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(e)
(1)
on legal services, the Government is preparing legislation to abolish mandatory fee scales for conveyancing and probate work in order to promote competition and enhance consumer interests; and
on rice trade, the Government is currently considering introducing more competition into the trade without affecting the stability of rice supply.
At present, the Government is not providing a system of controls across the board. Whether there is a need for such across-the-board controls in Hong Kong is the focus of today's motion. We note that the views expressed by Members today are divergent and even conflicting. At one end of the spectrum, we have heard that governmental or legislative intervention, which probably would result in a huge bureaucratic apparatus and more red tape and which would distort markets and the allocation of resources, should not be pursued since it would stifle enterprise, reduce efficiency and damage the economy. At the other end of the spectrum, views have been expressed that monopolistic tendencies and anti-competitive practices already exist in some sectors of the economy and that anti-trust and fair trading laws should be introduced, and a fair trade commission should be set up, to give consumers a fair deal.
The different approaches advocated by Honourable Members are reflective of the diverging views of the general public towards the development of a competition policy in Hong Kong. Because of the differing views within the community, the Government has commissioned the Consumer Council to conduct a study to provide an overall assessment of the competition environment in Hong Kong. The report is expected to be released by the middle of this year.
Whilst there are differing views within the community as to what regulatory framework, or what means, Hong Kong should adopt in order to enhance competition, I believe there is no disagreement on what our fundamental objective should be, which is to promote competition and to give consumers adequate protection.
Mr President, the Government, in the pursuit of its competition policy, is adopting a step-by-step, pragmatic approach in the formulation of instruments and framework that are most suitable for promoting healthy competition in the different sectors of Hong Kong's economy. The Government is open-minded as to whether or not comprehensive legislation on competition or fair trading should be introduced in Hong Kong. We will consider this question in the light of findings of the Consumer Council study on the overall assessment of the competition environment in Hong Kong. We will also invite the public to comment on the findings of the Consumer Council study and examine these comments before arriving at a view.
Thank you.
End