XN000022-1974-10-08 — Page 3

TUESDAY, OCTOBER 8, 1974

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MR. JONES SAID: THERE IS NO DOUBT THAT 1974 HAS SO FAR BEEN A TRAUMATIC YEAR FOR TOURISM ALL OVER THE WORLD.

+THE HUGE INCREASE IN THE PRICE OF OIL AND CONTINUING INFLATION IN OTHER DIRECTIONS HAD ALREADY RAISED AIR FARES BY AS MUCH AS 25 PER CENT.

+OTHER COSTS, INCLUDING THOSE OF HOTELS, RESTAURANTS AND TOURIST SHOPS HAVE ALSO BEEN INCREASING AT HITHERTO UNPRECEDENTED RATES. AT THE SAME TIME, THE ORDINARY TRAVELLER HAS BEEN FEELING THE PINCH ON HIS INCOME AND HIS MARGIN FOR SPENDING ON LUXURIES, SUCH AS HOLIDAYS ABROAD, HAS BEEN DECLINING.

+WE IN HONG KONG HAVE NOT BEEN ALONE IN FEELING THE RESULTS OF THIS. TOURIST CENTRES IN EUROPE HAVE EXPERIENCED AN ACTUAL DECLINE IN THEIR BUSINESS.

+ IN HONG KONG'S CASE THE NUMBER OF, VISITORS HAS CONTINUED TO GROW BUT AT A MUCH SLOWER PACE THAN IN RECENT YEAR.+

MR. JONES WARNED THAT WE SHOULD CERTAINLY NOT BE COMPLACENT IN CONTEMPLATING THESE FIGURES AND ASSUME THAT THIS IS ONLY HONG KONG'S SHARE IN EQUAL MISERY FOR EVERYONE.+

ÉE NOTED THAT ALTHOUGH HONG KONG REMAINED THE LEADING TOURIST CENTRE IN THE REGION, OTHER CENTRES SUCH AS THAILAND, SINGAPORE AND TAIWAN +ARE NOW ADVANCING MORE RAPIDLY AND ARE BREATHING DOWN OUR NECKS.+

HONG KONG, HE ADDED, COULD NOT RETAIN ITS SUPERIORITY BY JUST OFFERING THE SAME OLD PACKAGE AS BEFORE.

WE HAVE TO USE OUR RESOURCES AS BEST WE CAN AND RECOGNISE THAT HONG KONG, AT BEST, IS A DENSELY POPULATED TERRITORY,+ MR. JONES SAID. IF HONG KONG IS TO KEEP ITS POSITION, WE MUST BEGIN TO TAILOR THE PACKAGE WE OFFER TO THE NEEDS OF THE TINES.+

MR. JONES ALSO URGED THAT A WIDER RANGE OF ATTRACTIONS BE MADE AVAILABLE, IF HONG KONG WAS TO INCREASE VISITOR STAY.

IN THIS RESPECT, HE SAID THAT THE DEVELOPMENT OF HIGH CLASS OUT OF TOWN RESORTS IN AREAS SUCH AS LANTAU AND SAI KUNG MUST BE PUSHED AHEAD MORE RAPIDLY.

/WHILE EMPHASISING