expect that the Community as a whole will be able to
accept proposals in this sense.
I am obviously not asking for discussion of this
matter today but I do ask that what I have said
should be noted."
}་
•t '90%
5. By comparison with other developing countries, Hong
Kong is a large exporter of manufactures. In 1973, total
domestic exports amounted to US$3,833 million, and exports
to the EEC were valued at US$1,141 million. These figures
are, however, misleading. Hong Kong is, to a unique degree
dependent on export of manufactures for its existence.
Having no natural resources, we have to import 90% of our
food, all our raw materials and most of our semi-manufactures
payments have to be met from export earnings. In other
words, everything exported has a very substantial import
content. Imports from the EEC were valued at US7862 million.
Our total import bill in 1973 amounted to US$5,794 million. The substantial trade deficit is compensated, by invisible
earnings from tourism, banking, shipping and the like but
nevertheless the actual export earnings accruing to Hong
Kong are considerably smaller than they might at first
appear. We need to generate a high volume of exports in
order to sustain the economy.
6. There is no doubt that Hong Kong is a competitive
exporter: it has to be in order to exist. But Hong Kong's
industry is narrowly based by the standards of developed
countries and only competitive in a limited range of
products.
}
7. We have hit butoirs more frequently than most other
beneficiaries. This is not because of the stimulus of
the GSP, however, but because Hong Kong's volume of trade
- 3
/in