Seafarers sound the alarm over suspicious flags

cargo67 Seafarers sound the alarm over suspicious flags
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Are the unregulated Flag Of Convenience (FOC) to blame for security lapses in the region? This is the question many maritime experts are asking. According to seamen in Mombasa, FOC vessels flying Kenyan, Tanzanian and Zanzibar flags had increased tremendously in the region’s Indian Ocean territorial waters in the recent past.

An investigation revealed that most of these vessels fish illegally or transport suspicious cargo. The investigation was conducted after it emerged that a Tanzanian oil tanker, which was attacked by pirates in the Gulf of Aden a fortnight ago, was sailing under a Panama flag.

It was later discovered that the owners are Cambodian based and its port of registry is Phnom Penh. According to experts, the unregulated FOCs fuel illegal activities such as arms smuggling, money laundering and trafficking in goods and people.


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Piracy costs shipping firms over $100m annually, says report

pircay5 Piracy costs shipping firms over $100m annually, says report
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Piracy off the coast of Somalia is costing the international shipping industry at least $100 million a year, a new report states. Aside from payments in ransom - estimated at about $110 million over the past two years - there have also been increased transportation and insurance costs, as well as costs related to protecting ships.

The report from the World Peace Foundation noted that piracy was now “big business” with an estimated 1,500 buccaneers off the coast of Somalia involved in seven syndicates.

The business is co-ordinated by a few bosses operating mainly from Kenya, Dubai and Lebanon.
The report predicts that acts of piracy will escalate unless urgent action is taken. It proposes, for instance, providing pirates with economic incentives.


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New sewage plant regulation threatens shipowners

cargo117 New sewage plant regulation threatens shipowners
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Shipowners may receive heavy fines and imprisonment if they fail to meet international rules for organic load in sewage plants. The matter will be discussed at the upcoming Royal Institution of Naval Architects (RINA) conference in London on 10-11 March.

Stringent guidelines on black water treatment were implemented on 1 January. Outlined in the MARPOL 73/78 rules under the IMO MECP 159(55) Resolution, the guidelines restrict treated sewage contents of BOD5, TSS, COD, thermo-tolerant coliform bacteria and chlorine.

The new regulations are problematic because even shipowners with newly approved sewage plants run the risk of receiving both fines and imprisonment, as their sewage plant might be considered too small.

Although a quote for a sewage treatment plant is normally requested by specifying the number of persons onboard, a sewage plant is approved based on hydraulic load (litres per day) and organic load (kg of BOD5 per day).


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Rough seas may be ahead for shipping IPOs

cargo65 Rough seas may be ahead for shipping IPOs
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Two bulk shipping companies will be competing for investors’ attention next week when they are expected to go public, but analysts are questioning their ability to nab much cash. The first company, Baltic Trading Ltd., was formed by drybulk shipper Genco Shipping & Trading Ltd., based in New York. The second, Crude Carriers Corp., of Greece, is managed by Capital Maritime & Trading Corp. Crude Carriers plans to buy and operate a fleet of oil tankers, while Baltic Trading will ship dry goods.

It may not be the best time for a shipping company to ask investors to take the plunge. The industry has been hurt by sluggish global demand for commodities like oil, cement and iron ore and coal. Making matters worse, the IPO market has been difficult all year as concerns about the pace of the global economic recovery has dulled investors’ taste for new companies.


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Somali pirates, security personnel in 4 shootouts

piracy111 Somali pirates, security personnel in 4 shootouts
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Signaling a new offensive mindset, international military officials vowed Friday to fight the pirates as swarms of Somalis moved into the waters off East Africa. Four shootouts with pirates showed that high-seas attacks are intensifying with the end of the monsoon season. Nearly half the 47 ships hijacked off Somalia last year were taken in March and April - the most dangerous months of the year for ships in the Gulf of Aden and Indian Ocean.

In the most serious skirmish Friday, six pirates attacked a vessel before breaking off and chasing the French fishing boat Torre Giulia, said Cmdr. John Harbour, spokesman for the EU Naval Force.

A French military detachment onboard a nearby ship fired warning shots at the pirates. The ship then approached the skiff and collided with it, sinking the skiff and throwing the pirates into the water. Four were rescued, but two others were missing, Harbour said.


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Unfair treatment of seafarers - Serious implications for the seafarers involved

ship26 Unfair treatment of seafarers - Serious implications for the seafarers involved
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Unfair treatment cases often have wide implications for the individual seafarers involved. The reasons for this can be found in the fact that such cases typically question the seafarers’ respect for the law and because they have serious consequences for the seafarers - regardless of whether the seafarers are convicted or not.

Consequences range from long periods of detention, as well as the severe psychological impact resulting therefrom to a variety of “side-effects” of a more practical nature, which nonetheless change the life of seafarers significantly. The IMO’s 2010 “Year of the Seafarer” campaign is aimed at paying tribute to the world’s seafarers and will constitute an important contribution to the efforts of ensuring fair treatment of seafarers, as well as complement the IMO’s “Go to Sea!” campaign to attract new entrants to the shipping industry; two initiatives fully supported by BIMCO.


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Malacca threat raises cost stakes for shippers

tanker19 Malacca threat raises cost stakes for shippers
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Heightened fears of an attack on oil tankers transiting the Strait of Malacca, a key shipping lane for world trade, could lead to higher insurance costs for shippers and may lead to longer journey times, analysts say. The Singapore Navy believes a group is planning attacks on oil tankers in the Strait, a Singapore shipping body warned on Thursday.

John Dalby, chief executive of maritime security company MRM, which provides risk assesments to companies, said ships diverting could be one of the major risks in the event of an attack.


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More than 50 ships stuck in Baltic Sea ice: maritime authorities

cargo64 More than 50 ships stuck in Baltic Sea ice: maritime authorities
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Around 50 ships, including large ferries reportedly carrying thousands, were stuck in the ice in the Baltic Sea Thursday and many were not likely to be freed for hours, Swedish maritime authorities said. “Around 50 commercial vessels are waiting for help from ice breakers (and) we have had as many as six large passenger ferries stuck, but have managed to free two of them,” Johny Lindvall of the Swedish Maritime Administration’s ice breaker unit told AFP.

He said that two large Viking Line ferries that regularly shuttle thousands of passengers between Sweden and Finland were among the four ferries still stuck in the ice.

According to the TT news agency, the two ferries were the Isabella and the Amorella and were in total carrying 2,630 passengers.

Source : AFP

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Bangladeshi shipbreakers return to work

ship25 Bangladeshi shipbreakers return to work
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Shipbreaking yards in Chittagong resumed full operations on Wednesday after 10 days of protests against stricter environmental regulations of the hazardous industry. 
The protests ended following a “successful” discussion with the government, the ship breakers said. 
”We have decided to reopen the yards after a successful discussion with commerce ministry on the withdrawal of the order,” said Jafar Alam, president of Bangladesh Ship Breakers Association.

The High Court, on January 21, ordered authorities to ensure scrap ships are certified as free of toxic chemicals before entering Bangladesh territory. It also ordered closure of yards that could not provide certification for ships, which are in the process of being broken. 
With India and Pakistan also tightening regulations for shipbreaking following a recent IMO ruling one school of thought suggests this industry will simply move continents. Ingvild Jenssen from the NGO Platform on Shipbreaking explains has told the Ecologist magazine how tougher regulations simply relocated the shipbreaking industry in the past from east Asia to south Asia and could see the industry shift to Africa soon.

‘In the 1970s ships were dismantled in Europe under far better conditions that what we are witnessing on the beaches of Bangladesh, Pakistan and India. But when Europe introduced stricter legislation to protect workers and the environment the industry moved to first Japan, Taiwan and China,’ he said.  
‘There as well safety and environmental rules were progressively introduced and the industry then moved to South Asia. It has therefore been a continuous race-to-the-bottom and we fear that Africa will be the next destination if no measures are introduced to stop today’s dangerous and polluting practice of beach-breaking.’

Source : SeaTradeAsia-Online

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Wave of oil tanker deals predicted

tanker11 Wave of oil tanker deals predicted
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Consolidation among oil tanker owners will accelerate as a result of tough shipping and financial market conditions, one of the sector’s key figures has predicted. The comments by Morten Arntzen, chief executive of New York-listed Overseas Shipholding Group, come amid a glut of sharp profit falls for the large tanker operators.

Mr Arntzen said that banks’ reluctance to lend would force weaker owners to sell out to stronger ones. OSG has the world’s second-largest tanker fleet by ship numbers.

The process would favour listed companies that could raise capital on public markets, Mr Arntzen went on. His views contradict traditional shipping market wisdom, which values the benefits of the secrecy enjoyed by the sector’s hundreds of private owners.


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