to their full capacities in the production of consumer goods. Many of these factories have expensive and highly sophisticated equipment which could be used in turn to produce advanced industrial machineries or spare parts for use by entrepreneurs

in Hong Kong. In view of this, I strongly recommend local industrialists to take advantage of this large pool of resources. However, although individual enquiries may now be made with individual organizations in China, it would be helpful if the Government could assist and co-ordinate such enquiries in order to facilitate the process of communication. In this connection, I understand that the Trade Development Council is currently organizing a seminar together with the Joint Technological Development Centre of Chinese Institute of Higher Learning to be held in February with an aim to encourage Chinese universities to establish contacts with Hong Kong industries. I think this is a good start. Nonetheless, in my opinion, it would be important to take follow up action on this seminar by bodies such as the Hong Kong Productivity Council. The Council can work in co-operation with the Federation of Industries and the Chinese Manufacturers Association to

investigate in detail the possibilties of such technological

collaborations. These institutions can at the same time identify and collate our own needs before making a formal approach to the most appropriate institutions in China which could work together with us. I hope that as a result of these activities, a stronger liaison will develop which will hopefully produce some concrete results in the future.

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