Encl. 1
CONFIDENTIAL
Brief for HB's Visit to China
I. LAND POLICY
(A)
Policy of Private Treaty Grants to :
(i) Special New Industry
(ii) Industrial Estates
the
A note on the special industries policy is
This sets out the rules and attached as Enclosure 1.
gives examples of the industries which have been success ful in obtaining grants of land under this policy and in the Tai Po Industrial Estate. In addition, in a separate
exercise, Yiu Lian Machinery Repairing Works Ltd., ownership of which is the same as the China Merchants Steam Navigation Co. Ltd., also obtained a substantial extension to their ship-repairing lot in West Tsing Yi, and have recently been accommodated with an additional
floating dock site in Tsuen Wan Ray.
2.
The operation of the special industries policy outside the industrial estates is severely limited by
lack of suitable land. Only five grants of land have
been made under the policy since 1973 and, with the possible exception of the Dow grant, which has stabilised the market in polystrene, it is doubtful whether the results have yet justified the considerable amount of
It work which has had to be put into implementation. is doubtful, therefore, whether this policy can serve as a very useful vehicle for the Chinese to establish
further interests in Hong Kong.
CONFIDENTIAL
13.