Why do ships sail under flags of convenience?

Why do ships sail under flags of convenience?
21 Jul 2019 https://www.aljazeera.com/programmes/insidestory/2019/07/ships-sail-flag...

The recent seizure of oil tankers in the Persian Gulf has raised questions over what common shipping practice entails.

The threat of military action between United Kingdom and Iran over the seizure of oil tankers is provoking debate about a common shipping practice.

Many vessels are owned by companies in one country but registered in another.

One example is the Iranian tanker Grace 1, which was detained by Britain's Royal Marines earlier this month.

The tanker was registered in Panama, like some 7,000 ships worldwide.

The Panamanians say they removed the supertanker from their shipping register two months ago.

Panama has deregistered around 60 ships in the past few months, most of them linked to Iran and Syria.

Are flags of convenience an inconvenient truth for the shipping industry?

Presenter: Dareen Abughaida

Guests:

Houchang Hassan-Yari - Professor of International Relations and Security Issues, Sultan Qaboos University in Oman

Phil Diacon - Maritime security analyst and partner at Dryad Global maritime security risk consultancy

Lawrence Brennan - Adjunct professor of law, Fordham University, New York City