Flags of Convenience and Shadow Fleets

The shadow fleet has gained attention due to its role in transporting sanctioned commodities like oil, from Russia after its Ukraine invasion.

Sakshi Gupta Last updated on October 22nd, 2024 08:09 pm Leave a comment

Table of Contents

About Flags of Convenience (FoCs)

FoC refers to the practice where shipowners register their vessels in a country different from where they are owned to avoid stricter regulations, higher taxes and labour laws.
These countries are called flag states. They offer more lenient legal, regulatory and financial environments, allowing shipowners to operate with fewer restrictions.
Common FOC Countries: Panama, Liberia, and the Marshall Islands are among the most popular flags of convenience.

About Shadow Fleets

It refers to a group of tanker ships that operate covertly to transport commodities, especially oil, from sanctioned countries like Russia or Iran.
These vessels hide their true ownership, destinations and cargo origins to evade international sanctions.

About the Author

Sakshi Gupta

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Sakshi Gupta is a content writer to empower students aiming for UPSC, PSC, and other competitive exams. Her objective is to provide clear, concise, and informative content that caters to your exam preparation needs. She has over five years of work experience in Ed-tech sector. She strive to make her content not only informative but also engaging, keeping you motivated throughout your journey!