HONG KONG ANNUAL REPORT, 1952

Of these 80 were from manufacturers on Hong Kong Island and 204 were from Kowloon and the New Territories. Three hundred and fifteen registration certificates were issued and 24 applications were refused. Forty six registered factories ceased operating and surrendered their certificates for cancellation; 46 illegal factories, found operating in unsuitable premises, were closed down. The number of applications for registra- tion was the lowest since 1946.

At the end of 1952 there were 1,504 registered factories and workshops and 347 applications under consideration as against 1,344 and 402 at the end of 1951. In addition, there has been an increase in the number of recorded establishments, i.e. cottage indus- tries or "small" manufacturers employing up to 18 manual workers, which the department keeps under observation to ensure that health and safety provisions are maintained at a reasonable standard. Many of these concerns are operated by refugees in or adjacent to squatter areas and are tolerated, if reasonably safe and healthy, for humanitarian reasons.

Despite an increase in the number of registered factories there was a fall in production during the year. Many factories, some newly established, were closed down for as long as 6 months or worked for only a few weeks at a time. The lifting of the restriction on the shipment of American raw cotton to Hong Kong early in the year gave the textile industry temporary relief but this was soon offset by the imposition of restrictions in Australia, which forced many weaving sheds to close down. Keen Japanese competition in the textile, needle and enamelware industries and poor markets in India and Africa have caused considerable unemploy- ment in Hong Kong.

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