§ 10. Mr. Clinton Davisasked the Secretary of State for Trade if he proposes to raise the issue of flags of convenience at the next meeting of EEC Transport Ministers.
§ Mr. EyreOpen registries were discussed at the last European Community Transport Council in November at the instance of the Federal Republic of Germany. They will now be considered further by the Council transport working group.
§ Mr. DavisWhat action are the British Government proposing to take? Is the Minister aware that the Liberian shipowners' council is soliciting allies to resist the attack on flags of convenience? Is he prepared to form part of such a dubious alliance? Will he support the initiative taken by the Federal Republic of Germany and other countries in the EEC to prevent that attack on British and other shipping and the importation of the dubious standards which are employed by the flags of convenience?
§ Mr. EyreThe need in UNCTAD is that any analysis of flags of convenience should be realistic and impartial, with an emphasis on economic realities rather than political preconception. Any abuses—if they exist—should be considered with a view to their elimination. The work of the International Maritime Consultative Organisation is valuable in this respect.
§ Mr. James A. DunnWhat action is the Minister intending to take to discourage British shipowners from using flags of convenience which often means lowering safety standards as well as all the other conditions of employment? Does he realise what would happen in the seafaring community in this country if he did not take action?
§ Mr. EyreWe are opposed to a number of practices associated with open registries—or flags of convenience, as the hon. Gentleman calls them—and also with some of the practices applying to the traditional registries. We do not consider the existence of open registries to be an issue. What matters are the standards of safety, crewing and manning and all the matters which are connected with good standards in shipping. Those are better enforced by international conventions.
Mr. R. C. MitchellIf more and more British ships are transferred to flags of convenience, what would happen if there were another war and we needed a Merchant Navy? We praised the Merchant Navy during the last war, but now we are completely ignoring it.
§ Mr. EyreThe hon. Gentleman should be aware that from 1965 to 1979 the open registry share of the world fleet grew from 14 per cent. to 28 per cent. That process has levelled off in the last three years. More foreign-owned shipping is registered in the United Kingdom than there are United Kingdom-owned ships registered under foreign flags.