Logistics industry urges government for more support

The government should give more support to the logistics sector if the city is to thrive as a regional distribution hub, industry trade groups say.

Their call comes amid growing industry concern that buildings in Kowloon used for logistics purposes are being demolished and the sites redeveloped as upmarket offices, putting further pressure on supply.

Dr Paul Tsui Hon-yan, the chairman of the Hong Kong Association of Freight Forwarding & Logistics, said the logistics industry had urged the government to consider releasing more land dedicated for logistic operations. But only two sites in Kwai Chung had been earmarked and tendered for development.

Tsui said both sites were being built as single rather than multiple-user projects, which only put more pressure on small and medium-sized logistics companies because they could not use the buildings.

He said that before the administration of Chief Executive Leung Chun-ying took office, the Transport and Housing Bureau was looking at other locations such as Tuen Mun to provide more land to the industry.

But "it looks like it was not able to get anything from Planning Department and Lands Department", he added.