NEW HIGH LEVEL

Otago Daily Times, Issue 26708, 1 March 1948, Page 7

NEW HIGH LEVEL

PRICE OF RICE IN CHINA INFLATION CONTINUES UNCHECKED N.Z.P.A. —Reuter—Copyright Rec. 8 p.m. SHANGHAI, Feb. 27. The price of rice and other vital commodities reached new record heights to-day as inflation continued unchecked. Rice jumped to 3,600,000 Chinese dollars a bag of 1701 b, in spite of the dumping on the market of another 2,000,0001 b by the Social Affairs Bureau. Edible oil and flour made similar advances. The price of bread has increased 100 per cent, in the past month, and a further increase is expected. Meanwhile the city authorities are at a loss to cope with the situation, and are expected to refer the matter to Generalissimo Chiang Kai-shek. All local papers widely publicised the warning by the Social Affairs Commissioner, Mr Wu Kai Sien, before the City Council yesterday that large-scale revolts and unrest would occur unless immediate measures were taken to stabilise the economic and industrial situation. All black market transactions in gold and foreign currencies are at a standstill following the arrest of 58 suspected speculators yesterday and continued raids to-day. The economic police believe that over 400 local “ companies ” are involved in radioconducted speculations between Shanghai and Hongkong. In Hongkong the Government announced substantial increases in retail prices of rationed rice and flour.