ECONOMIC INFORMATION: COMMUNIST CONTROL OF TRADE WITH NATIONALIST AREAS, MANCHURIA

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP82-00457R001900890005-3
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 1
• Document Creation Date: December 14, 2016
• Document Release Date: March 5, 2001
• Sequence Number: 5
• Publication Date: October 21, 1948
• Content Type: REPORT

SUBJECT
25X1A
NO. OF ENCLS.
(LISTED BELOW)
SUPPLEMENT TO 25X1 X
REPORT NO.
25X1A
25X1A
10 Chinese Communist authorities in Kaiyuan (124.01,42--33) have established a
Goods Exchange Control bureau at bhantoupao, which is just inside Communist-
controlled territory eight miles north of Tiehling (123-.51,42.18), The
purpose of the bureau is to regulate the exchange of goods between merchants
in Nationalist controlled Tiehling and those in Communist-controlled Kaiyuan.
2. From 1 April to 1-July 1948 there was a brisk trade in this area. Merchants
from Tiehling brought cotton cloth, cotton thread, medicines, gold, silver,
tin,and lead to Shantoupao in exchange for opium.
One bolt of cotton cloth (approximately forty feet in length) was exchanged
for four ounces of opium and a pound of cotton thread for three ounces of
opium. The amount of opium exchanged for medicines depended upon the value
of the medicine; medicines used for injections were the most desired?
3, is of 1 July 1948 the Jhinese Communists suddenly prohibited the exchange of
goods at Shantoupao~ From then on merchants attempting to trade had to take
a circuitous route between the two towns to avoid having their goods confis-
cated by the Communists. -
4. Residents in Communist=occupied areas who wish to go to Nationalist territory
to engage in business and-trade have to consult the local Communist Production
Office. The merchant is given a pass if the head of the production office'
approves the trip and if the merchant can produce three guarantors willing to
accept punishment should the merchant fail to return or is found to have col-
laborated with the Nationalists. If the merchant makes 100 percent profit
on his venture he is rewarded by the production office; if he fails on the
first trip he may be given one more chance; if he makes three successful
trips he may be given the opportunity to manage a production office in
another town. Comment. It is assumed that the source of paragraph 4
refers to the Kaiyuan area when he states "Communist-occupied areas",)
WARNING N6J1I:f,,_T1J1S_JDISTRI13UTIO
ARMY
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Next Revi~wnnD~aOV 20 8
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Approved For Relel 16!w IpF?P&00457RK~8
INFORM ENTIALr
25X 1 A
Economic InformationCO ET . Trade N.O. OF PAGES 1
P\i
This document s hereby regraded to
ac:-Dadance with the -ij iettc: C, 1973 from the
Director of CcX ai in.e%gance to the
Arch;vist of the United States.
LISTING MUST hV
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CONFIDENTIAL Auth),
2001/03/22: CIA-RDP82-9p 5.