HONG KONG 2004 - Communications, the Media and Information Technology

Hong Kong is one of the world's major film production centres, with 64 films produced and released locally last year, the main genres being action films, romance films and comedies.

In 2004, there were 57 cinemas (with 197 screens), compared with 57 cinemas (with 188 screens) in 2003. Box-office hits of the year¹ included The Day After Tomorrow ($41.63 million), Kung Fu Hustle² ($41.33 million), Harry Potter and the Prisoner of Azkaban ($33.92 million), Spider Man 2 ($31.91 million) and Fantasia ($25.24 million).

The Government is committed to providing a favourable environment conducive to the healthy long-term development of the film industry in Hong Kong. The Film Services Advisory Committee was established in May 1998 to provide a conduit for dialogue between the industry and the Government and to advise on the work of the Film Services Office (FSO) set up under the Television and Entertainment Licensing Authority. The FSO facilitates film production in Hong Kong and promotes Hong Kong films locally and abroad. The Committee is appointed by the Chief Executive and comprises the Secretary for Commerce, Industry and Technology as the chairman, four representatives from the Government and public bodies, and 10 non-official members.

Since its establishment in April 1998, the FSO has obtained the agreement of over 1 900 organisations, including government departments, on the use of their premises for location filming and has published reference materials in this regard for the industry. To facilitate film production in Hong Kong, the FSO provides a one-stop service to the film industry for location filming requests of a more complicated nature. During the year, it dealt with 500 such requests, with a 99 per cent success rate. To assist the film industry in applying for lane closures for location filming purposes, the FSO, in consultation with the Police Force, Transport Department and Highways Department, promulgated a set of guidelines in March 2001. Under this mechanism, the FSO is responsible for coordinating the processing of such applications by other departments. A total of 88 applications for lane closures were approved in 2004. Moreover, after consulting the Transport Department and the Police Force, the FSO issued a set of guidelines in December 2003 to facilitate applications for parking filming vehicles on roads. The FSO coordinates with the departments concerned in vetting the applications. In 2004, the FSO processed 95 applications, all of which were approved.

To promote Hong Kong films in the Mainland and abroad, the FSO facilitated the organisation of Hong Kong Film Festivals in Chongqing, Toronto, Calgary and Washington DC. It also promoted Hong Kong as a choice for location filming at the global expositions 'Locations 2004' and 'Busan International Film Commission & Industry Showcase'. During the year, 176 overseas film crews, including the production teams of the Hollywood film Ultraviolet and the French film La Moústáche, carried out location filming in Hong Kong.

The Film Development Fund (FDF), which operated from April 1999 to March 2004, provided financial support to a wide variety of projects that enhanced the professional and technological capabilities of the film industry so as to strengthen its competitiveness. During the five-year operation period of the FDF, a total of $48.75 million was granted to support 72 projects conducive to the long-term development of the local film industry. They included training courses, workshops, seminars, consultancy studies, surveys, data compilation, publications, film awards presentation ceremonies, overseas promotional activities and sponsorship for Hong Kong films' participation in overseas film festivals.

The Film Guarantee Fund (FGF) was established in April 2003 on a pilot basis for two years. It aims to assist local film production companies to obtain loans from local lending institutions for film production. It also serves to develop a film financing infrastructure in Hong Kong. So far the FGF has provided loan guarantees totalling $14.17 million for six film projects.

Hong Kong adopts a three-tier film classification system: Category I (suitable for all ages); Category II, which is subdivided into Category IIA (not suitable for children) and Category IIB (not suitable for young persons and children); and Category III (for persons aged 18 or above only). The objective is to allow adults wide access to films while protecting persons under the age of 18 from exposure to potentially harmful materials.

Category IIA and IIB classifications are advisory (i.e. no statutory age restriction is imposed) and are intended to give more information to moviegoers, particularly parents, to help them select films for themselves or their children. Age restriction is mandatory for Category III films.

In 2004, 1 295 films were submitted for classification, compared with 1 555 in 2003. Of these, 469 were classified Category I (three with excisions), 361 Category IIA (none with excisions), 352 Category IIB (12 with excisions), and 113 Category III (four with excisions). Film trailers, instructional films and cultural films intended for public exhibition also require censorship but are not classified. During the year, 4 691 such items were approved for exhibition.

Film classification standards are kept in line with society's expectations by regular surveys of community views and consultation with a statutory panel of advisers, comprising about 270 members drawn from a wide cross-section of the community. A public opinion survey on the film classification system conducted in 2004 showed that the vast majority (86 per cent) of the public considered the current film classification system acceptable.

The Board of Review (Film Censorship), a statutory body established under the Film Censorship Ordinance, may review the decisions on film classifications. The Board comprises nine non-official members appointed by the Chief Executive, plus the Secretary for Commerce, Industry and Technology as an ex officio member.