The growing demand for flag of convenience facilities has resulted in the rapid development of such free flag fleets as Cyprus, Somalia and Singapore. The present report provides a background to this development, discussing generally the very wide implications of the term "flag of convenience," and outlining the effect that increasing registration under free flags has had on the more traditional maritime countries. Part II analyses in depth the development of these fleets, their present structure and the factors governing their future growth. Should this continue at the present rate, which is well in excess of that of the rest of the world, it could have serious implications for the future. The remainder of the report investigates these two aspects of the flag of convenience fleets - their fiscal and operational advantages, and the pattern of accidents involving flag of convenience vessels. Part III, which involves a study of reported accidents involving total loss over the past five years, highlights those aspects of the fleet, which are most responsible for its vulnerability, while Part IV analyses why these free flags are economically so attractive to shipowners. The aim of the report is to put the present situation concerning free flag registration into perspective. It is felt that many of the qualities inherent in flag of convenience registration, which are primarily responsible for its poor reputation, are becoming equally apparent in other sectors, and that control of this persistently worsening situation must be tackled on this assumption.

  • Corporate Authors:

    Drewry (HP) (Shipping Consultants) Limited

    Palladium House, 1-4 Argyll Street
    London W1V 1AD,   England 
  • Publication Date: 1975-7

Media Info

  • Pagination: 70 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00099877
  • Record Type: Publication
  • Source Agency: Drewry (HP) (Shipping Consultants) Limited
  • Report/Paper Numbers: No. 37 Econ Study
  • Files: TRIS
  • Created Date: Sep 30 1975 12:00AM