TRADE AND INDUSTRY
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facilities to enhance productivity and quality and encourage applied research. It also encourages technology transfer through an inward investment promotion programme. However, the government neither protects nor subsidises manufacturers.
Trade and industry policies are kept under review by the Trade and Industry Branch of the Government Secretariat. The Secretary for Trade and Industry is advised on industry matters by the Industry and Technology Development Council (ITDC), and on trade issues by the Trade Advisory Board and the Textiles Advisory Board. The members of these bodies include prominent industrialists and businessmen, representatives of major industry and trade organisations and relevant government officials.
External Trade
Hong Kong is the world's eighth largest trading entity in terms of the value of its merchandise trade.
With total exports valued at $1,173,630 million and imports at $1,251,136 million, the territory recorded a trade deficit of $77,506 million in 1994.
Its largest trading partner is China, followed by the USA and Japan. Appendices 17 and 18 provide summary statistics of external trade.
Imports
Hong Kong is almost entirely dependent on imported resources to meet the needs of its population of six million and its diverse industries.
In 1994, imports of consumer goods, valued at $514,776 million, constituted 41 per cent of total imports. The major consumer goods imported were: clothing ($96,964 million); radios, television sets, gramophones, records, tape recorders and amplifiers ($71,451 million); footwear ($46,990 million); baby carriages, toys, games and sporting goods ($41,092 million); and travel goods, handbags and similar containers ($24,919 million).
Imports of raw materials and semi-manufactured goods totalled $430,658 million, representing 34 per cent of total imports. The principal items imported were transistors, diodes, semi-conductors and integrated circuits ($68,791 million); plastic materials ($38,260 million); woven fabrics of man-made fibres ($33,711 million); iron and steel ($22,280 million); woven cotton fabrics ($17,494 million); and watch and clock movements, cases and parts ($15,976 million).
Imports of capital goods amounted to $229,583 million, or 18 per cent of total imports. They consisted mainly of electrical machinery ($31,867 million); transport equipment ($24,058 million); office machines ($22,335 million); scientific, medical, optical, measur- ing and controlling instruments and apparatus ($8,551 million); and textile machinery ($4,823 million).
Imports of foodstuffs were valued at $53,338 million, making up four per cent of total imports. The principal imported food items were fish and fish preparations ($12,777 million); meat and meat preparations ($7,651 million); fruit ($7,407 million); and vegetables ($4,558 million).
Mineral fuels, lubricants and related materials worth some $22,781 million were imported during the year, representing two per cent of total imports.
China and Japan were the principal suppliers of imports, providing 38 per cent and 16 per cent, respectively, of the total. China alone supplied 27 per cent of Hong Kong's imported