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INDUSTRY AND TRADE
paper novelties. Scarcity of water and lack of land suitable for industrial purposes hamper industrial development in the Colony. To offset the shortage of flat land, the Government is levelling hilly ground and using the spoil to reclaim land from the sea. The largest of these schemes is at Kwun Tong in Kowloon Bay. Sixty four factories have already been built on the first stage of the scheme and are now operating. A set programme for sales of sites in the second phase has already begun and will continue during the first half of 1961. When the whole scheme is completed the industrial town thus created will sustain nearly a quarter of a million people.
A second large scheme to provide land for light industry has been approved and preliminary work has started. This develop- ment will involve the filling in of Gin Drinker's Bay at Kwai Chung, next to the industrial area of Tsuen Wan in the New Territories. The scheme, which will take approximately five years to complete, will ultimately provide 217 acres of industrial land. A number of smaller schemes are being planned to provide land for general industrial use or for specific industries such as boat- building and repairing and ship-breaking.
The water conservancy schemes described in Chapter 1 are helping to alleviate the chronic shortage of water.
The Federation of Hong Kong Industries. A development of major importance during the year was the establishment by Ordinance of the Federation of Hong Kong Industries. Hitherto industry has in the main been represented by a number of associa- tions, each formed by individual manufacturers of a limited range of products. Sometimes there are two or more rival organizations within the same industry, and the membership of many has in practice been confined to factories whose management came originally from a particular area or province of China. The Federa- tion cuts across all racial and sectional interests, its members including all trades, many nationalities, and enterprises of all sizes. From the outset it has bent its efforts towards long-term planning for the benefit of industry as a whole, recognizing that the problems facing the Colony's industry are no longer purely of a domestic nature. Even before the Federation was incorporated, the chairman of the working party appointed to draft its constitution, Dr the Honourable Sir Sik-nin Chau, CBE, led a delegation from Hong
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