TNAG-1607-FCO40-22122-Minutes-and-Hansards-of-the-Legislative-Council-of-Hong-Kong-1987 — Page 52

international trade war.

Diversifications in market and product

seem to be active measures to ride out the storm.

This is not a new call. But with our export market still heavily dependent on the US, may be we need to step up the pace of our effort. With the de-facto devaluation of our currency because of its peg to the ever falling US dollar, we experience quite sizable increases in export recently.

But we

can expect strong pressure from the United States Government to adjust the exchange rate in helping it improve its export performance and foreign payment deficit position. longer can we enjoy the advantage of the weak dollar?

How much

We must fully develop our marketing potentials in other promising markets like Japan which enjoys a boosted buying power in relation to the rest of the world because of the rising Yen; or Taiwan which has a trading surplus larger than she knows what to do with. Of course, there are many obstacles to the entrance to these markets, but the potential gain to our economy is definitely worth a harder try.

For

In terms of product diversification, because of the physical constraints imposed on the kind of industrial activities we can undertake, perhaps we should look into other light industries which have not been fully exploited yet. instance, the food processing industry is one that shows hopeful signs for further development; the value added and market potentials deserve our closer attention.

With the enhancement of

Another

product design and marketing, it is hard to foretell the limits of the achievements this industry can accomplish. industry that can accommodate further growth is the traditional Chinese carving industry. Hong Kong possesses many skilled craftsman, and her Chinese furniture, especially rosewood furniture, always enjoy quite a favourable market. nurturing, a more prominent position in the world market is envisaged.

With proper