******************************************************
Following is a question by the Hon Abraham Shek and a written reply by the Secretary for Food and Health, Dr York Chow, in the Legislative Council today (February 4):
Question:
Regarding vegetables imported from the Mainland, will the Government inform this Council:
(a) whether it has assessed if sufficient quantities of vegetables can be produced by registered mainland farms for supplying vegetables to Hong Kong, so that the vegetable prices in Hong Kong can remain stable in different seasons; if the assessment result is in the affirmative, of the justifications for that; if the assessment result is in the negative, the ways to tackle the problem;
(b) of the measures currently in place to monitor the operations of registered mainland farms for supplying vegetables to Hong Kong which are located in places outside Guangdong Province, such as Beijing and Shanghai; and
(c) given that some members of the public have relayed to me that the retail prices of vegetables do not follow reduction in wholesale prices and drop immediately, resulting in a "quick-in-going-up but slow-in-coming-down" situation, whether it will consider conducting an investigation to examine if any price fixing exists at the wholesale level; if it will not, of the reasons for that?
Reply:
President,
(a) According to the Hong Kong Merchandise Trade Statistics published by the Census and Statistics Department, in 2006, 2007 and 2008 (up until October), the volumes of vegetables supplied by the Mainland to Hong Kong were about 486,000 tonnes, 589,000 tonnes and 493,000 tonnes respectively, accounting for more than 90% of Hong Kong's total vegetable import. Such information revealed that most of Hong Kong's imported vegetables were from the Mainland, and the overall supply has remained steady without shortage.
Fresh vegetables supplied by Mainland registered vegetable farms can meet the needs of Hong Kong citizens in different seasons both in terms of quantity and product type. Apart from the seasonal factor, the vegetable prices are also directly affected by weather. For instance, in summer which is a low season, the vegetable output will fall abruptly in the event of a typhoon or rainstorm, and the vegetable prices may soar temporarily with demand outstripping supply. Taking 2008 as an example, the average wholesale prices of vegetables handled by the Vegetable Marketing Organisation for the year ranged from about $5,800 per tonne (approximately 1,650 catties) in summer to $5,300 in winter, representing a seasonal fluctuation of about 10%, which is basically normal.
(b) At present, there are about 680 registered vegetable farms on the Mainland that supply vegetables to Hong Kong. They are scattered around various provinces and cities, including Guangdong, Beijing, Shanghai, etc. The list of registered farms that supply vegetables to Hong Kong are accessible from the website of the State General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ).
According to an agreement between the Hong Kong Government and the AQSIQ, all vegetables supplied to Hong Kong must come from registered vegetable farms. The inspection and quarantine authorities in the Mainland would exercise management at source in respect of farms and collection stations that supply vegetables to Hong Kong, and implement measures including the supervision of the whole loading process, marking of vegetable consignments and sealing of vegetable vehicles. Each consignment of vegetables imported from the Mainland must also be accompanied with a 「供港澳蔬菜農藥使用報告單」(certificate of pesticide usage for vegetables supplied to Hong Kong and Macao) and a 「供港澳蔬菜檢驗檢疫監管卡」(inspection card of vegetables supplied to Hong Kong and Macao) issued by the relevant Mainland authorities.
According to the agreement between Hong Kong and the Mainland, all Mainland fresh vegetables entering Hong Kong via land route must be imported via the Man Kam To Control Point (MKTCP), and subject to random inspection by officers of the Food and Environmental Hygiene Department (FEHD) upon arrival. Officers of the FEHD will check the seals of the vegetable vehicles, verify and examine whether the accompanying documents tally with the vegetable consignments. Should any consignment be found not tallying with the accompanying documents, the consignment concerned will be detained for testing and the Mainland authorities will be notified to take follow-up actions. In 2007 and 2008, a total of about 57,000 vegetable vehicles were inspected at the MKTCP, and there was no report of cases involving vegetable source not tallying with accompanying documents. FEHD officers will also take vegetable samples for quick tests for pesticide residues and comprehensive chemical analysis. In 2007 and 2008, over 37,000 vegetable samples collected at import, wholesale and retail levels were tested for pesticide residues and the satisfactory rate is 99.9 per cent.
Apart from maintaining close liaison with the Mainland in respect of management at source, the Hong Kong Government also adopts the strategy of collecting vegetable samples for testing at import, wholesale and retail levels to ensure food safety.
(c) The policy objective of the Administration is to maintain a stable food supply and ensure food safety. Food price should be determined by market forces. The Administration is committed to improving market transparency and enhancing market efficiency, so as to help consumers make a wise choice.
Vegetable wholesale activities operate under the supply and demand forces of the free market, with keen competition on both the supply and demand sides. In recent years, we have not found any irregularities in the wholesale prices and supply of the vegetables imported into Hong Kong. The retail prices of vegetables, like other fresh food, are adjusted by free market forces in accordance with seasonal changes and demand. For example, the prices of certain fresh food may go up during major festive occasions. The Administration endeavours to maintaining an adequate supply of the major food items, enhancing market transparency for the protection of consumer's right to know and creating a level playing field for the trade.
To enhance market transparency, the Agriculture, Fisheries and Conservation Department publishes daily information on the supply and average wholesale prices of major non-staple food (including vegetables) through its website and the radio for public reference.
Ends/Wednesday, February 4, 2009
Issued at HKT 13:07
NNNN
