LEGISLATIVE COUNCIL ─ 29 April 2015 9455 OFFICIAL RECORD OF PROCEEDINGS Wednesday, 29 April 2015 The Council met at Eleven o'clock MEMBERS PRESENT: THE PRESIDENT THE HONOURABLE JASPER TSANG YOK-SING, G.B.S., J.P. THE HONOURABLE ALBERT HO CHUN-YAN THE HONOURABLE LEE CHEUK-YAN THE HONOURABLE JAMES TO KUN-SUN THE HONOURABLE CHAN KAM-LAM, S.B.S., J.P. THE HONOURABLE LEUNG YIU-CHUNG DR THE HONOURABLE LAU WONG-FAT, G.B.M., G.B.S., J.P. THE HONOURABLE EMILY LAU WAI-HING, J.P. THE HONOURABLE TAM YIU-CHUNG, G.B.S., J.P. THE HONOURABLE ABRAHAM SHEK LAI-HIM, G.B.S., J.P. THE HONOURABLE TOMMY CHEUNG YU-YAN, S.B.S., J.P. THE HONOURABLE FREDERICK FUNG KIN-KEE, S.B.S., J.P. THE HONOURABLE VINCENT FANG KANG, S.B.S., J.P. 9456 LEGISLATIVE COUNCIL ─ 29 April 2015 THE HONOURABLE WONG KWOK-HING, B.B.S., M.H. PROF THE HONOURABLE JOSEPH LEE KOK-LONG, S.B.S., J.P., Ph.D., R.N. THE HONOURABLE JEFFREY LAM KIN-FUNG, G.B.S., J.P. THE HONOURABLE ANDREW LEUNG KWAN-YUEN, G.B.S., J.P. THE HONOURABLE WONG TING-KWONG, S.B.S., J.P. THE HONOURABLE CYD HO SAU-LAN, J.P. THE HONOURABLE STARRY LEE WAI-KING, J.P. DR THE HONOURABLE LAM TAI-FAI, S.B.S., J.P. THE HONOURABLE CHAN HAK-KAN, J.P. THE HONOURABLE CHAN KIN-POR, B.B.S., J.P. DR THE HONOURABLE PRISCILLA LEUNG MEI-FUN, S.B.S., J.P. DR THE HONOURABLE LEUNG KA-LAU THE HONOURABLE CHEUNG KWOK-CHE THE HONOURABLE WONG KWOK-KIN, S.B.S. THE HONOURABLE PAUL TSE WAI-CHUN, J.P. THE HONOURABLE ALAN LEONG KAH-KIT, S.C. THE HONOURABLE LEUNG KWOK-HUNG THE HONOURABLE ALBERT CHAN WAI-YIP THE HONOURABLE WONG YUK-MAN LEGISLATIVE COUNCIL ─ 29 April 2015 9457 THE HONOURABLE MICHAEL TIEN PUK-SUN, B.B.S., J.P. THE HONOURABLE JAMES TIEN PEI-CHUN, G.B.S., J.P. THE HONOURABLE NG LEUNG-SING, S.B.S., J.P. THE HONOURABLE STEVEN HO CHUN-YIN THE HONOURABLE FRANKIE YICK CHI-MING THE HONOURABLE WU CHI-WAI, M.H. THE HONOURABLE YIU SI-WING THE HONOURABLE GARY FAN KWOK-WAI THE HONOURABLE MA FUNG-KWOK, S.B.S., J.P. THE HONOURABLE CHARLES PETER MOK, J.P. THE HONOURABLE CHAN CHI-CHUEN THE HONOURABLE CHAN HAN-PAN, J.P. DR THE HONOURABLE KENNETH CHAN KA-LOK THE HONOURABLE CHAN YUEN-HAN, S.B.S., J.P. THE HONOURABLE LEUNG CHE-CHEUNG, B.B.S., M.H., J.P. THE HONOURABLE KENNETH LEUNG THE HONOURABLE ALICE MAK MEI-KUEN, J.P. THE HONOURABLE KWOK WAI-KEUNG THE HONOURABLE CHRISTOPHER CHEUNG WAH-FUNG, S.B.S., J.P. DR THE HONOURABLE FERNANDO CHEUNG CHIU-HUNG 9458 LEGISLATIVE COUNCIL ─ 29 April 2015 THE HONOURABLE SIN CHUNG-KAI, S.B.S., J.P. DR THE HONOURABLE HELENA WONG PIK-WAN THE HONOURABLE IP KIN-YUEN DR THE HONOURABLE ELIZABETH QUAT, J.P. THE HONOURABLE MARTIN LIAO CHEUNG-KONG, S.B.S., J.P. THE HONOURABLE POON SIU-PING, B.B.S., M.H. THE HONOURABLE TANG KA-PIU, J.P. DR THE HONOURABLE CHIANG LAI-WAN, J.P. IR DR THE HONOURABLE LO WAI-KWOK, B.B.S., M.H., J.P. THE HONOURABLE CHUNG KWOK-PAN THE HONOURABLE CHRISTOPHER CHUNG SHU-KUN, B.B.S., M.H., J.P. THE HONOURABLE TONY TSE WAI-CHUEN, B.B.S. MEMBERS ABSENT: THE HONOURABLE RONNY TONG KA-WAH, S.C. THE HONOURABLE IP KWOK-HIM, G.B.S., J.P. THE HONOURABLE MRS REGINA IP LAU SUK-YEE, G.B.S., J.P. THE HONOURABLE CLAUDIA MO DR THE HONOURABLE KWOK KA-KI THE HONOURABLE DENNIS KWOK LEGISLATIVE COUNCIL ─ 29 April 2015 9459 PUBLIC OFFICERS ATTENDING: PROF THE HONOURABLE K C CHAN, G.B.S., J.P. SECRETARY FOR FINANCIAL SERVICES AND THE TREASURY THE HONOURABLE GREGORY SO KAM-LEUNG, G.B.S., J.P. SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT DR THE HONOURABLE KO WING-MAN, B.B.S., J.P. SECRETARY FOR FOOD AND HEALTH PROF SOPHIA CHAN SIU-CHEE, J.P. UNDER SECRETARY FOR FOOD AND HEALTH MR GODFREY LEUNG KING-KWOK, J.P. UNDER SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT CLERKS IN ATTENDANCE: MR KENNETH CHEN WEI-ON, S.B.S., SECRETARY GENERAL MRS JUSTINA LAM CHENG BO-LING, DEPUTY SECRETARY GENERAL MS ANITA SIT, ASSISTANT SECRETARY GENERAL MISS ODELIA LEUNG HING-YEE, ASSISTANT SECRETARY GENERAL 9460 LEGISLATIVE COUNCIL ─ 29 April 2015 PRESIDENT (in Cantonese): Will the Clerk please ring the bell to summon Members to the Chamber. (After the summoning bell had been rung, a number of Members entered the Chamber) TABLING OF PAPERS The following papers were laid on the table under Rule 21(2) of the Rules of Procedure: Subsidiary Legislation/Instrument L.N. No. Legal Aid (Assessment of Resources and Contributions) (Amendment) Regulation 2015 .............................. 78/2015 Other Paper No. 91 ─ Language Fund Financial statements for the year ended 31 August 2014 WRITTEN ANSWERS TO QUESTIONS Decline in Number of Visitors to Hong Kong 1. MR JEFFREY LAM (in Chinese): President, it has been reported that the number of visitors to Hong Kong in recent months has declined evidently, resulting in decreases in the receipts of the tourism, catering and retail industries. Some members from these industries have pointed out that the decline in the number of visitors to Hong Kong is related to the earlier protests against parallel traders. In this connection, will the Government inform this Council: (1) of the number of visitor arrivals to Hong Kong in each of the past six months and, among such arrivals, the respective numbers of those from the Mainland, Southeast Asia and long-haul markets; of the regions which had greater rates of decrease in numbers of visitors to LEGISLATIVE COUNCIL ─ 29 April 2015 9461 Hong Kong, and the respective per capita spending in Hong Kong by visitors from such regions, as well as the rates of decrease in the receipts of Hong Kong's tourism and retail industries caused by the decline in the number of such visitors; (2) according to the authorities' assessment, of the causes for the decline in the number of visitor arrivals to Hong Kong and, in case such situation persists, the impacts it may have on Hong Kong's tourism and retail industries, employment rate as well as overall economy; and (3) what new measures the authorities will introduce to attract more visitors to Hong Kong and stimulate the growth in the retail industry; whether the authorities will step up efforts to maintain order in respect of protests against parallel traders, and step up publicity work outside Hong Kong to convey the messages that the impoliteness towards or violence against visitors happened earlier were only isolated incidents and that Hong Kong is still a hospitable city? SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT (in Chinese): President, the tourism industry is one of the four pillar industries in Hong Kong. It accounts for 5% of our Gross Domestic Product and offers 270 000 direct employment opportunities, of which around 240 000 are related to inbound tourism, and most of the jobs are for the grassroots and with relatively lower skill requirements. It can be seen that inbound tourism contributes significantly to Hong Kong's economy and employment opportunities. The HKSAR Government also attaches great importance to the long-term and healthy development of the tourism industry. Our replies to the questions raised by Mr Jeffrey LAM are as follows: (1) and (2) Various factors have affected the desire of visitors to travel to Hong Kong in recent months, such as the persisting uncertain outlook for the global economy, continued strengthening of the Hong Kong dollar as well as depreciation of currencies and relaxation of visa policies of other popular tourist destinations (for example, Europe, 9462 LEGISLATIVE COUNCIL ─ 29 April 2015 Japan, South Korea, and so on). Furthermore, the anti-parallel trading protests in recent months have also damaged Hong Kong's hospitable image and affected the desire of visitors (especially Mainland visitors) to travel to Hong Kong. According to the statistics provided by the Hong Kong Tourism Board (HKTB), the total visitor arrivals and visitor arrivals from the Mainland, Southeast Asia and long-haul markets respectively in the past six months are set out in the table below: Mainland Southeast Visitor arrivals Total visitor Month visitor Asian visitor from long-haul arrivals arrivals arrivals* markets@ 5 213 702 4 027 944 234 172 432 200 Oct 2014 (+12.6%) (+18.3%) (-12.0%) (-2.6%) 5 299 680 4 155 524 262 327 393 315 Nov 2014 (+15.7%) (+24.1%) (-18.1%) (-1.6%) 5 666 362 4 401 845 358 554 350 700 Dec 2014 (+8.5%) (+13.2%) (-10.7%) (-1.4%) 5 609 698 4 490 420 229 138 349 743 Jan 2015^ (+2.8%) (+3.3%) (-0.6%) (+3.3%) 5 405 689 4 551 825 138 241 258 817 Feb 2015^ (+22.4%) (+31.6%) (-32.9%) (-7.3%) 4 405 298 3 240 825 248 683 410 193 Mar 2015 (-8.7%) (-10.0%) (-16.3%) (-0.2%) Notes: As the total visitor arrivals also include visitors from North Asia, Taiwan, New Market countries (for example, Russia), and so on, the numbers of visitor arrivals from the Mainland, Southeast Asia and Long-haul markets do not add up to total visitor arrivals. ( ) Year-on-year change is shown in the bracket. * The major sources of South Asian visitor arrivals are Indonesia, Malaysia, Philippines, Singapore, Thailand, Vietnam, and so on.