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“...distributing centres as Pakhoi, Kiungchow and Mengtze. treaty ports. ^ ^ local piece_g00(is market is slowly recovering from the depression of 1902. There was a good demand from fanning during the latter part of 1903 which still continues. A satisfactory feature of the business was the unusually large quantity of piece- goods taken by Yunnan and Kueichow. Cheap Japanese cloths, crapes, towels, &c., continue to oust their more expensive European rivals in this market. Native cloth from the Eatshan mills is in increasing demand among the poorer classes. Cotton yarn A good business was done in cotton yarn with Nanning and for Nantring. pog£ 75 per cent o{ tlie totai imp0rt went up to these places under transit pass. Japanese coal, I must note the continued increase in the import of foreign coal, imCrorted chiefly Japanese. It is really surprising that the local authorities with deposits of coal known to exist in the neighbourhood of the Wliy is local P03^5 no^ng encourage its production. Even if...”