Swiss Lawyers Publish Book on Risks of Flags of Convenience
Two Swiss lawyers, Mark Pieth and Kathrin Betz, have published a comprehensive 247-page book examining the risks associated with flags of convenience in the global shipping industry.
Titled "Flags of Convenience, Below the Surface of the Global Shipping Industry," the book is available for free online.
The authors conducted extensive research for the book, visiting accident sites in Europe and Africa, conducting inspections in Belgian ports, engaging with developers of new engines and fuels, and exploring a ship recycling facility in India. They interviewed a wide range of stakeholders, including representatives from regulators, governments, shipping companies, traders, ports, NGOs, as well as captains and seafarers.
The book delves into the economy of shipping, the vulnerabilities of modern supply chains, the ownership and operation of ships, and financing. It also addresses labor rights, environmental impacts, and the search for greener alternatives in the shipping industry.
The authors conclude the book with reflections on the regulatory framework governing shipping, suggesting that while regulations and institutions have evolved with globalization, they are primarily designed to serve industry and economic priorities. They argue that even with additional measures to address environmental, climate, and human rights concerns, the regulatory system still functions in a way that allows major issues to persist.
"The global shipping industry faces many challenges related to protection of the environment and labor conditions. The problem is not primarily regulation, but a lack of implementation, and flags of convenience are maybe the main reason why implementation is weak," Pieth told Splash.
Betz expressed doubts about the effectiveness of the International Maritime Organization and other organizations in enforcing regulations. "We think that beyond self-regulation, stricter government interaction, including tougher Port State Control, is needed," she added.