XN000022-1984-03-28 — Page 33

WEDNESDAY, MARCH 28, 1984

32

GOVERNMENT INDUSTRIAL POLICY EXPLAINED

***

THE DIRECTOR OF INDUSTRY, MR JOHN YAXLEY, TODAY (WEDNESDAY) SAID THAT THE GOVERNMENT HAD IN THE PAST MODIFIED ITS INDUSTRIAL POLICY AS CIRCUMSTANCES IN THE ECONOMY CHANGED.

MR YAXLEY WAS ADDRESSING THE LUNCHEON MEETING OF THE ZONTA CLUB OF HONG KONG.

+OUR INDUSTRIAL POLICY IS NOT IMMUTABLE AND IN THE LAST TWO DECADES THERE HAS BEEN AN ON-GOING SERIES OF MODIFICATIONS AND EXTENSIONS TO THE POLICY, IN PARTICULAR SINCE 1977, WHICH HAVE BEEN CONSCIOUSLY INTRODUCED FOR THE BENEFIT OF INDUSTRY.

+DESPITE THE FACT THAT IT MAKES VERY LITTLE PROVISION FOR PLANNING TO ACHIEVE CERTAIN OBJECTIVES, IT IS BY NO MEANS NEGATIVE, HE SAID.

HE MENTIONED THE SERIES OF SPECIFIC ACTIONS TAKEN BY THE GOVERNMENT FROM THE 1960S ONWARDS TO ENSURE THE PROVISION OF AN ADEQUATE INFRASTRUCTURE FOR THE INDUSTRY AND THE SERIES OF MODIFICATIONS AND EXTENSIONS TO THE GOVERNMENT'S POLICIES AS RECOMMENDED BY THE ADVISORY COMMITTEE ON DIVERSIFICATION.

+ THE POINT ABOUT THESE EVOLVING ASPECTS OF OUR INDUSTRIAL POLICY IS THAT THEY REPRESENT A POSITIVE REACTION BY GOVERNMENT TO CHANGING CIRCUMSTANCES, HE SAID.

ON THE GOVERNMENT'S +POSITIVE NON-INTERVENTIONISM+, MR YAXLEY STRESSED THAT THIS POLICY WAS NOT ONLY TOTALLY POSITIVE AND HIGHLY APPROPRIATE FOR HONG KONG'S ECONOMIC AND SOCIO-CULTURAL CIRCUMSTANCE BUT THAT IT WAS DYNAMIC.

+BY THIS I MEAN THAT THE POLICY IS RESPONSIVE AND ADJUSTS TO CHANGING CIRCUMSTANCES.

+OUR INDUSTRIAL POLICY HAS BEEN TO MAINTAIN A FAVOURABLE CLIMATE FOR BUSINESS GIVEN THE SOCIAL ENVIRONMENTAL AND SAFETY CONSTRAINTS IMPOSED ON AND ACCEPTED BY A MODERN SOCIETY, + HE ADDEJ.

MR YAXLEY POINTED OUT THAT IN VIEW OF COMPETITION FROM NEIGHBOURING COUNTRIES AND INCREASING PROTECTIONIST PRESSURE FROM HONG KONG'S MAJOR MARKETS, THE GOVERNMENT WAS NOW UNDER INCREASING PRESSURE TO PROVIDE AN EVER GROWING VARIETY OF SUPPORT SERVICE.

FOR EXAMPLE, THE 47 PROPOSALS RECOMMENDED BY THE ADVISORY COMMITTEE ON DIVERSIFICATION AND ACCEPTED IN FULL BY THE GOVERNMENT, ARE NOW IN VARIOUS STAGES OF IMPLEMENTATION.

IN LINE WITH THE COMMITTEE RECOMMENDATION THAT THE GOVERNMENT SHOULD PLAY A MORE ACTIVE ROLE IN THE IMPROVEMENT OF INDUSTRIAL SUPPORT FACILITIES AND TECHNICAL BACK-UP SERVICES, MR YAXLEY SAID THE GOVERNMENT HAD TAKEN THE FOLLOWING POSITIVE ACTION.

/* THE ESTABLISHMEN.