The International Transport Workers' Federation (ITF) has added two new countries, both African, to its long-standing list of Flags of Convenience (FOC).
The two ship registries strongly associated with ‘dark fleet’ transportation – Gabon and Eswatini – are the latest additions to the list.
An FOC vessel flies the flag of a country other than the country of ownership and is legally responsible for ensuring that shipowners meet basic standards of safety and crew welfare. This is attractive to shipowners who care more about their bottom line than the welfare of seafarers because it saves them money.
The additions are accompanied by the removal of Tonga from the 76-year-old list, bringing the total number of FOCs to 43.
“It’s a toxic industry, registering ships in countries where there is no regulation, no oversight and no accountability. It allows for exploitation and the abandonment of seafarers,” ITF president Paddy Crumlin said.
"The aim is to provide a shortcut for shipowners to generate money without necessarily complying with best practice risk mitigation and due diligence through regulatory accountability.”
Companies often register ships in low-regulation countries to hide ownership, reduce tax obligations, employ cheap labour or skirt safety standards, with profound implications for seafarers working on those vessels.
Some 50% of the world fleet is registered in FOC states. The top three contributors –Panama, Liberia, and the Marshall Islands – alone account for more than 40% of the international fleet
This practice occurs despite international law - the United Nations Convention on the Law of the Sea – stating that there must be a “genuine link” between the ship and the flag state.
ITF Seafarers' Section chair David Heindel said the FOC system was complex on purpose.
“The reasons for registering ships under flags of convenience are to avoid tax, avoid safety regulations, and circumvent labour standards and human rights.
"A genuine link between the ship and its registry is so important to be able to identify who is the real owner. Flag registers should not be allowed to operate as businesses using lower standards than traditional national registers. Until that’s stopped, seafarers’ rights will continue to be abused with impunity.”
Both Gabon and Eswatini’s registries are believed to be involved in the growing, so-called ‘shadow’ or ‘dark fleets’ transporting sanctioned oil. Gabon’s registry has grown exponentially since international sanctions came into effect following Russia’s invasion of Ukraine.
