaser must send to have them exchanged immediately, or have them examined in the presence of the seller or his agent. Should no notification be made within a few days after delivery, no compensation shall be allowed. " (?•) Trading must be carried on in good sycee ; five and a half per cent, for discounting. " (h.) There shall be a discount in selling price equal to ris. 92.2 to Tls. 100 (equivalent to 7.8 per cent.). THE GUILDS AND THEIR POWER. 311 "(1.) If any mem^r breaks any of the above Rules, he will be fined Tls.ioo, a feast of four tables ; and pay for a theatrical performance." We were further informed tliat " The Guild never settles the selling price of goods, that the Guild never supports its members in commercial disputes, nor in any law cases ; that the members do not pay loti-shui or likin collectively through the Guild, but individually ; and that the Guild levies a small tax of four candareens (1.44 pence) per package of shirtings or cotton yarn. Some of the Guilds are wealthy, others are not. Their moneys are used largely in giving entertainments, repairing Guild properties, payment of wages, &c., to staff. If the surplus is large, the money is generally expended in buying land or houses." These rules only regulate a particular branch of business. But with the growth of these Guilds, there has been a quiet assujnption of power, until at the present day the chairmen of the several Guilds' Committees associate with the local officials in such matters as the arranging of local tax assess- ments and tithes, the organising and managing of fire brigades and militia forces, the settlement of the more importailt bankruptcy cases, the raising and administering of relief funds, the control of orphanages and asylums, &c. They thus have altogether a status of much importance and influence from a political, trade, religious, or social point of view, especially when coupled with the power to boycott anybody or anything. For to incur the displeasure of a Guild means isolation of the severest kind, and social or commercial ruin We have not far to go to find support for so strong a statement as this, for in the Swatow Imperial Maritime Customs Commissioner's Decennial Report, we have such an indictment of Trades Guilds that the most charitably minded person must admit their immense possibilities for 312 THE BLACKBURN CHINA MISSION. good or evil in the development and trade of their country. The Commissioner reports :' — " These institutions seem to be a material manifestation ' of a local characteristic of the people, for not only do "merchants combine for trade purposes, but the labouring " classes, whatever their employment, all band together on ■' the slightest pretext, whether their object is to obtain "wages, or tc secure the dismissal of an outsider. It is " recognised throughout the Empire that in their remark- " able faculty for combination, and the rigid obstinacy " with which they maintain a position once taken up, the " people of Swatow are equalled by none of their fellow " countrymen. In addition to the ordinary expenses, the " Guild has to spend a good deal in making presents to " officials, giving theatrical performances in their honour, " and showing them respect in various other ways. The " income out of which all these payments are made, " amounting to several thousand dollars in a year, is derived " from a tax on merchandise, entranice and clearance fees " from merchant vessels, and the rents of property owned "by the Guild. So far as I can gather, the Guild's methods " of working seem, to be as follows : — ^Whenever a question " crops up affecting any particular trade, the heads of the '' principal firms engaged in it first come to some agree- '' ment amongst themselves, then talk over the lesser firms, " until they have gained a sufficient following ; and only " call a meeting of members to adopt what they have agreed " upon as a rule of the Guild. Nothing seems to be left " to a vole in open meeting ; if the dissentients are strong, " the matter never comes before a meeting at all. Fre- " quently the Guild does not wish its action to be visible " and then no laws are com.mitted to writing, but a general " understanding is arri\ed at, which seems to be just as " binding as a foriiial utterance. In ihis way, most likely. THE POWER OP A GUILD. 313 " they masked their resistance to the imposition of extra '■ provincial likin — the Battery Tax — m, 1 890, when no " dealer in the taxed articles dared to come to any arrange- " ment with the collectors sent up from Canton, who were " unable even to rent a place in which to establish them- " selves, so that eventually all attempts to force payment " had to be given up. By the Guild's decrees steamer " companies are forced to pay claims for damaged " uninsured cargo, which they feel to be unjust. If they " demur, no case comes up for trial ; the loss of their " carrying trade is the penalty that quickly makes the "objectionable demands seem reasonable. In 1881, some " Swatow merchants were heavily fined for dis- " regarding a Customs rule affecting the examination of "cargo. The Guild took the matter up with spirit, and an " anonymous note called upon merchants to cease all import " and export trade unless their demands were complied " with. In that particular instance the Guild was unable " to gain the point for which it was fighting, but the trade "was kept completely at a standstill for 15 days, pending "its decision to submit. The Guild concerns itself with " the commercial interests, individual and collective, of its " members ; settles trade disputes ; enacts trade regula- " tions ; and performs, with equal readiness, the functions of " a Chamber of Commerce, a Board of Trade, and a " municipal council. It supports a fire brigade, levies its " own taxes, provides standards of weights and measures, "fixes rates of commission, determines settling days, pro- " vides penalties against the tricks of trade, and acts "generally as the guardian of its adherents, and the terror " of all with whom they do business. It possesses a power " to enforce its views which might be envied by many a " Government, for in it is vested the sole right to thp. "exercise of that mighty engine, that stalwart crusher of 314 THE BLACKBURN CHINA MISSION. " arguments, to which an episode of modern Irish history " has given the name of boycotting." Among the Rules of this institution there are the f ollc^wing : — " The agents of the Guild have to inspect the contents of all cargo-boats, and draw up memoranda for the information of their superiors. All dues must be paid within the month in which they are leviable, and accounted for by those in charge of the books during that period. Disputes to be laid before the com.mittee. " The dues leviable on the cargoes of foreign steamers are to be reckoned at so much a package. " For each entrance or clearance at Swatow of a steamer chartered by a member, he must pay a fee of $i6 towards the funds of the Guild. " For each entry or clearance of a sailing vessel so chartered, he must pay a fee of $6. " Steamers owned by members pay the same fees as chartered sailing vessels." ,, All kinds of junks are affected in a similar manner. Opium pays 30 dollars a chest, and there is a list of 45 different articles of merchandise, with a tariff of charges, mostly about i-io per cent on the value of the goods, included in these rules. Other rules are drawn up to the effect that any bankrupt who fails to pay his debts in full will be boycotted if he attempt to start in business again. No Swatow agent is allowed to act for an outside principal who owes money to any fellow agent; while another rule forbids any merchant inland, or in another port, to employ more than one local firm as his agent here. These, and such like rules, are common to all Trades' Guilds, and one cannot doubt the power of these, after reading such rules as those which form the constitution of the Han-yang Guild of I-chang : — - RULES OF THE I-CHANG GUILD. 315 " I. Three cash in every 1,000 on the value of all goods that pass through the hands of a firm have to be subscribed to the Guild that examines the firm's account-books. " 2 Firms that contributed to the erection of the Guild premises have only to pay an entrance fee of i 3-5 per cent, on their capital as an additional payment. " 3. All boats belonging to members are taxed according" to size ; the smallest junk has to pay 300 cash each trip to the Guild, while larger ones have to pay in proportion. "4. Working-men, such as tailors' and carpenters' hands, etc., pay 30 cash per month ; their masters, if keeping no account-books, are also assessed for a tax by the Guild. " 5. Clerks pay 2 per cent, per annum on their income. " 6, Assistants or clerks starting business on their own accc'.unt pay 1,000 cash for their signboard, in addition to their ordinary subscription. " 7. Merchants starting business in T-chang pay 2,000 cash for their sign-boards, and 1,000 cash entrance fee. " 8. New comers of the workman class pay 1,000 cash entrance fee, which must be paid within a month ; should tliey leave before payment, their masters are held responsible. " g. A firm opening a branch has an extra payment to make. " 10. Strangers from the place to which the Guild belongs pay 3 per cent, on the value of any trade done by them. "11. Members going into partnership with outsiders pay according to their share in the partnership. 3i6 THE BLACKBURN CHINA MISSION. ' " 12. Any merchant from the place to which the Guild belongs coining to I-chang to sell cotton goods pays 4 cash on each large piece, and 2 cash on each small piece sold. " 13. Any member promptly reporting a townsman's arrival at I-chang, receives 10 per cent of the.latter's contribution to the guild. " 14. A member not paying his subscription is dealt with in accordance with the gravity of the offence, and is either fined or reported to the officials for punishment. Anyone giving his support to such a member is likewise fined.'" Hence the whole trade of a port is hedged round with rules and regulations which leave nothing to individual industry and enterprise, and are of so harrassing a nature, that I-chang may well be the poverty-stricken place that ii. is. Even in public matters, these Guilds dare to act upon their resolutions in a manner which even the ingenuity of Chinese officialism would find difficult to break through, and prob.ibly more tactful to pass over unnoticed. For m the second rule of the Kwang-tung Guild of Foo-chow we have it laid down that, " Members of the Guild offend- ing against public law shall be brought up for examination by the executive committee, and, if the offence is proved, shall be surrendered to the local authorities " ; wliile llie eleventh rule sets forth that, "At the meetings for the discussion of matters of pubhc interest, held in the great hall, each member shall have the right to declare his opinion, but the business of such meetings shall not be discussed outside the precincts of the Guild." The reso lutions T.rrived at could not be discovered except by inference, ilrawn from the conduct of members in relation to the subject matter so discussed; all of which is FOREIGN FIRMS AND THE BOYCOTT. 317 emphasised by the fact, that in many Guilds espionage is encouraged by monetary reward. If tliese Guilds were to content themselves with the regu- latmg and controlling of internal trade, the present position would be bad enough, since all branches of business suffer cut of sympathy with each other; but' there are many cases on record in which their power has been keenly felt by foreign firms, who, under the gentle persuasiveness of a boycott, have had to give way to the demands formulated. For instance, a branch in Canton of a well-known Hong Kong piece goods firm was, for some reason or other, given up, their clients at once transferring their business to the Hong Kong house, whither they proceeded, in order to purchase their requirements. Some time after an attempt was made by Hong Kong to re-establish the branch house, never doubting for a moment but that the prestige of former existence would secure their wish. But, in the meantime, new interests had been created in favour of native agents, dealers, and transit companies, who were not prepared to give up such business as had been acquired. The Piece Goods Guild at once took the matter up, and a boycott was established against the foreign firm, an action which was only satisfied by the final and permanent giving up of the; objectionable branch house. A like experience was the lot of a Shanghai firm, who, some years Ego, attempted to establish a branch house in a Northern port. This venture was looked upon as a tampering with vested interests, and the firm was charged with attempting to take away the living of agents, &c., &c. .A. boycott ensued, in which Shanghai was worsted, and serious losses were incurred. Again, a Shanghai firm, well established in Hankow as importers of Indian opium, was warned by the Swatow Opium Guild that the time had come when the distributing trade in this drug should be 3i8 THE BLACKBURN CHINA MISSION. entirely in the hands of natives. Shanghai, feeling itself secure in its strength, simply laughed at the implied threat, but, from that day forward, the Hankow branch hotise could not sell an ounce. Traders and dealers alike trans- ferred their businesses to Shanghai, and, to-day, not an ounce of opiura is sold in Hankow by any foreigner. As we have mentioned in another place, the power of these Guilds affects us most nearly on the very threshold of our dealings with the country, and where foreign influence and prestige are supposed to be paramount The Shanghai Piece Goods Guild entirely controls the distribu- tion of piece goods from that entrepot of foreign commerce. Merchants, dealers, agents, and shop-keepers are all within its grasp ; it compounds with the officials as to the amount of likin tax to be paid for exporting piece goods to interior markets ; assesses and levies on all merchants, dealers, agents, and shop-keepers, the amounts of subscription to be paid for the privilege of its protection ; and binds all in one common bond, which may not be broken without the incurring of serious responsibilities. It even has the audacity to pack auction sales, at which the foreign seller can only protect himself by employing similar tactics. It even goes so far as to impose on all native piece goods dealers alike the prices at which they may sell their com- modities, nor may anyone be known to sell at other prices without incurring serious penalties. We v/ere not able to get a copy of the Guild's rules, but the practices of the trade are enough to show that such rules as they have must be of the most stringent character. The Guilds of the Coast Ports — notably those of Shanghai, Swatow, and Canton — have gradually assumed dictatorial powers, more advanced than those of corresponding Guilds in the interior. Even provincial Governments have to reckon with a quality of organisation which knows no TOO MUCH EXPECTED FROM CONSULS. 319 charity of purpose, where self-interest is concerned, while the opulence of all is expressed in the ornate character of their Guild-houses, which make second-rate every other native building in the country. XV. — Consuls and Commerce. The position of a Consul in China is not an enviable one, for, between the exigencies of politics on the one hand, and the demands of trade and commerce on the other, the office, at present, is almost untenable. It is harassing by reason of the many interests he is supposed to serve, and annoying from the conditions under which the work is to be carried out. A Consul is politician, ex- pounder of international law, guardian of the prestige of his country, lawyer and magistrate, guardian of the trade interests of his " nationals," and political agent, all rolled into one. Surely this is an accumulation of responsibilities such as only a many-sided man could discharge, and we really must give credit for honesty of purpose and good intention, if occasional failure mark the career of any of these men. For, by virtue of his office, the Consul is expected to give his attention to a myriad of exacting details bewildering in their variety and intricacy, and if, by any error of judgment, a false step is taken, the mistake is all the more serious, since the consequences are so far reaching. The position is all the more delicate because every advantage will be taken of any show of weakness, of any error, of any indecision, by a people who are masterly tacticians, where self-interest is concerned. But we certainly do e.xpect too much from our Consuls, since they, in common with other men, cannot with equal credit, serve two masters, the masters in their case being politics and commerce To-day a Consul must needs report 320 THE BLACKBURN CHINA MISSION. on some phase of the political situation within his sphere of labour, to-morrow on the trade of the particular town or city to which he is assigned ; or, to-day he must take note, after prolonged and anxious discussion, of some perversion of treaty rights, and report thereon, then to-morrow he is asked by unthinking people at home to report specifically on the prospective development of some particular brandh of trade of which he must needs instruct himself as to the very terms to be used before he can possibly begin his work. And^ then we are disappointed because such reports are not sug- gestive of exact requirements, forgetful that a Consul's whole training and education has been too general to admit ol specialised knowledge. It is probably for want of allowances of this sort that our Consuls are charged with weakness in China, that they are voted of no use by many engaged in business and looked upon by such as ornamental personages, who but badly grace their positions ; a kind of criticism not altogether deserved. Certainly, there may be men whose method of conducting the affairs of office lends itself to such charges, but the sum total of their usefulness need not be lost sight of, as on the whole much that is charged to want of strength is the result of a system, more than the result of individual weakness. For it is a fact of common knowledge in the Far East that, owing to the masterly inertness of Pekin, our Con- suls cannot enforce the rightful claims of their " nationals," which are allowed to go by the board for want of proper bac]> M Reiss Bros 36" T-cloths ......... * Do . ..' .. -.;■' tMay 23 t ,, Tu-yun Fu Do . I albs. Grey Shirting 8^1bs. Black Italian Gibb, Livinsrstone t M f 1 Yung-hsien Ilbert & Co Arnold, Karberg &■ Co. . ... t May 30 S^lbs. Grey Shirting tJune 5 Siang-chow Jardine, Matheson &. Co. ..' »» One month's credit, less 10 % for trade discount. IN YUNNAN AND KUI-CHOVV. Chop. Price. Quality ot Sycee, Scale. Price in Shanghai Tien-ping Tls. 2-5 Tu-yun 3 'SO )j 2-40 »» 5-05 Kuei-yang ... 2 '20 Shanghai Exchange Rates. Tls. 4*oo Kun{r;;-kii yin Piao-yin 5 Children, Blue Stamp... Stag Large Stag Dragon Red Flower 3 Joss Coat of Arms 5 Children t Nett cash. X Laid down price. 2-50 3-00 4 '00 3-10 6'oo 3 'SO 3-20 Hua-yin s. d. 2 io5 INDEX To Messrs. Neville and Bell's RepoSt. A Pages. Amoy : Goods under transit 174 Anshun Fu ; Foreign piece goods — Importation of 56 Foreign yarn-Demand for ... 56-57 Weaving industry of.. 57,274 White wax in sect trade of 57 Appendix and Glossary : 359-369 B Bankers . Despotic power of 245 Semi-official character of 246 Banking : Ohung-king — Promis- ing opening in 354 Native ■.. 244 Rulesof 247-48 Banks : Native facilities for trading 244 Szechuanese and Shan- ghai bank 354 Well managedat Shan- si ....■ 354 Paoes. Betterment : Suggeations.for 340-42 C Canton : Carrying trade-Local 80 Concession — Foreign.. 63 Cotton growing — Ex- periments in 64 Cotton weaving indus- try 64 Cotton weaver--Lotof 64 Exports 63-68 Do. Eawsilk... 66 Do. Waste silk. 66 Imports buainesspure- ly Chinese 63 Imports — Foreign piece goods 65 Likin Station — Rules of 137 Native Shops — Opulence of 71 Silk — Improvement in quality .-.. 67 Silk--Sourcesofsupply 67 Silk Weavers' wages.. 68 Silk trade 65 Steam navigation — limit of 79 Taxation- Immoderate 65 Do. Minimum of three taxations 138 Vessels-^Entered and cleared 69-70 Central China -. Waterways of 72,33 1 Chambers op Commerce : 342,358 376 INDEX. Charobs — Freight and transhipment : Chao-tong to Ttmg- ohuan „ 99 Ohen-yuan Fu to Anshun Fu 94 Chung-king to Cheng- tu, overland route. . 91 Chung-king to Cheng- tu, via Sui Fu and Chia-ting 92-4 Chung-king to Tung- chuan, via Ho-ohow andSui-ning 90 ' Hankow to Anshun Fu 94-6, Hankowto Ghen-yuttn Fu 95 Hankow to Heng- chiang 94, 96 Hankow to Kui-yang Fu 96-7 Heng-chiang to Chen- yuan Fu 94, 96 Hong Kong to Canton 100-101 Hong Kong to Huang- tsao-pa 106 Hong Kong to Meng- tze 106 Hong Kong to Pose- ting 106 Hong Kong to Wo- chow 101 Hong Kong to Yunnan Fu 106 Hung-kiang-ohang to Lao-wa-tan 97 I-ohangto Chung-king 86-88 I/ui-ohowtoKui-chow 104 Mengtze to Yunnan Fu 106 ' Pose-ting to Huang- tsao-pa 106 Shanghai to Chin- kiang '82 Shanghai to Chung- king 87-8 Shanghai to Hankow. 82 Shanghai to I-ohang.. 82-8 Sui Fu to Hung-kiang- ohang 97 Sui Fu, on the Yang- tsze to Yunnan Fu. 97 Tai-ho-chen to Sui- ning 90-1 fung-ohuantoYunnau Fu 99 Pages. Chaboes — Freight and Transhipment — Cent. : Tung-chuan to Yan- kai 99 Wochow to Lui-chow. 103 Wochow Fu to the West River ports of Lui-chow,Kui-chow and San-doure 102-105 Chao-tong Fu : Flannel — No demand for coarse red 50 Native cloths — Stocks of from districts round Shashih 60 Piece goods — Sale of foreign 50 Textiles— No tax or duty levied 50 Trade — None of its own 49 Chbefoo : Convention of 153 Inland taxation 175 Cheng-tu Fu : Cotton Not many looms r 42 Incubus — The official 43 Piece goods — No mer- chants in the trade 43 Piece goods Shop- keepers who buy imported 43-4 Provincial capital of Szechuan 73 Routes The, from Chung-king 44 Silk-A great industry 43 Chen -YUAN Fu : City in Kui-chow 75 China : National debt of 343-6 Our trade with 358 Reform — Politicaland commercial of . ,. . 357 Tariff— Revision of . . . 342-50 Chinese Empire : Physical character- istics of 78-9 Index. %nl Pages.' Chinese Ornament : Application of 297 Colouring 298 Design — Expert evi- dence on 302 Design Japanese sympathy in 303 Design ^Suitability aad classification of 298 Figure motives — Fail- ■ ing to realise importance of. 301 Natives' designs to be copied ... 300 Simplicity of 299 Symbolism of . . . 300 What we do 301 What we ought to do 300 Orthodoxy of 296-7 Chin-kians . British concession ... 15 Customs — Hampering regulations 17 Europeans — Business carried on by 16 Exports — Leading ... 16 Imports — Foreign and native . 16 Imports — Piece goods 18-20 Labour — ^Ventures for collective and organ- ised 17 JJTative productions ... 17 Traders and transit . pass 159-60 Chung-king Fu : Agreement of 83-6 British concession — Sitefor 354 Foreign firms in 240 Imports-Foreign piece goods 32,35-7 Japanese concession. . . 355 Merchants-Drawbacks to .^...... 354 Piece goods — Native firms of 240 Piece goods Guild — Rules of 310-11 Sui-ning — Great mar- ket for 40 Trade— Gross and nett values of 34 PAGES.i Chung-king Fu — Cont. : Trade— Mart of West- ern China 31 Traders Inconveni- ence to 32 Vessels — Entered and cleared 33 Chung-pa : Duties on goods 120 Cities and Towns visited. 1-71 Communication 72-107 Competition Ig5-221 Ameeioa— U.S. of , 186-90 Goods Buying of American in Man- chester 190 Preference for Ameri- can ■ ..■.. 188 Freightages: — Prefer- ential ., 187-8 Trade — Increase in .., 186 China 210-221 Cotton — Native goods 216 ; grading of, 218 ; localisation of industry, 217 ; pro- ductiveness and con- sumption, 217. Cotton — Native mer- chants^No suggestion from 220 „ Position not withouthope 220 „ Quality to be maintained 220 „ Shanghai Exportsfrom 219 Cotton Cloths— Great- est competitor in . . ; 210 Cotton (raw) — Distri — bution of, 210-11 ; price of, 212 ; trade in, 213 Silk — Export of piece goods 215' Comparative cheap- ness of 216 Snk (raw) — ^Exports to Shanghai 214 3^8 INDEX. Faoes. Competition — Cont. : Silk (raw) — Produc- tion of 214 Cotton mills- At work, 222-3 ; building of conceded by Govern - ment, 221 ; child employment, 229 ; Chineee labour — Competitive value of, 230; docility and adaptability of, 281; relative efficiency of, 232-3 ; Competitive factor — Japan as, 236; Cotton-Native grown, 223 ; prices of, 224 ; Dividends of new, 237 ; equip ment of , 229 ; Indus- tries — No fostering of new, 236 ; Legis- lation-^Not ham- pered by, 238 ; loss 'in working of, 225 ; merchants' possi- biUties,,239 ; Oper- atives — Earnings of, ' 228; hours worked, 227; well-paid, 233; other contemplated, 223; Returns- Want of reliable, 226 ; Shanghai mills — Competition of, 23 4; Spindles — Produc- tion of, night and day shifts, 227 ; Yarn — Cloths from hand-spun 235 Qbemany and other European countries except Holland 201-2 Holland 200-1 Piece goods — Imports of 201 India 198-200 Piece goods — Quality and amounts of ... 198 Yarn trade — An as- sumption, startling oonTparative figures, 200 ; comparative percentages of, 199 ; growth of, 199. Pages. Competition — Cont. : Japan 190-7 A Warning 197 Bid for Chinese market 190 .Chinese taste, meeting requirements of ... 194 Grey goods — Quality of 192 Manufacturers — Help to 196 Progressive spirit of . . . 196 Strenuous efforts 195 Sundry and fancy goods 193 Textile imports 191 SOUTHBBN POBTS 202-10 Goods — No preference for Lancashire 209 „ Preferred quali- ties of 202 Piece goods and yarn- Comparative table of British imports, 206-7; percentage of excess or deficien- cy, 208. Piece goods and yarn- Principal items of imports from coun- / tries other than England 204-7 Returns — Defective ... 203 COMPRADOBES 323-30 Are any members of the Shanghai Piece Goods Guild? 328 Autocratic power of... 330 Duties of 324 Lancashire patterns... 329 Language — Want of knowledge of the. . . S26-7 Playinginto the hands of 327 Position — The serious 325-6 Reliance — Too much placed in 329 System— The 323-30 Consuls and Commbrob... 319-323 Defiance of taxation officials 175 Disabilities of 322-3 Duties Hampering nature of .,, 319 INDEX. 379 Consuls and Commebce — Cont. : Failures — Allowances for Paoes. 320 321 321 319 320 322 243 353 350-53 Guilds — Cont. : Swatow — Rules of ... Taxation — Conniving at interior Pagbs. 314 156 German and French — Assertiveness of ... Impotency of Position of Support — Want of, to Traders and TradS— Their relation to Workings — Inner of... H Hang-chow : Likin- Farmed by the Piece Goods Guilds Open port. Hankow : Export-The principal Foreign settlement ... Hu-nau-Distributing centre for province 307 309 Contracts : Non-literal observance of Copper : Scarcity of Currency : Unsatisfactory c o u- dition of 177-85, 112 112 % 21 21 Foo-CHOW : Goods covered by transit-passes 174-5 G Goods : Foreign piece 258 Payment for 249 Guilds : Boycott-Their power to 317 Chung-king — Rules of Piece Goods 310 Compradores- Are any members of Shan- ghai Piece Goods... 328 Consular evidence of. 312-14 Goods — Distribution controlled by 318 I-chang — Rules of ... 315-16 Indictment of 311-14 Influence of 155 Scope of 311 Likin farming-CoUect- ingof 156 Vice-Consul Fraser's report on 'Farming' 157 Objects of 308 Payment— System of. 241-2 of 21 Hu-peh-Distributing centre for province of 21 Imports-Cotton piece goods 22-4 I-chang Communi- cation with 21 Rivers of 72 Shanghai — Communi- cation with 21 Trade — Entrepot for foreign import and export 75 Transit passes — Mer- chants and 159 Treaty port — Impor- tant ; 20 Treaty rights—- — In- fringement of 159 Ho-CHOW : Chung-king — How approached from ... 90 Goods — Duties on ... 121 Likin — M erchan ts compelled to pay... 38 Piece goods — Import of foreign 39 Piece goods^ — Shops dealing in 38 \ Ho-nan : Heavyjikin charges... 159 38o. INDEX. Fades, Pages, Hongs : K The Commission 88-9 KiANQsn Province of, transit passes in 59 Hn-NAN : Heavy likin charges,.. 159 KiA-TiNG Fn : Cotton — None locally HUANQ-PEI-HSIBN : grown 45 Indian yarn — Import of 55 Cotton cloths^Print- ing by stencilling Piecegoods- Consump- process Cotton weaving-Con- 45 tion of imported . . . 55 Sun hats — Manufac- siderable 45 ture of J 56 Piece goods — Value of imports of 45 Szechuan silk trader HUANG-TSAO Fn : Centre of ...» 45 Opium — Export of . . . 56 KuANG-TUNG Richest Hdang-tsao-pa : province of Empire 163 Growth of weaving . . . 274 Taxation officials defy Market 271 consuls and mer- 1 chants 175 1 I-OHANG : Kni-OHOW : Charges ^Table «f Calico printing — packing and sundry Native 275 at ■ 84-5 Cloths — Prices of 273 Guild— Rules of 315-16 Cotton Cloths-Native Piece goods — Exports 266 ; character of. and re-exports 26-7 270 ; similarity in Szechuan — Dep6t for type of fabrics, 267; transhipping mer- quality and prices chandise to andfrom of 270 province of, 25 ; im- Foreign goods — Small portance to trade of 27-9 imports of 274 Upper Yangtsze — Im- Foreign yarn — De- portance to trade of 27-9 mand for 272 Labour — Price of ... 272 Imperial Maritime Cus- Likin — Heavy charges 1.59 toms : ' Weaving districts . . . 271 Responsible for collec- tion of duties 3 Kni-OHOW Fu : Illegal dues-Mr. Byron Indemnities from China to 338 Brenan and 161 France Poverty and^ dirt Trade — None of its 28 MJ 1 tlltA^/\** ' ■■•••••■•••■■■■■•■■' IntbHior Wonderful vvflitBrwavs of > • • • own ; 28 76 Likin authorities, 29 ; chief stationbetween TV CV WL TT VI J KJ \J-^ («■#■■ •»■■•• vl I-chaug and Chung- king, 30 ; most im- Japanese Concession at portant station on OHnNQ-KINQ 355 Yangtsze 116 INDEX. 381 „ Pages. KUI-YANG Fd : Capital of the province of Kui-ohow 57 Commission agents ... 58-9 Hu-peh cloths 59 Local duties — Harass- ing 59 Piece goods — Foreign andnative 58 Silk culture 59 Textile fabrics — Pro- duction of 59 Kwei-Lee : Representative vessel fornavigatingYaug- tsze .*. 74 Lancashire Patterns ... 329 Lao-wa-tan : Foreign piece goods — No demand f or . . . 49 Likiustation 48 Transit passes 162 M Money 360-4 N Nan-kino — Treaty of 164 NanningFu 81 New Chwanq — Inland tax- ation 175 NiNG-PO : Transit passes — Goods covered by 174 5 North : Market — Every pro- vince an undeveloped 69 O Officials : Defying Consular re- presentations 175 Officialism : Autocracy of., Pages. 335 P Pai-tseng , 95 Parliament— Members of 358 Payments— System of ... 251-2 Pekin : Levies Demanding augmented from local authorities ... 161 taxation— Exorbitant 114-15 Pose-ting gi R Roads 77,99,100 Eivbrs : Canton — Branch of intricate net-vrork of waterways 63 Chin-ho — Enters the Yangtsze beyond Sui Fu, communi- cation by it with Hung-chiang 73 Fu-ho— Cheng-tu reached by it frpm. 73 Fou-kiang ^Affords easy means of com- munication with Chung-king 39 Grand canal-Bi-sected by Yangtsze, 15 ; northern and south- ern branches of . . . 72 Hau — Highway of trade for thickly populated andfertile stretch of country.. 21 Huang- ho — One of the waterways by which access is gained to most remote pro- vinces in Southern China 79 Huang-king Con- verges on Yunnan border 77 382 INDEX. Pages. Rivers — Cont. : — Kia-ling Juncture with the Yangtsze.. 72 Kin -kiang- - JoinsWest River 80 Min — Join^ Yangtsze at Soo-chow, 46, 47, 72 ; Ta-tu and Fu join their waters to form the, 72 ; im- practicable for steam 73 Pe-kiang — Or north... 80 Po-yang Lake and its feeders — Communi- cate with Kiu-kiang and interior of pro- vince of Kiangsi ... 72 Red — French route to Yunnan Fu 106, 332 | Siang 75,76 Si -kiang— See West River. Ta-hi-Shallowness of 75 Tung-ting lake 75 ^hong-po 1 West River — Com- munication by in Southern China, 78; rising in North-east Yunnan, 79 ; open- ing to steam navi- gation, 101 ; ship- ping on,60; practica- bility of steam on... 332 Yangtsze- Annualrise of waters 74 75 Junk and cargo traffic Further opening of — A national question 333 Trade on 333-4 Yuan — Largest feeder of Tung- ting lake... 75 Yu-kiang Junction with the main branch of the West River 81 S Sam-shui : Foreign trade- - Opened to 80 SAN-DUORB 81 Pages Shanghai : Bank of 354 Commercial centre — Importance as a ... 3-4 Likin — Avoiding offi- cials, 109 ; farming 111 Native city 107 Piece goods— Guilds controlling trade... 108-9 Imports of, 4-13 ; northern distribu- ting centre of trade 14 Piece goods GuUd— Are any compra- dores members of .. 328 Settlement— The, 2, 3 ; taxation in the 107 Taxation on goods at Ports and cities supplied from Ill Transit passes taken out 158 Shashi — Rivers of 72 Shen-si — Banks well man- aged 354 Shimonoseki — Treaty of... 2-3 Sin-chow Fu 81 Southekn China : Communication in by West River 78 Waterways of 331 SOO-OHOW OB Sui Fu : Foreign piece goods — Shops dealing in . . . 46-7 Trade — Entrepot for between the Yang- tsze and province of Yunnan, 47 ; opened to foreign 2 Sui Fn— See Soo-chow SUI-NING-HSIEN : City — One of the most prosperous in West- ern China 39 Cloth-Production and exportation of 41 INDEX. 383 Pages. Pages. SUI-NINQ-HSIBN— Cont. :— SWATOW : Cotton — Character of Guild— Rules of the.. 314 locally grown 41 Foreign piece goods — 40-1 Stceb — Scales of 250 Imports of Foreign yarn-Weavers prefer 41 SZEOHUAN : Cloth trade arrested.. 257 Summary : Communication be- tween towns and Betterment — Sugges- 340-2 cities of 76 tions for Cotton cloths (native British concession at made)-Exportation, Chung -king 354 253 ; few manufac- Commercial matters - turing centres, 253 ; English represen- importation of, 254 ; tatives and 337 character of 255 Communication and Cotton piece goods — trade 331-42 Firms importing, 241 ; dyeing and Competition 357 Consuls Want of finishing of, 288 : support to 338-9 dissimilarity of taste Copper — Scarcity of... 353 293 ; operation of. Foreign trade of 289 ; universatility China Satisfied of 289 with our present Cotton piece goods position in sum total (foreigu)^Finish — of, 356-7 ; with Want of uniformity reformSjOur position full of hope 357 in 295 Finishing-Methods of. Indemnities from 290-91 ; making- 1 China to France . . , 338 up, 291 ; cost of. Merchants-Drawback 292; importation of, to in Chung-king... 354 253 ; re-finished. Official burden 335-9 290 ; cost of, 294 ; Silver-Depreciation of 351 the only European Tarifl — Revision of . . . 342-50 importer of 240 Taxation-Incidence of 335 Export trade of, 303 ; Treaties should be re- official statistics . . . 304-5 ligiously observed... 340 Feathers and bristles- Treaty rights — Syn- Exports of, draw- onymous with Taack to the develop- " Treaty wrongs "... 338 ment of the trade... 307 Waterways High- Import trade hamper- ways of trade ^ 331 ed 354 Steam navigation — Native dye-stuffs 296 Suggestions as to Native weavers opening them to . . West River— Practi- 332 Wages of , 256 Provincial capital of . . . 73 cability of steam on 332 Silk (raw)— Centres of Yangtsze River cultivation, 276-7 ; Further opening of a grading, 2r6 ; local national question : scales of weightsand what it would mean; values for, 280-81 ; a suggestion ; rade production of, 275, on the 333-4 279 ; samples of.... 277-9 384 INDEX Fades. SzEOHOAN— Cont. : Silk (raw and mauu- f aotured) — Export of and value 281-2 Textile Ind08trt — Foreigner cannot compete, 253; draw- back to development of the trade 307 Wool-Exportation of, 305; cost of 306 Woven fabrics — Em- ployment of, sym- bolism ill, 287-8: classification of, 284- 7 ; methods em- ployed — complexity of, 283 ; wide range of 283 T Tariff : Preferential 102, 170 Revision of 342-50 Taxation : A suspension bridge and its uses 123-4 Anshun Fu-On goods to and at 131-3 Canton — On imported piece goods at, 136- 41 ; rules of likin station 137 Chao-chia-tu--Likinat 118 Consular difficulties... 171 Cheng-tu — On goods sent via Sui Fu and Chia-ting 121-2 Chia-ting to Cliien- chang — Likin from. 122-3 Chung-king and Yun- nan Fu— On goods and merchandise between 123-4 Chung-king to Cheng- tu — On goods to by way of Sui-ning ... 117-20 Chung-pa — Likin at... 120 Differential terminal- Exeiliption from ... 169 Duties, Bhamo — Tali Fu route harassed by, 129-30 ; five different on a 121b shirting 127' „ „ Pabes. Taxation — Cont. : Freegifttax 113 Guild taxations 109 Hang-ohow-Illegal on foreign imported goods into 112 Ho-chow— Likin at ... 38,121 Huang-tsao-pa On goodsto 130-1 Illegal dues, 176 ; Mr. Byron Brenan and.. 161 Incidence of 335 Intimidated Mer- chants, 161 ; trade 166-8 Kui-chow--Rigorou8ly enforced at 162 Kui-chow Fu — Likin station at, 116-17 ; payments at 29 Kui-yang Fu On goodsto 134 Likin — A case of pay- ing, 321-2 ; Canton station — Rules of, 137 ; Chung-king traders and, 160 ; farming the, 111-13, 156-57 ; provinces heavily mulcted in, 159 ; tyi-anny of officials 125-6 Lu-ku— At 122 Lu-ku to Yueh-hsu — On goods from 122 Pekin — On goods at... 114-15 Province to provinoe-- , Method of on goods passing from 112 Shanghai — On goods at ports and cities supplied from, 111- 12 ; settlement of, 107 ; tax Ill Soo-chow .tax Ill Tientsien-Ongoodsat 113 Traders — Ignoringthe rights of 134 Woebow Proclam- ation from likin office 172-4 Ya-chow— At 122 Yangtsze treaty ports- On goods at 115-16 Yunnan Fu-On goods to via Mengtze and Bhamo 127 TND^X. 38s Tax-gatherer — Shadow of Textile Design — Matter of competition Pages. 71 296 TiENTSiEN- -Taxation levied at 113-15,175 Teadb : China's poasibilities immeasureable, 357 ; great highways of, 72-3; system of pay- ment 241-2,250-52 Trades councils 358 Trading and exchange 243 Transit Passes : Abuses — Lord Elgin's remedy for the ... 151 Amoy — Goods under at 174 British consul — Per- sistence of a 169 Canton authorities — Action of 164 Cheef 00 convention ... 153 Chin-kiang traders and 159 Chung-king traders and 160 Closing the door 169 Conditions under which they are issuedtoorestrictive 154 Corruption — Hot beds of 163 Disgraceful tactics ... 161 Foo-chow Goods covered by at 174-5 Goods — Distribution of under 145 Gross outrage 169 Harass the holder of.. 154 Kiangsu — Province of and 159 Kui-chow-Not recog- nised in province of 134 Kui-yang Fu — What duties are imposed on goods before reaching 134 Likin officials — Aver- sion of 154 Mandarins Oppos- ition of 149-50 Pages. Transit Passes — Cont. : Menacing situation ... 165 Mr. Byron Brenan and 161 N"an-king— Treaty of. 145, 164 Ning-po-Goods cover- ed by at 174-5 Official opposition' .. . 159 Policy of exclusion ... 155 Provincial caprice ... 163 Refuge in 161-2 Shanghai- Conference of, 147-48 ; taken out at 158 System a failure, 145; drawback to 155 Trade intimidated ... 166-8 Treated as waste paper 162 Unsatisfactory pro- clamation 167-8 Wen -chow Goods covered by at 174-5 Transport Facilities 81-2 Treaty Ports, 366-8 ; why more? 175 visions A 177 Treaty Provisions — source of annoyance Treaty Rights : Acknowledgment of, 169 ; attempt to put in force, 160 ; infringement of, 159 ; provisions of, 161 ; should be re- ligiously observed, 340 ; synonymous with 'treaty wrongs' 338 Tdng-ohuan Fu : Foreign piece goods regarded as luxuries 1 Principal mines 51 Tung-ting — Lake of 75 TZE-CHOW 77 W Waterways — Value of ... 79 386 INDEX. Pages, Wan-hsibn : Manchester goods ... 30 Piece goods Con- sumption of imported 30 Textiles-Native hand- made 30 Weights 368 Wbn-ohow : Goods covered by transit passes 174-5 West River Posts : Pernicious fiscal sys- tem 141 WocHOw Fn : Foreign piece goods — Imports of 62 Foreign trade-Opened to , 60 Likin — Proclamation from office 172-4 Mandarins, action of.. 170 Bapids above 80 Steam communication with the port 102 Treaty port-Declared a 79 Treaty rights — Likin officials and, 60 ; likin farming syn- dicates and, 60 ; trade guilds and ... 60 West River-Steamers on, 60 ; shipping on 61 Wu-OHANG : Viceroy- — Cotton spin- ning,' vpeaving and dyeing establish- ment of 22 Wu-HU : Outlet of several canals Pages. 72 Yanotsze Vallet . Settlements and con- cessions in 115 YuNO-CHOW Fu : Situation of 75 YUMNAN : Textile industry 259 Native cotton cloths, 258 ; sale of 261 Native piece goods — grading of 260 Yunnan Fn : Bhamo-Tali Fu route handicapped 54 Gay costumes of the people 53 Opium— Large quanti- ties produced 54 Puerh tea trade^En- trepotfor 54 Trade routes and duties 54 Weaving — Accommo- dation of 262 Encouraging the industry 53,263-4 liecent origin of 261-2 Remarkable increase of 53