TNAG-0419-FCO40-465-Registration-of-merchant-shipping-in-Hong-Kong-1973 — Page 123

CONFIDALAIAL

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DRAFT MINUTE FROM SECRETARY CF BIATE TO PRIME HUMI

PRIME MINISTER

FROPOSED HONG KONG REGISTER OF SKIPPING

Since you net Mr Y K Pao in December, Michael Heseltine

and his officials have been in close and continual

touch with the Hong Kong Government on this subject end

their Director of Marine and Deputy Economic Secretary

visited us this week for discussions. As a result we

have worked out proposals which are summariced in the

enclosed consultativo document.

2. These do not go as far as Mr Pao would like in

that Masters of ships on the Hong Kong register would

still have to be British subjects and First Mates and

Angineers would have to pass our examinations. However,

there is a good prospect that we might achieve grouter

flexibility in these respects as a result of negotiations

with BBC countries and Norway (referred to in paragraph &

of the consultative document). European maritimo

countries traditionally require Masters of ships to be

their own nationals and unless we can negotiate changes

on a reciprocal basis, we shall be putting British

officers at a disadvantage. We also take the viow that

we cannot give the Hong Kong Director of Harino authority

to determine atandards regarding safety equipment, crew

accommodation end manning for ships flying the Red Vasiga

though we propose to delogate much greater authority