√787
Sir Duncan/Watson
CONFIDENTIAL
HONG KONG REGISTER OF SHIPPING
On Stant
Who
23/11
1. I have discussed with Mr Foggon his minute to you of
14 November. All his points (except (a)) are valid warnings
which we must bear in mind. Point (a) in effect says that the
concessions at present agreed are even less than we thought.
2.
Before giving the Shipping Register to Hong Kong we must
be satisfied that this transfer would not result in the
deterioration of standards which Mr Foggon fears. We would
also have to be able to satisfy the other interests concerned,
including the Trade Unions, that this was so. However, it
seems that, for example, the power to relax manning standards
is already in the Hong Kong Government's hands. They are not
at the moment using this power, but we are suggesting as a
"concession" that they should do so. At the same time DTI
seem to have conceded that to transfer the Register would in
fact give no new powers to the Hong Kong Government. Never-
theless we are hesitating to go ahead because we cannot believe
that Mr Y K Pao would be asking for something which would give
him nothing, and because we fear that British Trade Unions
would make the same deduction and would suspect that we had
given away something substantial.
3.
Clearly before making any concession we will have to check
once again whether it is substantial or not. This is largely
for the DTI. My only point is that if we decide that the
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CONFIDENTIAL
/concession