XN000022-1980-11-10 — Page 2

MONDAY, NOVEMBER 10, 1980

HONG KONG DEPENDS ON EFFICIENT SHIPPING SERVICES

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THE ACTING DIRECTOR OF TRADE INDUSTRY AND CUSTOMS, MR PETER TSAO, TODAY UNDERLINED THE IMPORTANCE OF SHIPPING SERVICES TO HONG KONG IN AN ADDRESS TO REPRESENTATIVES OF 14 COUNTRIES AT THE UN ESCAP STUDY TOUR OF THE CHIEF EXECUTIVES OF NATIONAL SHIPPERS' ORGANISATIONS OF ASIA AND THE PACIFIC.

THE ADDRESS WAS MADE AT THE OFFICES OF THE HONG KONG MANAGEMENT ASSOCIATION.

CONGRATULATING THE HONG KONG SKIPPERS' COUNCIL ON HONG KONG BEING CHOSEN AS THE VENUE FOR THE STUDY TOUR, MR TSAO SAID: +HONG KONG LIVES BY TRADE BUT IT HAS NO NATURAL RESOURCES. IT HAS TO IMPORT ALL IT NEEDS TO SURVIVE, AND ITS ECONOMY IS HIGHLY DEPENDENT ON ITS ABILITY TO EXPORT.

+THE EXISTENCE OF EFFICIENT, REGULAR AND ECONOMICAL SHIPPING SERVICES TO AND FROM OUR MAJOR MARKETS IS THEREFORE ESSENTIAL TO THE CONTINUED VIABILITY AND ECONOMIC WELL-BEING OF HONG KONG.

+AS HONG KONG CONTINUES ITS EFFORTS TO DIVERSIFY ITS PRODUCTS AND MARKETS, THE RANGE OF AIR AND SURFACE FREIGHT SERVICES AVAILABLE TO HONG KONG MUST DEVELOP IN LINE WITH DEMAND CREATED BY THESE EFFORTS.

+ IN THIS CONNECTION, THE GOVERNMENT IS CONVINCED THAT HONG KONG SHIPPERS' COUNCIL WILL DO WHAT IT CAN TO ENSURE THAT THERE IS A REGULAR, EFFICIENT AND REASONABLY STABLE SHIPPING SERVICE COVERING ALL DESTINATION PORTS WITH KNOWN TARIFF OF CHARGES,+ MR TSAO SAID.

HE POINTED OUT THAT IN 1979 HONG KONG'S TOTAL TRADE WAS VALUED AT US$34 000 MILLION.

+THIS REPRESENTS ALMOST 31 MILLION TONS OF CARGO, CARRIED BY NEARLY 10 000 OCEAN-GOING VESSELS AND OVER 2 000 AIRCRAFT, HONG KONG IS 21ST ON THE WORLD TRADE LEAGUE, AND ITS CURRENT FREIGHT BILL IS IN THE REGION OF US$800 MILLION PER ANNUM,+ HE SAID.

MR TSAD POINTED OUT THAT THE RECENT RE-EMERGENCE OF HONG KONG AS AN ENTREPOT WAS ANOTHER FACTOR DEPENDENT UPON AN EFFECTIVE SHIPPING SERVICE. IN 1979 RE-EXPORTS FROM HONG KONG INCREASED IN VALUE BY 52 PER CENT OVER THE FIGURE FOR 1978. THIS COMPARED VERY WELL WITH THE STATE OF THE RE-EXPORT TRADE 10 YEARS AGO.

+THIS TREND HAS CONTINUED IN 1980. DURING THE FIRST NINE MONTHS OF THIS YEAR, RE-EXPORTS WERE VALUED AT US$4 200 MILLION, A 47 PER CENT INCREASE OVER THE SAME PERIOD LAST YEAR, + HE SAID.

/THE GOVERNMENT