Throughput increase: The Kwai Chung Container Terminal will be able to handle more than 15 million containers when Container Terminal No.9 comes into full operation in 2005.

The Hong Kong port needs to strengthen its existing advantages to sharpen its edge when facing competition from neighbouring ports, Secretary for Economic Development & Labour says.

Responding to a query from legislator Hui Cheung-ching today, Stephen Ip said a study is underway to review the port's operation and structure.

The study is due to be completed early next year. Its authors will also make recommendations on long-term port-development strategy and propose competitiveness-enhancement measures.

Timely planning to meet future needs

"Our port-development policy is to ensure that the planning of port-related infrastructure meets the practical needs of the port and that port facilities are provided in a timely manner to handle Hong Kong's forecast cargo throughput," Mr Ip said.

The study's initial findings indicate new infrastructure development - such as the Shenzhen-Hong Kong Western Corridor, which will be completed in 2005, and the proposed Hong Kong-Zhuhai-Macau Bridge - will have positive impacts on Hong Kong's cargo volume. 

"We will reflect these impacts fully in the new port cargo forecasts," added Mr Ip.

Cargo throughput keeps growing

The Hong Kong port's throughput broke the record last year, with 19.1 million containers, representing a growth of 7.3% over 2001.

In the first eight months of this year, the total throughput went up by 8.3% over the same period last year, reaching 13.26 million containers.

Mr Ip pointed out that to keep pace with port development needs, the first and second berths of the Container Terminal No. 9 commenced operation in July and October.

With a total of six berths, the terminal will become fully operational by the first quarter of 2005 and provide a capacity of more than 2.6 million containers. By that time, the Kwai Chung Container Terminal's total capacity will exceed 15 million containers.

Measures to enhance competitiveness to be pursued

Container terminals at Yantian, Shekou and Chiwan will add eight container berths from the second half of this year to 2005.  By then, the three container terminals in Shenzhen will have an estimated capacity of more than 11 million twenty-foot-equivalent units, or TEUs.

"In face of competition from the neigbouring ports, the Hong Kong port needs to strengthen its existing advantages, such as further enhancement in container-terminal efficiency and maintaining a high frequency of sailings," Mr Ip said.

Measures dealing with costs, communication between organisations in the container port and freight industries, speed of cross-boundary clearance, commercial arrangements and port promotion will also be actively pursued, he added.