Macao (Chinese: Ao-men) is a special territory of !PORTUGAL!Portugal~ covering only 15.5 sq km (6 sq mi) at the tip of the Macao Peninsula on the Chinese mainland, about 115 km (70 mi) east of Canton. Macao's short land border (approximately 200 m/660 ft) is thus with China. Macao is located to the west of the Pearl River estuary (which flows past Canton to the South China Sea), and the British crown colony of Hong Kong lies to the east of the estuary. Macao's territory includes the two small islands of Taipa and Coloane, which are situated offshore in the South China Sea. LAND, PEOPLE, AND ECONOMY Macao is an almost totally urban area. Only 10% of the land is devoted to agriculture, and Macao possesses no sources of freshwater. The climate is tropical, with an average annual temperature of 22 deg C (72 deg F); annual precipitation averages about 1,800 mm (71 in). The population of 285,000 (1979 est.) is about 97% Chinese; almost 3% Macaon (mixed Chinese-Portuguese descent); and less than 1% Portuguese. Although Portuguese is the official language, Cantonese Chinese is most widely spoken. The great majority of the inhabitants are Buddhist and Taoist, but about 17,000 persons are Roman Catholic. Manufacturing is the most profitable sector of the economy and employs the largest portion of the labor force. Textiles are by far the leading product, although the government is attempting to diversify manufacturing. Fishing is also a major industry; in 1977 the catch totaled 2,384 metric tons (2,622 U.S. tons). Tourism is a major contributor to the economy, with 2.7 million persons visiting Macao in 1977. Macao is heavily dependent on China and Hong Kong for food imports, but because Macao exports much of its industrial output, the province maintains a favorable foreign-trade balance. HISTORY AND GOVERNMENT The Portuguese settled Macao in 1557 as a base for commercial and missionary activities in China. Portuguese sovereignty was acknowledged by the Chinese in 1887, and the land border has never been precisely demarcated. In 1979, Portuguese control of Macao was reaffirmed by the Chinese government. Macao's government, which was granted internal autonomy in 1976, is headed by a governor appointed by the Portuguese government. The governor heads the 17-member legislature, which consists of 6 elected members, 6 members chosen by business organizations, and 5 members appointed by the governor.