December 20, 1909.]

HONGKONG IN 1908.

THE GOVERNOR'S REPORT.

The Report of H.E. the Governor on Hong kong for the year 1908 was presented to Parlia ment in October. Most of the information it contains had already been published, but the following excerpts will be found interesting

ENGINEERING AND SHIPBUILDING. This section of the Colony's industry was carried on under adverse circumstances. The great trade depression from which the local shipping suffered severely made its influence felt in this industry, and the amount of new construction turned out by the local companies was not very encouraging.

In regard to war vessels, the active operation of the floating docks at Tsingtan and st Olongapo in the Philippine Islands, installed by the German and United States Governments, respectively, was responsible for the continuance of a very large falling off in the docking and repairing of foreign war vessels, the tonnages dealt with by the Hongkong and Whampoa Dock for 1906, 1907, and 1908 being 64,318, 3,692, and 3,652, respectively, with apparently no prospect of future improvement. The tonnage of British war vessels docked was on a level with those prevailing during the year immediately preceding,

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Work in the nature of large repairs to steamers was scarce during the earlier half of the year.

The typhoon in July, however. contributed to a large extent towards the im- provement experienced in this direction during the latter half.

LAND GRANTS AND GENERAL VALUE OF LAND. The considerable decrease in revenue from sales of Crown land may be partly attributed to the fact that in the City of Victoria there is little available building land left, and partly to the fact that at the present time there is no great demand for new houses in the city and în Old Kowloon, a considerable number of Chinese shops and dwelling-houses being now unlet. The general depression in the land market, which commenced a few years ago, still con- tinues, and capitalists who invested in land and buildings at the high prices ruling some ten years ago have suffered very considerable losses; in many cases properties have been sold by mortgagees at far less than the amount of their securities, while many other mortgagees are holding on, awaiting a more favourable oppor- tunity for realising their securities. There is, however, a very fair demand in the city for property at reduced prices. There appears to be no lack of money in the Colony, and a considerable number of transactions in land have taken place during the past year.

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CHINA OVERLAND TRADE REPORT. £60,501 1s. 44. and £1,190 1s. respectively. taels. Even in 1831 a ship of 420 tons paid 2,600 Up to the close of the year the negotiations taels in dues, and in 1840 a nine hundred ton with the Chinese Government had not produced vessel paid the enormous charge of 6,000 taels. any satisfactory result. The average annual What were the exactions on trade ashore loss to revenue from this source as calculated could hardly be estimated, for the records had for the last three years has been $184,204, been burned, but it was clear from general including the loss by demonetization of an- observations that were available that the issued stocks. The average loss on the same Chinese monopolists had their own way and the period, which would have been incurred by pay-Europeans worked under a veritable load of ment of discount instead of demonetization, was $26,777.

CANTON FACTORY DAYS.

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London, November 17th. The China Society opened its winter session at the Caxton Hall on Thursday evening with lecture by Mr. H. B. Morse on Canton Factory Days." There was a good assembly of members, to whom the ever-genial secretary, Mr. Byron Brenan, announced a regular fort- nightly series of lectures for the next six months, in addition to a dinner and a conversa- zione.

Mr. F. S. A. Bourne, Assistant Judge of Shanghai, was in the chair, and he briefly in- troduced the lecturer as one who was well fitted by learning, sympathy and insight to address them on the subject he had selected.

Mr. Morse described the opening of commer- oial relations between Europeans and Orientals at Macao and Canton. First came the Por- tuguese in 1517, then the Spaniards settled at Manila. Keeping close guard over the sequence of his historical narrative, he recalled how the Dutch attacked Macao in 1622 and how the British came also into competition with the Portuguese in the East in 1635. By the end of the seventeenth century foreign trade in China had gravitated to Canton and in 1715 the East India Company decided to enter into the China trade on a definite basis. They had their difficulties, however, for the exactions of the Chinese on the entrance of ships to their ports became so exorbitant that a guild called the Co-Hong was formed to put prices and trans- actions on a better footing. No good results, however, followed, and the exactions increased until foreign merchants threatened to go else where, whereupon in 1757 China replied to the protests by declaring that Canton should be the only port at which foreigners could trade. It was not till 1780 that the Merchant Guild of Canton was firmly established, when owing to the number of disputes that arose, the Co-Hong was again called into being to govern foreign trade. On many occasions there was friction be- cause the Chinese officials refused the demand of Europeans to present petitions in person. The lecturer had had many years' experience with Chinese officials, and he had been struck by their diplomatic ability and especially by their foresight. One of their favourite means of maintaining order and keeping foreigners under due subjection was to refuse to have direct communication with them. All communications had to go through the Hong merchants. Thus they saw these Chinese statesmen, never having heard of Suffragettes-(laughter)-foreseeing Three areas of over 40 acres of land at Tai O that if they once gave way on the subject of in the Island of Lan Tao for use as salt pans receiving petitions from the petitioners' own were put up for auction on an 18 years' lease at hands they would constantly be having these the upset rental of $15 per acre per annum, and foreign merchants coming to their doorsteps to after considerable competition one lot of over 21 worry them. By 1832 the factory system had acres realised as much as $170 per acre per started in Canton, and the lecturer gave in detail annum, which shows that salt pans in a good how the Chinese confined the foreigners to their locality are apparently very remunerative under-factory compounds. They were not to ride in takings. During the year a second area of one square mile in the New Territories was leased to Sir Paul Chater for 75 years for mining

There have been a large number of small lots of Crown land for native dwellings and industries in the New Territories, and the demand for these is likely to further increase, as the native population now realise the reason- able terms upon which Crown land can be obtained and the security of tenure afforded by holding under a long lease direct from the Crown.

purposes.

THE SUBSIDIARY COINAGE QUESTION. Thoughout the year negotiations were in progress between this Government and the Chinese authorities, both at Canton and at Peking, on the subject of the loss and incon- venience caused by the depreciation of the Colony's subsidiary currency owing to the over-issue of small coins by the Mint in Canton, which circulate freely in the Colony at a heavy discount and cause the legal (subsidiary) cur- rency to fall to a nearly corresponding discount. This Government adopted the expedient of withdrawing from circulation $780,000 of sub. sidiary silver coin and $30,000 of bronze coin. These coins were shipped to London, where they were melted down and sold as bullion for

sedan chairs, but must walk: a visit to the flower gardens on the other side of the river was only permitted on three days a week, and then only In small parties conducted by a guide, who was responsible for their good behaviour. In addi- tion to these restrictions they were not allowed to go into the city proper, though they could go as far as a gateway in the wall. Not only had the merchants to put up with these social restrictions, but trade was restricted in many ways. The prices for tea and silk were fixed by the Chinese, as were also the imports, and the East India Company delared they lost a million and a half sterling in a comparatively few years through these impositions. It was really a case of the Chinese fixing their own terms and the foreigner having to accept them. For instance, in 1815 one ship of about five hundred tous burden had to pay 3,278 taels, and another ship of a similar sort was mulcted in charges of 3,315

restrictions. The European traders knew they were being robbed often in an arbitrary and unauthorised manner, but they could get no redress. Yet in spite of it all they prospered- a specie basis for the business transactions was gradually introduced and a flow of silver went outwards in growing volume. In the year 1834 the monopoly of the East India Company came to an end, and with its abolition came the last of the “factory days in Canton.” A hearty vote of thanks to the lecturer concluded the meeting.

SERIOUS;FIRE ON “PRINZ LUDWIG.”

A fire which caused considerable damage and no little inconvenience occurred on board the Norddeutscher Lloyd mail steamer Prinz Lud- wig on Dec, 14. The outbreak was not discovered until the steamer, which came from the North, was approaching the wharf at 7.30 a.m. Smoke was then seen issuing from the fore part of the hold and the signals for assistance were at once made. They were promptly responded to by the Government fire float coming alongside in a few minutes, followed a little later by the naval fireboat Cherub. Shortly after eight o'clock the Fire Brigade arrived under Mr. P. P. J. Wodehouse, assistant deputy superintendent of police.

flood

Both the fire float and the Cherub commenced operations by pumping water into the No. 3 hold, which was filled with Japanese silk and a large quantity of Japanese curios. The material was, of course, very inflammable and the con- flagration would have reached serious dimensions had it not been for the prompt efforts made to cope with the fire. After water had been pumped into the hold for about three hours it was decided to suspend these operations, and the ship's smoke helmets were then brought into use. Two of the crew donned these and went down into the hold, but they could nothing. The firemen themselves were handicapped through not being equipped with such helmets, and owing to the dense smoke they had to restrict their operations to the deck, whence it was difficult to play on the flames. As the Prinz Ludwig had a decided list to port it was deemed inadvisable to the hold, as fears were entertained that she might capsize. Her pumps were unable to take out the water as it was pumped in and the flooding of the hold had to be abandoned and other means of fighting the flames tried. From the deck it was difficult to get the hose to play on the flames, but finally bose were placed in position underneath by members of the crew descending and when they emerged the water was turned on. Success attended this and by one o'clock or shortly afterwards it was reported that no more flames were seen. How- ever, the material continued to smoulder and dense smoke issued for two or three hours after- wards. By two o'clock the steamer had recover- ed her balance and proceeded from the vicinity of the wharf to nearer Stonecutters, where a sandy spit afforded greater security for handling the ship in its awkward plight. Arrived here, the hold was flooded and as the water was pumped in it was taken out almost immediately by the appliances alongside brought from Kowloon Dock. The result was that about four o'clock the fire was completely extinguished and the firemen were able to leave the steamer..

The damage done must be very extensive. Practically the whole of the contents of No. 3 hold is destroyed, but the cargo in other holds must have suffered from the smoke and the water.

The steamer's departure will be materially delayed. Not only will the cargo itself have to be removed but the ship will have to be surveyed before she can leave port so that her stay here is likely to be extended several days.

A census of the population of Macao and its dependencies will be taken at midnight on February 9th. The last census was taken in 1896.

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