
Tuesday, October 14, 1997 CONTENTS ======== 1. Government to appeal against court ruling 2. Statement on ECVII court ruling 3. Two lots sold for $8.5 billion at land auction 4. HK faces up to challenges of the Information Age: FS 5. Clarification of misreporting 6. Sex Discrimination Ordinance to be clarified 7. No E.coli O157:H7 detected in beef 8. New initiatives to further simplify regulatory systems 9. Two more easy access buses for disabled persons in Sha Tin 10. August external trade statistics by country and commodity 11. Second quarter service industries business receipts indices 12. A bridge between Trade Department and customers 13. Employment exhibition draws more than 2,100 visitors 14. Hong Kong Monetary Authority tender results 1. Government to appeal against court ruling ***************************************** The SAR Government will lodge an appeal against the ruling of the Court of First Instance on the definition of the relationship between parent and child in schedule 1 to the Immigration (Amendment) (No 2) Ordinance 1997, an SAR Government spokesman said today (Tuesday). The court has ruled that it is illegal to deny the right of abode to children who rely on their fathers' status as permanent residents of the HKSAR simply because they were born out of wedlock. "After seeking legal advice, we have decided to lodge an appeal on this point," the spokesman said. End 2. Statement on ECVII court ruling ******************************* In response to media enquiries in connection with a Court of Appeal's ruling to uphold an earlier order by the Court of First Instance that 112 Ex-China Vietnamese illegal immigrant (ECVII) applicants for habeas corpus should be released, an SAR Government spokesman made the following statement: "We are arranging for the release of the remaining 112 ECVII applicants and their family members in compliance with the court ruling by Mr Justice Keith on October 9. "Altogether a total of 278 ECVIIs will be moved from High Island Detention Centre to the New Horizon Camp within today." The spokesman confirmed that the Government had lodged notices of appeal in respect of Mr Justice Keith's judgements handed down on September 26 and October 9 respectively ordering the release of seven ECVII "test" applicants and the remaining 112 applicants. "As the ECVIIs had already been properly settled in Mainland China, we consider that they should be removed thereto. Their release from detention does not imply that they are not subject to removal to Mainland China. "Moreover, we will review the legislation to see whether there is any need for amendment in the light of the court judgement," the spokesman said. End 3. Two lots sold for $8.5 billion at land auction ********************************************** Two Government lots were sold for a total of $8.5 billion at a public auction held by the Lands Department this (Tuesday) afternoon. The first lot, at Area 63, Tai Po, and with an area of 91,265 square metres, was sold to Wealth Team Development Limited for $5.6 billion, with bidding opened at $3.5 billion. The developer has to complete a gross floor area of not less than 64,900 square metres on or before December 31, 2002. The lot is intended for private residential use, excluding service apartments. The second lot, at the junction of Hang Kwai Street and Hang Fu Street, Area 16, Tuen Mun, has an area of 16,587 square metres. It was bought by Macfull Limited for $2.9 billion, with bidding opened at $1.5 billion. The developer has to complete a gross floor area of not less than 62,000 square metres on or before December 31, 2002. The site is intended for non-industrial use, excluding godown, petrol filling station, hotel and service apartments. The third lot at Kowloon Bay was withdrawn because the bidder could not produce the required deposit. Under General Condition No.6 of the Condition of Sale, the lot was thus withdrawn. It will be put up for auction at the earliest opportunity. The auction was conducted by Government Land Agent, Mr Francis Ng Hang Kwong, in the Concert Hall of the Hong Kong Cultural Centre, Tsim Sha Tsui. End 4. HK faces up to challenges of the Information Age: FS **************************************************** The Financial Secretary, Mr Donald Tsang, said Hong Kong has to face up to the challenges of the Information Age in order to retain its competitiveness in the new era. Speaking at the 125th Anniversary Dinner of Cable and Wireless Plc this (Tuesday) evening, Mr Tsang said Hong Kong had had a long history of facing up to challenges and embracing new technology. "From a policy perspective, the way Hong Kong is connected to the rest of the world is a serious matter indeed," the Financial Secretary said. "As we cross the threshold of the brave new world of the Information Age, the Government has come to place even more consideration on these issues. "Questions arise at a very basic level: for example, what role do we wish Hong Kong as an economy to play in future? How can we best manage the transition of our community to an information society? How can we assist our country, China, in considering these issues?" "The more questions we ask the more that arise," Mr Tsang said. Emphasising the Government's determination to place priority on addressing these questions, Mr Tsang said: "Last week, our Chief Executive, Mr Tung, expressed a vision of Hong Kong assuming a leadership position in the information industries. "He also outlined the fact that we will take a holistic approach by designating one policy secretary to co-ordinate all the Government's work on these issue. "Furthermore, this policy secretary will be tasked with producing a thorough and well considered plan of action to serve as a blueprint as we go forward." Mr Tsang said he believed that the role of the Government in this work was one of leadership, which must facilitate the following: * the establishment of an open common interface information infrastructure; * the laying down of an appropriate regulatory framework to remove obstacles to interconnection; * the development of a policy for promoting IT applications (including the development of computer literacy and enhancing skill training for IT professionals); and * the commissioning of pilot projects which make innovative use of the developing infrastructure. Mr Tsang said: "The institutional framework within Government to facilitate this is now being finalised and our preliminary thoughts on how to proceed are forming quickly. "We hope to provide details in the near future." He reiterated that the significance of an information society went way beyond telecommunications companies to the whole range of service industries which together comprised 83 per cent of Hong Kong's GDP and for which telecommunications was a vital underpinning. "The developments in the information industries are likely to change the very way in which mankind lives and works and the way business, trade and commerce is conducted globally," Mr Tsang concluded. End 5. Clarification of misreporting ***************************** Some news reports in the Chinese media today (Tuesday) commented that the Secretary for Justice was at variance with the Secretary for Home Affairs over the law which covered the Police action against the display of flags on October 10, with the Secretary for Justice saying it was the Public Order Ordinance and the Secretary for Home Affairs the Crown Land Ordinance. A spokesman for the Department of Justice pointed out that in her response to a reporter's question yesterday, it was clear that the Secretary for Justice was commenting on the applicability of the law in relation to the holding of a flag by a member of the public in a public gathering, and other press reports today correctly reported this. What the Secretary for Home Affairs referred to was the display of flags erected on Government land. End 6. Sex Discrimination Ordinance to be clarified ******************************************** The Executive Council today (Tuesday) gave approval for the introduction of the Sex Discrimination (Amendment) Bill 1997 into the Provisional Legislative Council. To be gazetted this Friday, the Bill aims to clarify beyond doubt that the commencement date for the application of anti-discrimination requirements in the Sex Discrimination Ordinance (SDO) relating to death and retirement provision shall be October 15, 1997 and not retrospectively from December 20, 1996. Explaining the background for these amendments, a government spokesman said: "The Sex and Disability Discrimination (Miscellaneous Provisions) Ordinance (MP Ordinance), which was a Member's Bill, was enacted in June 1997. Sections 2, 3 & 4 of the MP Ordinance shall repeal and replace sections 11(4), 15(4) and 16(4) of the SDO respectively on October 15, 1997. "The effect of these new sections is to give exemption from certain anti-discrimination requirements to death and retirement provision made for a woman before the commencement of these sections in so far as that death and retirement provision continues on and after that commencement. "When the MP Ordinance was enacted, it was the Government's and the legislature's intention that the reference to 'the commencement of this section' in those sections was meant to be a reference to the commencement of sections 2, 3 and 4 of the MP Ordinance (October 15, 1997), and not the commencement of the original sections 11, 15 and 16 of the SDO on December 20, 1996. "However, this meaning is not clearly brought out in those new sections. As a result, the anti-discrimination requirements may be interpreted as applying to retirement scheme terms with retrospective effect from December 20, 1996. "Retrospective application of the anti-discrimination requirements to retirement scheme provisions is certainly undesirable as it would cause great difficulties and administrative costs to relevant employers of schemes. This also runs contrary to the Government's and the legislature's intention of having October 15, 1997 as the commencement date for the application of the new requirements. "In order to remove the ambiguity in the wording of the new sections 11, 15 and 16 of the SDO, and to avoid any unintended interpretation of their commencement date, it is therefore proposed that these sections be amended to clarify that the reference to 'the commencement of this section' in those sections means October 15, 1997." End 7. No E.coli O157:H7 detected in beef ********************************** The Department of Health confirmed today (Tuesday) that no E.coli O157:H7 bacteria were detected in beef imported recently into Hong Kong from IBP slaughterhouse in Dakota City, Nebraska, USA. A spokesman for the department said 18 samples of beef originated from the IBP slaughterhouse had been taken for testing as a precautionary measure, following media reports which said that the bacteria were found in a consignment of beef exported from USA to another country. The 18 samples tested were found to be free of E.coli O157:H7. Local importers and retailers were now advised that they could resume the sale of beef from the IBP slaughterhouse, he said. The spokesman noted that in the interest of public health, importers and retailers had been very co-operative in withholding the sale of the products before laboratory results were available. He also pointed out that it is a legal requirement for beef imported from USA into Hong Kong to be accompanied by an official health certificate issued by the competent authority of the country certifying that the product is safe for human consumption. Nonetheless, members of the public are advised to cook beef thoroughly before consumption. He added that E.coli O157:H7 is easily killed by cooking at a temperature of 75 degrees Celsius for two to three minutes. End 8. New initiatives to further simplify regulatory systems ****************************************************** The Trade Department is working on further initiatives to make the textiles trade's regulatory environment more business-friendly, Deputy Director-General of Trade, Mr Stanley Ying said today (Tuesday). Speaking at a trade seminar organised by the Standard Chartered Bank, Mr Ying said the Government's regulatory requirements did have effects on the competitiveness of Hong Kong's textiles industry. "On the one hand, it takes the trade time and resources to comply with the requirements. On the other hand, by maintaining a credible regulatory system, we help the trade to maintain their credibility with overseas buyers, and maintain overseas buyers' confidence in our products. "Our task is to strike a balance, to maximise the benefits of regulation and minimise the costs of compliance. "There are four main directions in our work to make the regulatory environment more business-friendly for the textiles trade," Mr Ying said. "First, we are reviewing our systems and procedures to minimise our costs in administering these systems and thereby minimise fees for the trade when using our licensing and certification services. "Secondly, we have been simplifying or rationalising procedures that traders have to go through under the systems," he said. "As an example of the new initiatives we are working on, we have formulated some ideas to make some of the quota schemes less complex for the trade, and I hope we can announce the changes before the new textiles year begin on January 1, 1998. "We are also working on ways to simplify the procedures in connection with the Production Notification," Mr Ying added. "The third direction is to make use of information technology to provide more efficient, easier interface between traders and the Government." He noted that the Trade Department's homepage in the Internet provided a very efficient and inexpensive channel for the trade to access information on the regulatory system (address: http://www.info.gov.hk/trade). "The introduction of Electronic Data Interchange (EDI) services by the Tradelink Electronic Document Services Limited, of which the Government is a key shareholder, allows a more efficient and easier way for trades to interact with government departments," he said. Currently, traders can make enquiries about their quota balance through EDI. Traders can also electronically process applications for export licence for markets requiring quotas, or import and export declarations. "Other EDI services will be introduced later. Traders will be able to use the EDI for more and more trade documents, including the carrier notification, the Hong Kong Certificate of Origin, the Production Notification, the cargo manifest, etc," Mr Ying said. "The fourth direction in our work to make our regulatory regime more business-friendly is our participation in the World Trade Organisation(WTO). "Hong Kong participates very actively in WTO's work to harmonise origin rules for all products, including textiles products. In doing so our aim is for WTO to agree on a set of common rules that are in the best interests of Hong Kong. "Hong Kong also works very hard in the WTO to ensure that importing WTO Members will comply strictly with the programme to remove all quotas by 2005 under the Agreement on Textiles and Clothing," Mr Ying said. End 9. Two more easy access buses for disabled persons in Sha Tin ********************************************************** Two easy access buses will be deployed in Kowloon Motor Bus (KMB) route 86K running between Kam Ying Court and Sha Tin KCR Station from Thursday (October 16). To cater for the transport needs of disabled persons, these air-conditioned single decker buses are equipped with low floor, accessible ramps and wheel chair places, a spokesman for Transport Department said today (Tuesday). The fare will be $4.6 per single journey. "Easy access buses are also serving in KMB route 88K and Citybus routes 76 and 97. "They will also be available to KMB routes 1A and 60M soon to improve public bus service for people with a disability for commuting convenience," the spokesman said. End 10. August external trade statistics by country and commodity ********************************************************* In August 1997, the value of re-exports increased by 3.1% over a year earlier to $110.0 billion, while that of domestic exports increased by 7.4% to $19.5 billion. Meanwhile, imports increased by 5.8% to $139.8 billion. The Census and Statistics Department today (Tuesday) released detailed statistics on external trade with breakdown by country/territory and commodity for August 1997. Comparing August 1997 with August 1996, increases were recorded in the value of re-exports to Taiwan (+20%), the United Kingdom (+13%), the Netherlands (+12%), Singapore (+12%), France (+8.5%), the mainland of China (the Mainland) (+3.5%) and the United States (+0.3%). However, decreases were recorded in the value of re- exports to Japan (-6.9%), Germany (-4.5%) and South Korea (-3%). Comparing the first eight months of 1997 with the same period in 1996, increases were recorded in the value of re- exports to Taiwan (+13%), the Netherlands (+7.4%), the United States (+7.2%), Singapore (+6.8%), the United Kingdom (+5.8%), the Mainland (+5.5%) and France (+4.4%). However, decreases were recorded in the value of re- exports to Germany (-4.9%), South Korea (-2.1%) and Japan (-1.2%). Taking all destinations together, the value of re- exports in the first eight months of 1997, at $801.4 billion, increased by 4.3% over the same period in 1996. Comparing the first eight months of 1997 with the same period in 1996, the value of re-exports of most principal commodity divisions increased. More notable increases were registered for office machines and automatic data processing machines (by $8.9 billion or 20%); electrical machinery, apparatus and appliances, and electrical parts thereof (by $7.8 billion or 9.8%); clothing (by $5.5 billion or 8.5%); miscellaneous manufactured articles consisting mainly of baby carriages, toys, games and sporting goods (by $5.4 billion or 5.7%); textiles (by $3.8 billion or 6%); and footwear (by $1.7 billion or 3.8%). Over the same period, a decrease in the value of re- exports was registered for telecommunications and sound recording and reproducing apparatus and equipment (by $2.6 billion or 3.5%). Comparing August 1997 with August 1996, increases were recorded in the value of domestic exports to Canada (+21%), Taiwan (+21%), the United States (+16%), the Mainland (+8.8%), the United Kingdom (+8.6%) and the Netherlands (+2.3%). However, decreases were recorded in the value of domestic exports to France (-12%), Japan (-7.3%), Germany (-7.1%) and Singapore (-0.9%). Comparing the first eight months of 1997 with the same period in 1996, decreases were recorded in the value of domestic exports to Singapore (-17%), Japan (-8.5%), Germany (-7.5%), Taiwan (-1.9%), the United Kingdom (-1.7%), the United States (-1.4%) and Canada (-0.9%). However, increases were recorded in the value of domestic exports to France (+12%), the Netherlands (+6.2%) and the Mainland (+3%). Taking all destinations together, the value of domestic exports in the first eight months of 1997, at $135.7 billion, decreased by 1.9% over the same period in 1996. Comparing the first eight months of 1997 with the same period in 1996, more notable decreases in the value of domestic exports were registered for office machines and automatic data processing machines (by $1.7 billion or 19%); photographic apparatus, equipment and supplies, optical goods, watches and clocks (by $840 million or 8.4%); textiles (by $673 million or 7.4%); miscellaneous manufactured articles consisting mainly of jewellery, goldsmiths' and silversmiths' wares (by $538 million or 4.6%); and manufactures of metals (by $490 million or 17%). Over the same period, more notable increases in the value of domestic exports were registered for electrical machinery, apparatus and appliances, and electrical parts thereof (by $1.3 billion or 6.5%); and professional, scientific and controlling instruments and apparatus (by $1 billion or 48%). Comparing August 1997 with August 1996, the value of imports from most main suppliers showed increases of various magnitudes: Japan (+15%), Germany (+12%), Malaysia (+11%), Italy (+5.7%), the United Kingdom (+5.1%), South Korea (+4.8%), the Mainland (+4%), Taiwan (+3.5%) and Singapore (+3.2%). However, the value of imports from the United States decreased by 6.1%. Comparing the first eight months of 1997 with the same period in 1996, increases were recorded in the value of imports from Malaysia (+16%), the United Kingdom (+15%), Germany (+13%), Japan (+6.6%), the Mainland (+6.2%), the United States (+3.2%), Italy (+2.1%) and South Korea (+0.1%). However, the value of imports from Singapore and Taiwan decreased by 1.4% and 0.2% respectively. Taking all sources together, the value of imports in the first eight months of 1997, at $1,058.2 billion, increased by 5.4% over the same period in 1996. Comparing the first eight months of 1997 with the same period in 1996, the value of imports of most principal commodity divisions increased. More notable increases were registered for electrical machinery, apparatus and appliances, and electrical parts thereof (by $14.4 billion or 11%); office machines and automatic data processing machines (by $11.5 billion or 22%); clothing (by $8.5 billion or 13%); telecommunications and sound recording and reproducing apparatus and equipment (by $5.7 billion or 6.2%); road vehicles (by $4.8 billion or 18%); and miscellaneous manufactured articles consisting mainly of baby carriages, toys, games and sporting goods (by $3.9 billion or 5.6%). Over the same period, a decrease in the value of imports was recorded for photographic apparatus, equipment and supplies, optical goods, watches and clocks (by $801 million or 1.9%). All the trade statistics described here are measured at current prices and no account has been taken of changes in prices between the periods of comparison. A separate analysis of the volume and price movements of external trade for August 1997 will be released in early November. Detailed trade statistics analysed by commodity and by country/territory are published in trade statistics reports. The August 1997 issue of the "Hong Kong External Trade" with detailed analyses on the performance of Hong Kong's external trade in August 1997 will be on sale at $111 per copy around October 25. The report can be purchased at either the Government Publications Centre, ground floor, Low Block, Queensway Government Offices, 66 Queensway, Hong Kong, or the Publications Unit of the Census and Statistics Department, 19th floor, Wanchai Tower, 12 Harbour Road, Wan Chai, Hong Kong. Enquiries regarding regular subscription to this report may be directed to the Publications (Sales) Office of the Information Services Department, 28th floor, Siu On Centre, 188 Lockhart Road, Wan Chai, Hong Kong (Tel No. 2598 8194) and enquiries on trade statistics to the Census and Statistics Department on 2582 4915. End 11. Second quarter service industries business receipts indices *********************************************************** Business receipts in most service industries showed year-on-year increases of various magnitudes in value terms in the second quarter of 1997. Comparing the second quarter of 1997 with the same quarter a year earlier, the value of business receipts in the financing (except banking) industry registered the fastest growth, by 62%. This was followed by those in the real estate and the communications industries, which grew by 27% and 18% respectively. These are the provisional figures on the 1996-based business receipts indices for service industries released today (Tuesday) by the Census and Statistics Department. The robust increase in business receipts in the financing (except banking) industry was due to significantly higher stock market turnover and strong performance of the capital market in the second quarter of 1997. Reflecting this, within the financing (except banking) industry, the financial market and fund management sector recorded triple- digit growth of 110% in business receipts. The strong growth in business receipts in the real estate industry in the second quarter of 1997 was attributable to the buoyancy in the property market. The surge in business receipts in the communications industry was attributable to the rapid expansion of the telecommunications industry. Along with the significant increase in the number of customers demanding public mobile radiotelephone services, business receipts of the telecommunications industry continued to go up, by 18%. Meanwhile, considerable increases in business receipts were also registered in the banking (+13%), insurance (+12%), business services (+11%) and restaurants (+11%) industries. As regards the storage industry, business receipts dropped slightly by 2% in value terms. The wholesale industry also recorded a small decrease of 1% in business receipts. As for the business receipts of the service domains, those of the tourism, convention and exhibition services domain were 1% lower than the same quarter a year ago, along with a considerable decrease in tourism receipts. By contrast, those of the computer and related services domain recorded an increase of 17%, which was mainly attributable to an improvement in business of trading of computer equipment. Compared with the first quarter of 1997, and bearing in mind that this comparison might be affected by seasonal factors, increases in business receipts were recorded in most service industries. A major source of data used for compiling the business receipts indices is a Quarterly Survey of Service Industries (QSSI) launched by the Census and Statistics Department in 1993. Regarding the tourism, convention and exhibition services domain, part of the data is obtained from the Hong Kong Tourist Association. A service domain differs from a service industry in that a domain comprises those parts of economic activities straddling different industries but somehow related to a common purpose. It may include all activities carried out by all establishments in a service industry that is closely related to the domain. In some other cases, however, only a portion of the establishments in an industry or even only part of the establishments' activities are related to the domain. Tourism is a good example. It includes all activities of travel agents; and some (those involving visitors as customers) but not all of the activities of restaurants, retailers and transport operators. Details on the compilation method of the business receipts indices are given in the report "Quarterly Business Receipts Indices for Service Industries, Second Quarter 1997", which is now on sale at $8 per copy at the Government Publications Centre of the Information Services Department, Queensway Government Offices, Low Block, ground floor, 66 Queensway, Hong Kong. It can also be purchased from the Publications Unit of the Census and Statistics Department, 19th floor, Wanchai Tower, 12 Harbour Road, Wan Chai, Hong Kong. Enquiries about the survey results may be directed to the Business Services Statistics Section of the Census and Statistics Department on 2894 8120. End 12. A bridge between Trade Department and customers *********************************************** The Trade Department's Customer Liaison Group (CLG) is successful in playing the role as a bridge between the Department and its customers. This was stated by the Chairman of the CLG, Mr Jay Leung, when he addressed the last meeting of the CLG 1996-97 this (Tuesday) afternoon. He said the current CLG had held discussions on a wide range of subjects in response to the Department's Helping Business Programmes and made suggestions on new measures and services to facilitate traders. "The Trade Department has attached importance to the CLG's opinion and some of our suggestions have been accepted and implemented by the Department," he said. Mr Leung thanked members of the CLG for their support and called on traders to support the CLG by continuing to provide, from the service users' point of view, constructive ideas and suggestions to improve the various services provided by the department. Prior to the meeting, members of the CLG, accompanied by the Assistant Director-General of Trade, Mr Edward Yau, visited the Asia and Americas (Textiles Controls) Branch where they were briefed on the licensing services provided to the trading community. The CLG was set up in 1994 with a view to further enhancing the Department's services. It is to serve as an additional channel of communication between the department and its customers and to provide a forum for them to exchange views on the services in a relaxed setting. It aims at soliciting members' ideas on improvements of the department's services to facilitate planning and implementations. It also helps to build up a cordial customer relationship and to enhance customers' understanding of the department's operation and services. End 13. Employment exhibition draws more than 2,100 visitors **************************************************** More than 2,100 people visited the "Employment Information Post" Exhibition at Shatin Town Hall today (Tuesday). A total of 15 employers from different trades participated in the exhibition providing about 1,700 vacancies for job seekers. The event is jointly organised by the Labour Department, the Employees Retraining Board and six prominent employers associations. End 14. Hong Kong Monetary Authority tender results ******************************************* Tender date : 14 October 1997 Paper on offer : EF Bills Issue number : Q096 Issue date : 15 October 1997 Maturity date : 12 November 1997 Amount applied : HK$11,160 MN Amount allotted : HK$5,000 MN Average yield accepted : 5.54 PCT Highest yield accepted : 5.70 PCT Pro rata ratio : About 40 PCT Average tender yield : 5.68 PCT - - - - - Tender date : 14 October 1997 Paper on offer : EF Bills Issue number : Q742 Issue date : 15 October 1997 Maturity date : 14 January 1998 Amount applied : HK$8,240 MN Amount allotted : HK$2,000 MN Average yield accepted : 6.10 PCT Highest yield accepted : 6.13 PCT Pro rata ratio : About 64 PCT Average tender yield : 6.19 PCT - - - - - Hong Kong Monetary Authority tender to be held in the week beginning October 20, 1997: Tender date : 21 October 1997 Paper on offer : EF Bills Issue number : Q743 Issue date : 22 October 1997 Maturity date : 21 January 1998 Tenor : 91 Days Amount on offer : HK$2,000 + 500 MN - - - - - Tender date : 21 October 1997 Paper on offer : EF Bills Issue number : H776 Issue date : 22 October 1997 Maturity date : 22 April 1998 Tenor : 182 Days Amount on offer : HK$1,000 + 300 MN End