XN000022-1981-03-14 — Page 3

SATURDAY, MARCH 14, 1981

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IN LINE WITH THEIR EXPECTATIONS FOR FORTHCOMING ORDERS, THE MANUFACTURERS INTENDED TO EXPAND THEIR PRODUCTION CAPACITY FURTHER BY FIVE PER CENT IN MACHINERY AND EQUIPMENT AND FOUR PER CENT IN FACTORY SPACE IN 1981. SLIGHTLY MORE INTENSIVELY, AT 88 PER CENT OF ITS CAPACITY,

SUCH CAPACITY WOULD BE UTILIZED IN THE COURSE OF THIS YEAR.

WITH REGARD TO THE CONSTRUCTION SECTOR, THE CONTRACTORS SURVEYED EXPECTED THE PRICES OF BUILDING MATERIALS TO INCREASE BY 11 PER CENT, WAGE RATES BY 13 PER CENT, AND THE NUMBER OF WORKERS EMPLOYED BY 10 PER CENT BETWEEN 1980 AND 1981. THEIR MACHINERY CAPACITY WOULD EXPAND BY ABOUT EIGHT PER CENT DURING THE YEAR.

A REPORT OF THE SURVEY IS NOW ON SALE AT $2 A COPY AT THE GOVERNMENT PUBLICATIONS CENTRE, GENERAL POST OFFICE. ENQUIRIES ON THE SURVEY RESULTS MAY BE MADE TO THE INDUSTRIAL PRODUCTION STATISTICS SECTION OF THE CENSUS AND STATISTICS DEPARTMENT (AT 5-286680).

HK REPRESENTED IN AIR TALKS

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MR NORMAN LATHAM, ASSISTANT DIRECTOR OF CIVIL AVIATION, LEFT HONG KONG TODAY (SATURDAY) TO REPRESENT THE HONG KONG GOVERNMENT AT AIR SERVICES NEGOTIATIONS TO BE HELD IN LONDON BETWEEN UK AND SRI LANKA AERONAUTICAL AUTHORITIES.

THE DELEGATIONS WILL DISCUSS AMONG OTHER THINGS THE OPERATION OF SERVICES ON THE REGIONAL ROUTE BETWEEN HONG KONG AND COLOMBO INCLUDING THE PROPOSED SERVICES BY AIR LANKA TO AND BEYOND HONG KONG.

FOLLOWING THESE DISCUSSIONS, MR LATHAM WILL ATTEND FURTHER AIR SERVICES TALKS IN THE HAGUE BETWEEN UK AND THE NETHERLANDS. THIS ROUND OF TALKS WILL BE THE THIRD IN A SERIES REQUESTED BY THE DUTCH GOVERNMENT ABOUT A POSSIBLE EXPANSION OF KLM'S SERVICES BETWEEN AMSTERDAM AND HONG KONG AND OTHER MATTERS.

SECOND OIL RESERVE TANKER ARRIVES TOMORROW ****

HONG KONG'S FUEL OIL RESERVE WILL BE INCREASED WITH THE ARRIVAL TOMORROW (SUNDAY) OF THE TANKER +SEA BREEZE+ WITH A CARGO OF OVER 123 000 TONNES OF FUEL OIL.

THE SEA BREEZE+ WILL BE MOORED SOUTHWEST OF THE NINEPINS GROUP OF ISLANDS, ADJACENT TO THE STRAITS DAHLIA+. THE AREA WITHIN 180 METRES AROUND THE TANKER WILL BE A DECLARED CLOSED AREA UNDER THE PUBLIC ORDER ORDINANCE.

A GOVERNMENT SPOKESMAN SAID WITH THE 74 000 TONNES OF FUEL OIL ON BOARD THE STRAITS DAHLIA+. THIS WILL BRING HONG KONG'S FLOATING RESERVE OF FUEL OIL TO ABOUT 200 000 TONNES.

THE OIL