ENG-1978 — Page 90

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PRIMARY PRODUCTION

Legislation is currently being drafted to allow the orderly development of the marine fish culture industry in the limited sea area available.

Marketing

Much of the wholesale marketing of primary products - particularly fresh foods is the responsibility of the Agriculture and Fisheries Department, and of the fish and vegetable marketing organisations administered by that department. Retail fresh food marketing is a matter for the Urban Council and for the Urban Services Department. The local agriculture and fishing industries are served by the vegetable and fish marketing organisations. During the year, 31 per cent of the total quantity of locally- produced vegetables and 77 per cent of the total landings of marine fish were whole- saled through these two organisations.

The Vegetable Marketing Organisation operates under the Agricultural Products (Marketing) Ordinance, which provides for a board to advise the Director of Market- ing (the Director of Agriculture and Fisheries). Its main concerns are transporting locally-produced vegetables from the New Territories to the wholesale market in Kowloon, providing marketing facilities, and supervising sales and financial trans- actions in the market. Revenue is obtained from a 10 per cent commission on sales. The organisation is non-profit-making. It seeks to obtain maximum returns for grow- ers by minimising marketing costs and renders such ancillary services as the acquisition and sale of agricultural supplies to farmers and the awarding of scholarships to the dependants of farmers for tertiary education. During the year, 54,500 tonnes of vegetables valued at nearly $110 million were sold through the organisation,

The Fish Marketing Organisation operates under the Marine Fish (Marketing) Ordinance, which also provides for an advisory board. The ordinance provides for the control of the landing, wholesale marketing, import and export of marine fish. The Fish Marketing Organisation operates seven wholesale fish markets, strategically sited to provide convenient services to the public, the trade and the industry. Revenue is obtained from a six per cent commission on the proceeds of sales; surplus earnings are ploughed back into the industry in the form of various services. These include low interest rate loans to fishermen for productive purposes, market and marketing improvements, support for the 13 schools run for the benefit of fishermen's children and the award of scholarships for tertiary education.

In 1978 the wholesale fish markets handled 89,700 tonnes, which were sold for some $347 million. This included 266 tonnes of imported marine fish sold through these markets.

Facilities in existing wholesale markets are inadequate for handling the ever- increasing quantities of imported fresh vegetables, fruit, poultry and eggs, freshwater fish and crustacea. There is widespread obstruction, traffic congestion and low market- ing efficiency at high costs. With the obvious need to improve these markets, detailed plans have been made for establishing new markets in Kowloon and on Hong Kong Island. They will be under the direct aegis of the Agriculture and Fisheries Depart- ment. Work on these market projects is proceeding.

Because of the need for early action, it became necessary for the government to construct and use a number of temporary wholesale markets until permanent markets

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