light was first seen in South Formosa. The power station is situated at Chikushimon, a little to the east of Banshoryo, whence electric light and power will be supplied to the towns of Tainan, Anping, Hozan and Takow. An irrigating canal 42 miles in length is also to be constructed here, and another, 85 miles long, to the south branch canals, drawing supplies from these main canals and destined to irrigate the whole neighbourhood. These canals will aggregate in length about four times that of the main canals. Arizan timber.-In the trade report for 1908 it was stated that, owing to complications with the Formosan Government concerning the exact terms of the timber concession, and also to an under-estimate of the total cost of the undertaking, the Fujita Gumi, who had planned and commenced work for the exploitation of the magnificent and rich forests of the Mount Ari district, decided to suspend operations during 1908, so that the work had made no further progress. This question has not yet been settled, and the company meanwhile is devoting its attention to a more convenient concession further north. The difficulty lies in the amount of compensation to be given by the Government for the work already accomplished on their taking over the whole undertaking. It is expected that a settlement will be made shortly, and that the work of tapping this almost inexhaustible supply of magnificent timber will be commenced at no very distant date. No doubt the industry has a great and profitable future before it, when once the preliminary difficulties have been overcome, as the forests are some of the finest in the world both in quality and quantity. Pineapple industry.-Mention was made in the trade report for 1908 of the pineapple canning industry at Hozan, where about 840 acres of land are said to be cultivated for the purpose. At present this industry is not in a very hopeful condition; in fact, during 1909, work was altogether stopped for some time. The price of sugar in Formosa, owing to the protection afforded, makes it almost impossible to compete with foreign manufacturers of preserved fruits. Sugar in Formosa, the very centre of the industry, is retailed at from two to three times the price obtained in the United Kingdom. Only small cans of preserved pineapples are now being manufactured, there being no demand in Japan for the larger sizes. The total value exported to Japan is rather less than 300l. a year. Fibre for making grass-cloth, the other product of the pineapple plant, shows a slight increase this year. This is exported to China for manufacture, the industry not yet being established in Formosa. New industries established and projected. Rubber.-The prospects for rubber planting in South and Mid-Formosa are said to promise well. Wild rubber trees abound in some of the mountainous districts, and recently experiments in tapping these have been made. The juice extracted has been sent to Japan, where it is pronounced of good quality and of undoubted commercial value. In the Ako district, the authorities are experimenting in a small way, and a number of plants of the "Ficus Flastea, Roxb." are being raised for the purpose. Applications are said to have been sent in to the authorities for grants of uncultivated land for rubber plantations, and these are now under consideration. Sisal hemp. In the south, near Ako and Koshun, the conditions are recognised as being peculiarly favourable for the planting of sisal hemp and the manufacture of fibre and Manila rope. A proposal is said to be on foot, backed by four or five large capitalists in Japan, for forming a company with a capital of 2,000,000 yen (204,1601.) for this purpose. The proposed site of the factory is not far from Ariko, near which place an area of about 15,000 acres of suitable uncultivated land is said to be available for planting sisal hemp. Slate. Very extensive deposits of slate exist along the east coast of Formosa from Pinan to So-o, and operations for quarrying it were begun in January, 1909, at two places near Pinan. Great hopes are entertained for the future of the industry when initial difficulties have been overcome. At the places mentioned near Pinan, operations were stopped in September, 1909, owing to its being found that the veins of slate ran in awkward directions for quarrying, and the situation of the quarries making transport of the slate very difficult and expensive. During the nine months of work, about 100,000 slates were produced, valued at about 2201. at the quarry. The sizes varied from 7 by 5 in. to 14 by 6 in. with a thickness of to in. After the abandonment of this quarry, a new place in the same district conveniently situated near a river was found, and permission to commence work here from January, 1910, was obtained. Quarrying machinery of German manufacture and oil engines are being erected, and from March, 1910, a large output is expected. A big demand is anticipated from Formosa itself, which has taken all the small amount hitherto produced, and from Central and Western Japan; exports to Manchuria, Corea, &c., are also contemplated. Oil.-Experimental boring for oil is now being undertaken in several places among the foot-hills of the mountains of South Formosa, in many parts of which oil undoubtedly exists in large quantities. The large Hoden Oil Company of Japan is interested in this project, and supplies of raw oil are expected soon to be forthcoming. The quality of that so far obtained seems rather inferior, but suitable probably for mixing with other better oils. Small amounts of superior oil have, however, also been discovered, showing that it exists. Silk.-Wild mulberry trees grow in profusion in all the hilly districts around Banshoryo, but hitherto no attempt has been made to utilise them for silk culture. Experiments with silkworms were begun in this neighbourhood in the spring of 1909, and the results are said to have been excellent, the quality of the silk being good and the number of cocoons produced equal to that obtained in Japan. Considerable developments of this industry are expected. Summary of conditions and outlook in South Formosa.-The development of trade in South Formosa in 1909 has been a steady continuation on the lines gradually evolved during the last few years. The sugar industry has thriven, and shows every prospect of continuing to develop fully up to the high expectations formed of it. Import and export trade, as the percentages given at the beginning of this report show, is now almost all in Japanese hands and with Japan, and is likely so to remain. British residents.-During 1909, 31 British subjects were resident in this Consular district. Rate of exchange.-Throughout this report exchange has been calculated at the rate of 1 gold yen equals 2s. 01d. Source of information.-The statistics annexed to this report have been obtained by access to the customs returns, not yet published, through the courtesy of the Japanese customs. Table 1.-TOTAL Value of Trade with Japan and Foreign Countries during the Year 1909. Table 2.-TRADE with Japan and Foreign Countries during the Years 1907-09. TOTAL Imports. |