ENG-1970 — Page 81

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INDUSTRY AND TRADE

During the year the Australian Government carried out an extensive review of its entire tariff structure in order to reduce the number of tariff classifications. In the course of its review some tariff rates were altered but the changes as a whole were minimal. The trade was kept informed of details of tariff amendments for items of interest to Hong Kong.

The Australian Tariff Preference Scheme for Less Developed Countries was further extended. During the period from July 1, 1969 to June 31, 1970, Hong Kong was the third largest beneficiary after India and Spain in this scheme.

DOCUMENTATION OF EXPORTS

Import and export licensing formalities are kept to a minimum consistent with Hong Kong's international obligations. The most complex formalities are those resulting from Hong Kong's obliga- tions to restrain certain exports of textile products.

With Hong Kong's economic dependence upon the export of manufactured goods, most of them made from imported materials, and the concurrent existence of a substantial re-export trade, the operation of an origin certification system satisfactory to overseas customs authorities is vitally important. The Commerce and Industry Department issues certificates of origin and accepts the responsibility for safeguarding the integrity of the entire Hong Kong certification system. To this end, close liaison is maintained with overseas authorities and with the authorised non-Government certificate issuing bodies, i.e. the Hong Kong General Chamber of Commerce, the Indian Chamber of Commerce, the Federation of Hong Kong Industries and the Chinese Manufacturers' Association. The value of domestic exports covered by certificates of Hong Kong origin issued by the department and the five organisations during the year was $6,380.9 million.

Britain and a number of other commonwealth countries grant preferential rates of duty to Hong Kong products. In order to support claims to preference, the department issues Commonwealth preference certificates against legal undertakings given by manu- facturers to use only Commonwealth raw materials or detailed cost statements prepared by accountants authorised for the purpose.