Certain information and statistics relating to our industry provided in this section have been derived from official government sources. In addition, this section and elsewhere in the prospectus contains information extracted from a commissioned report, the Frost & Sullivan Report, prepared by Frost & Sullivan, for the purposes of this prospectus. See ‘‘— About This Section’’. We believe that the sources of the information in this ‘‘Industry Overview’’ section are appropriate sources for such information, and we have taken reasonable care in extracting and reproducing such information. We have no reason to believe that such information is materially false or misleading, and no fact has been omitted that would render such information materially false or misleading. However, the information has not been independently verified by us, the Sole Global Coordinator, the Sole Bookrunner, the Sole Lead Manager, the Sole Sponsor, the Underwriter, or any other party involved in the Global Offering, other than Frost & Sullivan with respect to the information contained in the Frost & Sullivan Report.
Characteristics of the economy relevant to the Cha Chaan Teng Industry GDP
Apart from the economic downturn resulting from the global financial crisis in 2009, the economy in Hong Kong has maintained steady growth since 2007. In 2010 and 2011, Hong Kong’s economy grew at a rate of 7.0% and 6.0% per annum, respectively. This was due to rapid growth in many Asian economies and moderate recoveries in Europe and the United States that allowed Hong Kong’s external trade to remain competitive. Growth was also supported by an expanding domestic market due to increasing intra-regional production activities and growing number of tourists from China. According to the Frost & Sullivan Report, nominal GDP in Hong Kong grew from approximately HK$1,622.3 billion in 2009 to approximately HK$1,923.2 billion in 2011. According to the Frost & Sullivan Report, nominal GDP in Hong Kong is expected to reach HK$2,768.7 billion in 2016, representing a CAGR of 7.3% from 2012 to 2016. The per capita GDP increased from approximately HK$229,613.2 in 2009 to approximately HK$267,858.6 in 2011. The strong rebound of the Hong Kong economy in 2011 led to an increase in per capita GDP by 9.4% in 2011. According to the Frost & Sullivan Report, the per capita GDP in Hong Kong is expected to amount to HK$370,442.8 in 2016, representing a CAGR of 6.4% from 2012 to 2016.
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The following table and chart illustrate the growth trend of GDP and GDP per capita in Hong Kong for the years 2007 to 2011 and projected growth from 2012 to 2016:
232,362.9 239,268.8 229,613.2 244,839.1
Per Capita GDP (HK$)
Per Capita GDP
Source: Census and Statistics Department of the Government of Hong Kong, IMF and Frost & Sullivan Report
Disposable Income and Food Expenditure
According to the household expenditure survey conducted by the Census and Statistics Department of the Government of Hong Kong for the purpose of assessing the 2009/10-based composite consumer price index released in April 2011, approximately 27.5% of the household expenditure of residents in Hong Kong was spent on food, which ranks second after housing expenses of approximately 31.7%. Among the expenditure spent on food, approximately 17.1% of the spending represents meals bought away from home.
Illustrated in the graph below, the annual per capita food expenditure in Hong Kong experienced a decline in 2009 by 3.9%, and then recovered by 6.4% in 2010, in line with...
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