The purpose of this paper is to examine the area development process on the Zhuoshui river basin in Taiwan between the 1900s and 1910s using the change-over of restricted zone for raw material collection.
Initially, some small improved traditional sugar manufacturing plants were established by Taiwanese capitalists. For each, they also acquired small restricted zones for raw material collection and constructed a push-car railway network.
Next, some new larger sugar mills were constructed by Japanese capitalists. For each, they also acquired larger restricted zones for raw material collection and constructed a narrow-gauge railway network.