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The Task Force to Support the Processing Trade set up in the light of changes in the Mainland's policy on processing trade held its first meeting today (August 3) to discuss measures to assist Hong Kong traders with manufacturing operations on the Mainland in adapting to the policy changes, restructuring, upgrading and relocating.
In his opening remarks at the meeting, Secretary for Commerce and Economic Development, Mr Frederick Ma, said the Government attached great importance to the impact of the new policy on the industry and understood the concerns and worries of Hong Kong traders. The aim of setting up the Task Force was to put together related Government departments, the industry and supporting organisations to jointly follow up the issue more proactively and efficiently, and to provide assistance to the affected trade.
"I hope members will participate in the discussion positively and put forward their recommendations openly. Together, we should work out practicable solutions to the problems with a view to mitigating the impact of the new policy on the industry."
"On the other hand, I encourage you to continue to display the Hong Kong spirit of flexibility, align yourself with this national policy, get prepared to upgrade, restructure or relocate your operations, and to turn challenges into opportunities such that the industry will scale new heights in the long run," Mr Ma said.
During the meeting, members reviewed details of Announcement No.44, 2007 issued by the Ministry of Commerce and General Administration of Customs.
Convenor of the Task Force, the Permanent Secretary for Commerce and Economic Development (Commerce, Industry and Tourism), Miss Yvonne Choi, said, "Since the Mainland issued the Announcement No. 44, HKSAR Government has carried out much follow-up work, including gauging the views and suggestions of the industry on the new policy, and relaying their views and suggestions to the Ministry of Commerce, and seeking clarifications on the details of the Announcement."
"We understand that the Ministry of Commerce is studying the issue and suggestions put forward. We will keep in close contact with the Ministry."
As the majority of Hong Kong enterprises is concentrated in Guangdong Province, officials from the Hong Kong Economic and Trade Office in Guangdong has been meeting their counterparts in the province, and facilitating Hong Kong traders to communicate directly with Guangdong officials.
The Chief Executive also reflected to the Guangdong side the concerns and suggestions of Hong Kong traders at the tenth Plenary of the Hong Kong/Guangdong Co-operation Joint Conference yesterday. At the Plenary, both sides agreed to set up the Hong Kong/Guangdong Expert Group on the Restructuring and Upgrading of the Processing Trade to support Hong Kong enterprises in Guangdong Province to upgrade and restructure.
With regard to some Hong Kong traders' suggestions of allowing local banks with Renminbi business to provide standing book deposit service and using bank guarantees or letters of credit in lieu of cash for the deposit, Miss Choi said Mr Frederick Ma had contacted the banking sector and issued a letter to Hong Kong Association of Banks urging its members to contact the processing trade and examine feasible solutions. She understood the Association would discuss the issue at its meeting today and would reflect their views to the relevant Mainland authorities.
To assist Hong Kong traders in upgrading, restructuring and relocating, the Government is actively liaising with different Mainland provinces. Hunan Province, for example, Miss Choi said, had already sent Mr Frederick Ma a proposal, and Mr Ma would be happy to lead a delegation of Hong Kong traders to visit Hunan and other provinces.
More than 20 representatives from trade associations, supporting organisations and government bureaux and departments attended today's meeting. Government representatives briefed members on different schemes and assistance available. They include SME Funding Scheme of Trade and Industry Department, Innovation and Technology Fund of Innovation and Technology Commission, Environmental Protection Departmentˇ¦s support in regard to clean production technologies, as well as Trade Development Council's support on marketing and trade promotion, and Hong Kong Productivity Council's technology support etc.
Ends/Friday, August 3, 2007
Issued at HKT 21:01
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