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as a perquisite of the Chinese Staff of vessels engaged in the coastal traffic. Since the substantial increase of the duties levied by the Chinese Government, this pidgin cargo had afforded a useful method of smuggling goods into China. The new Ordinance, which makes the carrying of such cargo or the attempt to cause it so to be carried illegal, not only strengthens the hands of the local Companies in dealing with the evil, but also evinces the determination of the Government of the Colony to co-operate, so far as lies reasonably within its power, with the Chinese Maritime Customs in preventing smuggling from the Colony into a neighbouring friendly country.

32. With reference to the new type of Chinese Spirit Shop licence which was introduced in 1931, the cheaper fee has proved beneficial to the Chinese Grocers in the poorer districts, and sixteen such licenses were issued in the year under review.

VII. TRADE STATISTICS

33. The Statistical Branch completed its second full year since its re-opening in the first half of 1930. The initial difficulties of organization and training of clerks having been overcome, the work of the office ran smoothly and was considerably lessened by a new system of loose-leaf entry which was inaugurated at the beginning of the year. In its earlier stages the Statistical Office had cause for complaint in regard to the lack of co-operation by importers and exporters, but during the year 1932 business houses cooperated more loyally and seemed to realize more fully the value of accurate trade statistics. This is reflected in the gradually decreasing number of queries which have to be sent out; the monthly average for 1932 was less than 1,500 compared with over 2,000 in 1931. There is still room for improvement however, and much time and trouble would be saved if importers and exporters would take steps to ensure that declaration forms are filled in more strictly in accordance with the Classification List. In this connection acknowledgement should be made, as last year, of the good offices of the Hong Kong General Chamber of Commerce and the Chinese Chamber of Commerce, who from time to time called the attention of their members to their obligations under the regulations of the Imports and Exports Ordinance.

34. There was an increased demand, both locally and from abroad, for the published reports, and, despite an additional requisition placed with the Government Printers, stocks were exhausted in several instances. It is regretted that the annual edition for 1931 is now out of print, and, in view of the continued demand for this volume, the Printers have been instructed to ensure that a sufficiently large number of copies of the 1932 edition is printed to meet the anticipated demand. As in 1931 summaries of the trade of the Colony were furnished to the local

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