20
Documentation of Imports and Exports
INDUSTRY AND TRADE
Import and export licensing formalities are kept to a minimum, consistent with Hong Kong's international obligations. The most complex formalities are those resulting from Hong Kong's obligations to restrain certain exports of textile products. During the year, export licensing for health and safety purposes was introduced for exports of processed and manufactured foodstuffs and electrical products powered by mains supply. The number of import licences issued in 1973 totalled 39,233 and export licences 538,701.
With Hong Kong's economic dependence on the export of manufactured goods, most made from imported materials, and the substantial re-export trade, an origin certification system which is satisfactory to overseas customs authorities, is vitally important. The Commerce and Industry Department issues certificates of origin and accepts the responsibility for safeguarding the integrity of the entire Hong Kong certification system. To this end, close liaison is maintained with overseas authorities and with the authorised non-government certificate-issuing bodies-the Hong Kong General Chamber of Commerce, the Indian Chamber of Commerce, the Federation of Hong Kong Industries, the Chinese Manufacturers' Association of Hong Kong and the Chinese General Chamber of Commerce. The Chinese General Chamber of Commerce became a designated body competent to deliver certificates of origin on September 1, 1973. The value of domestic exports covered by certificates of Hong Kong origin issued by the six organisations during the year was $11,366 million. Of this, $6,373 million represented the value of exports supported by departmental certificates of origin.
Britain and a number of other Commonwealth countries grant preferential rates of duty to Hong Kong products. To support claims to preference, the department issues Commonwealth preference certificates against legal undertakings given by manufacturers to use only Commonwealth raw materials or detailed cost statements prepared by authorised accountants. The value of goods exported under these cer- tificates during the year was $1,611 million. However, the value of this trade is likely to decline significantly over the next few years as Britain, now in the European Economic Community, will phase out the present Commonwealth preferential rates of duty by the middle of 1977.
A number of countries grant tariff preferences to developing countries under the UNCTAD Generalised Preference Scheme. Hong Kong is a beneficiary under the schemes operated by the original six members of the EEC, Britain, New Zealand, the Republic of Ireland, Sweden, Switzerland, Austria, Japan and Denmark. The value of exports in 1973 covered by generalised preference certificates, which in Hong Kong are issued only by the Commerce and Industry Department, amounted to $1,500 million.
An estimated 74.8 per cent of Hong Kong's domestic exports were covered by certificates of origin of one type or another-48.8 per cent of them by the department's certificates.