Overlap isn't particularly good for turbos, not even on the gassers. On the diesels, it's nearly impossible to get overlap. With stock pistons and head gasket, it is impossible to get overlap.
Overlap also relies on a tuned header to create some scavenging vacuum at the exhaust port and in the cylinder to start drawing intake charge in. So wituot a tuned header, it's pretty useless. And you would need a header tuned to 4000 RPM's or so to use any overlap on a nomally asthmatic diesel to any advantage. That would mean that you would be making your own header from tubing from scratch, because none of the headers available for these engines will be tuned to that low an RPM range. Also, with only 18cc of volume above the piston, there's not much chance of "storing" vacuum from the header tuning even with no overlap or negative overlap.
With the turbo, the benefits of overlap pretty much go away. First, you don't have the tuned header scavenging effects, because there's a turbo on a standard manifold. And you also have boost in the intake which will blow through the exhaust valve and that wastes any benefit from the overlap.
With lift and duration, there are some very rigid limits in the diesel as well. The intake valve opening profile and the exhaust valve closing profile have to be pretty close to the stock cam. You can add duration on the closing of the intake valve and the opening of the intake valve (by widening the lobe center angle), but there's some limits to that as well. Also, more duration gives you a higher optimunm RPM range, and you can get beyond what the diesel engines can reach if you go crazy on duration.
One thing you might consider is machining the piston crowns for enough clearance for the "J grind" (049J markings) cam from a 1.7L or JH 1.8L solid lifter engine. That cam has about half the negative overlap of the diesel cams, and it has more duration than the stock diesel cam. FWIW, the last time I changed the timing belt, I actually tried to put a J cam in. It clunked when the valve(s) hit the piston(s) after maybe 10 to 15 degrees of crank rotation.
If you want to have something custom ground, more lift in the center of the cam lobe will definitely help, but the whole piston/valve geometry limits you in the first half of the opening profile on the intake and the last half of the closing profile on the exhaust. A cam that makes the valves go "CRUNCH!" won't make much power.
Finally, porting and polishing the port passages in the head is a great idea. The stock ports aren't the best for flow. And with a diesel, polishing the entire intake runner in the manifold and the port in the head to a mirror finish is a good idea. Matching the head and manifold at the intake manifold gasket also helps out a lot. You don't need any turbulence in the intake air in the diesel to mix the fuel mixture. It's not like a gasser in that respect. Polishing everything is good. On the normally asthmatic engines, you want to be careful about going too big on the ports and reducing the velocity and momentum of the airflow. But on a turbo, I would think that bigger would be better.
Bigger valves would also help. I haven't looked at the whole geometry of the diesel heads. I'm not sure if you could fit the 40mm/33mm combination from the JH head in there. If those valves can fit, that would help too.
I wouldn't do any porting in the pre-combustion chamber unless you really know what you are doing or you have a large pile of diesel heads to experiment with. I'm pretty sure there's not much to be gained there, and a whole lot to lose.
And you don't want to lower compression much. If you add even 3cc's of volume above the piston, you'll be lowering the compression below 20:1, and starts will get very difficult, especially in cold weather. You're starting out on the really steep part of the volume/compression curve, so a little more volume drops compression a whole lot at first.
Here's a "chart" of volume above the piston vs. compression ratio:
cc above piston | compression ratio
18 | 23:1
*********************************************************************
18.5 | 22.4054054054054:1
*******************************************************************
19 | 21.8421052631579:1
*****************************************************************
19.5 | 21.3076923076923:1
***************************************************************
20 | 20.8:1
**************************************************************
20.5 | 20.3170731707317:1
************************************************************
21 | 19.8571428571429:1
***********************************************************
21.5 | 19.4186046511628:1
**********************************************************
22 | 19:1
*********************************************************
22.5 | 18.6:1
*******************************************************
23 | 18.2173913043478:1
******************************************************
23.5 | 17.8510638297872:1
*****************************************************
24 | 17.5:1
****************************************************
24.5 | 17.1632653061224:1
***************************************************
25 | 16.84:1
**************************************************
25.5 | 16.5294117647059:1
*************************************************
26 | 16.2307692307692:1
************************************************
26.5 | 15.9433962264151:1
***********************************************
27 | 15.6666666666667:1
***********************************************
27.5 | 15.4:1
**********************************************
28 | 15.1428571428571:1
*********************************************
28.5 | 14.8947368421053:1
********************************************
29 | 14.6551724137931:1
*******************************************
29.5 | 14.4237288135593:1
*******************************************
30 | 14.2:1
******************************************
Oh, and vwmikes cam specs leave out the lift spec where duration was measure. And the measurements he gave are different on different cams. For example, the numbers he gave for the 1.6L gas cam and the "G grind" are total duration, where the duration he specified for the JH cam is at 0.050". The JH cam is about 10 degrees shorter in duration than the 1.6L gas cam, and about 15 degrees shorter than the G grind if you compare duration at the same lift on all the cams. IE, if you go at 0.050" on all of them, they would be somewhere around 212 degrees for the J, 222 degrees for the 1.6L cam and 227 degrees for the G grind.