Moves are underway to bring an end to the sale of the national flag to international ship owners since it is a degrading practice and an insult to the nation, National Seafarers Union President Palith Athukorale said.
He said the country had been selling the national flag to international maritime operators for the past 30 years, in return for millions of rupees at the expense of country’s dignity and it should be stopped immediately.
Foreign operators seek to register under flags belonging to smaller and poorer nations to avoid huge overheads in their own countries such as high taxes, and wages, welfare benefits and stringent labour regulations, Mr. Athukorale said.
The International Transport Workers Federation (ITF) that monitors the maritime industry has placed Sri Lanka among 31 other countries on what it known as the “Flags Of Convenience” list.
This list is also considered as the ‘Flags of Shame’ in the maritime circles and that is the reason attempts are being made to remove Sri Lanka from this list,” Mr. Athukorale said.
He added that his union would put forward a resolution to this effect at the at the next ITF congress scheduled to be held in Mexico in August.
Sri Lankan became joined the flags of convenience countries with the introduction of the open-market economy some 30 years ago when the late Lalith Athulathmudali was the Minister of Ports and Shipping.
“The idea at that time was to attract more ships into the Colombo port, but since then it has become a multi-million rupee business at the expense of the country’s respectability and image,” the union’s General Secretary Ranjan Perera said.
At present some 60 foreign-owned vessels are sailing the seas under the lion flag after the owners paid a registration fees to the local maritime authorities, t Merchant Shipping Corporation Director S. Weerakoon told The Sunday Times.
The foreign vessel owners are charged something between $10,000 and $50,000 for the initial registration, depending on the size and tonnage of the vessel and it was valued for four years, he said.
“During this period they are allowed to sail under the Sri Lankan flag, but will have to re-register after this period lapses paying an additional fee,” Mr. Weerakoon said.
Most of the flag rights have been sold to shipping companies in Japan, several European and Nordic states and the US, he said.
Some of the other FOC countries are Antigua And Barbuda, Barbados, Bermuda, Bahamas, Belize, Bolivia, Myanmar, Cayman Islands, Cambodia, Comoros, Equatorial Guinea, Georgia, Gibraltar, Honduras, Malta, Mauritius, Jamaica, Liberia, Marshall Islands, Mongolia, North Korea, Tonga, Sao Tome & Principe, St. Vincent & The Grenadines and Vanuatu. |
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