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Mr Callaghan remarked that there were TUC experts on the question and he wondered whether there was room for the Hong Kong equivalent of the Donovan Commission to assist in the task. He recognised that there might well be political complications to this and asked the Department to provide him with a note on the pros and cons. If there seemed to be any scope for such a Commission, he would be glad to talk it over with the TUC.
7.
Mr McCluskie then spoke about the shipping trade unions. There were two problems: the absence of any real negotiations between the unions and the private agencies supplying ships with crews for local trade; and the problem created for British seamen by the practice of offering Hong Kong crews for voyages to and from Europe at rates somewhat below the standard UK rates. At Mr Callaghan's suggestion he agreed to prepare a memorandum on the whole problem.
8.
Mr Callaghan referred to the question of International Labour Conventions raised by Mr Mikardo and enquired whether there were adequate arrangements within the Office to keep these under review. It was confirmed that there was a continuous process of review of the Conventions and that the attention of the Hong Kong Government had been specifically drawn to the need for a careful review of the Maritime Conventions. Mr Callaghan suggested that a periodic assessment of Hong Kong's performance with regard to applying International Labour Conventions should be made and be seen by the responsible Minister.
Indonesia
9.
Mr Mikardo explained that the NEC had called on Mrs Hart to discuss the question of whether British aid to Indonesia could be used as a lever to achieve more progress over political prisoners. Mrs Hart had told them it was doubtful whether there would be any additional aid given this year in view of Indonesia's increased wealth following the oil price rise, and her doubts about the absorptive capacity of its economy. She had however explained that there was a Department of Trade and FCO interest in the matter. The NEC had sought to send a delegation to discuss the question with the Indonesian Ambassador who had brusquely refused to receive them.
10.
answer.
Mr Callaghan said he could only give an interim There was a difference of opinion between the FCO and the ODI on the aid question. His preliminary view was that our interests in Indonesia were such that we would not gain influence there by cutting off our aid. The Dutch, the Germans and the French were all expected to pledge new capital aid this year. The domestic policies of Indonesia to which Mr Mikardo had referred did not commend themselves
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/to him
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