G.F. 326
46
1981, Hong Kong's re-exports to China grew very
-
rapidly 160% p.a. in money terms. The growth in compensation trading arrangements is a factor
contributing to this. However, this growth rate fell
to 0.6% in 1982. To some extent the recent slow down
is probably only a re-adjustment to the very rapid
growth in the previous years although the world
recession probably also contributed.
59.
More important than its role as the main
market for Hong Kong's re-exports is that China is
also the largest source of goods re-exported through
Hong Kong. Between 1978 and 1982, the money value of goods of China origin re-exported through Hong Kong
grew at 43% p.a.. In 1982, the value of goods of
China origin re-exported through Hong Kong amounted
to HK$14,694 million (US$2,420 million); which was
about one third of the value of Hong Kong's total
re-exports.
60.
The increasing importance of Hong Kong as
entrepot generally and for China in particular is
related to the fact that Hong Kong has become an
important financial, communications and business
centre in East Asia and is endowed with modern and
efficient port facilities. Because of the importance
of trade to Hong Kong's domestic economy and the volume of trade it generates Hong Kong has frequent
shipping links with most parts of the world. Quick and efficient delivery of goods is in many cases vital to the development of international trade. The availability of such services from the best harbour
on the China coast means that the efficiency and
prosperity of Hong Kong are of indirect as well as
direct benefit to China in its drive to increase its
foreign exchange earnings. In future, these facilities are likely to aid the development of
China's offshore oil fields.
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