could be nullified only by the use of the crown prerogative of disallowance. The Colonial Office was most reluctant to exercise this power except in extreme circumstances since it might cause the governor public embarrassment. There are only three cases to be found in the files before 1933 where the Colonial Office was consulted about a project and imposed its veto.
The progress of industrialisation in Hong Kong was completely different from all other British colonies where factories could be established only with the aid of protective tariffs and other government assistance and manufactured goods were sold only in the local market. Hong Kong island was originally occupied because it had the best deep-sea harbour between Shanghai and Indo-China. It served as a base for the British navy and a place where merchants could store their goods and transfer them from ocean-going vessels to smaller ships to trade at ports along the China coast and inland waterways. About 80 per cent of the goods passing through the harbour consisted of re-exports destined for South China from overseas or from North China, or exports from China being transhipped in Hong Kong. Since the principal reason for Hong Kong's existence was to be an entrepôt for trade with China, it has always been a free port with no customs duties on imports or exports. Industries were established early in the colony's history to provide for the needs of the port and to process primary products for local consumption and export to China. Shipbuilding and ship-repairing yards were established soon after Hong Kong island was occupied in 1841, followed by a rope-making factory in 1851, a flour mill in 1859, a sugar refinery in 1870, a distillery in 1871, tobacco and cigarettes in 1880, a cement factory in 1897, and a cotton spinning and weaving company in 1899.
In 1911 the Hong Kong General Chamber of Commerce carried out a survey of all European, American, and British Indian firms in the colony engaged in import, export, and manufacturing. The survey listed 38 trading companies which had also set up factories. The 1931 census found that about a quarter of the working population (112,133 out of 470,794) were employed in manufacturing industries. The 1930 Blue Book listed 3,164 factories and workshops under 102 categories ranging from 124 boat builders to 116 tin beaters and 14 weaving factories. Most of these establishments were very small, situated in the back streets and tenements of the urban area. In 1932 only 586 were registered under the new Factories and Workshops Ordinance, which regulated firms that employed at least 20 persons. It is difficult to quantify the size of the manufacturing sector in the absence of detailed statistics of local consumption, but it appears that domestic exports of manufactured goods in 1932 totalled at least HK$36 million (about £2,500,000).1 The main items exported were cement, refined sugar, preserved ginger, lard, knitted singlets and hosiery, and electric torches.
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could be nullified only by the use of the crown prerogative of disallowance, The Colonial Office was most reluctant to exercise this power except in extreme circumstances since it might cause the governor public embarrassment. There are only three cases to be found in the files before 1933 where the Colonial Office was consulted about a project and imposed its veto."
The progress of industrialisation in Hong Kong was completely different from all other British colonies where factories could be established only with the aid of protective tariffs and other government assistance and manufactured goods were sold only in the local market. Hong Kong island was originally occupied because it had the best deep-sea harbour between Shanghai and Indo-China. It served as a base for the British navy and a place where merchants could store their goods and transfer them from ocean-going vessels to smaller ships to trade at ports along the China coast and inland waterways. About 80 per cent of the goods passing through the harbour consisted of re-exports destined for South China from overseas or from North China, or exports from China being transhipped in Hong Kong. Since the principal reason for Hong Kong's existence was to be an entrepôt for trade with China it has always been a free port with no customs duties on imports or exports. Industries were established early in the colony's history to provide for the needs of the port and to process primary products for local consumption and export to China. Shipbuilding and ship repairing yards were established soon after Hong Kong island was occupied in 1841, followed by a rope-making factory in 1851, a flour mill in 1859, a sugar refinery in 1870, a distillery in 1871, tobacco and cigarettes in 1880, a cement factory in 1897, and a cotton spinning and weaving company in 1899." In 1911 the Hong Kong General Chamber of Commerce carried out a survey of all European, American and British Indian firms in the colony engaged in import, export and manufacturing. The survey listed 38 trading companies which had also set up factories." The 1931 census found that about a quarter of the working population (112,133 out of 470,794) were employed in manufacturing industries. The 1930 Blue Book listed 3,164 factories and workshops under 102 categories ranging from 124 boat builders to 116 tin beaters and 14 weaving factories. Most of these establishments were very small, situated in the back streets and tenements of the urban area. In 1932 only 586 were registered under the new Factories and Workshops Ordinance which regulated firms which employed at least 20 persons." It is difficult to quantify the size of the manufacturing sector in the absence of detailed statistics of local consumption but it appears that domestic exports of manufactured goods in 1932 totalled at least HK$36 million (about £2,500,000).1 The main items exported were cement, refined sugar, preserved ginger, lard, knitted singlets and hosiery, electric torches
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