Hong Kong approves centre development

By David Johnson HONG KONG Hong Kong chief executive Mr Tung Chee-hwa has approved the development of a new US$257 million international exhibition centre. The 50,000sqm exhibition centre is to be locat-ed at the international airport site at Chek Lap Kok and is scheduled to open in 2005. The Hong Kong Airport Authority and the government will form a joint venture to operate the facility. The government will provide 50% of construction costs and private investment will be sought for the remaining amount. However, private-sector opinion has been divided on the initiative. Hong Kong Convention and Exhibition Centre managing director Mr Cliff Wallace questioned whether sufficient feasibility studies had been conducted to confirm demand for such a facility. He said there would be a huge challenge to make ends meet and justify the level of investment required. "I am not convinced of the demand. That is my opinion based on my own research and professional experience," he said. "Hong Kong has sufficient infrastructure for demand for the next ten years. But, assuming they find the investment we will do our best to work with them for the benefit of Hong Kong." In contrast, Hong Kong Exhibition and Convention Organisers' and Suppliers' Association chair- man Mr Louis Cheng welcomed the news. "We've been lobbying for it for a long time and in fact we think it is overdue," he said. "It will bring tremendous economic benefit to Hong Kong and we will now be able to bid for much bigger shows."