Page 418 - PERSIAN 8 1931_1940_Neat

8
A new customs tariff was brought into force on the 21st May. Under
this new tariff duties mostly based on weight superseded those of the old
tariff which were on an ad valorem basis. Heavy increases of duty were
imposed on many articles from abroad with smaller increases on foodstuffs.
This resulted in a good deal of profiteering by local retailers who simply
added the increased duties to the price of goods previously imported by
them. No attempt was made by the local authorities to stop this practice.
Additional monopolies created during the year were in respect of
wheat, tea, motor cars, lorries and their spare parts. The creation of
these Government monopolies on foodstuffs and other articles of necessity
does not mean cheaper living for the people as might reasonably be expect­
ed. On the contrary the cost of living continues to rise and discontent to
grow. Tor instance tea formerly cost 15-50 rials per packet of 500
grammes whereas the price in December had risen to 20 rials per packet.
Other commodity prices have also risen, such as fat for cooking the price
of which in December was 35 rials per “man” of 7-75 lbs. whereas the cost
in January 1936 was 23-00 rials per man; meat which cost 7-20 rials per
man in January 1936 was 8-25 rials per man in December and so on.
Towards the end of the year a start was made on the erection in Bush ire
of a cotton weaving and spinning mill. This will provide sorely needed
work for the people and tend to stop migration to other places which had
already set in. The erecting work will demand about 1,500 labourers and
the mill when in operation will ease the economic situation, by absorbing
a considerable number of work people as operatives.
Imports from the United Kingdom were on the whole well maintained
during the year although the position can hardly be regarded with equani­
mity.. Price continues to be the determining factor rather than quality
and will continue to be so until some measure of prosperity returns to this
region. A new opening for British trade in cheap ready-made clothing,
footwear, haberdashery, etc., was given by the Government decree ordering
the unveiling of women and their compulsory adoption of European cloth­
ing. Competition in these lines however is bound to be of the keenest and
here again if they wish to secure a portion of this trade United Kingdom
manufacturers must keep constantly before them the price question.
Direct imports from India are declining. The only remaining import
on a considerable scale from India is tea of which 31,094 cases were import­
ed through Bushire in 1936 compared with only 5,227 cases in the preced­
ing year. Tea imports from the Dutch East Indies were 2,035 cases in
1936 and only 76 cases in 1935; imports from Japan were 4,670 cases in
<1936 as against 2,160 cases in the preceding year. These figures show that
India supplies by far the largest proportion of tea imports into Iran but
there is growing competition from Dutch and Japanese suppliers. The
large increase in the imports of tea in 1936 was due to the laying in of
heavy stocks by the Government under the newly created monopoly of this
article.
Japanese commercial penetration continues. Besides her well-known
domination of the piecegood? market she is also making serious inroads into
the trade of other countries in cement, crockery, tea, etc. She seems likely
to maintain her trade position as long as buyers consider price and not
quality. They will no doubt continue to do so until prosperity returns to
this area and thus enable them to purchase higher grade goods.
German trade has increased as a result of the Irano-German clearing
agreement made towards the end of 1935. This is evidenced by the increas­
ing number of German steamers arriving from Europe. Germany supplies
mostly ironware, machinery, haberdashery, dyes, etc., and seems likely to
continue to increase her imports into Iran.
Imports from the Soviet Union were for the most part sugar and
matches. Of the former 122,867 bags of loaf sucrar were imported direct
from Odessa during the year compared with 49,832 in 1935. There was,