developed road networks, and highly modernized air cargo and
port facilities. In 2012, the Hong Kong International Airport was the
world's busiest airport for international air cargo and Hong Kong
was the world's third busiest container port. Hong Kong's container
port handled 23.1 million twenty-foot equivalent units (TEUs), or
269.3 million tonnes of goods.
The logistics sector is one of the key economic pillars of Hong
Kong. It produced HKD 67.1 billion in value added, contributing to
around 3.3 percent of GDP in 2012. The ‘value added’ is a term used
in national accounting. In brief, value added measures the net
output of an economic activity, i.e. the value of goods and services
produced minus the value of goods and services used in production
including purchase of materials and supplies, rental, and business
services (Censtatd, 2012). The number of people engaged in logistics
services was 183,200 or 5 percent of the total employment in
2012. Fig. 1 shows cargo freight in kilotonnes from