Residents line up to buy face coverings on Feb 12 in Tsim Sha Tsui amid a shortage of supplies in the city. (CALVIN NG / CHINA DAILY)

HONG KONG - The Hong Kong government on Friday said it has agreed to subsidize two local face mask production lines, from which it is expected to buy 2.8 million units a month. 

These production lines are the first two approved under the government’s Local Mask Production Subsidy Scheme, according to a statement issued by the Commerce and Economic Development Bureau. The scheme, launched on March 2, seeks to boost local face mask production amid the global coronavirus pandemic outbreak. 

Based on their committed production output, the two production lines stand to receive subsidies of up to HK$2.5 million and HK$2 million, respectively.

The scheme aims to provide subsidies to a maximum of 20 local production lines

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Topwill Passion Limitet is expected to supply an average of 2 million masks to the government per month starting from April 20, and another 250,000 units for the local market.

The other recipient Shang Manufactory Limited is expected to supply an average of 800,000 masks to the government per month starting from May 5.

The scheme aims to provide subsidies to a maximum of 20 local production lines. As of Thursday, the bureau has received 82 applications, five of which have been approved while the rest have yet to meet the eligibility criteria.

Eligible production lines need to meet the stated requirements in equipment, use of raw material, production venue, hygiene condition, and output.

The government undertakes to purchase face masks from the subsidized production lines for a year. In return, the subsidized lines will have to prioritize the government’s needs.

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Meeting the press on Friday, Secretary for Commerce and Economic Development Edward Yau Tang-wah said the bureau was also seeking manufactures to produce children face masks which are in particular short supply.

Meanwhile, Under the government’s anti-epidemic fund scheme, travel agencies can apply for an one-off HK$80,000 subsidy each and the subsidies for hotels range from HK$50,000 to 80,000 each. 

Yau said all eligible travel agencies and about half of the eligible hotels have already received the subsidies.