ENG-1981 — Page 40

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問仁

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Industry and Trade

DESPITE the recessionary economic climate prevailing in some of Hong Kong's major markets, the manufacturing industry - which is heavily dependent on exports - in general performed well during the year.

The value of domestic exports in 1981 amounted to $80,423 million 18 per cent more than in 1980.

The major factors that have given Hong Kong its international reputation as a leading manufacturing and commercial centre over the years contributed to this outcome. Among them are the consistent economic policies of free enterprise and free trade; an industrious workforce; a sophisticated commercial and industrial infrastructure; a modern and efficient seaport that includes the world's third-largest container terminal; a centrally-located airport with a computerised cargo terminal; and excellent world-wide communications. There are no import tariffs, and revenue duties are levied only on tobacco, alcoholic liquors, methyl alcohol and some hydrocarbon oils. Tax also is payable on first registration of motor vehicles, except franchised buses./

Apart from ensuring the provision of the infrastructure – either through direct services or by co-operation with privately-owned public utility companies and several autonomous bodies - the government's principal role in the economy is to provide a stable framework in which commerce and industry can function efficiently and effectively with minimum interference. The government normally intervenes only in response to the pressure of economic and social needs. It neither subsidises the export of manufactures, nor protects the domestic market for them.

Industrial Development and Industrial Land "Light manufacturing industries, producing mainly consumer goods, continue to predomi- nate in Hong Kong. About 67 per cent of the total industrial workforce is employed in the textiles, clothing, electronics, plastic products, toys and watches and clocks industries. These industries together accounted for 72 per cent of Hong Kong's total domestic exports. Non-consumer electronics, which require relatively higher levels of technology, are gaining rapidly in significance. In 1981, exports of non-consumer electronic products were valued at $3,918 million, representing 43 per cent of total electronics exports.

Following completion of the first two stages of development, the Tai Po Industrial Estate now provides 45 hectares of land for allocation to industries with a relatively high level of technology which cannot operate in the ordinary multi-storey factory buildings that house the bulk of Hong Kong industry. The third stage of the Tai Po Industrial Estate development has commenced and is expected to take three years to complete. This will add a further 20 hectares to the estate. A second industrial estate, which is under construction at Yuen Long, will provide an additional 65 hectares of land. The Yuen Long Industrial