"Logistics Hong Kong" In Action

"The 'Logistics Hong Kong' Initiative is now in full swing and making good progress," said the Secretary for Economic Development and Labour, Mr. Stephen Ip, emerging from the meeting of the Hong Kong Logistics Development Meeting (LOGSCOUNCIL) held today (August 28).

Mr Ip, who assumed LOGSCOUNCIL Chairmanship on 1 July, affirmed that, "The Government is fully committed to strengthening Hong Kong's role as Asia's preferred international logistics hub."

"Since the establishment of LOGSCOUNCIL last December, its five Project Groups have been working hard to develop and implement work programmes in their respective priority areas to facilitate Hong Kong's logistics development," Mr Ip said.

At today's LOGSCOUNCIL meeting, members discussed the work progress of the Project Groups and exchanged views on the Council's future activities.

On the development of IT infrastructure, Mr John Hammond, Shepherd of the E-logistics Project Group, reported at the meeting that a feasibility study for the development of a Digital Trade and Transportation Network (DTTN) System had commenced recently. The study would explore the feasibility of developing an open and neutral IT platform for the exchange of data and information amongst players in the supply chain. The consultants were currently assessing the state of e-readiness and level of IT sophistication of the local logistics industry. In the remaining months, the consultants would develop the technical architecture of the potential DTTN System and establish the value of such a system to the identified participants and stakeholders in the logistics sector. The study would be completed by the end of 2002.

Mr. C C Tung led the P-logistics Project Group, which worked on measures to improve the physical and regulatory infrastructures to expedite freight flow in and out of Hong Kong. The Group maintained a keen interest in process re-engineering measures undertaken by the Customs and Excise Department. It also received and offered views on private sector proposals to develop new modes of "bonded pipeline" services, which enabled customs clearance procedures to be conducted in places other than the land boundary control points, thus reducing the traffic congestion at the control points. The Project Group expected to receive new recommendations soon from consultants on the feasibility of developing designated value-added logistics parks in Hong Kong.

The H-logistics Project Group, led by Mr. Willy Lin, focused on human resource development and knowledge building within the logistic industry. Members of the Group contributed to VTC's 2002 Manpower Survey of the Transport Logistics Industry, and would develop a list of required competencies from the industry's perspective to facilitate local tertiary institutions in developing training courses. Local exhibition-cum-talks would be organised to inform upper-form secondary students of job profiles and employment opportunities in the logistics sector. The Project Group would also consider sponsoring local tertiary students to join overseas study missions to expose them to the best practices in other international logistics hubs.

The M-logistics Project Group chaired by Mr. James Hughes-Hallett had developed slogans and a publicity pamphlet to promote Hong Kong's logistics capabilities. It also endorsed proposals for LOGSCOUNCIL to host the Welcoming Luncheon of the premier biennial Air Cargo Forum 2002 in Hong Kong on 18 September, and to co-organize with the Trade Development Council the Hong Kong Logistics Services Expo and Conference in Guangzhou in December. The Group would also consider organising an international logistics conference in Hong Kong next year.

In recognition of the contributions of SMEs to Hong Kong's economy and their important role in the logistics sector, the S-logistics Project Group led by Hon Ms Miriam Lau worked on measures to enable the SMEs to better embrace the concept of logistics business. The Project Group was closely involved in a consultancy study which aimed at developing recommendations to improve the business processes of transport logistics SMEs and to enhance their competitiveness. It would also facilitate the E-logistics Project Group in developing plans to promote the use of IT among logistics SMEs.

LOGSCOUNCIL members also discussed the US Container Security Initiative. The consensus was that Hong Kong should fully support the Initiative and work out an implementation plan as early as possible.

"The Government will continue to draw on the wisdom and enterprising spirit of the private sector in developing Hong Kong's logistics strengths. The LOGSCOUNCIL provides us with the perfect avenue for doing so," Mr. Stephen Ip concluded.