TNAG-1607-FCO40-22122-Minutes-and-Hansards-of-the-Legislative-Council-of-Hong-Kong-1987 — Page 37

DRAFT SPEECH BY HON THOMAS CLYDESDALE LEGISLATIVE COUNCIL 14 JANUARY 1987

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Adjournment Debate On Development Of Industry In Hong Kong

Sir,

Like all Councillors who will be speaking on the subject this afternoon, I recognise fully the importance of manufacturing and processing industries to the health and strength of our economy, not only as an export earner of great magnitude and as the catalyst for the development of many of our service industries but also, and perhaps, more importantly as an employer of people, a creator of wealth, a spur to innovation and invention and an essential contributor to our

social stability.

I have heard statements from knowledgeable and sincere people from time to time to the effect that manufacturing is losing ground to services as a contributor to our GDP growth. The media have sometimes repeated this theme with the unwritten implication that, somehow, the production and processing of goods for the markets of the world has become less important and perhaps, in time to come, can and will be largely replaced by services so that Hong Kong could once again become, as we were a century ago, a service centre for China and South East Asia.

Banking

The service Nothing could be further from the truth. industry already contributes a larger proportion to the GDP than manufacturing. But many services depend heavily on manufacturing for their own expansion and development. both directly and indirectly depends on industry. exporting and a substantial proportion of our importing as well. Shipping, insurance, air transportaton and a dozen other services that support and feed upon manufacturing rely heavily

So does