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MONDAY, SEPTEMBER 7, 1992
LINKED RATE HELPS EXPORT COMPETITIVENESS
THE LINKED EXCHANGE RATE BETWEEN THE U.S. AND THE HK DOLLARS HAS HELPED THE EXPORT COMPETITIVENESS OF LOCAL EXPORTERS BECAUSE IT HAS REDUCED THE RISK OF EXCHANGE LOSSES, THE SECRETARY FOR THE TREASURY, MR K Y YEUNG, SAID TODAY (MONDAY).
SPEAKING AT THE OPENING OF THE HONG KONG WATCH AND CLOCK FAIR '92 AT THE HONG KONG CONVENTION AND EXHIBITION CENTRE, MR YEUNG REFUTED ACCUSATION THAT THE DOLLAR LINK HAD RESULTED IN IMPORTED INFLATION.
SAID.
"THIS ALLEGATION DOES NOT STAND UP TO CLOSE EXAMINATION," HB
"IN THE CASE OF WATCH AND CLOCK MOVEMENTS AND PARTS IMPORT PRICES, IN 1991 WERE ON AVERAGE 4.5 PER CENT LOWER THAN THEY WERE IN 1983, WHEN THE LINK WAS INTRODUCED.
AN
"DURING THE PERIOD 1986 TO 1991, SUCH IMPORT PRICES FELL BY AVERAGE ANNUAL RATE OF 0.2 PER CENT. IN OTHER WORDS, CONTRARY TO COMMON BELIEF, THE U.S./HK DOLLAR LINK HAS FOSTERED RATHER THAN INHIBITED GROWTH DURING THE 1980S, HE SAID.
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MR YEUNG POINTED OUT THAT THE WATCHES AND CLOCKS INDUSTRIES HAD BEEN PHENOMENALLY SUCCESSFUL IN THE PAST DECADE.
THE GROSS OUTPUT OF THE WATCH AND CLOCK INDUSTRIES HAS GROWN FROM $8.7 BILLION IN 1980 TO $17.1 BILLION IN 1990, AN INCREASE OF 97 PER CENT; WHILE THE VALUE OF DOMESTIC EXPORTS ROSE, IN THE SAME DECADE, FROM $6.5 BILLION TO $19.1 BILLION, OR BY 191 PER
ATTRIBUTED THIS SUCCESS TO THE TWO INDUSTRIES"
HE ADAPT TO CHANGE.
"IN
CENT.
ABILITY ΤΟ
MAKING PRODUCTS AS SUSCEPTIBLE TO RAPID CHANGE IN FASHION AS GARMENTS, OUR INDUSTRIALISTS HAVE INCREASINGLY PUT THEMSELVES IN A POSITION WHERE THEY COULD RESPOND VERY QUICKLY TO CHANGES IN DESIGN AND PRODUCTION," HE SAID.
THAT
J
"UNDERPINNING THIS WILLINGNESS TO ADAPT TO CHANGE IS THE
DURING THE 1980S, BOTH INDUSTRIES WERE WELL SERVED BY SUPPORT INDUSTRIES IN HONG KONG AND GUANGDONG, HE ADDED.
FACT
MR YEUNG ALSO PRAISED THE TRADE DEVELOPMENT COUNCIL FOR ITS MASSIVE AND SUSTAINED PROMOTIONAL EFFORT WHICH HELPED LOCAL INDUSTRIES TO EXPAND MARKET SHARES AND TO OPEN UP NEW MARKETS.
CLOCK) INDUSTRIES
AND
"ALMOST THE ENTIRE OUTPUT OF OUR (WATCH AND WAS EXPORTED IN 1990, COMPARED WITH ONLY TWO-THIRDS 10 YEARS AGO, DURING THE LAST DECADE THAT OUTPUT HAS DOUBLED.
"THERE IS NO BETTER PROOF THAT THE TRADE DEVELOPMENT HAS DONE A FIRST-CLASS JOB," MR YEUNG SAID.
COUNCIL
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