Our reference: 21/9
Your reference:
PERSONAL AND CONFIDENTIAL
BRITISH TRADE COMMISSION IN HONG KONG
7th Floor, Shell House, Queen's Road, Central, HONG KONG * Mail Address: P.O. Box No. 528, Hong Kong Cable Address: "Uktrade Hongkong"
Anthony Royle, Esq., M.P., Foreign & Commonwealth Office, Downing Street (West),
London, S.W.1.
Der M. Royle,
Telephone: 230176
17)
16 October, 1970.
16
En
Pl. let me han provin Маната рефи thong kong dept. 2310 Mr. Royle would like to
ت ميرجيه
with
you
w.s.fort.
I was very happy to have the opportunity of meeting you in Hong Kong the other day. I was particularly glad to be able to discuss with you the Hong Kong Underground project which is giving me considerable grounds for anxiety. I have been reflecting upon some of the questions you put to me and the following are my considered answers.
<<
You asked whether the Hong Kong Government were obliged to go out to international tender in this case. The position seems to be that although nothing is officially laid down, it has always or at least for some considerable time been the policy of the Hong Kong Government to go out to international tender for all its major projects. Indeed, it prides itself on upholding the principle of free trade and free competition on which, it claims, the prosperity of Hong Kong has been built.
-
There is,
as far as I can see however,
nothing to stop the Hong Kong Government changing its policy in this respect, especially if there are special circumstances involved and I would certainly argue that the circumstances of this case are very special. To start with, the size of the scheme is immensely larger than anything undertaken by Hong Kong before. The total cost of the project, it is now reckoned, will amount to about £300. million. Needless to say, if a project of this magnitude were to go to a foreign competitor, especially a Japanese one, the loss to Britain of both commercial and political prestige would be enormous and British businessmen in disgust may well write off Hong Kong, as far as commercial interest is concerned, with possibly dangerous political consequences.
I happen to know that Japanese firms, acting through Jardines in Hong Kong, are very much interested in this scheme, and judging from past performances will be able to put in a much lower tender than any British firm.
23/10.
HIK 21/8
PERSONAL AND CONFIDENTIAL
Every effort is made to ensure that the information given herein is accurate, but no legal responsibility is accepted for any errors or omis- sions in that information and no responsibility is accepted in regard to the standing of any firms, companies, or individuals mentioned.
No comments yet.
Private notes are available after approval.