0003160 G.F. 316

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Poultry.

26,

Some 2, 882,000 lbs. of live chickens are imported from China ach month plus some 3,465,000 lbs. of other poultry. Local production of chickens is about 1,500,000 lbs a month and in addition there is a monthly production of 400, 000 lbs. of duck and 42, 000 lbs. of goose. These are average figures for the year but peak production is seasonal and co-incides with festivals such as Chinese New Year January/February, Dragon Boat Festival June, and Mid-Autumn Festival August/September. There is

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at present no adequate alternative source of live chickens as the numbers involved are very large but there is a possibility that other sources in South-east Asia and Formosa could be developed. Formosa would be the most likely source because of its proximity to Hong Kong. China also supplies large quantities of frozen poultry as does the U, S, A, It should be possible to increase imports of frozen poultry from the U. S. A. and to explore other sources of supply such as Denmark and West Germany.

Sugar.

27.

About 86% of the sugar imported comes from China. Although much of this is described as refined the local sugar refinery carries out a good deal of additional refinement on this sugar. The capacity of the local refinery is some 1,000 tons of raw sugar a month and slightly more semi- refined sugar or some two fifths of the local consumption of 5, 300 tons a month.

At present the refinery is running well below capacity. It holds a stock of some 12,300 tons of sugar of which some 3,000 is refined.

Milk,

28.

The average monthly consumption of all types of imported milk is 533 tons of which only a small proportion comes from China.

The average commercial stock held in godowns is just under 2,000 tons.

This appears to be an adequate cushion and alternative sources for the amount imported from China should be easy to find. Production of fresh milk in Hong Kong is just over an average of 1,000,000 lbs. per month but this is seasonal. with peak production in early summer. All fresh milk produced locally is con- sumed as liquid milk and is considered as a luxury food.

Flour.

29.

Less than 1% of the wheat flour and none of the wheat grain imported comes from China, Normally stocks in Hong Kong would last for three months. At present flour is not an important item of local diet but it would assume greater importance in prepared forms, e. g. noodles and bread, if supplies of rice were restricted. Four local flour mills have an annual production potential of 195,000 metric tons or 150% in excess of Hong Kong's present annual consumption of 78,500 metric tons.

CONCLUSIONS.

30.

China has always had by reason of its size, geographical position, and kinship with the population a dominant position in the supply of food to Hong Kong. Recently by dint of vigorous and unified sales methods it has gained a stronger control over such supplies. The only important exception to this generalisation is in the supply of rice which has been directly controlled by Government, Had the supply of rice not been con- trolled this too would have been largely supplied by China.

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