support was secured by bribery. The state and the wholesalers alike were
keenly interested in the prevention of tea smuggling, which was strictly
prohibited.

The position was much the same with regard to salt. We have here for the
first time the association of officials with wholesalers or even with a
monopoly trade. This was of the utmost importance in all later times.
Monopoly progressed most rapidly in Szechwan, where there had always
been a numerous commercial community. In the period of political
fragmentation Szechwan, as the principal tea-producing region and at the
same time an important producer of salt, was much better off than any
other part of China. Salt in Szechwan was largely produced by,
technically, very interesting salt wells which existed there since _c._
the first century B.C. The importance of salt will be understood if we
remember that a grown-up person in China uses an average of twelve
pounds of salt per year. The salt tax was the top budget item around
A.D. 900.

South-eastern China was also the chief centre of porcelain production,
although china clay is found also in North China. The use of porcelain
spread more and more widely. The first translucent porcelain made its
appearance, and porcelain became an important article of commerce both
within the country and for export. Already the Muslim rulers of Baghdad
around 800 used imported Chinese porcelain, and by the end of the
fourteenth century porcelain was known in Eastern Africa. Exports to
South-East Asia and Indonesia, and also to Japan gained more and more
importance in later centuries. Manufacture of high quality porcelain
calls for considerable amounts of capital investment and working
capital; small manufacturers produce too many second-rate pieces; thus
we have here the first beginnings of an industry that developed