Tech tour: Chief Executive Donald Tsang visits SGS Hong Kong which provides services in inspection, verification, testing, and certification.

Chief Executive Donald Tsang says the Government will promote innovation and technology development through the provision of world-class technological infrastructure, and funding of applied research projects.

It will also strengthen co-operation with the Mainland and promote an innovative culture.

Visiting AppoTech today, Mr Tsang said the company, which specialises in system-on-chip, has become profitable after just three years in operation with an impressive revenue growth rate of 400% in 2008.

"While its success story is most encouraging to technology start-ups, the company is also a shining example of Hong Kong's edge in innovation and technological development," Mr Tsang said.

"To drive the growth of the industry we will explore new financial or tax incentives to encourage the private sector to step up research and development."

Testing, certification

Today he also visited SGS Hong Kong, which is particularly strong in consumer products testing and is one of the leading textile and toy laboratories in the world.

"Recognition by the Mainland of our accredited laboratories' test reports will be a big boost for our industry in its search for new markets," Mr Tsang said.

The Government will discuss the issue with Mainland authorities through the Closer Economic Partnership Agreement framework, he said, adding vocational training will be strengthened to nurture talent for the industry.

His visit ended at United Luminous International (Holdings), a Hong Kong-based company with more than 20 years' experience in LED technology and applications.

Green industry

"The wide application of LED is amazing. It means there is huge potential in this business. The Government will stop procuring tungsten filament lamps. LED, with its low energy consumption and long service life, is definitely one of our choices for energy-efficient lighting," Mr Tsang said.

Noting the Government will take the lead in building Hong Kong into a green city, he said it will help the environmental industry expand its Mainland market through participation in environmental, infrastructure and clean development mechanism projects.