CONFIDENTIAL

Enclosure 1

Special Industry Land Grants and Industrial Estates

Grants by private treaty for special industrial purposes are normally only made with the approval of the Governor-in-Council, which has been given within a defined policy, the principles of which are :

2.

the industrial processes concerned should :

(i) be new to Hong Kong or represent

a technological upgrading to a significant degree of en existing industrial process;

(ii)

be at a generally higher level of technology than is current in Hong Kong's manufacturing industry;

(iii) provide employment opportunities

at a generally higher level of skill than currently obtains in Hong Kong industry, parti- cularly for male workers;

(iv) be land-intensive and unable to

be carried on in ordinary multi- storey industrial buildings;

be those which could not otherwise be established or developed in Hong Kong.

But since 1973 only 5 grants have been made

under this policy.

Grantee

Outboard Marine

Corporation Tan American Company)

Dow Chemical Pacific Limited (an Amercan Company)

Chemsyn Limited

a Hong Kong Company)

These grants are :

Site

Tsing Yi Island

Tsing Yi Island

Tsing Yi Island

Type of Industry

A plant to manufacture outboard marine engines.

A chemical processing plant for the manufac- ture of polystrene from imported liquid monomer.

A chemical plant to pro- duce chlorine, caustic soda, hydrogen and sodium hypochlorite, mainly for use by local industry.

CONFIDENTIAL

/Tai Tung

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