Hong Kong's success as the region's leading distribution centre can be attributed in part to companies such as Hikari International Logistics. A US-Japanese-Hong Kong joint venture established in 1998, Hikari is an industry leader in providing integrated logistics solutions.

"The manufacturing and consumer-product market in China and the Asia- Pacific region is developing fast," said Hikari Managing Director Helen Fu, who is also vice-president and chairlady, China Affairs Committee, of the Hong Kong Logistics Association.

"Hong Kong enjoys a natural advantage being situated at the heart of Asia and within the four-hour economic zone including mainland China, Japan, Korea, Singapore and other major markets in the region. This facilitates the development of Hong Kong into a high-value­goods inventory-management and regional distribution centre for manufacturing materials and consumer goods alike."

Given today's build-to-order approach, manufacturing materials are constantly in rapid circulation, transforming the function of warehousing from mere storage into hubs that manage inventory, orders and distribution. "Inventory control is paramount to the asset management of a company," said Fu,"and a reputable and professional logistics services provider is the key to successful inventory control."