XN000022-1987-02-10 — Page 5

TUESDAY, FEBRUARY 10, 1987

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FOREIGN INVESTMENT GROWTH CONFIRMS HK SUCCESS

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THE GROWTH OF FOREIGN INVESTMENT INTO HONG KONG'S MANUFACTURING INDUSTRY CONFIRMS THE SUCCESS OF THE GOVERNMENT'S POLICIES OF ENCOURAGEMENT AND SUPPORT RATHER THAN SPECIAL SUBSIDY AND TAX CONCESSIONS, THE ACTING GOVERNOR, SIR DAVID AKERS-JONES, SAID THIS (TUESDAY) EVENING.

SPEAKING AT THE ANNUAL SPRING DINNER OF THE FEDERATION OF HONG KONG INDUSTRIES, SIR DAVID SAID THIS INVESTMENT HAD ALSO ENCOURAGED LOCAL INDUSTRIES AND INDUSTRIAL SUPPORT SERVICES TO SHIFT TOWARDS HIGHER QUALITY AND TO DIVERSIFY THEIR PRODUCTS.

+A RECENT SURVEY SHOWS THAT MORE THAN 500 FACTORIES WITH FOREIGN INVESTMENT HAVE MOVED TOWARDS HIGHER TECHNOLOGY, HE SAID.

+THE SURVEY ALSO SHOWS AN INCREASE IN THE INSTALLATION OF COMPUTER ASSISTED DESIGN AND MANAGEMENT MACHINES FROM 200 IN 1984 TO NEARLY 1 000 IN 1986.+

REGARDING SUPPORT TOWARDS HONG KONG'S INDUSTRY, SIR DAVID SAID THE GOVERNMENT REGULARLY REVIEWED THE ADEQUACY OF THE INFRASTRUCTURE AND THE SUPPORT SERVICES IT PROVIDED.

+ IT LOOKS AT WHAT OUR COMPETITORS DO IN THIS FIELD AND MAKES SUGGESTIONS FOR WHAT MORE SHOULD BE DONE IN HONG KONG.

+THIS HAS LED TO A WIDE-RANGING DISCUSSION RECENTLY IN THE INDUSTRY DEVELOPMENT BOARD.

+THE ACTIVE DEBATE CURRENTLY TAKING PLACE IN HONG KONG ABOUT THE ROLE OF INDUSTRY AND THE DIRECTION WE SHOULD TAKE IS A MOST HEALTHY AND ENCOURAGING SIGN.+

ON THE FEDERATION ITSELF, SIR DAVID SAID IT HAD GROWN WITH THE INDUSTRIES IT REPRESENTED. IT WAS FORMED TO REPRESENT INDUSTRY'S VIEWS TO GOVERNMENT.

+IT CAN BEST FULFIL THIS PURPOSE BY MAKING ITS MEMBERSHIP AS WIDELY REPRESENTATIVE OF INDUSTRY AS POSSIBLE, HE SAID.

SIR DAVID SAID SUBJECT TO THE APPROVAL OF FUNDS, THE FEDERATION WOULD BECOME AN INDEPENDENT ORGANISATION FREE FROM GOVERNMENT SUBSIDY.

ON THE DEVELOPMENT OF HONG KONG'S INDUSTRY, HE SAID THOSE WHO REMEMBERED HONG KONG INDUSTRIES OF THE EARLY 1960'S COULD TAKE PRIDE IN THEIR GROWTH SINCE THEN.

/+THE CHANGES