Why Are So Many Merchant Vessels Panamanian Flagged?
(Business Times) In a move aimed at taking advantage of opportunities in vessel flag registration in the wake of expansion of merchant fleets in the region, Panama, a leading flag-state country, is opening its Panama Maritime Affairs Liaison Office in Kuala Lumpur. The Transport Minister, Datuk Seri Chan Kong Choy will officiate the liaison office on Thursday which will collaborate with Incosia Maritime Sdn Bhd to attract Malaysian as well as other shipowners in the region to register their vessels under the Panama flag. Panama offers attractive terms and conditions for non-residents to register their vessels in the state, including the popular “Dual Registry System”. Shipowners who wish to transfer their vessels to the Panamanian registry are not required to have the vessels re-surveyed, provided the vessels possess valid safety certificates. Provisions are made to accept foreign tonnage certificates at the time of registration, this obviates the necessity to have the ship dry-docked
