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raw material could be procured locally at permanent prices or at least at prices which could be approximately foretold, the industry would undoubtedly receive a much-needed impetus.

In other respects the outlook for industrial enterprise in Hongkong continues on the whole to be promising.

(c.) FISHERIES.

A considerable proportion of the boat-population of Hongkong supports itself by deep-sea fishing, in which pursuit a large number of junks are engaged. The villages of Aberdeen, Stanley, Shaukiwan and many others in the New Territory are largely dependent upon this industry for their prosperity. Fresh-water fish is largely imported from Canton and the West River."

(d.) FORESTRY, BOTANICAL SCIENCE AND AGRICULTURE.

Afforestation of the island and the New Territory has proceeded normally, the year being a favourable one as regards absence of typhoous and diminution of fires and forestry offences. The Colonial Herbarium was enriched during the year by several small but interesting collections from different parts of China, and was visited by botanists from Europe, America and Japan. The efforts of the Govern- ment to improve the eultivation of sugar-cane in the New Territory have been continued by the distribution of better varieties of cane among the farmers. The kinds introduced have grown well at the experimental estate at Castle Peak, and give a better percentage of sugar than any hitherto cultivated in this part of China.

The hilly character of the island and its comparative absence of fertilising soil have prevented agriculture from becoming an active source of industry in Hong- kong. The area of cultivated land in the island is only a little over 400 acres. The old dependency of British Kowloon, which is chiefly composed of level ground, contains almost the same amount of cultivated land. This, however, tends to diminish as buildings extend. The only part of the Colony where agricultural industries can be expected to thrive is the New Territory, including the large islands of Lantao and Lamma. Valleys intersected by extensive ranges of barren hills are utilised to the utmost extent by rice-plantations and other crops. The area of cultivated land in the New Territory (including the islands) may be roughly estimated at 90,000 acres, but much of this contains exceedingly poor soil and consists of minute holdings belonging to the poorest class of peasants.

(e.) LAND GRANTS AND GENERAL VALUE OF LAND.

Sales of Crown land amounted to over $510,000, which was considerably over the average amount received from such sales, though $60,000 less than the receipts for the previous year.

The survey of the New Territories has been completed and valuable maps of each sub-district are now in the possession of the Government.

Building land in the urban portion of the Colony and in the Peak district is limited in extent and steadily increasing in value. The natural consequence is that house-rents, especially on the higher levels, have advanced to an extent probably unknown in other British Colonies.

III

LEGISLATION.

The

un-

Twenty-four Ordinances were passed by the Legislature during 1903, of which ten were measures for the amendment or repeal of previous enactments. most important measures of the year were the Public Health and Buildings Amend- ment and Consolidation Ordinance (No. 1 of 1903) and the Waterworks Ordinance (No. 16 of 1903). The latter repeals the Waterworks Consolidation Ordinance of 1902, which was referred to in the Blue Book Report for that year, and makes other provisions for economising the water-supply.

The former was doubtedly the most important measure which has been enacted for many years. It is hoped that the ultimate benefits which it may be expected to confer upon the health and well-being of the Colony will be far-reaching. Further reference to this measure will be found under the heading of Vital Statistics (b). As in other parts of the Empire, an Ordinance was passed to declare a perpetual holiday on the anniversary of the birth of Her late Majesty Queen Victoria.