TNAG-0589-FCO40-722-Private-visits-of-leading-personalities-from-Hong-Kong-to-UK-1976 — Page 12

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BRIEF

PROPOSED HONG KONG REGISTER OF SHIPPING

1. The volume of shipping registered in Hong Kong in 1975 is given as about 420,000 gross tons. This is small in comparison with the volume of shipping owned by Hong Kong ship owners and registered elsewhere, mainly in countries offering flags of convenience facilities. The total Hong Kong-controlled shipping

fleet amounted in 1975 to nearly 25 million dead weight tons (nearly 30 millions, if tonnage on order is included), with more than 60% owned by three men, Mr Y K Pao, Mr C Y Tung and

Mr T Y Chao.

2. At present Hong Kong is a port of British registry and the conditions applying to ships registered there are essentially the same as for ships registered in the United Kingdom. Ship owners in Hong Kong claim that this arrangement gives rise to difficulties in manning vessels, since the Merchant Shipping Act 1894 requires that officers be British and hold British qualifications. They have for some time proposed, therefore, that there should be a separate Register of Shipping for Hong Kong. This proposal has been discussed on and off over the past four years and a Department of Trade study team visited Hong Kong for two months in 1973 to investigate the feasibility of a separate register. Ministers have yet to take a view on whether such a register should be allowed. In fact, neither the Hong Kong Government nor Hong Kong ship owners are pressing the issue at the present time.

3. The DoT are also considering a separate proposal to relax the manning requirements for Hong Kong and Bermuda-registered vessels,

Will It is expected that some flexibility be allowed by the end of 1977 insofar as junior officers are concerned.

4. A fully fledged Hong Kong register of shipping would encourage Hong Kong ship owners, who currently register their vessels under flags of convenience arrangements, to register a far greater proportion of their tonnage in Hong Kong. This could result in significant revenue earnings for Hong Kong.

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