The signing of the Memorandum of Understanding in Wine-related Businesses with Hungary signifies a further step in Hong Kong's development as a regional hub for wine trading and distribution.

This was the message from Permanent Secretary for Commerce & Economic Development (Commerce, Industry & Tourism) Yvonne Choi after signing the pact today with Hungarian Consul-General Adam Tertak.

Hong Kong's first trade-related agreement with Hungary, the agreement will strengthen co-operation in the promotion of wine-related trading, investment, tourism and education, and in the fight against counterfeit wine.

"Wine exports from Hungary to Hong Kong increased by as much as 78% in value in 2008. We expect this trend to continue as Hungarian wines become more widely known and enjoyed here," Miss Choi said.

In the year since the alcohol duty reduction, wine imports to Hong Kong grew to $3 billion, representing a year-on-year increase of 83%. A total of 12 wine auctions, with total sales of $360 million, have been held in Hong Kong since the duty exemption.