(83)
Serving as it does as an entrepot for the distribution of Far Eastern, and in particular Chinese trade, it will be readily understood that the Colony is peculiarly sensitive to any reactions in Ciuna, with which country it is closely allied both geographically and commercially, and it follows, therefore, that a return to anything approaching normal conditions is practicaily entirely dependent on a vastly improved state of affairs in China.
As stated above, the sterling value of Hong Kong currency appreciated rapidly in sympathy with the decline in the value of the sterling, but this rapid appreciation caused considerable confusion in the market, and the full benefit to exporters in Great Britain was not reflected in Ilong Kong trade figures.
Taken in conjunction with the Chinese boycott of Japanese goods, however, there was a distinct revival in the import trade from Great Britain in the piece goods group. In the last quarter of the year imports of piece goods from Great Britain accounted for 30.4% of the total as compared with 18.9% in the corresponding quarter of 1930, while the Japanese slate of this trade amounted to only 7.6% as compared with 1.6%.
The seriousness of the effect of the boycott can be seen from the fact that during the last quarter of 1931, the total imports from Japan were valued at only $8,018,000 (£515,000), as compared with $22,450,000 (£1,388,000) in the last quarter of 1930, the chief recessions being in the piece goods group which fell from $10.2 millions to $2.6 millions, and the food- stuffs group (chieily marine prodnets) which declined from $4.4 millions to $.9 milion.
During the year exchange fluctuated from an average of 11. in January to 1s. 51, in December, and with a view to the better illustration of the trend of the trade of the Colony the following tables have been prepared in terins both of sterling and local currency:—
Imports (in 's & $'s millions).
1923.
1924.
1925.
1930.
1931.
1st Quarter
£ 14.7
19.3
16.3
*
9.0
$130.7
165.4
139.7
186.9
2nd Quarter
£ 15.2
17.1
14.5
9.2
8.7
$131.5
144.0
128.9
131.3
180.1
3rd Quarter
£14.3
19.2
10.1
9.0
$127.1
161.7
156.8
182.3
4th Quarter
£ 17.$
16.5
*
10.3
11.8
$155.3
136.6
*
167.4
185.4
Total
£ 62.0
72.1
30.8
29.6
58.5
$544.6
607.7
268.6
455.5
737.7
Exports (in £'s & $'s millions).
1923.
1924.
1925.
1930.
1931.
1st Quarter
£13.9
18.3
15.2
#
$123.5
156.8
130.3
6.8 140.1
2nd Quarter
£ 16.3
15.2
14.1
$140.9
128.0
125.3
7.4 105.9
6.44
132.5
3rd Quarter
£40
14.6
$124.4
122.9
7.3 113.7
6.5
130.6
4th Quarter
£17.2
16.5
8.5
0.2
$150.1
128.3
137.2
135.7
Total
£ 61.4
63,0
$533.9
536.0
20.3 206.6
23.2
23.9
350.5
511.9
"No statistics available from July 1925 to March 1930,
421