Hong Kong’s logistics firms must target the mainland

Key to boosting growth and maintaining HK as top logistics center.

Dr Paul Tsui, chairman of the Hong Kong’s Association of Freight Forwarding and Logistics (HAFFA), said Hong Kong must expand its logistics facilities to maintain its competitive edge.

Tsui noted that most warehouses are full, and occupancy is close to 100%. Logistics firms are trying to build more warehouses and are negotiating with the government to get new land for logistics facilities.

The proposed Tuen Mun-Chek Lap Kok link and Lantau logistics park might offer much extra capacity. He stressed, however that a third runway the Hong Kong International Airport is also needed.

Hong Kong is facing tough competition as a logistics hub from cities in the mainland. Last week, Shanghai opened its Free Trade Zone pilot project, while Shenzhen is expected to overtake Hong Kong as the world’s third largest port by container throughput this year.