WEDNESDAY, MARCH 26, 1936
ADDITIONAL RESOURCES NEEDED FOR MANUFACTURING
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THE GOVERNMENT SHOULD GIVE SPECIAL ATTENTION TO THE MANUFACTURING INDUSTRY TO FACILITATE ITS CONTINUING DEVELOPMENT, THE HON WONG PO-YAN SAID IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).
SPEAKING DURING THE BUDGET DEBATE, MR WONG SAID THAT IN FUTURE BUDGETS THE GOVERNMENT SHOULD, IN ADDITION TO BEING RECEPTIVE TO THE ASPIRATIONS OF VARIOUS SECTORS, ACTIVELY CONSIDER PROVIDING ADDITIONAL RESOURCES TO THE MANUFACTURING INDUSTRY.
HE SAID MANUFACTURING WAS NOW IN A RATHER CRITICAL POSITION AND IT COULD NOT BE EXPECTED TO DEVELOP AS IT HAD DONE OVER THE PAST 20 YEARS, ESPECIALLY UNDER THE POSITIVE NON-INTERVENTION POLICY, BECAUSE THE ECONOMIC SCENE HAD CHANGED RAPIDLY.
THE CHANGES INCLUDED THE EMERGENCE OF STRONG COMPETITORS AND THE SPREAD OF PROTECTIONISM, IN ADDITION, THE STANDARD OF LIVING IN HONG KONG HAD IMPROVED.
MR WONG NOTED THAT ACCORDING TO A SURVEY COVERING 1977- 1983, PRODUCTION COSTS IN HONG KONG HAD INCREASED BY OVER 4.4 PER CENT AS A RESULT OF LABOUR LEGISLATION ENACTED DURING THAT PERIOD.
+THE GOVERNMENT SHOULD SEE TO IT THAT THE INDUSTRY GETS THE NEEDED NOURISHMENT AND SHOULD ALSO PROVIDE FOR A SUITABLE ENVIRONMENT FOR ITS EXISTENCE AND GROWTH, PARTICULARLY THE MEDIUM AND SMALL SIZED ESTABLISHMENTS, HE SAID.
MR WONG DESCRIBED THE RECENT ALLOCATION OF FUNDS TO PROMOTE PRODUCT DESIGN AS AN ENCOURAGING START.
AS A FURTHER INCENTIVE TO INDUSTRIAL INVESTMENT. HE SAID THE GOVERNMENT SHOULD SET THE DEPRECIATION RATE FOR CAPITAL EQUIPMENT, PLANT AND MACHINERY OTHER THAN THAT ON LEASE TERMS AT 100 PER CENT FOR THE FIRST YEAR ALONE,
INDUSTRIES WOULD ALSO BENEFIT IF THE GOVERNMENT TOOK POSITIVE STEPS TO ASSIST THEM IN DEVELOPING HIGH TECHNOLOGY.
TURNING TO MONETARY ISSUES, MR WONG URGED THE GOVERNMENT TO CONSIDER IN-DEPTH THE MAINTENANCE OF THE US DOLLAR LINK.
HE SAID HE COULD NOT AGREE THAT THE MAINTENANCE OF THE LINK SHOULD BE TAKEN FOR GRANTED AS THE SITUATION IN HONG KONG NOW WAS QUITE DIFFERENT FROM OCTOBER 17, 1983, WHEN THE LINK WAS ESTABLISHED.
/+IT HAS