1. Flags of convenience
Group 6

2. Outline
• Definition
• Advantages
• Disadvantages

3. Definition
• Ship registered under the maritime laws of
a country which is not the home country of the
ship's owners.
Quotes from business dictionary

4. The Republic of Panama
“more than 5,700 ships flying the Panama flag”-2011
Source: http://www.panama-guide.com/index.php?topic=flagged

5. Advantages
 Low registration fee and tax cost
 Operating cost reduction
• Low wage
-“Operating costs for open registry ships are from 12-
27% lower than traditional registry fleets”
 Avoiding discrimination among nation
ARKO FlY (Mongolia)
Quote: http://people.hofstra.edu/geotrans/eng/ch3en/conc3en/registships.html

6. Disadvantages
 Difficulty in identifying the real
ship-owner
 Lack of safety policies for sailors
 Usage of old or out of date ships

7. Disadvantages
 Usage of old or out of date International
ships Transport
Workers' The loss of ships
Federation
(ITF)’s- 2001
All of the world 99: ships
Panama 15
Cyprus 8
St. Vincent 8
Cambodia 7
Source: http://www.philippinestoday.net/ofwcorner/July03/ofw703_2.htm

8. Disadvantages

9. Summary
Definition Advantages Disadvantages

10. Thank for your listening