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3
J
substantial potential worth left to tackle, and perhaps,
the only one the achievement of which would be really
worth while.
If we face the facts squarely it seems
clear that the maximum Hongkong could gain by giving
Empire preference on goods for consumption in Hongkong
in exchange for preference on Hongkong's products is
small compared with its entrepot trading position in
South China. This latter position is also the most
useful to the rest of the Empire.
It may be argued that, even if Hongkong
cannot obtain preferences from the United Kingdom and
Dominions and that present preferences may be
whittled down, it should be afforded preferences
by the rest of the Colonial Empire particularly those
having a somewhat similar standard of living and wages.
There is perhaps more reason in this than that Hongkong
should be afforded Empire wide preferences, but one
must remember the basic idea of supply by the United
Kingdom to the Colonies of manufactured goods in exchange
for raw materials. It is hardly likely therefore that
Hongkong can expect to get more favourable treatment than
hitherto and it might get less.
4.9
With regard to the portion of the report suggesting
a deliberate policy towards assimilating within reasonable
limits conditions of employment in the Colonies to those in
the United Kingdom, here again it must be remembered that
Hongkong is different from other Colonies and that to divorce
its conditions to a very great extent from those obtaining
in the adjacent Chinese territories will call for increases
in the administrative staffs and will create all kinds of
extra costs which will place Hongkong in an even less
favourable commercial position than she is at present vis a vis