HONG KONG 2005

Hong Kong is one of the world's major film production centres, with 55 films produced and released locally in 2005, mainly in the action, romance or comedy genre. By the end of the year, Hong Kong had 56 cinemas (with 206 screens), compared with 57 cinemas (with 197 screens) in 2004. Box-office hits of the year² included Initial D ($37.86 million), Harry Potter and the Goblet of Fire³ ($34.98 million) and The Incredibles ($33.79 million).

The Government is committed to providing a favourable environment conducive to the healthy long-term development of the film industry in Hong Kong. In November, the industry-led Film Development Committee (FDC) was set up to replace the Film Services Advisory Committee. The new committee is chaired by a professional outside government and its members include representatives of different sectors of the film industry. It is tasked to advise the Government on all matters relating to the development of the film industry in Hong Kong, and to promote Hong Kong films on the Mainland and in overseas markets.

The Government set up a Film Services Office under the Television and Entertainment Licensing Authority in April 1998 to provide better support for the film industry by facilitating film production in Hong Kong and promoting Hong Kong films locally and abroad. Since it was established, it has obtained agreements from over 3 200 organisations, including government departments, on the use of their premises for location filming and has published reference materials on locations for the industry. The office also provides a one-stop service to the film industry for requests of a more complicated nature such as location work that requires lane closures or special permits. In 2005, it dealt with 497 such requests, with a 99 per cent of success rate. The office is responsible for coordinating the processing of applications for lane closures by filmmakers under guidelines agreed with the Police, Transport Department and Highways Department. A total of 61 applications for lane closures were approved during the year. It also, as the coordinator of the vetting process for film industry parking applications, processed 77 such applications, all of which were approved.

In addition, it facilitated the organisation of Hong Kong Film Festival in Washington DC and promoted Hong Kong as an ideal city for location filming at the global exposition, 'Busan International Film Commission and Industry Showcase'. In 2005, 146 overseas film crews, including the production teams of the British-German film, DOA: Dead or Alive, and the Italian film, The Counting House, carried out location filming in Hong Kong.

The office is also responsible for licensing special effects operators and issuing permits for the discharge of special effects materials for the film and entertainment industry. In 2005, it processed a total of 2 515 applications, representing an increase of 33 per cent increase over 2004 and an 111 per cent increase over 2003.

The Government reactivated the Film Development Fund in 2005 to provide financial support to projects conducive to the long-term development of the local film industry. The fund was first set up in April 1999 to run for five years and allocated more than $48 million to 72 projects. They included training courses, workshops, seminars, consultancy studies, and sponsorship for the participation of Hong Kong films in overseas film festivals.

A Film Guarantee Fund was established since April 2003 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 guarantee fund has provided loan guarantees totalling $18.04 million for eight 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 young people 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. The age restriction is mandatory for Category III films.

In 2005, 1 287 films were submitted for classification, compared with 1 295 in 2004. Of these, 554 were classified Category I, 359 Category IIA, 275 Category IIB, and 99 Category III. Film trailers, instructional films and cultural films intended for public exhibition can be exempted from classification. During the year, 5 088 such films were examined and exempted from classification.

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 280 members drawn from different strata of the community.

The Board of Review (Film Censorship), a statutory body established under the Film Censorship Ordinance, is empowered to review the decisions on film classifications on request. 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.