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have very considerable doubt that it could ever be developed
as a deep sea port.
5.
Recently a road has been built from Macao to sherki,
tapping the very fertile and prosperous delta area. Direct
communication with Canton by road or rail is not considered
feasible but it could easily be made by road and water.
development from Canton towards the delta area is proceeding
Road
apace.
6.
There i a considerable reclaimed area in Macao
adjoining the new port which is judged to be about
1,000,000 square yards in area.
This has not yet been built
on and is, therefore, available for industrial activities.
Reclamation work is also proceeding elsewhere. It may readily
be seen that if the scheme is proceeded with Hongkong would
suffer in ratio to the extent to which the present coastal
traffic is diverted to Macao.
7.
It must also be borne in mind that there is very
suitable space for laŭd aerodromes and landing space for
sea-borne aircraft. It appears that, although the
development of Macao in the above indicated directions
might be a commercially sound proposition for Japan as she
would presumably supply a considerable quantity of merchandise
to South China through the port of Macao, it is unlikely
that the facilities would be any greater than those which
can at present be obtained without the incurring of any
further expense by the present ordinary commercial use of
Hongkong. Hongkong is a free port and the Japanese can use
it on equal terms with any other nation whereas to make
Macao available considerable expense must be incurred.
The object might, of course, be to divert traffic from Hong
Kong and the fulfilment of the scheme would, I think, affect
the small ship and junk trade of Hongkong to a fair extent
but