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Manufacturers, Exporters, Wholesalers - Global trade starts here.
More HK Residents Plan Spending on Mainland

Hong Kong worker Lee Yuen-kun needs to wait another year before realizing her dream of visiting Wuyi Mountain in East China's Fujian Province at Spring Festival.

 

"I tried (to book tickets and hotels) one month earlier this time, but again I came out with nothing," said the 48-year-old, who then decided to visit Guilin in South China's Guangxi Zhuang Autonomous Region.

 

"I have been there (Guilin) twice already," she said. "But I think it's worth a third visit, or even a fourth."

 

Next year, however, she said she would book much earlier to secure her Wuyi Mountain trip.

 

Increasing number of Hong Kong people plan to spend Chinese New Year on the mainland, according to information provider ACNielson.

 

The mainland has become the first choice for many Hong Kong people who spend Spring Festival overseas, although the total number travelling overseas this year may drop by one percentage point, said Amy Lee, a director at ACNielsen.

 

Southern China, especially the Pearl River Delta, is a favourite destination, she said.

 

The delta, original home to many Hongkongers, attracts visitors partly because of its cultural links with the special administrative region.

 

"Married or single with incomes high or low, South China is regarded by Hong Kong holidaymakers as the first choice destination," Lee said.

 

Local travel agencies started receiving reservations one or two months before Chinese New Year and have expanded their mainland tour services, Lee Yuen-kee was told by six or seven local agencies when she arranged her mainland trip.

 

An ACNielsen survey that interviewed more than 1,000 local people suggests that Hongkongers' spending on overseas trips will surge by 50 per cent year-on-year this holiday.

 

Higher-income households were poised to spend as much as HK$9,559 (US$1,226), or 76 per cent more than last year.

 

Another survey by information firm TNS suggests 53 per cent of Hong Kong people plan to spend more on gifts, dining out and other seasonal expenses, heralding a holiday spending spree.

 

The extra consumption will also be seen in fatter "lai see," or traditional red envelopes of lucky money, which Chinese give to their relatives and friends as a festival blessing.

 

According to the TNS survey, 72 per cent of Hongkongers will give "lai see" this year, up from last year's 62 per cent.

 

And 41 per cent said they would give more money this Spring Festival, with only 6 per cent intending to reduce the amount given.

 

More than half of residents will give away between HK$1,000 (US$128) and HK$4,000 (US$512).

 

ACNielsen attributed the increased consumption to the improved job market and economic upturn in Hong Kong.

 

"The improving job market in the past few quarters has reinforced consumer confidence both in their own job security as well as in the state of their personal finances," said Amy Lee. "Hong Kong people are more willing to put their hands in their pockets now."

 

The city's unemployment rate stood at 5.3 per cent, a near 60-month low, in November. The number is expected to further fall to 4.8 per cent by the end of the year, economists have predicted.

 

Hong Kong's gross domestic product (GDP) grew for nine quarters in a row until the third quarter of 2005, the longest rising cycle since 1995.

 

The improved economic situation may also translate into a rise in salaries.

 

A survey done consultancy firm Hudson, covering over 500 local companies, suggests 57 per cent of Hong Kong employers may increase salaries by more than 5 per cent in 2006.

 

(China Daily January 26, 2006)

 

Beijing Railways Prepared for Passenger Flow Peak
Workers Shun Trips Home for Holiday Bonuses
Spring Festival Travel Season Begins
Airlines Add Flights for Holiday Rush
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