ENG-1973 — Page 276

194

HISTORY

In 1959, the first year they were separated from re-exports, domestic exports were valued at $2,282.13 million-in 1973 they had increased by more than 753 per cent. Re-exports declined in relative importance but remained significant, comprising 30 per cent of total exports in 1959 and 25 per cent in 1973.

At first Hong Kong catered for cheap Asian markets, such as Malaya and Indonesia, but in 1973, 84 per cent of her goods went to developed countries, with the United States and Britain sharing 59 per cent of this. The need for food ensured the dominance of China as a source of imports, accounting for 21 per cent in 1959 and 22 per cent in 1967, after which Japan supplanted China with 20 per cent of the total imports against China's 19 per cent in 1973.

Hong Kong's trade has been assisted and developed by the Trade Development Council, formed in 1966, the Productivity Council in 1968 and a Hong Kong Export Credit Insurance Corporation in 1966. With few natural resources, Hong Kong has had to import all its raw materials and export finished products, and the import-export machinery of the old entrepôt days has continued to serve the new industrialism.

During these years government public works have necessarily been on a grand scale to keep pace with industrial growth. The 8,340-foot long airport runway, built up from the sea-bed in Kowloon Bay, has been extended to 11,130 feet. New reservoirs were completed at Tai Lam Chung in 1957 and Shek Pik, on Lantau Island, in 1963. The unique Plover Cove scheme of 1967 has been expanded to hold 50,000 million gallons and work began in 1970 on the High Island scheme, with a planned storage capacity of 60,000 million gallons.

}

In 1964 China agreed to raise to 15,000 million gallons the amount of water purchased annually since 1960. Cuts in water supply, which in 1963 was reduced to four hours every four days, are unlikely to recur.

Road development, including flyovers, has been remarkable. In 1967 the Lion Rock Tunnel opened to provide a high-speed road link between the New Territories and urban Kowloon; a twin tunnel is now under construction. A new era in Hong Kong's internal communications came with the opening of the cross-harbour tunnel in August 1972. Built by private enterprise with government participation, it was completed several months ahead of schedule and is now one of the longest underwater road tunnels in Asia.

In February 1973, the government decided to go ahead immediately with a sophisticated mass transit system to be operational by 1977.

The Financial Secretary, Mr Philip Haddon-Cave, announced the decision to proceed immediately with construction of the first four of nine stages. The final decision to build the system followed an eight-month probe by a special steering group set up by the Governor, Sir Murray MacLehose.

Not all developments have been in the economic field and considerable social advances have also taken place. Local recruitment into the public service has been expanded and local candidates are given preference if suitably qualified. This has given