TNAG-1154-FCO40-1434-Visits-by-Members-of-Parliament-(MPs)-to-Hong-Kong-1982 — Page 102

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

7 July 1982]

THE INDUSTRY AND TRADE COMMITTEE

MR PETER REES, MP, MR C B BENJAMIN and MR A DUNNING

[Mr Maxwell-Hyslop Contd.] considerable delegations to the Far East, this is why we are constantly exploring the potentials of that market. I utterly reject the suggestion we are at all supine or compla- cent about what you choose to say is a collapse.

88. In your own evidence you say that our share has dropped to 7 per cent. over the last decade, it has dropped from what to

per cent.?

7

(Mr Rees.) Where is this?

89. In your annex B.4, line two, our market share has dropped to 7 per cent.. From what has it dropped to 7 per cent.?

(Mr Rees.) Mr. Dunning might know. Perhaps I could ask him?

(Mr. Dunning) I do not know off hand but I think the answer must be in this paper somewhere.

(Mr Rees.) Perhaps we could submit it to you?

(Chairman.) Yes, let us have a note on it.

Mr Maxwell-Hyslop.

90. We cannot assess the importance of this.

(Mr Rees.) We will oblige the Committee.

91. Have any of these Ministerial visits established any reason why the British performance has dropped to 7 per cent over the past decade? Is it because our prices there are uncompetitive with those of other countries exporting to Singapore or is it that British firms have not tendered for public works contracts to the same extent as they have before, for instances? Those are two quite specific instance, they are not theoris- ing, they are factual questions.

(Mr Rees.) Indeed. It is quite true Singa- pore is a very competitive market because it is an open market, it is a market in which the whole world, particularly the Japanese, are closely interested and it is true some of those countries have had a greater success than us. It is perhaps true to say that it is because of past lack of competitiveness. I would like to think the competitiveness has improved. We are talking about 1980 figures not 1981-1982. As regards the pro- portion of contracts for which British com- panies have or have not tendered we could try and assemble that information but I cannot guarantee to give a comprehensive answer to that. I have not got that informa- tion at my fingertips at the moment.

92. As the transport system contract

[Continued

29

would appear to be one of great importance both to Singapore and potentially to British manufacturers have you any information about the British tendering for that, by which I mean have British consortia put in tenders for the system as a whole, to your knowledge, or only for portions of that system?

because I do

re-

(Mr Rees.) Could I just not carry detailed figures in my head fresh my memory? I have a note here. We were involved through British consultants, Mott Hay & Anderson and perhaps it would be fairer if I could submit a note on that?

(Chairman.) It is a sensitive area anyhow and I think a note would be preferable.

Mr Stevens.

93. Clearly it is a very important con- tract and bearing in mind that, for example Dr. Tony Ridley, who is the managing director of the London Transport under- ground, was responsible for the Hong Kong underground railway, this is one where think we should have some advantages. How large and significant is this contract in the whole bulk of our export business to Singapore? If we got the contract would it win back some of that 7 per cent. or is it, though important, not likely to make a big difference in the figures?

(Mr_Rees.) Off the cuff I could not give the break-down between the public and private sector contracts but perhaps we could cover that in the note too?

Mr Crowther.

94. I realise there are certain delicate aspects in our relations with Malaysia at the present. Can you tell us, without making a judgment, as a matter of fact how may export orders to Malaysia have been vetoed by the Malaysian Government in recent times;

(Mr Rees.) We have had some evidence of cases where the British tender was lower than that ultimately accepted. It is therefore possible to draw the inference that the declared policy of the Malaysian Govern- ment, expressed through its Prime Minister, was a decisive factor.

95. Can you tell us how many cases there have been of that happening?

(Mr Dunning.) Chairman, I am not sure that we can give precise figures on this anyway because it is never known quite why a contract is lost. In some cases we can only assume that the contract has been lost

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