XN000022-1973-06-20 — Page 7

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Wednesday, June 20, 1973

NO SHORTAGE OF RICE IN HONG KONG

The Financial Secretary, the Hon. C.P. Haddon-Cave, said today

that there is no shortage of rice in Hong Kong; "nor will there be11.

Speaking in the Legislative Council, he said the maintenance and

likely future increase in imports from other principal suppliers China,

Australia and the United States together with reserve stocks of nearly

70,000 tons, "are more than adequate to bridge any shortfall in supplies

from Thailand".

"I am therefore satisfied that the rice supply situation is sufficient

to supply our normal requirements for many months, and certainly until this

year's major rice harvests come to the market."

He said the government's determination to maintain adequate supplies

was evidenced by the fact that during the past week the Director of Commerce

and Industry had released some 12,000 tons of rice from the control scheme

reserve stock to retail outlets.

"As a result, those consumers who were buying rice on a large scale

when prices were being irrationally bid up a few days ago are probably noting that rice is still plentiful in the shops and that prices are falling back

to their earlier levels now that the initial wave of panic buying has receded,"

he added.

But, the Financial Secretary warned that the government would use its

powers to safeguard supplies, and thereby stabilise prices, if there was any further evidence to suggest that the market was not operating satisfactorily.

Turning