XN000022-1987-01-20 — Page 3

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NJJ

TUESDAY, JANUARY 20, 1987

+WHEN WE TALK ABOUT DOING ANYTHING TO FACILITATE THE DEVELOPMENT OR DIVERSIFICATION OF OUR MANUFACTURING OUTPUT WE MEAN, IN EFFECT, DOING THAT WHICH IS NECESSARY TO FACILITATE THEIR GROWTH, PARTICULARLY EXPORT-LED GROWTH, BY FOSTERING THEIR COMPETITIVE STRENGTH, ON THE ONE HAND, AND REMOVING IDENTIFIABLE OBSTACLES TO GROWTH, ON THE OTHER.

+THIS HAS BEEN AND REMAINS THE ULTIMATE OBJECT OF THE GOVERNMENT'S INDUSTRIAL POLICIES.

+TO ACHIEVE THIS OBJECT THE INDUSTRY DEPARTMENT AND THE INDUSTRY DEVELOPMENT BOARD RELY ON A CONTINUING SERIES OF TECHNO-ECONOMIC STUDIES OF VARIOUS INDUSTRIES.

+ THE FIRST CYCLE OF THESE IS NEARING COMPLETION, WE LOOKED AT ELECTRONICS IN 1983, PLASTICS IN 1986, THE STUDY ON TEXTILES AND GARMENTS IS NEARING COMPLETION AND THE STUDY ON METALS FABRICATION WILL BEGIN SOON.

+AS A RESULT A CLEARER PICTURE OF THE STRENGTHS AND THE WEAKNESSES OF THE MAJOR MANUFACTURING INDUSTRIES IS BEGINNING TO EMERGE, HE SAID.

MR YEUNG SAID THE PICTURE SHOWED, ON THE ONE HAND, THAT HONG KONG INDUSTRIES NEEDED NO ENCOURAGEMENT TO EXPAND PRODUCTION CAPACITY WHEN EXPORTS WERE PICKING UP.

ON THE OTHER HAND THERE WERE INDICATIONS THAT MANUFACTURERS WERE LESS READY TO INVEST IN THE KIND OF EQUIPMENT AND MANAGEMENT AND TECHNICAL SYSTEMS ASSOCIATED WITH IMPROVED INDUSTRIAL EFFICIENCY AND BETTER QUALITY.

+ ACCORDINGLY THE FOCUS OF OUR INDUSTRIAL DEVELOPMENT SERVICES IS CENTRED UPON STIMULATING INVESTMENT IN PRODUCTIVITY ENHANCEMENT AND QUALITY IMPROVEMENT, AND WE SEEK TO CREATE THE NECESSARY STIMULUS BY INFLUENCING MANPOWER TRAINING, BY PROVIDING PRODUCTIVITY ENHANCEMENT SERVICES AND QUALITY PROMOTION SERVICES, AND BY ENCOURAGING INWARD INVESTMENT.

+IN PROVIDING INFRASTRUCTURAL SUPPORT FOR OUR INDUSTRIES THE GOVERNMENT SEEKS TO ENSURE AN ADEQUATE SUPPLY OF RESOURCES FOR OUR INDUSTRIES.

+THESE INCLUDE TREATED WATER, POWER AND OTHER ENERGY SUPPLIES, INDUSTRIAL LAND AND CAPITAL.

/+WHILE MANY