Since the publication of the Education Commission Report No. 5 in 1992, the Hong Kong community like other international communities, put increasing emphasis on creating a quality professional teacher work force in schools. This is culminated at the establishment of the Hong Kong Special Administrative Region in July 1997 when the Chief Executive, Mr. Tung Che Hwa, announced in his Inauguration Speech that all new primary and secondary teachers should be degree holders with formal professional training. Among the many needs and initiatives to upgrade the teaching force, the situation in primary school sector draws great attentions of the education community. At present, over 80% of the primary school teachers are non-graduates but professionally trained. At the same time, the primary school sector also attracts quite a number of the fresh university graduates without professional training to take up teaching posts. This phenomenon is not encouraging to the healthy development of a strong graduate teaching force in the primary school. In order to improve the situation, two areas of work need to be carried out. First the Hong Kong community needs to create opportunities for non-graduate teachers to upgrade themselves to become graduates. Second, postgraduate training program should be developed urgently for untrained graduate teachers in the primary school. Responding to the above, this paper examine the issues related to the development of a Postgraduate Diploma in Education program (PGDE) for in-service primary school teachers with special reference to the expectation of the school principals who are the key actors in the primary school sector. Data of the present study are drawn from a large market study for PGDE program development. Two types of data are available for analysis, namely the quantitative data from survey to a random sample of 392 primary schools (return rate was 80.6%), and qualitative data from interviews with 21 primary school principals. The expectations