Replies to LegCo questions
LCQ7: Public markets vacant stalls
Following is a question by the Hon Ronny Tong and a written reply by the
Secretary for Food and Health, Dr York Chow, in the Legislative Council today
(May 27):
Question:
The Director of Audit's report on the results of value for money audits released
in October 2003 pointed out that the vacancy rate of the market stalls of Luen
Wo Hui Market had been on the high side since it was commissioned in July 2002.
The major reason seemed to be that the market had to compete with Shek Wu Hui
Market in Sheung Shui for patronage, and the Food and Environmental Hygiene
Department had not conducted any viability study before the two markets were
built. The aforesaid situation is similar to the complaints I received from the
tenants of Luen Wo Hui Market, who indicated that despite the growth of
population in the neighbouring districts, their business turnover had been
decreasing instead of increasing, and the number of leased stalls had also
continued to drop, hence making the business environment very difficult for
them. In this connection, will the Government inform this Council:
(a) of the relevant vacancy rates and the patronage of the two markets, set out
in Table 1.
(b) given that the aforesaid report recommended the authorities to take remedial
measures to reduce the vacancy rate of the market stalls, of the follow-up
actions taken by the authorities and the effectiveness of such actions; and
(c) of the authorities' specific plans to make Luen Wo Hui Market more appealing
to residents in the vicinity, so as to improve the business environment for the
tenants concerned?
Reply:
President,
(a) The respective vacancy rates and average monthly patronage figures of Luen
Wo Hui Market and Shek Wu Hui Market since 2003 are shown in Table 2.
(b) & (c) The Food and Environmental Hygiene Department (FEHD) organises various
promotional activities for its public markets every year, including activities
to celebrate traditional festivals (e.g. Lunar New Year, Tuen Ng Festival,
Mid-Autumn Festival etc), thematic workshops and roving exhibitions etc, with a
view to improving the business environment of the markets. These activities have
been well received by the public and market tenants. Opinion surveys of
participants showed that an average of over 90% of participating customers were
satisfied with the activities and supported organising similar activities, while
an average of 70% of tenants considered that the activities could galvanise
patronage and was conducive to the business environment. The FEHD will continue
to organise similar promotional activities.
Since February this year, the FEHD has lowered the upset auction prices of
long-standing vacant market stalls in order to attract more bidders, thereby
reducing the vacancy rate. Upset auction prices are set at 80% and 60% of the
Open Market Rental for stalls fallen vacant for six months and eight months or
more respectively. As at end April 2009, 552 long-standing vacant stalls (eight
of which are in Luen Wo Hui Market) have been successfully let out under the
scheme.
Moreover, in response to the views raised by the Audit Commission and the Public
Accounts Committee of the Legislative Council, the FEHD has commenced in-depth
utilisation and opinion surveys since March this year on all its wet markets by
batches to gather the views of tenants and customers on possible improvements to
the markets. The FEHD will take into account the findings of the survey and
devise suitable measures and arrangements to enhance the attractiveness of
individual markets and improve the business environment of the tenants. The
first batch of the opinion surveys (including that for Luen Wo Hui Market) is
expected to be completed in mid-2009. It is planned that the survey findings
will be reported to the Legislative Council Panel on Food Safety and
Environmental Hygiene in July this year. Drawing on the findings of the opinion
survey on Luen Wo Hui Market, the FEHD will work out practicable improvement
measures in consultation with stakeholders, such as tenants and the Market
Management Consultative Committee etc.
With a view to further increasing patronage and improving the business
environment of public markets, the FEHD has recently launched a new scheme by
allowing designated vacant stalls in six selected public markets to operate
services trades and new types of business, such as traditional snack shops and
bakeries. Luen Wo Hui Market has joined the trial scheme and 17 stalls in the
market are designated for such trades, including domestic services agencies,
beauty/manicure/massage/Chinese medicine/bone-setting, real estate and
computer-related service. Open auction to let out these stalls will be held in
June this year.
Ends/Wednesday, May 27, 2009
Issued at HKT 11:48
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