# Chapter VI.
## NATURAL RESOURCES.
[Please see also Chapter VI. of the 1938 Report.]
### Fisheries.
The fisheries of Hong Kong, from the point of view of the general economy of the Colony and of the number of persons connected directly and indirectly with this form of production, are the most important of the local industries. There are three classes of fishery products available in the open market: fresh freshwater fish, fresh sea-fish and salted sea-fish including mollusca and crustacea. Almost all the freshwater fish is imported from Canton, Sheklong, Shekki, Kongmoon, Wuchow and Macao. A portion of the salted and canned goods is imported from Shantung, Shanghai, Europe, America and Japan, and from Annam and other East Indian countries. The remainder, both fresh and salted, is the product of the local fisheries.
It is estimated that, during 1939, there were 2,722 large and small Chinese fishing junks either indigenous, or regular visitors, to Hong Kong. These fishing fleets are manned by at least 40,000 able-bodied men and women, and carry with them some 25,000 others who have no homes other than the fishing junks. In normal times the fleets make voyages of two to four weeks' duration as far as Swatow and Kwonghoi (Toishan), but since the outbreak of the Sino-Japanese hostilities they have been compelled to limit their activities to areas within and adjacent to the territorial waters.
During 1939 approximately 230,000 piculs of fresh sea-fish, valued at $3,450,000, and 220,000 piculs of salted sea-fish, valued at $3,700,000, were landed. This represents a total quantity of 450,000 piculs, or 26,787 tons, of a wholesale price value of $7,150,000, and a retail price value of more than $10,000,000.
It is estimated that over $15,030,000 capital is invested in junks, gear and general equipment.
Approximately 150,000 piculs of fresh freshwater fish, valued at $3,000,000, are imported annually.
Only a small fraction (usually about 80 piculs per day) of the fresh sea-fish is exported to Canton and the surrounding district. In 1939, owing to the increased demand for food-stuff in Hong Kong, the export of fresh sea-fish was reduced to a minimum. Usually, of the salted sea-fish produced in the Colony, 30% is consumed locally and 70% is exported to the interior of China through Canton, Macao, Shekki, Kongmoon, Wuchow and occasionally through Shanghai but now a large percentage is consumed in the Colony. The total amount of foreign produced salted fish imported into the Colony and then re-exported into China is valued at approximately $3,300,000.
The organization of production is on a loose co-operative basis of traditional growth. The fishermen, brokers, fish stores, lans or wholesale dealers, retail dealers and fish stalls are grouped into separate associations, not unlike mediaeval guilds. From fishermen the fish passes to the big lans or wholesale dealers either directly or via the fish driers or fish stores. From the big lans it passes to the retail dealers, the travelling salesmen or the stall keepers, and so to the consumer. The hubs of the whole system are the groups of the twelve big salt sea fish lans, the fourteen fresh sea fish lans and the eleven freshwater fish lans. Their business is carried out entirely on a commission basis and between one quarter and one third of their total capital is advanced to the fishermen free of interest.