TNAG-0510-FCO40-575-Registration-of-merchant-shipping-in-Hong-Kong-1974 — Page 54

LAST

REF.

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LXG V

CONFIDENTIAL

Des

Mr Stuart kokes 30/3

REGISTER OF SHIPPING

Reference.

HKK 21/3

RECEIVER IN

REC

- 5 APR 1974

HKK 21/3.

The

1. I attended Mr Archer's meeting on 20 March. outcome was better than we had feared and it is Mr Archer's intention, with the concurrence of Sir P Thornton to recommend to the new Secretary of State (for Industry that a copy of the report compiled by the team who visited Hong Kong last autumn should be sent to the Governor. Subject to any views the Governor may have and subject to confirmation that an autonomous register on the lines proposed will be sufficiently attractive to Hong Kong ship owners for them to register a worthwhile tonnage in the colony, Mr Archer would recommend the establishment of the register. Mr Archer hopes to submit early next week and would then propose sending a telegram to the Governor with a copy of the report and its annexes by bag.

2. Developments since we last discussed this with Marine Division are that Mr Archer has been to see Mr John Slater of MNAOA (Merchant Navy and Airline Officers Association) to discuss the provisions of the autonomous register in view of the MNAOA resolution of 17/18 January (folio 16). A copy of the resolution will also be sent to the Governor. Mr Slater was much more amenable to the idea of a Hong Kong register when Mr Archer had explained that under no circumstances would a flag of convenience be allowed to operate in Hong Kong. He took the point that special arrangements would be necessary for Hong Kong Chinese in respect of language and greater emphasis on experience rather than academic facility in connection with their certification.

Mr Slater did point out, however, that the ITF were very interested in the register and would want to look at the rates of pay offered to crews on Hong Kong registered ships.

3. Sir P Thornton supported the idea of examinations along the lines proposed by the team. He also thought that in respect of equipment it was essential that the Japanese should make some reciprocal concessions. In discussion at the meeting it was ascertained that UK exports to Japan of all marine equipment is in the region of £7 million per annum which is expected to go up 5 times in the next 5 years. However, this is mostly navigation and repair equipment, steering gear, echo finding equipment for fishing vessels &c. The proportion of our exports which would be affected by the new arrangements over safety equipment, eg life boats, rafts etc, amounts now only to around £300,000 per annum and even were no new arrangements introduced is not expected to increase at a great rate. Understandably, however, both the departments of Trade and of Industry, as well as our own FED, insist on some reciprocity with the Japanese in return for our making it easier for Japanese safety equipment to be used on ships for the Hong Kong and the UK register.

CONFIDENTIAL

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