Hong Kong's business sector should tap into opportunities created by the strengthening ties between Taiwan and the mainland, Hong Kong Coalition of Professional Services chairman Leung Chun-ying said yesterday.

Leung, also an Executive Councilor, said after coming back last Friday from a three-day visit to Taiwan with other coalition representatives that he is confident of the island's political stability.

The coalition met with the chairman of Straits Exchange Foundation, Chiang Pin-kung, Mainland Affairs Council deputy minister Liu Te-shun, Deputy Minister of Economic Affairs John Deng, and other Taiwan business representatives.

Leung said Taiwan's business sector gave positive recognition to Hong Kong's professional services, but added that the historical and political reasons over the past years had hindered cooperation between the two regions.

He said he believes the service sector in Hong Kong has potential for establishing business in Taiwan.

"We believe that the service sector in Hong Kong is competitive. When we were developing business on the mainland eight years ago, many people told us at that time that would be difficult. Now, the business value conducted on the mainland for five sectors is higher than what they make in Hong Kong," he said.

He added that the accounting and legal sectors are performing well on the mainland.

"Many legal firms in Hong Kong have established offices on the mainland. They can help the business sector in Taiwan explore the market there," he said.

Leung stressed that the coalition's trip was meant to explore business opportunities, and he did not seek to establish official dialogue between Hong Kong and Taiwan governments.

He added that it is up to the government to decide whether to enter into an arrangement similar to Closer Economic Partnership Arrangement with Taiwan.

Hong Kong Institution of Engineers member Aaron Tong said he hoped that more forums and seminars could be organized for the representatives to express their opinions, which should also involve Macao representatives.

Meanwhile, the Economic Analysis and Business Facilitation Unit of the Financial Secretary's Office will organize an economic forum tomorrow to explore the latest cross-Strait economic developments and challenges faced by Hong Kong. Financial Secretary John Tsang will deliver a welcoming speech at the forum.

(HK Edition 10/28/2008 page1)