NIEUWS APRIL 2011

China’s national plan highlights Hong Kong’s role

The Outline of the 12th Five-Year Plan for the National Economic & Social Development of the People's Republic of China was promulgated on 16 March, with a chapter dedicated to Hong Kong and Macao.
Central Government carefully considered views from Hong Kong when drafting the plan.  The chapter elaborates on the significant functions and positioning of Hong Kong in the development strategy of the country.  This is the first time that a dedicated chapter on Hong Kong is included and this is considered a significant breakthrough in Hong Kong's efforts to complement the National Five-Year Plan.  

The plan stipulates that the Central Government will continue to support Hong Kong in developing its financial services, shipping, logistics, tourism, professional services, information and other high-value-added services; support Hong Kong to develop into an offshore Renminbi business centre and an international asset management centre; support Hong Kong to develop into a high-value goods inventory management and regional distribution centre; reinforce and enhance Hong Kong's status as an international centre for financial services, trade and shipping; and strengthen the global influence of its financial centre.   The Central Government will also support Hong Kong to develop environmental industries, medical services, education services, testing and certification, innovation and technology, and cultural and creative industries.  It will also support economic co-operation between Guangdong, Hong Kong and Macao, including the establishment of a financial co-operation zone and a world-class metropolitan cluster with Hong Kong's financial system taking the lead.  Guangdong service industries will be opened up for Hong Kong on a pilot basis and the pilot scheme will be extended to other regions.  

Click here for the extract of the Dedicated Chapter on Hong Kong and Macao in the "Outline of the Twelfth Five-Year Plan for the National Economic and Social Development of the People's Republic of China"

Record inflow of Foreign Direct Investment

The latest 2010 full year Foreign Direct Investment (FDI) figures for Hong Kong revealed a strong increase of 32% year-on-year, registering a record FDI inflow of HK$535.3 billion (around EUR 49 billion), according to data published by the Census and Statistics Department on 25 March.

Valued at the end of 2010, Hong Kong's FDI stock reached HK$8.5 trillion (around EUR 773 billion),  also representing a significant increase of 17.5% year-on-year.  The latest figures underscore Hong Kong's continued ability to attract FDI and reinforce its status as one of the world's top FDI destinations.


There has been a strong pipeline of live projects from a diversified source of countries.  Mainland China remains a leading source of investment together with the US and the UK.  Hong Kong is also tapping into opportunities presented by the growing trade and investment links with the emerging markets of Brazil, Russia, India and the ASEAN economies.

Hong Kong remains one of top three global financial centres

Hong Kong has kept its place as one of the world’s top three financial centres after London and New York, according to the 9th Global Financial Centres Index (GFCI 9) released by Z/Yen Group on 21 March.  

The Global Financial Centres Index ranks 75 major financial centres in the world in terms of their competitiveness.  Launched by the City of London in 2007, the Index, which is updated every six months, draws on two separate sources of data: instrumental factors (external indices) and responses to an online questionnaire from financial services professionals in different industry sectors.

Compared to the previous index, Hong Kong made a significant leap in its ranking in respect of Wealth Management/Private Banking, a sub-index introduced in GFCI 8.

GFCI 9 recognized that London, New York and Hong Kong continued to be “Global Leaders” which have both broad and deep financial services activities and are connected with many other financial centres.


Full report at http://www.zyen.com/GFCI/GFCI%209.pdf
 

Second phase of Hong Kong’s EcoPark open for tendering

EcoPark, Hong Kong's first recycling-business park which has been operating since 2007, is going into its second phase.   A first batch of Phase 2 lots with a total area of approximately 50,000m²  is now available for tendering.  

EcoPark is a key development of the Hong Kong Special Administrative Region Government's strategy on waste management.   The EcoPark is similar to an industrial estate, especially developed for the recycling industry.   It is one of the Government's initiatives to provide long-term land at affordable cost for the development of the recycling and environmental industry with a view to encouraging investment in more advanced technologies and value-added processes in Hong Kong.


The 20-hectare EcoPark is located in Tuen Mun Area 38 and is developed in two phases.  The first phase occupies about 8 hectares of land and comprises a multi-function administration building with a popular visitor centre and six lots which have all been leased for the recycling of waste oil, wood, metals, plastics, computers and acid batteries.  Works for the second phase have been completed and the first batch of lots (totalling about 5 hectares) is now open for tendering until May 2011.   The tender will be awarded in July 2011.  

More information at http://www.ecopark.com.hk/en/index.aspx

Port cargo throughput up 10%, containers up 13%, air cargo up 20% in 2010

Hong Kong’s total port cargo throughput last year increased 10% over a year earlier, to 267.8 million tonnes, with inward and outward port cargo rising 11% and 10%, to 154.3 million tonnes and 113.6 million tonnes, the Census and Statistics Department said.

The port handled 23.7 million containers last year, up 13% over 2009.  Within this total, laden containers went up 13% to 20 million, while empty containers also increased 12% to 3.7 million.  Among laden containers, inward containers increased 14% to 9.9 million, while outward containers rose 12% to 10.1 million.
 
Air cargo increased by over 20% in 2010.  Hong Kong International Airport (HKIA) handled 4.1 million tonnes of freight.  Although air cargo made up just over 1% of Hong Kong's total cargo throughput last year, it accounted for 35.8% of the total value of Hong Kong's external trade.  HKIA has been ranked as the busiest airport for international air cargo since 1996.  

Ausnutria Dairy to acquire 51% stake in Hyproca Holding

Ausnutria Dairy Corporation, Ltd. (ADC), a Hong Kong-based dairy products producer, has entered into a binding letter of intent (LOI) with Dutch Dairy Investments B.V. (DDI) to acquire approximately 284,000 shares and subscription of approximately 175,000 shares in Hyproca Holding B.V. (Hyproca Dairy together with its subsidiaries, the Hyproca Dairy Group) for EUR16.65 million in cash and stock.

The proposed consideration for the Share Purchase is approximately EUR10 million and is to be settled partly in cash by ADC (or its subsidiary) and partly by allotment and issuance of consideration shares by the company. The proposed consideration for the Share Subscription is approximately EUR6 million and is payable by ADC (or its subsidiary) to Hyproca Dairy in cash.

The Hyproca Dairy Group is principally engaged in the dairy industry in the Netherlands with activities ranging from research and development, milk collection, processing, production, packaging, marketing and sales of dairy products.

Upon completion, ADC will have an approximate 51% shareholding interest in Hyproca Dairy.