Editorial | High hopes for boost from panda economy

The adorable giant pandas of China have brought joy and friendship wherever they go. They are also being touted as a new lifeline for Hong Kong’s tourism industry and Ocean Park, both of which are eagerly cashing in on the so-called panda economy now that the attraction is home to six of the furry fellows. Fans from near and far are looking forward to meeting the new couple from the mainland on Sunday, the day after their names are due to be officially unveiled in a ceremony. Two cubs born to Ying Ying and Le Le are not expected to make their public debut until early next year.

The good news came as the theme park reported a deficit of HK$71.6 million for the financial year ending June 30, despite posting higher attendance and revenues amid a steady post-pandemic recovery. It welcomed 33 per cent more visitors for a total of 3.14 million, compared with the same period last year. Revenue also jumped 41 per cent year on year to HK$1.18 billion, primarily driven by a 54 per cent growth in admission income to HK$659.9 million. But without a government grant of HK$570 million that resulted in a HK$118.5 million surplus the previous financial year, a multimillion-dollar deficit returned.

The long-term financial viability of the park has long been an issue of concern. Earlier, the government injected HK$5.4 billion as part of the revamp to keep the decades-old facility afloat amid increasingly keen regional and global competition. The park is said to be actively seizing the opportunities brought by the six giant pandas through launching a series of online and in-person activities and designing merchandise, culinary offerings as well as travel products related to the bears. Separately, a local studio has taken its first step into the panda economy by creating a suite of characters based on the six animals – collectively known as “Panda Friends and Family” – under an umbrella project called “Panda Go! Fest HK”. The intellectual property may be used by the government and the theme park for free, but comes with an annual royalties fee for commercial use.

With proper strategies and promotion, it is hoped that the panda fever can be turned into real gains for the tourism economy as well as for Ocean Park.