Reviews

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Part of The American Chamber of Commerce Journal

Title: Reviews
Language: English
Source: The American Chamber of Commerce Journal Volume 8 (No. 11) November 1928
Year: 1928
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Fulltext: November, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 29 OCTOBER SUGAR REVIEW By George H. Fairchild cents c. and f. (3.96 cents 1. t.). The market weakened on the 11th and prices declined to 2-5/32 cents c. and f. (3.93 cents 1. t.) for Cubas account of the exceptionally favorable weather, the crop that is now being harvested may exceed 200,000 tons or about 30 per cent in excess of the previous crop. On the islands of Panay, Minthe Philippines for the 1927-28 crop from No vember 1, 1927, to October 31, 1928, amounted to 566,077 tons, particulars of which follow: {Metric tons of 2,204 lbs.) Cenlri- Musco1927 fwjals vado Refined Total :::::: KJ8 & S® 6,692 566,077 Tc IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER Ur COMMERCE JOURNAL 30 THE AMERICAN CHAMBER OF COMMERCE JOURNAL November, 1928 Java Market: Despite the depression in the American sugar market the Java market was quite active and considerable quantities of sugar have been sold to Europe and to Far Eastern countries. It is estimated that to date the total sales of Javas, west of Suez, amounted to 540,000 tons. Recent advices reported that the Trust have sold 400,000 tons Whites and 100,000 tons Browns for destination to India, China and other eastern countries. Latest quotations for Superiors are as follows: Spot, Gs. 13-5/8 = P7.34 per P. I. picul, F.O.B. Foward shipment, Gs. 13-3/4 = P7.40 per P. I. picul, F.O.B. THE MANILA HOTEL LEADING HOTEL IN THE ORIENT Designed and constructed to secure coolness, sanitation and comfort under tropic climatic conditions Provides every Western convenience combined with every Oriental luxury Finest Dance Orchestra in the Far East Management - - WALTER E. ANTRIM ANOTHER “JOURNAL” FRIEND Mr. George H. Fairchild has furnished the Journal the following letter from Mr. J. K. Butler of the Hawaiian-Philippine Company, written from their offices in Honolulu: I always enjoy the American Chamber of Commerce Journal. There always appears in it some well written thing which is ex ceedingly gratifying from the standpoint of good English, a good tale told or a reason able provision set forth. I notice in the September issue the edito rial on Drought. It is exceedingly well handled and very well written. The Manila Adventure of the Mason by Percy A. Hill is likewise very well done. I suspect that Walter Robb is responsible for a good deal of the high quality of the editorials and some of the tales told. The publication is very worthwhile and so much different from an ordinary Journal of a Chamber of Commerce that I thought it would be interesting to you to have me express my view. The Philippine Guaranty company, Incorporated (Accepted by all the Bureaus of the Insular Government) Executes bonds of all kinds for Customs, Immigration and Internal Revenue. DOCUMENTS SURETYSHIPS For Executors, Administrators, Receivers, Guardians, etc. We also write Fire and Marine Insurance Low rates iberal conditions ocal investments oans on real estate repayable by monthly or quarterly instal ments at low interest Call or write for particulars Room 403, Filipinas Bldg. P. O. Box 128 Manila, P. I. The Manila Stock Market During October By W. P. G. Elliott Trade conditions have shown a slight in crease during the month of October. The general trade prospects for the balance of 1928 continue to be favourably defined. So far as ruling values of Philippine products are concerned there were no violent fluctuations from those obtainable in September, with the exception of rice, which soared suddenly and smartly. Banks.—Bank of the Philippine Islands con tinue strong wi'.h’buyers at P180, but sellers are not inclined to let go at less than P190. Hong kong Banks have been very active and closed firm at HK$1335. Chartered Banks are steady at £21.7.6. China Banks are wanted at P83, and Mercantile Banks can be placed at P43. The bank shares at current prices offer attractive returns and public interest in them is increasing steadily. Insurance.—Unions of Canton have been very active and heavy sales are reported. After opening at HK$3?5,they have gradually declined to HK$363 at the close. Compania Filipinas, Insular Life and Philippine Guarantee have remained firm and unchanged with no transac tion recorded, closing quotation being P3150, P320 and P320 respectively. Sugar.—Bacolod Murcias opened on small sales at P7.25 and later advanced to P7.60, a fairly large block changing hands at this figure. Bais are offered at P1050, and it is rumoured that the usual dividend of 20% will be paid in January next. Bais Sugar Central are plan ning extensions in the near future a total of 20 kilometers of new railway track will be laid. It is proposed to start milling on December 1st, and the crop is calculated at from 300,000 to 350,000 piculs. A small lot of Bogo Medellins are offered at P20. Cebus are still offered at P19 and Tarlacs have buyers at P200 but sellers are holding off for P230. Central Luzons are in demand at P165 and Hawaiian Philippines have advanced to P57.50. Kabankalans are strong at P285 buyers, this central expects a particularly good crop this season, the estimate now totalling 170,000 piculs. Cariotas are offered at P270 with buyers at P260 which was the price at which last sales were made. Luzons are unchanged at Pl000 and Malabons are nominal at P23.50. Mount Arayats were placed at Pl 10 and a fair sized parcel of Pasudecos were placed at P50. Pasudeco expects a particularly good year and it would not be at all surprising if in addition to the usual dividend rate an extra might be declared. Pilars are unchanged at P1450, San Carlos are offered at $33. There are buyers of Victorias common at Pl65 and the 9% preferred are steady at Pl id. Victorias will have their new sugar refinery, the largest in the islands, in operation early next month. We are pleased to report two new listings on the exchange, namely, the Talisay-Silay Central and Isabela Central. These two properties are in excellent physical shape and both report bumper crops of cane for the 1928-1929 milling season. There are buyers of Talisay-Silay at P22 but sellers are asking P25. Isabelas are wanted at P13.50 but we doubt if there are sellers below P15. Plantations.—Pamplonas remained unchang ed at P80 nominal. Polos have been done at P400, the first transaction reported in these shares for several months. Mines.—Benguet Consolidated has been very active and have ruled very firm throughout the month, all offerings having been quickly absorbed. Opening at P2.15, they have steadi ly advanced to P2.40 at the close and further shares can be placed at this price. Balatocs are firm and are offered at P2.30 but no transactions were reported during the month. It is reported from an authentic source that No. 4 Lode on “B” level now shows a 6 foot vein which assays from $50 to $200 per ton. Development opera tions have been actively taken up again, now that the mill in process of installation for some months is nearing completion. “Balatoc with 15 years of development behind it, stands today a model of mining project,” a mine man recently said. Itogons were placed on fair sized transac tions at P9.50. The mill operated 28-1/2 days during the month of September; 1700 tons of ore were treated, of an approximate value of $12. The bullion production amounted to 2181.80 ounces valued at P33,936.79. Industrial.—Philippine Educations are again the outstanding feature in this list with buyers offering Pl50 for common shares but sellers are holding off as the bid price failed to attract of fers to sell. The preferred 10% shares were placed at Pl02 for a small lot and as these shares are in demand, we expect to see a further price increase. Bonds.— San Beda 8% bonds were placed at 101-1/2. Lyric Theatre 7% bonds were done at par. A fair sized block of El Hogar 8% bonds were also placed at par. The bond market is very steady. There are far more inquiries for these securities than there are bonds to meet them, as this form of investment is extremely popular with the nonspeculative traders. The market closed steady with sales for the month aggregating 22,316 shares. Dividends Declared and Paid.—Pasudeco, 10% for half year; Victorias Preferred, 2-1/4% for 3rd quarter; Philippine Education Common, 6% interim; Philippine Education Preferred, 2-1/2% for 3rd quarter; and Hawaiian Philip pine, 3% for 3rd quarter. American military forces have operated in the Philippines since 1898. There are now some 4000 military pensioners of Uncle Sam in the islands, drawing altogether about $150,000 a month; and applications are being approved at an average of fifty a month. Last month’s first-payment checks were more than $100,000; this aside from the regular payments on pen sions previously approved. About 75% of the pensioners are native Scouts and their widows, and the other 25% are widows of Americans of the campaign days and the old veterans them selves—the dwindling few who have not yet gone west. F. E. Keith is special pension in spector assigned to the islands. He finds many widows who are illiterate being defrauded by shysters; he is fighting the claim of a lawyer for $1000, out of a first-payment check of $1450. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL November, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 31 THE RICE INDUSTRY By PERCY A. Hill of Munoz. jVucsa Ecija, Director, Rice Producers' Association The abnormal flurries in the rice market due to dwindling supply and higher costs of impor tation during the month of September caused a great deal of uneconom ic and needless discus sion. During the first part of the month the producers desired to en hance the price, and during the latter part of the month a minority of the consumers desired a low fixation of price by law. Neither of these are necessary as they would interfere with the higher law of supply and demand. As a matter of fact prices quoted then, and now, were still below those of 1925 and 1926, and it is presumed that consumers have also progressed as regards earnings rather than retrogressed in this short period. Prices have remained pegged during the month with palay at from P3.80 to P4.00 per cavan at the terminals and rice at from P8.50, P9.10 and P9.70 ranging from third class to superior. The small spread between the grades tends to show constriction of supply. Prices will remain pegged until something definite is known about the new crop, by the latter end of the month. The crop is expected to be slightly lower in volume than that of last year, which itself was about five millions net cavans less than the previous crop. However the climatic conditions not amenable to any law are the factor which may spell a medium or a short crop. In addition, there is certain loss due from root rot, the reduction of 22,000 in hectarage due to inability to plant, and the locusts in the northern part of the rice district. The status of the rice industry as regards locality, price, yield and distribution is constant ly changing, a factor which is often lost sight of by those believing in the status quo. Ten years ago we produced not quite 36,000,000 cavans of palay. This has risen to over 50,000,000 (in 1926-27), the greatest crop ever produced in the islands, but low price and adverse growing conditions have reduced this greatly. The five principal rice-producing province in Luzon with a population of less than two millions produce about two-thirds of all the supply, and the first twenty provinces in rank of rice produc tion have a population of over six millions. It can be seen that any interference with the industry would profoundly affect supply. The area ten years ago was 1,368,000 hectares. It is now not far from 1,810,000 hectares (1928) and seems to have reached its greatest extension for interprovincial export. It should not be forgotten that both supply and price of rice are a barometer of business prosperity or the reverse. Manila and its suburbs consume approximately some 5,000 sacks of rice daily, or about 10,000 cavans of palay. To show how the drift of interprovincial export is changing, we might say that ten years ago Iloilo and Capiz were a factor, but due to growing population and change of export trend they are not so today. Nueva Ecija is by far the most important factor in the industry as regards not only production but export. September rail shipments to Manila show this: Nueva Ecija 98,089 sacks; Pangasinan, 27,598; Bulacan, 21,813; Tarlac, 15,695; and Pampanga, 11,554; or a total of 174,749 sacks, a great reduction from the previous year, due to low supply. Prices for rice in Saigon, or rather Cholon, have taken an upward trend and producers are unwilling to release stocks until they are assured of the status of their present crop. As far as can be ascertained these prices laid down in Manila per picul range from P9.20 to P9.45 all charges, including tariff, paid. As a consequence there is practically no carryover here at all, CHARTERED BANK OF INADJAD’ cahuintaralia Capital and Reserve Fund.........................................£7,000,000 Reserve Liability of Proprietor................................ 3,000,000 MANILA BRANCH established 1872 SUB-BRANCHES AT CEBU, ILOILO AND ZAMBOANGA Every description of banking business transacted. Branches in every important town throughout India, China, Japan, Java, Straits Settlements, Federated Malay States, French Indo-China, Siam, and Borneo; also in New York. Head Office: 38 Bishopsgate, London, E. C. T. H. FRASER, Manager. palay having been bought as high as P4.50 per cavan by the dealers from the producers this last month, and we are about thirty days in arrears of supply and must levy on the new crop. Importations will be required as a consequence, later in the year. By the end of this month an approximate estimate of the present crop will be available, but hardly before. Upon this depends price, more or less, but it is not expected that these will register more than prices of 1925 and 1926. Reduction of rice areas is expected to ensue for the next few years, unprofitable areas being planted to other crops. COPRA AND ITS PRODUCTS By E. A. Seidenspinner Vice-President and Manager, Copra Milling Corporation Notwithstanding con tinued heavy produc tion, the local copra market has ruled steady to firm thruout the en tire month of October due, in the main, to the willingness of Manila buyers to absorb all offerings. Although foreign advices during October would indicate a slightly steadier mar ket in competing fats and oils, export bids for copra certainly do not justify the advance here. •It seems, therefore, that, with little strength abroad and sustained heavy arrivals, local prices should ease off again. Total arrivals at Manila during the month of October were 530,579 bags. Latest cable advices follow: London, F. M. M., £24/17/6 in bags; San Francisco, sundried, $.04-7/8; Manila, buen corriente, P10.50; arrival resecado, P11.625. Coconut Oil.—The local market for coconut oil in drums is quiet with sellers asking 33-1/2 to 34 centavos per kilo. In the U. S. inquiry during October improved considerably during the first three weeks of the month but at the present time buyers are not active. The early October demand was sufficient to strengthen asking prices and a fair volume of tank car business was recorded at 7-7/8 cents f. o. b. coast. Competing fats and oils are reported steady. Latest cable advices follow: San Francisco, $.07-7/8 f. o. b. tank cars; New York, $.08-1/8 c. i. f.—London, no quo tation. Copra Cake.—There was very little trading of importance in the local copra cake market during October due primarily to the small quan tities available for shipment during 1928 and lack of buying interest for forward positions. Small trades were advised at £10/6/0 to £10/7/0 for afloat and nearby. Latest cables reported the market dull at the following prices: Hamburg, afloat and nearby, £10/6/0 to £10/7/0; January./March shipment, £9/17/6 nominal; San Francisco, no quotation; Manila, P76.00 to P78.00 asked, January to March. TOBACCO REVIEW Alhambra Cigar and Cigarette Manufacturing Co. Leaf: The local market continues very dull, with a heavy decrease in exports, as shown by the following figures: Leaf and Scraps Kilos Algeria................................................. 56,300 Australia.............................................. 577 China................................................... 20,449 Hongkong............................................ 41,260 Japan................................................... 271,043 North Atlantic (Europe).................. 91,934 Straits Settlements............................. 3,724 United States..................................... 245,164 Total................................................ 730,451 Cigar: Exports to the United States suffered a decline of 2,350,000 against the previous month, and 1,860,000 against the corresponding month of last year. Comparative figures are as follows: October 1928.................................... September 1928................................ October 1927.................................... 16,110,715 19,455,333 17,972,202 Import Duty: On October 23, a bill was approved by the Philippine legislature, bringing the duty on tobacco and tobacco products to the same rates as applied by the United States. Up to the time being there existed a difference between the duty to be paid for tobacco im ported into the Philippine Islands and tobacco imported into the United States, the latter being slightly higher. Much satisfaction is shown by both business and government circles, over this adjustment, as the existing discrepancy had given rise to frequent objections by interested parties, even endangering the free trade between the two countries. The new rates wil itake effect upon approval by President Coolidge, probably within a month. INFORMATION FOR INVESTORS Expert, confidential reports made on Philippine projects ENGINEERING, MINING, AGRICULTURE, FORESTRY, LUMBER, ETC. Hydroelectric projects OTHER COMMERCIAL AND INDUSTRIAL ENTERPRISES BRYAN, LANDON CO. Cebu, P. I. Cable address: "YPIL,” Cebu. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 32 THE AMERICAN CHAMBER OF COMMERCE JOURNAL November, 1928 SHIPPING REVIEW By J. E. GARDNER, Jr. Acting General Agent, The Robert Dollar Company There was a distinct increase in the amount of cargo exported from the Philippines during September as compared to the previous month. In August total exports amounted to 82,181 tons, whereas, in Sep tember the total was 106,775 tons. Cargo continuesto move freely and there is strong demand for space on all routes. The stevedore strike at Cebu died a natural death due to the active efforts of all concerned in opposing the strikers. Outside laborers were brought in and as soon as cargo was handled with reasonable dispatch the strikers lost heart and flocked back at their old wages. Considerable interest was aroused in the announcement of W. F. Stevenson & Co., local agents for the New York Line of the Blue Funnel, that the service would be operated on a faster schedule. From New York to Manila their THE YOKOHAMA SPECIE BANK ---- = LTD. - - = (ESTABLISHED 1880) HEAD OFFICE: YOKOHAMA, JAPAN Yen 'Capital (Paid Up) - - - - 100,000,000.00 Reserve Fund - - - - 102,500,000.00 Undivided Profits - - - - 8,281,611.36 MANILA BRANCH 34 PLAZA CERVANTES, MANILA K. YABUKI Manager PHONE 2-37-59—MANAGER PHONE 2-37-58—GENERAL OFFICE vessels will make the run in 43 days and from Manila to New York in 48. This latter service will equal that of the Dollar Round-the-World ships, which have been operated for the last four and a half years on a regular schedule to New York in 48 days. These two services now have the distinction of making the fastest time to New York. On October 30 the Asama Maru, the largest ship ever built for the Japanese merchant marine, was launched at the Mitsubisha dock yard. This is the first of the three motor ships being built for the N. Y. K. transpacific service. It is expected to make the first sailing in September 1929 and while no definite announcement has been made, it is believed these ships will call at Manila. From statistics compiled by the Associated Steamship Lines there was exported from the Philippines during September: To China and Japan ports, 8,610 tons, with a total of 49 sailings, of which 6,053 tons were carried in American bottoms with 15 sailings; to Pacific coast for local delivery 27,532 tons with a total of 14 sailings, of which 26,662 tons were carried in American bottoms with 11 sailings; to Pacific coast for transshipments 3,400 tons with a total of 10 sailings, of which 3,378 tons were carried in American bottoms with 8 sailings; to Atlantic coast 36,764 tons with a total of 12 sailings, of which 18,655 tons were carried in American bottoms with 5 sailings; to European ports 29,523 tons with a total of 15 sailings, of which American bottoms carried 463 tons with 2 sailings; to Australian ports 946 tons with a total of 3 sailings, of which American bottoms carried none; or a grand total of 106,775 tons with a total of 68 sailings, of which American bottoms carried, 55,211 tons with 19 sailings. Regular passenger traffic during the month of October showed a considerable decrease over that of September, there being a total of 1666 during October as against 2444 during September. Regular passengers departing during October were (first figure represents cabin passengers, second figure steerage) to China and Japan 171-336; to Honolulu 1-812; to Pacific coast 72-200; to Straits Settlements 49-6; to Mediter ranean ports 18-1. PERSONALS J. F. Tomkins, shipping manager, Macleod & Co., left Manila on the s.s. Empress of Asia, accompanied by his family, for a short vacation in Shanghai. Mr. Tomkins has been ill for some time. W. Schmidt, local agent for the Nord Deutcher Lloyd, returned to Manila November 2 on the s.s. Ermland after a six months vacation in Europe. R. C. Morton, director for orient, United States Shipping Board, recently spent two weeks in Baguio for his health. H. M. Cavender, local agent for The Robert Dollar Co., was delayed in San Francisco on business and is returning to Manila on the s.s. President Grant, arriving here November 22. _______ CAPTAIN AND MRS. HEATH BACK Captain and Mrs. Herbert L. Heath returned to Manila Thursday, November 8, on the S. S. President McKinley from a long vacation in the United States which was extended into Cuba, where they visited Captain Heath’s son, who is in charge of a large plantation project there. Landing back at Manila, Captain Heath told the reporters he was a Hoover Democrat. In a recent letter to the Journal he had pre dicted Hoover’s election. But the election campaign took none of his attention; he was vacationing. “We traveled by auto,” he wrote from San Francisco, “19,806 miles in 69 running days and averaged 287 miles per running day. Went east through Texas, returned west through Kansas, went east again through Nebraska, returned west through South Dakota—the Custer battlefield, etc.—I picked up the August number of the Journal and read it through this morning (September 24), and I thought so well of it that I want to tell you that it is a cracker jack, the best issue I think you have made.” Captain Heath was for several years the pres ident of the chamber of commerce, of which he remains a vice president. Vice President C. M. Cotterman will soon be returning to Manila with Mrs. Cotterman from their vacation in the homeland, where Mr. Cotterman headed the Philippine delegation to the Kansas City convention. IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL November, 1928 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 33 REVIEW OF THE EXCHANGE MARKET By Richard E. Shaw Manat), r International Hanking Corporation A distinct firmness, unusual for this period of the year, prevailed during the month of October. The selling rate for U. S. 8 TT held steady at 1-1/8% premium, while Banks which at thebeginning of the month were buy ers of TT at 3/4% premium for delivery within thirty days only, gradually extended their deliveries until by the middle of the month cer tain Banks were quoting the same rate for October/December deliveries. The small offerings of TT were promptly taken up. The market, at the close, showed indi cations of continued strength. Purchases of telegraphic transfers from the Insular Treasurer since the last report have been as follows: The New York-London cross-rate closed at 484-21/32 on September 29th, rose to a high of 485-3/16 on October 10th and closed with a low of 484-27/32 on October 31st. London Bar Silver was quoted at 26 9/16 spot and 26 5/8 forward on September 29th, touched a high of 27 spot and 27 1/16 forward on October 10th, and on the last day of the month closed at 26 3/4 spot and 26 13/16 for ward. New York Bar Silver closed at 57 3/8 on September 29th and did not go below that point during October. The high for the month was 58 3/4 on the 10th, while the closing rate was 58. Telegraphic transfers on other points were quoted at the close as follows: Paris, 12.40; Madrid, 164-1/4; Singapore, 116; Japan, 94-3/4; Shanghai, 76-5/8; Hongkong, 101-7/8; India, 134-3/4; and Java, 122-1/2. Sealed proposals, indorsed Proposals will be received at the Public Works Office, Naval Station, Cavite, P. I., until 11:00 o’clock a. m., 6 December 1928, and then and there publicly opened for furnishing and installing boiler plant equipment at the U. S. Naval Hospital, Cafiacao, P. I. Plans and specification No. 5537 may be obtained on application to the District Public Works Officer, U. S. Naval Station, Cavite, P. I. Deposit of a check or Post Office Money Order for $10.00, payable to the Chief of the Bureau of Yards and Docks, Navy Depart ment, Washington, D. C., is required as security for the safe return of the plans and specification. The December Journal will contain, among a number of other special features, a Christmas story by Percy A. Hill. This promising author needs no introduction to our readers, who applaud the universal excellence of his Philippines pieces. Other stories by the same author will continue to appear in our pages from time to time. Else where in this issue is an historical one, An In cident of the Inquisition. Manila to New York via Suez and Europe Week ending August 25th...................... Nil Week ending September 1st................... $300,000 Week ending September 8th................. Nil Week ending September 15th............... Nil Week ending September 22nd............... Nil Week ending September 29th............... Nil Week ending October 6th...................... Nil Week ending October 13th..................... $400,000 Week ending October 20th.................... 150,000 Except for minor fluctuations Sterling rates were maintained at the September levels, i. e., sellers at 2—7/16 and buyers at 2/- 9/16. Quiet ness prevailed in the market for the greater por tion of the month. See the Old World on your trip home. Stops of several days in many ports. You can travel through Europe and catch our boat for New York via Southampton, England, at Bremen. “The Most Interesting Trip In The World.” NORDDEUTSCHER LLOYD Zuellig & von Knobelsdorff Agent a 90 Rosario, Manila Phone 22324 AMERICAN MAIL LINE DOLLAR STEAMSHIP LINE COMBINED TRANSPACIFIC SERVICE SAILING ONCE A WEEK The “President” Liners Offer Speed—Service—Courtesy—Comfort Excellent Food, Comfortable Cabins, Broad Decks, American Orchestra, Dancing, Swimming Pool, Sports SAILING ONCE A WEEK TO SAN FRANCISCO AND LOS ANGELES via Hongkong, Shanghai, Kobe, Yokohama, and Honolulu SAILINGS ON ALTERNATE FRIDAYS ROUND THE WORLD President Garfield - - Nov. 21 President Harrison - - - Dec. 5 President Monroe - - - Dec. 19 President Wilson - - - - Jan. 2 President Van Buren - - Jan. 16 Sailings every fortnight VICTORIA AND SEATTLE via Hongkong, Shanghai, Kobe, and Yokohama SAILINGS ON ALTERNATE SATURDAYS 24 Calle David MANILA Telephone No. 2-24-41 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 34 THE AMERICAN CHAMBER OF COMMERCE JOURNAL November, 1928 RAIL COMMODITY MOVEMENTS By M. D. Royer Traffic Manager, Manila Railroad Company second week brought The following commodities were received in Manila September 26, 1928 to October 25, 1928, both inclusive, via Manila Railroad: Desiccated c cases........ Oct. Sept. Rice, cavans............ . . . . 92,000 204,250 Sugar, piculs............ 4,816 1,232 Tobacco, bales........ 20,160 34,460 Copra, piculs........... 268,300 255,500 Coconuts................... . . . . 2,079,000 2,695,000 Lumber, B.F........... 653,400 731,700 LUMBER REVIEW By ARTHUR F. FISCHER Director of Forestry Lumber export for the month of September amounted to 9,243,200 board feet valued at P737,945.00, as com pared with 9,767,264 board feet valued at P684,840.00 for the month of August. The total export decreased by 324,064 board feet. This is principally due to decreased shipment of logs to Japan, and low grade lumber to China. The United States on the other hand imported 1,422,944 board feet more for September than the preceding month. Lumber exported to the United States are of high grade, thus the total custom declared value for export is higher than that of August for less amount in board feet. Local market for September was active. Prices were satisfactory. Heavy demands for future deliveries were noted, particularly for export grades. Mill operations, however, were not quite as active due to weather conditions in certain sections, and undoubtedly due to the uncertainty of the outcome of several bills now under consideration in the Legislature. There seems to be great anxiety on the part of the investing public as to the possible effect of those bills on lumber operators. The following tables show the lumber export by country, as well as the lumber shipment and mill production for September 1928 and 1927: The figures for September are as follows: 1928 1927 Destination United States... Japan........ China........ G e a t Hongkong. British Africa... Belgium.. . Egypt........ Total... 9,243,200 7737,945 9,836,800 7693,893 Board Feet 5,347,488 1,384,360 1,113,424 776,768 373,120 213,696 25,016 9,328 Value Board Feet 7442,687 4,036,056 85,352 3,731,200 92,964 286,624 64,001 680,944 28,629 1,016,752 18,464 3,040 2,808 47,912 37,312 FOR 34 MILLS Lumber Shipment 1928 1927 19,028,614 16,759,828 REVIEW OF THE HEMP MARKET By L. L. Spellman Macleod and Company Value 7356,509 183,333 17,583 47,272 80,640 4,000 4,556 Lumber Inventory 1928 1927 33,422,168 30,474,065 Mill Production 1928 1927 19,565,086 16,981,395 NOTE:—Board feet is used. This report covers the Manila Hemp (Aba ca) market for the month of October with statistics to the 29th of the month. U. S. Grades.— Buyers in the U. S. and Canada were out of the market during the first week of the month, except for a small quantity of low grade fiber, and prices sagged a little. The -----out more buyers and dis closed the fact .that shippers with stocks in Manila were firm in their ideas of the future. Sales were made on the basis of: E, 13-3/8 cents: F, 10-1/8 cents; G, 7-3/4 cents; H, 6-1/2 cents; I, 9-3/4 cents; JI, 8-1/2 cents; SI, 9-7/8 cents; S2, 9-1/2 cents and S3, 8-3/4 cents. During the last half of the month, prices con tinued to move upwards with steady buying and a firm market. Prices covered rather a wide range, but the market closed very firm with buyers asking the following: F, 12 cents; G, 8- 1/2 cents; H, 7-1/2 cents; I, 11 cents; JI, 9- 3/8 cents; SI, 11-3/4 cents; S2, 10-3/4 cents and S3, 9-3/8 cents.The market here firmed up as soon as buying started in the U. S., and prices have advanced rapidly during the last two weeks. The first of the month exporters were buying at: E, P29; F, P21.50; G, P16.75; H, P13.75; I, P2O.5O; JI, P17; SI, P21; S2, P20.50; and S3, P17.50. By the 15th, prices had moved up to: E, P30; F, P23; G, P17; H, P14; I, P22; JI, P18; SI, P22.50; S2, P21.50 and S3, P18.50. At the close, buyers were taking all that was offered at: E, P33; F, P25; G, P18.25, H, P16; I, P24; JI, P21; SI, P24.50, S2, P23.50, and S3, P21.00. U. K. Grades.—The London market was dull at the first of the month and declined slightly the first week. Nominal prices were: J2, £32-10/; K, £2910/; LI, £29; L2 £24; Ml, £25; M2, £23; DL, £22-10/and DM, £22. During the second week, dealers began covering short sales and prices ad vanced to: J2, £35-5/, K, £32-5/; LI, £3110/; L2, £25-10/; Ml, £26-10/;M2, £24-15/; DL, £24-15/; and DM, £22. There were sev eral slight reactions, but on the whole prices continued to move up wards and the market closed with buyers at: J2, £37-5/; K, £34-5/; LI, £33-15/; L2, £2710/; Ml, £28-10/; M2, £26-15/; DL, £25 and DM, £24. In the local market, sellers have taken full advantage of the im provement in the con suming markets and prices have advanced beyond the selling equivalent. Neverthe less, all hemp offered by the dealers finds a ready market. The market opened with exporters paying: J2, P15.00; K, P13.00; LI, P12.75; L2, P10.25; Ml, P10.50; M2, P10.00; DL, P9.00; DM, P8.50. By the 15th, prices had advanced about one peso, and at the end of the month buyers here were paying the following: J2, P16.00; K, P14.50; LI, P14.25; L2, P11.00; Ml, P11.50; M2, P10.75; DL, P10.25; and DM, P9.50. Japan —Buying for this market has been steady, but the quantity small. Consumers are reported to be well supplied to the end of the year. Exchange has advanced from 91 cents to 93-1/4 cents. Freight Rates.—The rate on hemp to the United Kingdom and Europe has been advanced 10 SHILLINGS per TON, effective January, 1929. Production.—Storms in S. E. Luzon and in Leyte have hindered production to some extent. A report from Davao states that 1,500,000 hemp plants were blown down during a heavy storm at the end of the month. This will no doubt increase production for the next two or three months, but the percentage of the higher grades will decrease. Hemp not cleaned quickly will be lost. The new plants should more than offset those destroyed and production should be normal next year. Statistics.—The figures below are period ending October 29, 1928. for the Manila Hemp 1928 Bs 1927 Bs On hand January 1st. . . 139,624 112,382 Receipts to date............ . 1,141,282 1,082,166 Supply to date.......... . 1,280,906 1,194,548 Shipments to— U. K........................... 291,851 270,959 Continent................... 173,388 122,728 U. S............................ 312,842 329,691 Japan.......................... 266,831 208,062 All Others.................. 40,674 41,862 Local Consumption. . . . 48,000 44,000 Total Shipments... . . . 1,133,586 1,017,302 Stocks held by exporters in Philippine ports at the end of month amounted to 147,320 bales against 177,246 bales a year ago. Fourth get the people to buy your goods by going after them, persistently and forcefully, in advertising media with pep and punch, such as those put forth by the K. O. Advertising Co. Investigate! K. O. ADVERTISING CO. Producers of ADVERTISING WITH A PUNCH!!! Kneedler Building: Tel. 2-60-65 Cosmopolitan Bldg.: Tel. 2-59-97 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL