CONFIDENNIAL
-3.0
monning requirements proposed by the Hong Kong Government would not, we believe, lead to a substantial increase in officers available for employment on Hong Kong ships: the countries whose certificates Hong Kong has it in mind to accept themselves all suffer from severe shortage of officers. More generally, the establishment of a separate register in favour of the very large Hong Kong owners who quote very competitive chartering rates and have nearly all their new tonnage built in Japan would not be likely to commend itself to UI shipping companies and shipbuilders.
8. Rather than reject these proposals, however, we would propose to go sone way to help the Hong Long Government on the manning problem. There is pover under the Hong Kong shipping legislation to disponse with the requirement that second mates and second engincers should have UK certificates in cases where officers with such qualifications are not available. This power has been used fairly sparingly, but we would propose to recommend to Hong Kong that it be used more liberally in filling these two positiong, where shortages are most serious, by employing suitably qualified aliens holding certificates issued by certain reputable meritine countries such as Norway and Denmark. Holders of such certificates could be considered for dispensation from the requirements of the law. A proposal of this sort could be put into effect under existing legislation without the objections mentioned above.
9. This proposal, together with our moves towards meeting Hong Kong's wishes on equipment acceptance, should go a good way to meet the Colony's difficulties without the need to take more radical steps which would involve us in the objections mentioned. We propose nou to go back to the Hong Kong Administration and hope they will agree that those proposals offer the best solution overall. The 700 have
reservations about some of the arguments advanced above, but agree that this should be the next stage.
10. I am sending copies of this minute to the foreign Secretary and to the Secretary of State for Trade end Industry.
November, 1972
M.R.D.H.