Why own when you can charter. This motto seems to increasingly apply to the business strategies of shipping companies in the middle of an economic crisis, which is why the area needs more favorable conditions, says the Danish Shipowners’ Association, which is currently following the EU’s service revision of the legislation allowing most countries in the EU to have rules that accommodate ship owners in international competition, including the Danish DIS and the Danish tonnage tax.

Chartered ships

“We are pleased that the rules look to be continuing, and we are also working to increase the number of chartered ships covered by the rules. The rate today is four chartered ships to one owned ship. We would like it to be ten chartered ships to one owned ship,” says the Head of the Association’s Brussels office, Simon Bergulf.

He points out that chartered ships have increasingly become a competitive parameter for shipping companies worldwide.

“The economic crisis is a significant factor. The shipping companies need to be able to quickly turn capacity up or down,” says Simon Bergulf.

The EU’s service revision is expected to be completed in 2012.