the import duty. This pass is supposed to exempt the goods from all further taxation. The transit pass is not necessary if the goods are reexported to another port from original port of entry. A destination tax (lotishui), however, is assessed on such transit-pass goods in many localities in the Nanking consular district, the usual reply to a protest against this tax being that the transit pass exempts the goods from further taxation en route and that the goods are not exempt from further taxation after they have arrived at their destination. This argument has been a satisfactory reason (to the local officials) for levying this tax immediately the transit pass has been surrendered-although the treaty expressly stipulates that the transit pass "shall secure for foreign imports, whether in the hands of Chinese or foreigners, in original packages or otherwise, complete immunity from all other taxation, examination, or delay." (American commercial treaty, 1903, Article IV, par. 2.) There are no foreign importing houses in the Nanking consular district other than two oil companies.

SHIPPING FACILITIES FOR TRADE WITH UNITED STATES.

All shipping connections with foreign countries are made at Shanghai, the American Express Co. being a convenient forwarding agent. There are four regular lines of river steamers and the ShanghaiNanking Railway connecting this district with Shanghai. The facilities of the Nanking harbor for ocean traffic have been mentioned under "Treaty Ports and Foreign Concessions, Nanking." The harbor dues are: Vessels under 150 tons, 1 mace per ton; over 150 tons, 4 mace per ton. All cargo landed must pay 2 per cent of duty as a surtax for the maintenance of the port.

FACILITIES FOR TRAVEL.

Nanking is the only place in the district where fairly good hotel services are available. The Bridge House Hotel, just outside the north gate of the walled city, is under efficient British management and is conveniently located for train and river-steamer connections. It is also the agent for Thos. Cook & Sons. The rates are $5 Mex. to $12 Mex. per day. Automobiles may be hired for trips to the points of interest in and near the city. Carriages and jinrikishas are also available, and are preferable for the city trips because of the narrow

streets.

The river steamers are equipped with comfortable cabins, and the food and service are usually good.

The first-class through tickets of the river steamers are interchangeable with the Shanghai-Nanking Railway either way, and the tickets of three of the lines are also interchangeable. Such an arrangement makes it easy to get stop-overs with a fair certainty of being able to continue the journey within 24 hours if that is desired. Both the Shanghai-Nanking and the Tientsin-Pukow railway lines have dining and sleeping car accommodations. These two lines. connect at Nanking for Europe.

The best seasons for visiting this district are from March to May and from September to November. The period between May and September is frequently too warm for pleasure, though the weather

is often ideal for excursions during this period, which finds the majority of the resident foreigners at the summer resorts of Kuling and Mokanshan. The early fall or late spring, therefore, will give the visitor the most accurate impression of the life and industries of the district.

TRADE ORGANIZATIONS IN DISTRICT.

There are no foreign trade organizations in this district.

Each port and inland trading center has its Chinese chamber of commerce, guilds, etc. Every line of trade has its own guild, such as the Piece Goods Guild, the Silk Guild, the Tea Guild, etc., and where the traders are numerous they have their provincial guilds. The provincial guilds are the arbiters of small personal disputes, with appeal to the courts. The business guilds (corresponding to labor unions) fix prices and arbitrate business disputes, the primary court of appeal being the local chamber of commerce. If the chamber of commerce is unable to render a satisfactory decision, the disputants' final appeal is to a court of law. The guild members are not obliged to present their cases to the guilds. In all important cases they apply to the proper court. The clubhouses of many of the guilds are very elaborate, and are used as headquarters for visiting members and friends.

AMERICAN INTERESTS.

The Standard Oil Co. of New York (according to customs returns) imports about 50 per cent of the kerosene oil that comes into the Nanking consular district-the remainder being credited (by inference only) to the Asiatic Petroleum Co., the formidable competitor of the American company. The American company has extensive properties at each of the three ports in this district-Wuhu, Nanking, and Chinkiang-and conducts an intensive distribution and sales system in the interior therefrom.

The Singer Sewing Machine Co. also conducts an elaborate distribution and sales system throughout this district. This company operates from its office in Shanghai and owns no real property in the Nanking district.

American interests are also involved in the operations of the British-American Tobacco Co., whose business can be estimated by the imports of cigarettes and by its tobacco cultivation and curing stations.

The American Red Cross is financing the Hwai River reclamation scheme and reconstructing the Grand Canal.

Aside from the interests just mentioned, the most general American interests in this district are those of the missionary organizations. The scope and extent of this missionary work along educational and medical lines have already been indicated. The missions also have stations and chapels for religious work in most of the important trade centers in the interior. Their general reputation is excellent, and their work, as a rule, is such as to create a favorable impression concerning Americans. The 520 American missionaries outnumber the missionaries of any other nationality by about 20 to 1; the French missionaries are next in number, but they do no medical or educational work along modern lines.

The conditions unfavorable to American trade in the Nanking district are:

(1) Lack of commission houses. There are none.

(2) Lack of direct ocean shipping facilities. There are no lines regularly touching at Nanking.

The conditions favorable to direct American trade with this district are:

(1) An apparent readiness on the part of the local merchants to deal directly with foreigners.

(2) The willingness of the banks to arrange for facilities for direct foreign trade.

(3) There is at present a large annual trade in goods of foreign origin, and such purchases are growing in importance. There is no one at present bidding to shift this from indirect to direct trade with foreign countries. This trade under normal conditions will increase several hundred per cent.

As a result of the war, the trend of trade in the Nanking district has been turned from Europe to Japan and the United States. High freight rates and adverse exchange have greatly handicapped trade with the United States as compared to that with Japan.

The most promising field for American commercial activity in this district is the development of the industries mentioned under the heading "Manufacturing and Other Industries" (see p. 592).

GENERAL TRADE SUGGESTIONS.

(1) Where possible, trade connections should be made with American firms in the field.

(2) The best method to market a commodity is to send a special representative with samples and advertising matter. In some cases, it is advisable that the representative have prompt access to a limited supply of the goods he is selling.

(3) The special representative should have connections with a wellknown American house in the field. The connection should be made in Shanghai for this district until conditions make it possible to open an office at Nanking.

(4) Manufacturers of piece goods and related commodities should unite in a common sales department and send their representative to Nanking. A similar combination for iron and steel products, railway supplies, milling and mining machinery, etc., ought to find a mutually advantageous trade in the development of the industries of the district.

(5) Direct trade between this district and foreign countries will expand at the close of the war. This is the opportune time for American manufacturers and merchants to cultivate this market.

(6) Exporters should study the requirements of the market and endeavor to supply exactly what is wanted or something for which a demand can be created. It is futile to try to fit a farm harness to a water buffalo or to put a tractor in a Chinese rice paddy.

(7) In order to deal directly with the natives, a working knowledge of the Chinese language is essential.

(8) Only healthy college men of fixed habits and strong character should be sent to China.

SWATOW CONSULAR DISTRICT.

By Consul George C. Hanson.

LOCATION AND AREA.

The Swatow consular district comprises that part of the Province of Kwangtung east of 115° east longitude. Roughly speaking, it lies between the meridians of east longitude 115° and 117° 14' and between the parallels of north latitude 22° 40′ and 25°. It occupies the same latitude as central Mexico. Its southern part lies between the same parallels of latitude as the northern half of Cuba. The Tropic of Cancer passes a little to the north of Swatow, the principal port, which is on the same parallel of latitude as Habana, Cuba.

The area of the Swatow consular district is about 15,000 square miles, being thus a trifle larger than the combined areas of Massachusetts, Connecticut, and Rhode Island.

POPULATION.

The estimated population of the district in 1909 was 5,000,000, equivalent to the combined population of Massachussetts, Connecticut, and Rhode Island, as given by the census of 1910. Most of this population is rural, no city having more than 100,000 inhabitants."

PHYSICAL FEATURES.

The district is well watered by the Han and East Rivers, with their tributaries. It is flat near the coast and gradually rises toward the southwestern part, where there are some high mountain ranges. The land is for the most part denuded of trees, though some forests exist in the mountainous regions.

CLIMATE.

The climate of the district is salubrious. The months of November, December, January, and February are delightful, the temperature never touching the freezing point. March, April, and May are rainy months, while June, July, August, September, and October are hot months. During September and October, Swatow is often visited by devastating typhoons, which create havoc among the shipping and crops.

POLITICAL SUBDIVISIONS.

The consular district practically lies within the confines of the Chaomei prefecture, which is composed of 14 hsien or districts. The prefecture is under the jurisdiction of a civil official called the taoyin and a military official called the commissioner of defense. Both these officials are responsible to the provincial government at Canton. Each district is governed by a magistrate, who also acts as judge. At Swatow there are civil and criminal courts. The Chinese Mar

itime Customs interests are in charge of a foreign commissioner and a Chinese superintendent, who work in conjunction. The Chinese superintendent of customs is also delegated by the Peking Government to look after affairs involving intercourse between Chinese and foreigners. At Swatow there are American, British, and Japanese consulates and French and Norwegian vice consulates.

EDUCATION.

Matters of education are in a transitory stage, because of the change from the old-style methods of Chinese learning to new westernized methods. At present there are Chinese schools still conducted along old lines, schools with a mixture of old-style and new-style learning, and schools conducted along modern lines. Chinese private schools are found in the first class, Chinese Government schools in the second, and foreign missionary schools in the third. Sons of wealthy Chinese families are taught by private tutors and perhaps receive an education that may be called more than elementary. The average Chinese boy receives only a few years' schooling (which enables him to read and write Chinese characters) in elementary schools, of which there are about 2,000 in the Swatow district. Few girls receive any schooling. There are no native colleges, technical schools, medical schools, or hospitals. American, British, French, and German missions conduct schools in places throughout the district. The American Baptist Mission has 91 elementary and 11 high schools and three hospitals in operation. The two best-known mission institutions are the Baptist Mission's Academy and the English Presbyterian Mission's Anglo-Chinese College at Swatow. The equipment of all these schools, so far as furniture is concerned, is crude and is made locally. Supplies for mission schools are received from the missions' publishing houses. There will be a slow advance in the use of foreign school and hospital supplies; it is not expected that the demand will be large for some years to come.

AGRICULTURE.

This district is purely an agricultural one, and the principal crops are sugar, rice, oranges, sweet potatoes, indigo, groundnuts, and vegetables. Because of the richness of the soil and the favorable climate, two and sometimes three crops a year are reaped. Intensive farming is widely engaged in but with very primitive implements. The water buffalo and bullock are used for plowing and other farm work, but not as beasts of burden. All carrying is done by men, women, and children. The fertilizers used are bean cake and human manure. Besides the water buffalo live stock consists of pigs, geese, and chickens, which are sold on the market or consumed by the owners. Fresh eggs constitute the only subsidiary farm product that enters into the export trade. In 1917, $201,994 worth of eggs were exported from Swatow, mostly to Hongkong and islands in the South Seas.

MINERALS AND MINING.

Mineral wealth exists in the form of deposits of coal and tin, but these have been only recently exploited. There are a few mines in operation on a small scale. The Yuan Yi Tin Mine Co. began work