XN000022-1973-12-28 — Page 3

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Friday, December 28, 1973

EXPORT LICENSING OF PLASTIC MATERIALS

A licensing scheme to check on the export and re-export of

plastic raw materiale from Hong Kong is to be introduced by the Commerce

and Industry Department.

From January 1 licences will be required for all exports and re-

exports of plastic materials, regenerated cellulose and artificial resins,

The items concerned are classified under Group 581 of the Hong

Kong Imports and Exports Classification List.

An amendment to permit licensing has been made to the Import

and Export (General) Regulations.

The Deputy Director of Commerce and Industry, Mr. Jimmy McGregor,

said today that licensing was being implemented as a precautionary

measure on the advice of the Trade and Industry Advisory Board.

"It would be foolhardy to ignore the fact that our supplies of

plastic raw materials may be affected considerably by reduced oil production,"

he added.

We need, therefore, to keep a close check on re-exports, and the

introduction of licensing will enable this to be done."

Mr. MoGregor pointed out that during 1973 re-exports as a proportion

of imports have been rising and this was causing concern to the industry. If

this trend continued it may be necessary to restrict re-exports.

Much will