XN000022-1986-11-18 — Page 8

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TUESDAY, NOVEMBER 18, 1986

+OVER THE LAST TEN YEARS THE CARGO THROUGHPUT AT THE PORT GREW BY AN AVERAGE OF 11 PER CENT PER ANNUM IN TONNAGE TERMS. OUR PORT FACILITIES AND THE SHIPPING SERVICES THAT COMPLEMENT THEM ARE THEREFORE OF CRUCIAL IMPORTANCE TO THE VITALITY OF THE HONG KONG ECONOMY, + HE SAID.

HE POINTED OUT THAT THE SIGNIFICANT CHANGES IN THE MAGNITUDE AND DIRECTION OF HONG KONG'S TRADE FLOWS IN RECENT YEARS AS A RESULT OF CHANGING MARKET CONDITIONS AND THE OPENING UP OF CHINA HAD SIGNIFICANT IMPLICATIONS FOR HONG KONG'S PORT FACILITIES.

+THE LATEST DEVELOPMENTS REGARDING IMPORTS, RE-EXPORTS AND TRANSHIPMENT PARTICULARLY FROM CHINA, HIGHLIGHTED THE NEED FOR HONG KONG TO MAINTAIN THE MULTI-MODAL NATURE OF THE PORT INFRASTRUCTURE.

WHILE CONTAINER TERMINAL FACILITIES WERE REQUIRED FOR HANDLING CARGO TRAFFIC FROM COUNTRIES AS THE UNITED STATES, THE UNITED KINGDOM, THE FEDERAL REPUBLIC OF GERMANY, JAPAN AND AUSTRALIA, LIGHTERAGE AND WATERFRONT CARGO-WORKING FACILITIES WERE REQUIRED FOR THE FREQUENT ARRIVAL OF CONVENTIONAL OCEAN VESSELS FROM THE MANY NON-CONTAINERISED PORTS AS WELL AS RIVER VESSELS FROM CHINA.

HE CAUTIONED THAT SOME OF THE CHINA TRADE COULD BE LOST IF HONG KONG'S RELATIVELY MORE ADVANCED AND MORE EFFICIENT PORT FACILITIES WAS NOT A MAIN FACTOR BEHIND CHINA'S INCREASING USE OF HONG KONG AS AN INTERMEDIARY FOR DELIVERING ITS EXPORTS.

MR YAXLEY STRESSED THAT THE GOVERNMENT WAS ALWAYS SEEKING TO ENSURE THAT HONG KONG'S PORT FACILITIES COULD MEET THE REQUIREMENTS OF HONG KONG'S GROWING TRADE.

+ IT DOES SO THROUGH A PROCESS OF LONG-TERM PLANNING WHICH IDENTIFIES THE NEEDS AND FROM WHICH THE DEVELOPMENT CRITERIA DESIGN CONFIGURATIONS AND IMPLEMENTATION PLANS ARE SYSTEMATICALLY DERIVED.

+ THE ACTUAL FINANCING, CONSTRUCTION AND EVENTUAL OPERATION OF THE FACILITIES IS LEFT TO PRIVATE SECTOR INITIATIVE. THE GOVERNMENT'S ROLE IS IN THE PROVISION OF THE NECESSARY SITES ON COMMERCIAL TERMS AND THE MONITORING OF PROGRESS TO ENSURE TIMELY COMPLETION BY THE DEVELOPER, + MR YAXLEY SAID.

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