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THURSDAY, MARCH 27, 1980
TOURISM MAKES SIGNIFICANT CONTRIBUTION TO THE ECONOMY
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THE HON DAVID NEWBIGGING TODAY DESCRIBED THE QUANTIFICATION FOR THE FIRST TIME OF HONG KONG'S OVERALL INVISIBLE TRADE AS A MAJOR STEP FORWARD.
SPEAKING AT THE RESUMED BUDGET DEBATE IN THE LEGISLATIVE COUNCIL HE SAID: +NO DOUBT IN FUTURE YEARS WAYS WILL BE FOUND OF REFINING AND INCREASING THE PRECISION OF THE ACTUAL FIGURES.
+HOWEVER, THAT OUR OVERALL TRADE WITH THE REST OF THE WORLD IS ESTIMATED TO HAVE BEEN ALMOST IN BALANCE IN 1979 DOES INDEED HELP TO SET OUR LARGEST EVER VISIBLE TRADE DEFICIT, IN ABSOLUTE TERMS, IN A LESS WORRISOME LIGHT, AND ALSO TO EMPHASISE THE IMPORTANCE OF SOME OF OUR GROWING SERVICE INDUSTRIES, HE SAID.
IN THE LATTER CONTEXT, HE BELIEVED THE RESULTS OF A RECENT STUDY OF THE ECONOMIC CONTRIBUTION OF INWARD TOURISM, ONE OF THE SERVICE INDUSTRIES, TO BE HIGHLY RELEVANT.
QUOTING FIGURES IN THE SURVEY WHICH WAS COMMISSIONED BY THE HONG KONG TOURIST ASSOCIATION AND CARRIED OUT BY THE PRODUCTIVITY COUNCIL, HE SAID THE ADDED VALUE FOR TOURISM IN 1978 AVERAGED 45 PER CENT AS AGAINST 36 PER CENT AND 32 PER CENT FOR TWO LEADING MANUFACTURING INDUSTRIES.
THE ADDED VALUE PER EMPLOYEE WAS SOME $57 000 IN TOURISM'S CASE AS AGAINST $21 000 AND $29 000 FOR THE OTHER TWO.
+THESE FIGURES WOULD TEND TO CONTRADICT THE FREQUENTLY EXPRESSED VIEW, REFERRED TO IN A RECENT EDITION OF THE FAR EASTERN ECONOMIC REVIEW THAT, OWING TO ITS HIGH IMPORT CONTENT A CHARACTERISTIC, INCIDENTALLY, OF VIRTUALLY ALL HONG KONG
INDUSTRY - THE NET CONTRIBUTION OF INWARD TOURISM IS NOT PARTICULARLY SIGNIFICANT.
+WHEN APPLIED TO THE TOTAL OF OVER $6 BILLION THAT VISITORS SPENT IN HONG KONG IN 1979, ADDED VALUE OF 45 PER CENT PRODUCES A VERY WORTHWHILE RESULT INDEED.
+THIS OF COURSE ASSUMES THAT THE 1978 ADDED VALUE PERCENTAGE WAS AT LEAST MAINTAINED IN 1979.
+THERE ARE, IN FACT, SOME GROUNDS FOR BELIEVING THAT IT ACTUALLY INCREASED ALTHOUGH THE FIGURES HAVE NOT YET BEEN COMPILED,+ HE SAID.
MR NEWBIGGING STRESSED THAT HIS PURPOSE OF HIGHLIGHTING THIS ISSUE WAS NOT TO DOWNGRADE THE IMPORTANCE OF THE MANUFACTURING INDUSTRIES WHICH ARE CERTAIN TO REMAIN THE BACKBONE OF HONG KONG'S ECONOMY FOR THE FORESEEABLE FUTURE, BUT TO DRAW ATTENTION TO DEVELOPMENTS IN THE SERVICE SECTORS SINCE THEIR RELATIVE GROWTH CONSTITUTE +A VERY IMPORTANT ELEMENT IN THE DIVERSIFICATION PROCESS+.
ON THE SUBJECT OF LAND AND HOUSING, MR NEWBIGGING CALLED ON THE GOVERNMENT TO PROVIDE MORE COMPREHENSIVE AND CONSISTENT STATISTICS TO FACILITATE ANALYSIS ON THIS VITAL ISSUE,
HE POINTED
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