Hong Kong-Thailand Business Council launched

Hong Kong's newest international business group was officially launched tonight (September 25) with the inaugural dinner of the Hong Kong-Thailand Business Council.

The Financial Secretary, Mr Antony Leung, said the establishment of the Council could only reinforce the already strong ties between Hong Kong and Thailand.

"We have long been important business partners. And that partnership just keeps growing," he said.

"In the past decade, our bilateral trade has more than doubled to US$5.4 billion last year. The momentum is continuing this year, with total trade up 9.2 per cent in the first seven months."

Mr Leung said Thailand continued to be the major supplier of one of Hong Kong's most essential needs, rice, with 80 per cent of the grain coming from Thai farmers.

The Financial Secretary also spoke of the growing potential for business opportunities, particularly in the fast developing Greater Mekong Region.

"Just as Hong Kong is the gateway to the Pearl River Delta - the most prosperous, fastest-growing region in China - we are keenly aware that Thailand is strategically located at the centre of South East Asia," Mr Leung said.

"So, it acts as the gateway for Hong Kong enterprises heading into South East Asia, and particularly into the Greater Mekong Region that includes Cambodia, Vietnam, Laos, Myanmar and Yunnan Province...a market of tens of millions of people."

Mr Leung urged Hong Kong and Thai enterprises to seize the chance to team up with one another and to make the best of the market opportunities that would emerge as Asian economies returned to positive and more sustainable growth.

The full text of Mr Leung's speech follows:

Thank you, Bernard. Good evening, Deputy Prime Minister, Consul-General, ladies and gentlemen,

It is a privilege to be present at the first official function of the Hong Kong-Thailand Business Council. The establishment of the Council can only reinforce our already strong ties.

Thailand and Hong Kong have long been important business partners. And that partnership just keeps growing. In the past decade, our bilateral trade has more than doubled, to 5.4 billion US dollars last year. The momentum is continuing this year, with total trade up 9.2 per cent in the first seven months. When I say our trade is important, I don't mean only in dollar value or volume. We rely on Thailand for the lion's share of one of Hong Kong's most essential needs - specifically, about 80 per cent of our rice imports last year. So I guess you could say there's a little bit of Thailand in most Hong Kong homes.

And I must add that Thailand is a popular destination for Hong Kong people, such that over half a million of us made trips to Thailand last year. During weekends and holidays, thousands of Hong Kong people rushed to Bangkok, Pkuket, Pattaya and other places in Thailand to experience the dynamism and culture, as well as enjoy the sunshine and the beaches there.

On top of our bilateral trade, roughly one-third of Thailand's trade with the Mainland of China is routed through Hong Kong. And China's international trade can only expand now that it's a member of the World Trade Organisation. Given Hong Kong's strategic location, our independent legal system, our level playing field for business, and our strength as an international financial centre and services hub, we are an ideal portal between Thailand and the Mainland of China. Hong Kong's businesses will continue to be excellent partners for Thai companies as they venture into the Chinese market.

Two gateways partnership

Just as Hong Kong is the gateway to the Pearl River Delta - the most prosperous, fastest-growing region in China - we are keenly aware that Thailand is strategically located at the centre of South East Asia. So, it acts as the gateway for Hong Kong enterprises heading into South East Asia, and particularly into the Greater Mekong Region that includes Cambodia, Vietnam, Laos, Myanmar and Yunnan Province. Like the Pearl River Delta, the Greater Mekong is a fast-developing region with a market of tens of millions of people.

One of the objectives of this new council is to provide the Hong Kong and Thai business communities with opportunities to develop partnerships. This echoes precisely the 'two gateways partnership' that our Chief Executive and the Prime Minister of Thailand discussed when the Prime Minister visited Hong Kong in May last year. So I'm delighted to witness this very significant step toward that goal that's taking place here tonight. I would like to call upon both Hong Kong and Thai enterprises to seize this new chance to team up with one another. By doing so they will be able to make the best of the market opportunities that will undoubtedly emerge as Asian economies return to positive and more sustainable growth.

I'm confident that the Hong Kong-Thailand Business Council will make a significant contribution to strengthening our business and community links. I wish the Council a very successful and prosperous future. And I wish you all an enjoyable dinner tonight.

Thank you.

Ends/Wednesday, September 25, 2002