ENG-1982 — Page 46

INDUSTRY AND TRADE

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sector of trade and an examination of the methods of procedure of further liberalisation would be carried out speedily.

Generalised schemes of preference are operated by most developed countries to promote the export of goods from developing countries and territories. Apart from Finland, all developed countries operating such schemes include Hong Kong as a beneficiary. The schemes allow duty-free or reduced tariff entry for most agricultural and industrial products from beneficiaries, but certain products from Hong Kong are specifically excluded from the schemes operated by Australia, Austria, Japan, Norway, Switzerland and the USA. Hong Kong has consistently made it clear that it seeks no special advantages under these schemes, but simply treatment similar to that accorded to close competitors. The difference in treatment has been the subject of continuing official exchanges which have resulted in gradual improvement of Hong Kong's position in certain schemes. In 1982, Switzerland decided to phase out by 1983 the unfavourable tariff treatment for two products from Hong Kong under its scheme.

Documentation of Imports and Exports

Import and export licensing formalities are kept to a minimum in line with Hong Kong's international obligations. The most complex licensing formalities are those resulting from Hong Kong's obligations to restrain certain exports of textile products. All import licences and export licences covering products other than textiles are issued free. A fee is, however, charged on each application for a textile export licence and certain other applications under the textiles export control system.

Since August 1, 1980, all textile imports have been subject to an automatic licensing system. The main purpose of the system is to monitor the flow of textiles into Hong Kong to help identify possible instances of circumvention of the textile export control system. In accordance with action taken by the United Kingdom, the government enacted the Import Prohibition (Argentina) Regulations 1982 on April 13 to prohibit imports from Argentina except those for transhipment or re-export to China. The regulations were amended on April 20 to prohibit, in addition, imports of Argentinian products from third countries and to exempt those goods which left Argentina before April 13.

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With Hong Kong's dependence on the export of manufactured goods - mostly made from imported materials - and on the substantial re-export trade, a certification of origin system to meet the requirements of overseas customs authorities is important. The Trade Depart- ment issues certificates of origin and accepts responsibility for safeguarding the integrity of the entire Hong Kong certification system. To this end, close liaison is maintained with the Customs and Excise Department, overseas customs authorities, and with five government-approved certification organisations: the Hong Kong General Chamber of Commerce, the Indian Chamber of Commerce, the Federation of Hong Kong Industries, the Chinese Manufacturers' Association of Hong Kong and the Chinese General Chamber of Commerce. The value of domestic exports covered by certificates of origin issued by the department and the five approved organisations during 1982 was estimated at $19,284 million, of which $11,590 million was covered by government-issued certificates.

Form 'A' certificates are issued by the Trade Department to support exports claiming preferential entry into countries which grant tariff preferences to Hong Kong under generalised preference schemes. The five government-approved certification organisations are authorised to issue Form 'A' certificates for exports to Austria, Canada, Japan, New Zealand, Norway and Switzerland. In 1982, the value of exports covered by Form 'A' certificates amounted to $16,174 million.