From Ming dynasty, Guangdong Province has suffered from food shortage and in the end of 19th century the source of their supply changed from domestic nee to imported rice, mostly from South-East Asia. However, the high tide of nationalism in 1930s dro...
From Ming dynasty, Guangdong Province has suffered from food shortage and in the end of 19th century the source of their supply changed from domestic nee to imported rice, mostly from South-East Asia. However, the high tide of nationalism in 1930s drove domestic production protectionism which caused a demand to impose a heavy tax on imported rice and to protect national rice to lead to self-sufficiency in the food supply. The group that led this movement was the merchant class and local governments of Shanghai and five rice-producing provinces along the Yangzi river. They can be called the national rice-supporting group(國米專用派) because they were the supporters of the national rice(國米 guomi, domestic rice). They insisted all the rice demanded by the Guangdong grain market must be supplied by rice produced in Yangzi area, against so-called foreign rice(洋米yangmi, imported rice).
Finally, the Nanjing government imposed an import tax on rice from 1933. But, the Guangong provincial government which enjoyed an independent status from Nanjing government under the rule of Chen Ji-tang from 1928 rejected this decision and created a special tax(專稅Zhuanshui, the provincial import tariff) on imported rice to substitute for the import tax on rice of Nanjing government in order to secure provincial revenue. Even if main target of taxation was the imported rice into Guangdong province which amount to over half of all the nee imported into China, The Guangdong province acquired the tacit approval of the Nanjing government to keep a peaceful political relationship and to publicly express their support for self-sufficiency to gain legitimacy in public opinion.
However, the Guangdong provicial government pursued a self-sustaining system at home and propeled rice crop improvement for the future to escape from reliance on extra-provincial supplies. That idea is different from that of the national rice supporting group which intended to substitute rice of Yangzi area for imported rice in the Guangdong rice market.
In spite of the effort to increase rice production in Guangdong, a dumping strategy by South-East Asian countries made the imported rice highly competitive in price which meant Guangdong's food structure did not change even after taxation of 1933. The turning point to increase national rice's share in the Guangdong market did not come until Liangguang-Shibian(兩廣事變) in 1936.
After 1936, a serious food crisis accompanied by a great rise in rice prices drove the merchant class and provincail government of Guangdong to petition the Nanjing government for an exemption from the rice tax. At first, to stabilize rice price, Nanjing government backed national rice-supporting group to ship rice from Hunan province to Guangdong on a large scale by fully opening the Yuehan railway(?漢鐵道). But the poor quality of nee and speculative trade practice that followed disappointed the people of Guangdong province and led to justify support for imported rice and the advocacy of an exemtion. The greatest supporters of imported rice were consumers(=oridinary people) of Guangdong including the mercant class and the provincial government. They insisted that imported rice from South-East Asia was produced and shipped by oversea Chinese, mostly Cantonese, and should be treated not as imported rice but as a kind of national rice. In order to refute the nationlistic criticism, the argument reinterpreted the nationalistic rhetoric against imported rice, which is modern concept as a way to draw the border line by tariff, using the traditional racial concept of nation, we Chinese. In contrast to that, national rice-supporting group claimed exemption was just self-seeking regionalism. They excluded South-East Asian rice from the category of national rice.
In 1937, the Nanjing government decided to partly exempt the import tax on rice to relieve food shortage in Guangdong. That change of policy was due to Xian-shibian(西安事變) which heightened abruptly