HONG KONG ANNUAL REPORT, 1952

land. Another and very serious difficulty was the failure to define the nature of the relations between the Colony and China. Since trade with China continued at Canton just as in the old days, and now began at four additional open ports, it is difficult to see how the hopes that Hong Kong would become a great emporium of trade could be realized. These hopes were based on the declaration of the freedom of the port and the belief that it would become the centre of the coastal junk trade. This was precisely what the Chinese were deter- mined to prevent, and there can be little doubt that as the treaties were worded, they were quite justified. A sort of economic blockade was therefore instituted and remained a constant hindrance to the local junk trade until an agreement was reached, in 1886, with the Imperial Maritime Customs.

Another great difficulty was the attempt on the part of the early governors to make the infant Colony self- supporting, except for defence. Taxation aroused, perhaps not unnaturally, opposition and complaint, and a demand for a measure of self-government. A parlia- mentary committee in England debated the Colony, and recommended, amongst other things, a measure of municipal self-government. But the proposal came to nothing because the merchant community objected to the payment of municipal rates, which Bonham insisted was the necessary corollary of municipal self-govern- ment. It is impossible to give an exhaustive account of all these early difficulties, but another must be mentioned. It was difficult to find the right men to fill the government posts, and there was much inefficiency because competent men left the government service for more lucrative careers outside. To this was added personal animosities, even to the extent of libel actions, so that "The Times" wrote of the Colony, on March

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