CO129-554-5 Commission of Enquiry into the Hong Kong trade depression- correspondence and report 27-3-1935 - 11-8-1935 — Page 35

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materials from the United Kingdom, which is a form of preference. It should also be noted that the public utility companies in the Colony make a practice of buying their goods from the United Kingdom.

22. We finally come to the position that in order to invite the Empire to give Hong Kong further preferences, it would seem that Hong Kong must be pre- pared to give the Empire some advantages and it is difficult to see how this can be done in a manner sufficiently attractive to the Empire unless Hong Kong abandons the Free Trade policy. The maintenance of the entrepot trade of the Colony which is of great value to the Empire, depends in our opinion, on the continuance of the Free Trade policy. For this reason we would reiterate our plea for special consideration from those parts of the Empire which, while gaining this benefit are apt to adopt the policy of keeping out Hong Kong products.

Chapter VII.

INDUSTRY.

1. According to a report by an Economic Resources Committee which sat in Hong Kong in 1920, the amount of capital invested in what was termed European industry, i.e., companies owned and managed by Europeans, was estimated at fifty million dollars. This class of industry is mainly concerned with Public Utilities and Docks though it also includes Cement, Sugar and Rope factories. There is little rea- son to believe that there has been any increase in this class of industry.

2. The 1920 Committee estimated that 17 million dollars were invested in Chinese owned and managed industries.

The estimate in 1920 was as follows:-

Rattan Furniture

Biscuits

Cigars

Tobacco

Preserved Ginger Soap works

Vermillion

Lard and Fat

Industries in the New Territories.

78,300

843,200

25,500

15,124,600

570,000

290,200

185,000

88,100

17,204,900

284,015

17,488,915

3. Since then there has been considerable development as will be seen from the following recently computed estimate of Chinese owned and managed industry:-

Industrial Survey of the Colony of Hong Kong including Kowloon and the New Territories.

Class.

Aerated Waters

Baking and Confectionery

Cork and Cork Hats

Bricks, Cement and Tiles

Total Capital.

$ 1,730,000 2,386,900

11,000

757,000

Carried forward ....$ 4,884,900

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