Philippine economic conditions – August, 1934 · Rare Periodicals

Philippine economic conditions – August, 1934

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Part of The American Chamber of Commerce Journal

Title: Philippine economic conditions – August, 1934
Language: English
Year: 1934
Subject: Philippines -- Economic conditions -- 1934.
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Fulltext: October, 1934 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 11 got high enough to give some value to coconut lands again. To the end of September, America had bought this year 100,000 metric tons of our copra, and about 103,000 metric tons of coconut oil expressed from copra in our mills. On this basis, or approximating it, proceeds of the oil process tax will exceed proceeds from the sugar tax. They should be at least P25,000,000 in a twelvemonth. They too are to be a fillip to business, buying power pumped to the consumer. But they are not to go directly or indirectly to copra pro ducers, or to subsidize the industry in any way. They may go to aid of farming, as with scientific research, coconut grow ing excepted. They may also go toward reducing the public debt, all hangs upon executive decision perhaps mainly at Malacanang; though the President may suggest something, since he approved this tax reluctantly. But unquestionably it was the plan of congress that this money come to the .Philippines and-go into the channels of commerce. No doubt most of it will, and therefore our great copra industry, incomparable in the world, will thrive on the whole demand America has for coconut oil. Finally, the returned taxes involve federal administra tion—set up in cooperation with the governor general’s office. Some federal men are here now, others on the way, still others will follow. Dr. C. S. Rosenquist, who has been here for some time, is from the department of agriculture. Treasury men are coming, and representatives of the comptroller. The whole set-up, perhaps employing 10 or more federal men. will work in association with Malacanang, whose biggest single burden will be the administration of these, for the Philippines, enor mous taxes. Thus the outlook for our farmers is by no means dark, and as they prosper business will prosper. Philippine Economic Conditions—August, 1934 - Summary of official radiograms forwarded to the Bureau of Foreign and Domestic Commerce, United States Department of Commerce, Washington, D.C. Prepared by C. Grant Isaacs, American Trade Commissioner, 410 Heacock Building, Manila, with assistance of Government and trade entities. No responsibility is assumed by this Office for any facts or opinions expressed in this review. (S.R. No. 35/13) GENERAL SECTION Philippine business in August showed little, if any, improvement over July. Business was marked with uncertainty and both the months of July and August were regarded as poor. The seasonal rains and typhoons were an additional hindrance to trade im provement. In July there was a sharp drop in business which continued throughout August, but there ere signs of improvement in September. The actuality of reduced sugar acreages, the mainstay of the Philippine export business, caused a standstill in many lines. With the announcement that the AAA processing tax is applicable to the Philippines and with the possibility that about P24.OOO.0OO will be distributed among the planters, there are signs that confidence is slowly returning. Sugar planters are giving serious consideration to the development of other agricultural crops and in this connection cotton is to the fore. Another encouraging indication is the advance in copra prices in recent weeks. While prices are remarkably low. copra has advanced from P2.80 to P4.50 during the past six weeks. Banks report an increase in the volume of collections on inward bills. Credits and collections are reported discouraging and in many lines arc becoming increasingly worse, especially in the provincial and sugar areas. Importers report a wider request for credit extension. The paramount issue of the month has been the future provisions of the forthcoming tariff bill. The bill is still with the Special Tariff Committee which has sought to equal ize the rates on imported merchandise so as to provide fair competition for American and locally produced goods competing with imports from sources employing low labor and other manufacturing costs. The bill will be considered by the Governor-General and the Council of State,prior to its presentation to the Legislature. American business, in so far as the future is concerned, is largely, if not entirely, dependent upon the passage of this bill. The bill is, therefore, awaited with the keenest interest. Reciprocity continues to be the key thought of many addresses of officials and com mercial leaders, all of which are giving impetus to public opinion on the future trade relations of the Philippines with the United States. A general survey of these state ments easily reveals that the Philippines want to continue reciprocal relations with the United States. The recently organized Philippine-Amcrican Trade Association has now elected its officers and directors with headquarters in Manila. This group is sponsored by both leading American and Filipino business men and will actively undertake a drive for reciprocal trade relations between the Philippines and the United States. It will first undertake to educate the Philippines as to the value of trade relations with the United States. The active program of the association will, in all probability, be held in abeyance until the forthcoming tariff bill is acted upon, and business knows what the future offers. In American textiles, competition with the Japanese is becoming more and more difficult. American importers of textiles are frank in stating that, without tariff pro tection, the market for the product of American mills will gradually disappear. Japan continues to copy the leading brands and, while the poods arc of inferior quality, the buying public follows the style trend and purchases the cheaper cloth. Importers hope for an early settlement of the American textile strike for a continuation will naturally place Japanese textiles in a more strategic position. August ship’s manifests again show heavy arrivals from Japan. Details are contained in the section devoted to textiles. The House of Representatives has practically completed the revision of the 1935 budget. A late resume made by the committee on appropriations reveals that the total net reductions made by the House from the budget submitted by the GovernorGeneral amount to P853.001.74. The general reductions made total P1.149,265.74 but deducting from this amount the increases made in other items, the net reduction is the above amount. The Governor-General’s budget called for P53,997,459 compared with P56.510.338 authorized for 1934. The semestral report of the Philippine National Bank, released September 1, 1934, showed increases in the reserves, surplus, investments, cash and resources of this institu tion for the first six months of the year. The bank's resources increased from P97.776,239.52 to P107,984.385.34 during this period. The favorable situation of the bank is seen also from its obligations to other banks, amounting to only P631,969.65 as against P17,480,172.78 which are due from United States and foreign banks as well as from local banks. The cigar makers’ strike which started August 15 over the question of wages still remains unsettled up to the present writing. The Governor-General has taken a hand in the matter and has created a Fact-Finding Committee in order to bring about an early settlement. There have been indications that the strikers have been instigated by communistic elements and the government is exerting efforts to prevent the spread of this influence. It was believed that the strike will be settled very shortly although considerable difficulty is being encountered due to the fact that the strikers are affiliated with a number of labor organizations. Construction activity in the City of Manila is still at its low level, building permits for August aggregating a total value of only P214.000 as against P380.000 for August last year. The value of building permits issued from January to August totaled Pl,909,000 as against P3,896,000 for the same period in 1933. August power production was estimated at 9.800,000 KWH as compared with 9,900,000 for August last year. Total aggregate production for the first eight months of 1934 was 79,000,000 KWH as against 75,800,000 for the corresponding period in 1933. FOREIGN TRADE SECTION The overseas trade of the Philippines during the first seven months of 1934 amounted to P255,537,669, an increase of 15 per cent as compared with the total trade during the same period of 1933, valued at P222,350.915. Foreign trade of the Philippines showed a decided sump during July as compared with July of last year. July foreign trade was also over Pl,875,000 below the trade of June. According to the Collector of Customs, July registered one of the heaviest negative balances in many years, the net unfavorable balance being P5.674.950. July foreign trade amounted to only P19.395.348 as against P28,679,361 during July 1933, a decrease of 32 per cent. There was a decrease of P7,377,733 in July exports to the United States, with exports amounting to only P4,337,594 and Pl 1,715,327 in July last year. Through the enforcement of the Jones-Costigan Law, curtailment of sugar shipments to the United States is principally responsible for this reduction. Balance of trade.—Despite the reduction in shipments to the United States, the favor able balance of trade with the United States continues in the amount of P73.599.977 for the first seven months of 1934. The unfavorable balance with all other foreign countries was P18.240.532 for the first seven months of 1934 as compared with an un favorable balance of P15.972.132 for the same period in 1933. Summary of trade.—The following table summarizes Philippine overseas trade during the first seven months of 1931 and 1933 on a monthly basis: Summary, Philippine Overseas Trade, First Seven Months, 1933 and 1934 (Values in Pesos: P1.00 equals U.S. 30.50) January . February. March... Ma"1.-.:: July'. '.' Monthly Ave......... Imports 1934 14,360.504 1 18,225,131 15,645,954 1 16,180,094 1 12,037,016 1 11,105,264 1 12,535,149 1 Exports 1934 23,089,225 1 31,061,586 1 33,121,674 2 30,168,872 2 20,991,291 2 10.155,710 1 6,860,199 1 1933 28,496,623 28,323,524 35,261,205 38,437,369 39,526,408 23,626,425 28,679,361 100,089,112 86,441,670 155,448,557 135,990,245 255,537,669 222,350 519 14,298,445 12,348,810 22,206,937 19,415,606 36,505,381 31,764,431 Again, it should be emphasized that the limitation of sugar exports is largely ac countable for the falling oft in exports during the past few months. Despite this curtail ment in the major item of Philippine export trade, exports during the first seven months of 1934 were larger by 14 percent, aggregating P155,448,557 as compared with P135,909,245 for the first seven months of 1933. Import trade.—Total imports into the Philippines for the first seven months of 1934 amounted to P100,089,112, an increase of 16 per cent over imports for the similar period of 1933 when imports totaled P86.441,670 in value. The following table summarizes the imports of the more important items and commodity groups during the months of July, 1933 and 1934, and during the first seven months of 1933 and 1934: Imports, Philippine Islands, Fir (Values in Pesos: P> ' Wheat flour......................................... Automobiles and parts..................... Automobile tires.............................. Chemicals, drugs, dyes and medi Cotton cloth........................................ Cotton manufactures, except cloth . Silk, rayon and mitrs..................... Electrical machy., apparatus and ap plianccs............................................. Fertilizers............................................. Vegetable fibers and manufactures. Fish and products............................... Fruits and nuts................................. Glass and glassware............................ Iron & steel & mftrs.......................... Leather and products......................... Meat & dairy products..................... Mineral oils........................................... Paper and products............................ Tobacco and products........................ Vegetables.............................................. All others............................................... . irst Seren Months, 1933 and 1934 P1.00 equals U.S.S0.50) July Total for 7 months 1934 1933 3,019,165 2,464, 4,132,173 3,092, 1,412,686 990, 1933 558,978 575,065 130,123 207,492 273,722 291,711 302,613 152,392 153,730 1,528,577 154,715 662,241 896,351 418,567 624,404 230,876 2,395,113 Total............................................... 12,535,149 14,581,538 100,089,112 86,441,670 July Philippine foreign trade with Japan showed a balance in favor of Japan of Pl,598,437. Tne Philippines imported from Japan P2,183,541 worth of merchandise and exported to Japan only P585.104. Great Britain likewise held a balance favorable to her in July, exporting to the Philippines a volume valued at P657.616 while she only took goods from the Philippines valued at only P195.508. Other important suppliers to the Philippine market were China, Germany, France, Dutch East Indies and the British East Indies. (Please turn to page 14) 14 THE AMERICAN CHAMBER OF COMMERCE JOURNAL October, 1934 Dee C. Chuan & Sons Incorporated PHONES { titst Office and Yards 18-30 Soler, Manila, P. I. ' Manufacturers and Wholesale and Retail Dealers in All Kinds of PHILIPPINE LUMBER LARGE STOCKS ALWAYS ON HAND Mouldings, Balusters, Scrolls, Customs Sawing and All Classes of MILL WORKS BRANCH: 782-788 Juan Luna Street ----- Phone 4-96-83 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL October, 1934 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 15 The National City Bank of New York Capital (Paid) - U.S. $127,500,000.00 Surplus - - - - „ 30,000,000.00 Undivided Profits „ 8,018,665.52 (as of June 30th 1934) COMPLETE BANKING SERVICES MANILA OFFICE National City Bank ’ :ng is the sure sequel to a sleepless night. No concentration; no control over one’s faculties; general depression; painful discontent. If you want to work well you must have your nerves in order; your nerves will be raw if you do not sleep well. Your salvation lies in Bromural Tablets "Knoir. Their world-wide fame is founded on their rapid nerve-soothing action which restores sound sleep thus enabling you to utilise your full working capacity. Vouched for as harm less and not habit-forming. Obtainable from all the leading chemists. Tubes of 20 tablets. Knoll A.-G., Chemical Works, Ludwigshafen-on-Rhine. IN RESPONDING TO ADVEr "20 THE AMERICAN CHAMBER OF COMMERCE JOURNAL October, 1934 Philippine Economic Conditions... L5) See for Yourself The way this revolutionary riding improvement takes you gently and smoothly over the roughest roads. Prove to yourself that Chevrolet’s claim is really and truly the first major Car improvement in 20 years. We invite you to..................... Pacific Commercial Company Bacolod — Baguio — Cebu — Iloilo — Manila — Zamboanga IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL October, 1934 THE AMERICAN CHAMBER OF COMMERCE JOURNAL 21 Port Lamon Lumber Co. Dealers In All Kinds Of Philippine Hardwoods EXPORTERS YACAL, TANGILE, RED and WHITE LAUAN Mills At Port Lamon, Surigao, Mindanao, P. I. • Address All Inquiries To MADRIGAL & COMPANY Managing Agents MANILA P. O. Box 254 • Tel. 2-19-63 Presenting The INDECO PRODUCTS INDECO General Paint INDECO Cement Paint INDECO Oil Paint INDECO Floor Wax INDECO Asbestos Board INDECO Varnish INDECO Liquid Soap INDECO Printing Ink INDECO Writing Ink Industrial Development Co. P. O. Box 21 — 129 J. Luna — Tel. 4-90-67 IN RESPONDING TO ADVERTISEMENTS PLEASE MENTION THE AMERICAN CHAMBER OF COMMERCE JOURNAL 22 THE AMERICAN CHAMBER OF COMMERCE JOURNAL October, 1934 6.25 5.25 4.25 3.50 6.50 5.50 4.50 3.75 7.25 7.75 J-l. J-2. K. . L-l. G................................................. The committees organized in July in connection with mapping out tion ir ‘u- ------ -J----------------- U-’J:---------l—‘ u---------------- - tion of the industry and an appropriation of P5,000,000 by the government from profits on Philippine gold deposits in American banks. TOBACCO Buying of the 1934 tobacco crop in the Cagayan Valley was reported to have started near the end of the month under review. Prices offered were reported to be conservative. flour is placed at further disadvantage. Also the present shortage of wheat in the United States and probable reduced interest in export, importers doubt if it would be possible to restore the subsidy. Estimated arrivals in bags were as follows: 7.25 6.875 . . program of limitai in the abaca industry are still holding sessions but have not ns yet formulated definite plans. One bill proposed in the present Legislature calls for industrializaUnited States.... Canada.................. Australia................ Total for 8 months 1934 1933 i 1,328,062 1,390,11 1 220,880 280,71 281,381 323,48 1 71,650 19,62 1 12,600 2.5C The Manila market continued quiet, especially after the middle of the month, due prin cipally to the cigar makers' strike. Exports of rawlcaf, stripped tobacco and scraps were very low, the greatest portion of w?iich were to the Spanish Monopoly. Alham bra’s estimate of August exports follow: United States................... Australia............................. Czechoslovakia................. Great Britain................... Gibraltar............................ Hong Kong...................... Japan................................. Java.................................... North Africa.................... North Atlantic (Europe) Spain.................................. Straits Settlements.......... Uruguay............................. Total.................. 25.745 052,512 357 2,380 370,986 1,724,51.6 Cigar exports to the United States during August was estimated at 14.822,897 units as compared with total exports of 13,547,510 units (Customs final) during July and 15.595.179 units (Customs final) during August last year. Only low-priced cigars are in demand in the United States. On August 15. the cigar makers of all factories in Manila and suburbs declared a strike which, at this date, still remains unsettled. Press reports indicate that the movement was instigated by radical elements who tried to induce laborers in other industries to join the strike, but without success. The strike was being carried along peaceful lines and to dflte no serious clashes have occurred. Settlement has been hampered by lack of unity'among the strikers who are affiliated with a number of different organizations. RICE Nothing of importance disturbed the quiet condition of the rice market during the ' month under review with the exception of slight price declines in both hulled rice and palay. Quotations per sack of 57 kilos ranged from P4.35 to P4.55 for luxury grades and P3.85 to P4.10 for ordinary grades of rice. The palay price range was from Pl.60 to Pl.85 per sack of 44 kilos, cars, Cabanatuan. Although prices are normally higher during September, this does not seem to be the case at present due to the weak market and lack of sustaining demand. The new crop promises favorably on account of ex cellent growing conditions but it is still too early to predict what the volume of the crop will be. Rice receipts in Manila during August totaled 143.260 sacks as compared with 171,610 for the previous month and 207,100 for August last year. AUTOMOTIVES There was a marked increase in the sales of passenger cars during August as compared with July. New passenger car registrations during August amounted to 243 units as against 189 in July and 202 in August 1933. There was likewise a marked increase in the sale of trucks, registrations for August amounting to 329 units against 202 units in July and 116 units in August 1933. A decrease occurred in the sale of midget cars. August registrations of midgets amounted to 27 units as against 63 in July. In August. 30 owners’ cars we^e brought in as compared with 12 in July. Importers be lieve sales will be larger this year than in 1933. According to ships' manifests, pas senger car arrivals amounted to 351 units in August as compared with 333 in July; truck arrivals amounted to 127 in August as compared with 152 units in July. Automotive distributors believe the distribution of the processing tax to sugar planters as provided for under the AAA act will be helpful in so far as passenger cars are concerned, but with reduced acreage little, if any, expansion in sales of trucks is anticipated. Spare ports and accessories.—Business in spare parts and accessories during August was slightly better than in July, with sales indicating an upward tendency. July is the lowest month in the sales curve of this equipment. Japanese competition continues and Japanese manufacturers are resorting to extensive advertising and circu larization campaigns, frequently copying the sales promotion schemes of American firms. The Japanese, in an effort to enter the Philippine market, are selling their parts and accessories at less than manufacturers’ costs. American dealers report that Jap anese parts arc poor in quality and the result was many dissatisfied customers. TIRES Tire sales in August were generally fair with some importers reporting larger sales than during July. One of the larger importers reports an increase of at least three percent in sales for the first seven months of this year as compared with a year ago. Prospects in the sugar areas are unattractive, but it is believed the distribution of the AAA proces sing tax will be helpful in so far as passenger car tires are concerned. In the truck tire field, little increase is anticipated. Importers expect to raise prices in January 1935 in line with the advance in the United States. The outlook for the remainder of the year is fair. Collections are reported from bad to worse, and some importers plan to reduce credits. Importers are much concerned with the proposed gas bill taxing gasoline from four to ten centavos per liter and the proposed bill providing a tax of five centavos per pound on pneumatic tires, interior and exterior, ana a tax of ten centavos per pound on solid and semi-solid tires. These taxes will be borne by the consumer, thereby causing an increase in sales prices and making the competition of American tires more difficult. Total................................................ 380,200 305,388 1,914,573 2,016,435 Sardines.—Market unchanged with continued heavy arrivals from Japan. Prices remain unchanged with American offered at P5.50 to P6.50 as against P5.00 for JapMackerel.—Market remained unchanged as compared with July, stocks fair, prices unchanged at P5.60 to F5.70. Salmon.—American stocks are being resumed and shipments of the new catch are expected shortly. During the month, large arrivals of pink salmon were received from Japan which are offered for P7.80 versus P10.00 for American. Apples.—U.S. arrivals, new crop, small, demand good, prices F3.90 to P4.50. Oranges.—Arrivals small, demand good, quality good, prices P10.00 to P12.00. Lemons.—Arrivals normal, demand good, prices P8.50 to P9.00 for half boxes, P16.00 to F17.00 for full boxes. Grapes.—Arrivals small, demand fair. Some arrivals in bad condition and command from P3.00 to P3.50 per box of 34 pounds, P4.50 to P5.50 for good qualities. Onions.—U. S. arrivals small and were for Army and Navy posts only, Japanese arrivals heavy, market overstocked, price range Pl.60 to P2.00 per crate of 90 pounds resulting in loss to importers. Potatoes.—U. S. arrivals limited and were for Army and Navy consumption only, Japanese arrivals heavy, market overstocked, price rhnge P2.50 to P2.60 per crate of 100 pounds, resulting in loss to importers. Cabbage.—American cabbage sells for 13 to 20 centavos per kilo, arrivals small, demand good. It was reported that northwestern cabbage shipped from Seattle was of good quality while California cabbage shipped from San Francisco was of poor quality. Baguio cabbage sold for 12 to 15 centavos per kilo, arrivals small on account of the rainy season. Canned milk.—Large importations of secondary brands caused July prices to decline 30 centavos per case. There was a further slight decline in August. Evaporated milk was quoted at P4.80 to P5.50 per case of 48 large size tins; condensed milk- P10.50 to P13.50 per case of 48 tins. Japanese importers have flooded the market with propa ganda for condensed milk but thus far the competition is not serious and the efforts have been unsuccessful. Japanese condensed milk prices are P7.00 to P8.00 per case. As reported by ships’ manifests, arrivals in August of condensed milk were 9.660 cases, evaporated 43,715 cases, sterilized 2,017 cases as compared with arrivals in July of condensed milk of 16,087 cases, evaporated 31,152 cases, and sterilized 2,075 cases. TEXTILES American textile business during August continued at low levels. Throughout the Islands there was verj little improvement. Unfavorable rains, and typhoons, as well as the low buying power in the sugar areas, seriously affected sales. In indent businesss dealers placed very small future commitments on account of the higher American pricet and the competition of low-priced Japanese goods. The ships’ manifests for Augus. explain themselves and show that Japanese textiles continue to flood the market. Im" . porters of American textiles are much concerned with the possibility of tariff protection' for without such, it will be increasingly difficult to do business in the Islands. In stock business, August sales were slightly better in a few lines. The increasing competition of Japanese textiles is clearly shown in the following arrivals into the Philippine Islands during the month of August, 1934, in packages as . reported by ships’ manifests: P5.70. s.—Business in spare parts and accessories during August July, with sales indicating an upward tendency. July Cotton piecegoods . . .. Cotton duck................. Cotton towels.............. Embroidery cloth........ Threads and yarns.... Shirts and underwear. Hosiery and socks .. .. Linen goods.................. Rayon and silk............ Woolen goods............... Japan Shanghai Hongkong Europe 8 6,058 49 406 77 206 32 22 97 107 114 230 22 74 40 202 32 9 19 2,197 6,539 317 122 665 LEA THEE Prices of leather made further declines in August. The slaughtering of cattle in the United States because of the drought will cause prices to further decline. August business continued fair as cbmpared with July. American leather continued to dominate the market and exchange difficulties continued to keep Australian leather out of the Philippines. FOODSTUFFS August shipments of American flour and other foodstuffs were fairly heavy due to the resumption of shipments following the Pacific Coast longshoremen's strike. Competi tion with Japanese canned fish goods, particularly sardines and salmon, is becoming more severe, with Japanese prices being considerably less than American. During the month, two bills were introduced in the Legislature prohibiting the importation of can ned and frozen meats from foreign countries as a health measure. The bills would protect American canned meats and the local fresh beef trade but would hit the importa tion from foreign countries like Great Britain, China, Australia, Argentina, Uruguay, Italy, Germany, Denmark, Switzerland, Spain and the Netherlands. Four.—While no flour was imported from the United States during July, August ar rivals amounted to 247,000 bags. American flour is receiving keen competition from Australian and Canadian flour. Grade for grade, Australian and Canadian flour are underselling American. It is predicted that the sales of Australian flour will materially increase, and there will also be an increase in the sale of Canadian. Present stocks of American flour were imported under subsidy. With the subsidy discontinued, American Total . . Grey sheetinos.—No orders, arrivals light, stocks light, offtake better, prices unchanged prospects at replacement costs impossible. Bleached sheetings.—Conditions unchanged from those reported in July. Prospects for American goods are now almost non-existent except for lightweight nainsooks used by the embroidery industry. These nainsooks are not locally consumed for they are re-exported to the United States as embroidered work. Grey drills.—Unchanged from July. Orders nil, arrivals light, offtake fair, stocks light, prices unchanged and prospects at present price levels impossible. Some small orders made at from 8 to 10 percent below replacement. Colored yarn drills.—Arrivals from the United States negligible, offtake slow, orders nil with few stock lots sold at low prices, stocks nil, prospects nil, arrivals from Japan very heavy and offtake Japanese good with prices low. Importers see little chance to compete with the Japanese. Heavy chambreys.—Arrivals from the United States seasonally fair, offtake fair, stocks fair^ prices unchanged, prospects doubtful at present replacement prices for American Light chambreys.—Unchanged from July. Local stocks of American goods light but due to cheap Japanese prices, prospects for United States most discouraging. No im provement in prices Percales.—United States arrivals small, offtake fair, stocks fair, prices unprofitable, Japanese imports heavy. Japanese imports of printed goods represent about 90 percent percales and prints. Khakis.—United States arrivals small, offtake slow, stocks fair, orders small, prices low and impossible to replace at present levels, Japanese arrivals heavy. Japanese underselling American considerably, reported seven to ten bales Japanese sold to every bale American. Denims.—Arrivals light, stocks low, prices slightly firmer, small ordering at prices below replacement. Plain voiles.—Seasonably slow, prices very low on account of Japanese imports. Printed voiles.—Seasonably slow, fair ordering for stock lots, no sale of special printings on account of high prices. Broadcloth.—Small arrivals of better qualities, stocks heavy, prices low, no sale of low qualities due to Japanese competition. Rayon and silk.—United States imports negligible, business continued to be controlled by Japanese, especially rayon.