AIR freight exporters from Victoria are expected to benefit from a decision by a major airline to operate three weekly direct services between Hong Kong and Melbourne.
The decision was announced by state minister for economic growth Danny Pearson as part of a deal bankrolled by the state government’s $7 million Visit Victoria Industry Partnerships Program (VVIPP).
This is an initiative that sees industry partners match government investment dollar-for-dollar.
While this agreement focuses heavily on tourism, there is also a significant air freight component.
Not only is there greater freight capacity, but the additional flights also open up connections to Asia and North America via Hong Kong’s hub position in the global aviation system.
“The additional flights will also increase air freight capacity for Victorian exporters sending their products and produce to Asia,” Mr Pearson said.
Hong Kong Airlines president Jeff Sun said the extra flights would further deepen “the trade, cultural, and tourism ties between Hong Kong and Melbourne.”
Melbourne Airport chief executive Lorie Argus said their international market growth “shows the importance of competition and choice, which is why we are so excited to welcome Hong Kong Airlines to the mix today”.
Trade between Australia and Hong Kong has been strengthened in recent years by the Hong Kong – Australia Free Trade Agreement (A-HKFTA) which took effect in January 2020.
According to the Department of Foreign Affairs and Trade, Hong Kong was Australia’s 12th most important destination for merchandise exports in 2023 (valued at $9.8bn).
Victoria is a significant exporter of food and fibre products to China including Hong Kong, notably agricultural products, particularly meat, dairy and horticulture, as well as wool, aluminium, hides and skins.