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The Chief Executive, Mr Tung Chee Hwa, today (Wednesday) touched down in Auckland to start his first ever visit to New Zealand.

And he hopes to forge closer trade, investment and cultural ties during the landmark visit.

"The purpose of my visit is to foster an already close relationship between Hong Kong and New Zealand. A large community of Hong Kong people live here and about 3,000 New Zealanders live in Hong Kong," Mr Tung said after landing in Auckland.

"Additionally I am going to foster closer trade and investment ties and to explain to New Zealand how well Hong Kong has done since July 1 last year."

Tonight, Mr Tung delivered the keynote address at the influential Asia 2000 Forum, where he spoke about Hong Kong's determination to ride out the current economic turmoil and to become 'even more successful than before'.

Mr Tung assured the audience that the Hong Kong Dollar link with the US would stay and he was confident that the Mainland would not devalue the Renminbi.

"In fact, only in the last two weeks many of the entrepreneurs involved in manufacturing across the border - and please remember that Hong Kong manufacturers employ more than 4,000,000 people across the border in the Pearl River Delta - told me that they remained very competitive in their costs," he said.

Mr Tung said it was an honour to address such an important forum, which focused on the challenges and opportunities in the Asia-Pacific region.

He said he was glad to see increasing trade and investment ties between New Zealand and Hong Kong, which was an important import and export entrepot to and from China for the Kiwi market.

He praised the work of the Asia 2000 Foundation, which he described as a 'visionary move' by the New Zealand Government to re-orient New Zealanders towards Asia by the year 2000.

"Asia accounts for about 40 per cent of New Zealand's total exports and Hong Kong is, of course, an important gateway to the Asia-Pacific region," he told the 200 dinner guests.

"In 1997, Hong Kong was your 7th-largest export market and your 11th largest trading partner overall."

Hong Kong was a big importer of New Zealand seafood, machinery, electrical equipment, paper products, dairy products, beef, lamb and wool.

The Chief Executive joked that he hoped to see more oyster imports after being treated to a surprise platter of a dozen juicy oysters, one of his favourite foods, during the dinner.

Mr Tung also spoke about one of New Zealand's greatest exports that would never show up on the trade books - the mighty All Blacks rugby team.

"Every year they come to Hong Kong for our Rugby 7s tournament and every year they are big favourites with the crowd," he said.

"I know Fiji have taken the limelight over the past few years but I am sure it won't be too long before we see the Kiwis back on the winner's podium. Maybe 1999 will be your year."

New Zealand's Minister of Commerce John Luxton thanked Mr Tung for his 'impressive views on Hong Kong, China and Asia'.

Mr Luxton said New Zealand could learn a lot from Hong Kong, which occupied a small amount of land but had more than twice the per capita GDP of New Zealand.

He also reinforced the importance of the Hong Kong-New Zealand relationship and welcomed further investment from Hong Kong business.

"Hong Kong is in our top 10 - top 10 for visitors, migrants and investors. And you are our largest off-shore base for New Zealand corporations," he said.

"We value the friendship and support of Hong Kong and China and, as the APEC chair, we welcome you back to New Zealand next year as an important friend and partner."

Photo: The Chief Executive, Mr Tung Chee Hwa, meets the New Zealand Prime Minister, Mrs Jenny Shipley, in Wellington.

End/Wednesday, June 17, 1998

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