Page 497 - 6 Persian Trade rep BUSHIRE 2_Neat

In spite of the increase., irailc snowed little Hgi. >i emerging
from ilk* depressed state into which ha* lallen dunn;: th< last h;W
years. The depression 1ms been dm parttaII\ to world conditions,
partially to the continued sloppagi of trade with Saudi Arabia and
partially to the decline in the pear! industry. Formerh a flourish­
ing trade, existed with the north-east ol' Arabia, and Kuwait served
as an entrepot port for Northern llasa in the same wa\ as Bahrain
now serves as an entrepot port for Southern Hasa. Rico. sugar,
colTce and piece goods were sent out from Kuwait and, in return,
wool, hides and clarified butter were brought in by the tribesmen.
The. value of this trade which has been estimated to have amounted
to Rupees 3 f>, (MM),()()() per annum, has now shrunk to little more than
a tenth of that figure.
The serious effects in Bahrain of the decline in the pearl industry
have already been mentioned. They have been even more severely
felt in Kuwait on account of the greater proportion of the inhabitants
who depend on this industry for a livelihood. In former years, the.
Kuwait pearling fleet consisted of some seven hundred ships, but
only three or four hundred have put to sea in recent years and the
consequent loss of employment greatly reduced the purchasing power
of the inhabitants and compelled them to buv the cheapest goods
available.
Soviet Union goods, although not always appreciably dearer than
their Japanese equivalents, have been almost completely driven off
the market by the latter and this fact may be regarded as a tribute
to the energy and salesmanship of the Japanese goods agents.
Apart from pearl fishing, the only noteworthy industry in Kuwait
is boat building and some 50 boats of an aggregate value of approxi­
mately 100,000 rupees have been built during the last three years.
An electric plant has recently been installed in the town and
should provide a good demand for electric appaiatus and accessories.
The current supplied is D.C. and the voltage 220.
Imports.—The customs' statistics for 1030-34 show that India,
as in previous years, was the prim ipal. supplying country with 30*3
per cent, of the total import trade. This figure, however, is apt to
be misleading as Japanese goods are mostly imported through agents
in .Bombay or Karachi and only a small amount of tradi !.• done
direct with Japan. Similarly, tin* share of ‘Iraq —18*4 per cent.—
does not give an accurate idea of the projKirtion of goods actually
produced in that country, as United Kingdom manufacturers gener­
ally appoint agents in Basra through whom the Kuwait merchants
are obliged to order—a fact which has caused no little grievance
amongst the latter owing to the losses of commission which they
thereby suffer and to the increased cost of their goods on account of
'Iraq customs dues.
Indian tea and rice were imported in large quantities, hut the
latter was challenged in price by the so-called .Japanese rice men­
tioned in the section on Bahrain.