TORONTO - The governing Liberals should rethink a $30-million plan aimed at luring foreign students to Ontario universities when so many home-grown graduates are struggling to put themselves though school, opposition leaders said Thursday.

Foreign students are welcome to study to Ontario, but not on the taxpayers' dime, said Opposition Leader Tim Hudak.

"To see $40,000 a year in scholarships go to foreign students when Ontario families are trying to scratch together enough money to send their kids to college or university -- it's wrong," he said.

"We'd put the money into scholarships for Ontario families and students."

Premier Dalton McGuinty announced the PhD scholarship program Thursday in Hong Kong while wrapping up an official visit to China.

It will provide 75 top students with $40,000 a year for up to four years. The government will provide $20 million and participating universities will put up $10 million.

The Liberals hope the move will boost the profile of Ontario universities abroad as part of a larger economic plan outlined last spring that will see them into next fall's election.

The program -- on par with the Rhodes and Commonwealth scholarships -- will attract bright young minds while raising the profile of Ontario universities on the world stage, said Training, Colleges and Universities Minister John Milloy.

"This is pretty, pretty small when you consider the number of graduate students here in the province, the supports we have in place for them," he said.

The government spends about $45 million a year in scholarships to graduate students and hundreds of millions more on student loans, Milloy added.

"This is a small, yet important move to enhance our education system."

But it's hard to justify such a generous scholarship program when Ontario students are paying the highest tuition fees in the country, said NDP Leader Andrea Horwath.

"If we don't have Ontario students feeling like they can access a post-secondary education, really, where is the net benefit?" she asked.

"That's what the government needs to look at."