Enclosure.
73
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NEW GOVERNMENT BUILDING, DES VŒUX ROAD,
HONGKONG, 8th January, 1917.
SIR, I am directed to acknowledge your letter of 20th November last covering copy of a despatch received from the Secretary of State for the Colonies regarding the C- mercial and Industrial Policy to be adopted throughout the Empire after the War, and asking for a statement of this Chamber's views thereon.
The subject is so wide and the interest of different parts of the Empire so varied that in this, their reply, my Committee can only venture to deal with the subject on broad lines and with the interests of this Colony principally in their minds.
In the first place it seems desirable to state that in giving consideration to any policy relating to the progress of Commerce and Industry after the War, due regardl must also be given to the maintenance as far as practicable of Trade and Industry already established in this Far Eastern field as the result of many years' effort: that is, as far as is compatible with the prosecution of the War, steps should not be taken to weaken the Empire's present hold on Eastern Commerce, Finance and Industry, and for this reason it is essential, in the interests of the Empire, to maintain to and from and in the East a due proportion of Shipping to maintain supplies between the differ-m points of the Empire and the East; also such supply of material as may be required i ̧e British industries; and to reserve on the spot the necessary number of men of experience in Eastern trade and peoples.
As you are aware there was a Conference under the auspices of the British Imperial Council of Commerce in London in June of last year, and at that Conference Mr. C'. H. Ross, a former Member of the Legislative Council of this Colony, represented the Hong- kong Chamber of Commerce. The leading subject of the Conference was Trak during and after the War, and in part reply to your enquiries I enclose copy of a letter ældressed to Mr. Ross outlining the views of the Chamber at that time.
I am directed to supplement this with the following points of importance to this Colony which have occurred to my Committee :-
Imports, Exports, and Industries.
Hongkong is essentially a great shipping port and Trade emporium and as such cannot be dissociated from the neighbouring state of China which indeed provides the most important commercial field for Hongkong enterprise. Whatever Imperial policy is adopted for the future, in the interest of Hongkong, provision must be made for its peculiar relationship with China, and no measures should be taken which would be likely to be detrimental to the further expansion of the import and export trade with China; any Tariff Regulation should provide for these circumstances. As a shipping port it is essential to foster and stimulate the important Ship and Engine repairing and Dry Docking facilities, also the Ship and Engine building establishments which at present exist. The shipbuilding plants which are actively employed in replacing depleted tonnage are now an important Imperial asset of recognised service to the Empire.
The considerable Sugar Refining industry should also be protected in any measures which may affect them as also such industries as the Cement and Rope works.
The export trade in Chinese produce is open to further development, which would be stimulated by the scientific absorption by Great Britain of produce previously largely exported to the Central Powers, where various products such as Essential Oils, Cantha- rides, Hides, Human Hair, Wood-oil, Cocoanut-oil, Peanut-oil, Star Aniseed, Gallnuts, Tobacco, Tea-oil, Patridge-canes, Ginger, Turmeric, Galangal, Nux Vonica, Kwongsi Cassia, Bristles, and Soy were subjected to scientific treatment and re-exported to the allied countries in manufactured form. This is a matter which will no doubt form a question for research and studied attention on the part of the technical bodies now being formed at Home for the purpose.