ENG-2003 — Page 394

334

PUBLIC ORDER

existing vehicle processing kiosks, and the installation of two sets of a Vehicle X-ray Inspection System. In addition, the installation of a total of 42 sets of an Automatic Vehicle Recognition System (AVRS) at the Lok Ma Chau, Man Kam To and Sha Tau Kok Control Points to expedite the processing of vehicles was completed in May. The application of the AVRS shortens the Customs clearance time of each laden goods vehicle by three seconds, on average. Together with the implementation of a series of simplified Customs clearance procedures for vehicles, the average clearance time for a laden goods vehicle has been reduced from 45 seconds to 30 seconds and that for an empty goods vehicle from 20 seconds to 16 seconds.

To facilitate the flow of cross-boundary passenger traffic, the operating hours for passenger clearance at the Lok Ma Chau Control Point have been extended from 0630-2400 hours to round-the-clock operation since January 27, 2003.

To expand Hong Kong's air services network and to enhance its transport links with the Pearl River Delta region, the first cross-boundary ferry service for transit passengers between the Hong Kong International Airport and ports in the Pearl River Delta commenced operation in September. Passengers using this service do not need to go through Customs, Immigration and Quarantine clearance in Hong Kong. A new express cargo terminal to handle air-land-sea transhipment mails and cargo will commence operation in 2004. Simplified clearance procedures will be put in place to facilitate the express cargo flow.

Anti-smuggling Operations

In 2003, the department detected 282 smuggling offences, arrested 356 persons and seized contraband worth $525 million. The total value of seizures increased by 86 per cent compared with 2002. Smuggling between Hong Kong and the Mainland remained a cause for concern. The duty gradient leading to price differences between Hong Kong and the Mainland was still the main factor underlying the problem.

Goods commonly smuggled to the Mainland included computer parts, electrical and electronic appliances, marked oil and optical discs. Container tractors, box-type lorries and private cars were commonly used for smuggling on land. Apart from being stashed among declared cargoes, contraband of small size was concealed inside toolboxes and driving compartments of vehicles. Trailer chassis were sometimes modified to provide false compartments for concealing contraband. At sea, river trade vessels, fishing vessels and motorised sampans were commonly used for smuggling. The smuggled goods were usually hidden inside fuel tanks or secret compartments in these vessels.

A rising trend observed in 2003 was the smuggling to the Mainland of container loads of high-value merchandise such as computer parts and electrical and electronic appliances. During the year, the Customs detected 12 such cases and the value of seizures amounted to $232 million.

Cigarettes and meat were the main items smuggled into Hong Kong from the Mainland. Altogether, 65.94 million sticks of illicit cigarettes originating from the Mainland were seized. There was also an emerging trend in the smuggling of light diesel oil and motor spirit into Hong Kong. During the year, officers seized 21 670 litres of light diesel oil and 432 265 litres of motor spirit in the inbound traffic.

The department's anti-smuggling capability has been strengthened by the installation of the two sets of the Vehicle X-ray Inspection System at the Lok Ma Chau Control Point in March. These inspect vehicles and container lorries by means