Denmark is looking to scrap the initial fee for registering second-hand ships under the Danish flag.
Copenhagen’s plan to cut the change is intended to aid the growth of the registry.
Anne Steffensen, chief executive of Danish Shipping, said in a statement: "We know from talks with Danish and foreign shipping companies that this registration fee is an obstacle when they wish to register under Danish flag.”
She added: ”It is a good day for the Danish maritime cluster, and it sends a strong signal that Denmark will be a global maritime power house."
Jan Rindbo, chief executive of Norden, says it can be three to four times more expensive to register a ship in Denmark than other flag states.
The registration fee is currently one-thousanth of the market value of a vessel. In the case of a 6,000-dwt tanker of five to 10 years old with a market value of roughly $25m, it would cost the shipowner $25,000 to register the ship in Denmark.
This compares with registration fees of $10,562 and $10,134 in Singapore and Malta, respectively.
There is currently no registration fee for newbuildings registered under the Danish colours.
Brian Mikkelsen, Minister for Industry, Business and Financial Affairs, said: "The Danish maritime cluster is growing, so it is also an investment in the future as we can help attract activities to the country.”
Danish Shipping head of press relations Rasmus Bebe tells TradeWinds the proposal is included in the annual budget, which will be negotiated in parliament over the coming months. The deadline for budget talks is the end of December.
He says the fee will be removed from January 2018.
