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CONFIDENTIAL
Legal Immigration
12.
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Present average of 150 legal immigrants per day is still very high it amounts to 1% increase in population per annum. Almost all come technically as visitors but stay permanently.
Governor has said this is problem which will have to be
tackled later but not until more important problem of illegal
movement is firmly under control. No need to raise with
Chinese on visit.
SMUGGLING BETWEEN CHINA AND HONG KONG
13. Chinese have become much concerned by increase in smuggling activities along South China coast. Endemic problem which diminishes when control in China is tight and grows
when, as at present, local discipline is slack.
14.
Chinese may mention this problem and blame Hong Kong for increase. True that some of Hong Kong fishing fleet involved in smuggling and that contraband comes from, or is landed in,
Hong Kong.
15. Governor discussed smuggling with Vice-Governor Zeng Dingshi of Guangdong when latter was in Hong Kong in January. They agreed it was a matter of mutual concern and that toleration of any illegal activity across frontier encouraged other illegal activities eg organised illegal immigration.
16. Smuggling involves export from China of silver coin and medicinal herbs. Smuggled into China are television sets, radios, watches and cloth. This trade is not illegal under Hong Kong law. Hong Kong has, however, been able to exercise some control by using other related laws, eg failure to obtain export or import licences. On 23 January Hong Kong Government announced tighter application of existing regulations, involving regular searches of boats.