Hong Kong has been vigorously keeping exchanges with Taiwan organisations and promoting economic and trade relations between the two places.

This was the message from Secretary for Constitutional Affairs Stephen Lam speaking at a lunch reception today.

Noting the Taiwan Business Association is familiar with the situation in Hong Kong and Taiwan, Mr Lam said it plays an important linking role in exchange between the two places.

4th largest trading partner

Taiwan is Hong Kong's fourth largest trading partner. Between January and August last year, bilateral trade totalled over $130 billion, up more than 20% over the same period in 2003. From 1999 to 2003, bilateral trade between Hong Kong and Taiwan had an average annual growth rate of 6%.

Mr Lam said about 400 Taiwan companies have set up regional headquarters and offices in Hong Kong.

The Capital Investment Entrant Scheme has attracted about 500 Taiwanese applications.

More than two million Taiwanese visited Hong Kong last year, up 20% on figures recorded shortly after the Handover.

Exchange continues

Mr Lam said since taking up the task of handling Hong Kong and Taiwan relations in 2002, his bureau has been promoting communication, exchange and co-operation in a systematic manner.

"For example, we have been arranging visit tours to our government departments for the media from Taiwan to let them know more about the implementation of One Country, Two Systems. The Constitutional Affairs Bureau has arranged tours and received media delegations in 2003 and 2004," he said.

During the outbreak of SARS, the bureau arranged for Taiwan delegates to communicate and exchange information with local experts and medical professionals, he added.

Recently when a Hong Kong tour group had an accident in Jiu Fen, the bureau joined other departments to help them return home.