What is the Turkish International Ship Registry and how was it formed?
The first law that should be evaluated in terms of maritime transportation in Turkish waters within the framework of legal legislation is Cabotage Law No. 815. Within the scope of this law, the right to carry goods and passengers in Turkish waters and the services to be performed in ports and seas can only be carried out by ships that have the right to fly the Turkish Flag.
The concept of “National Ship Registry” appears within the scope of this law. The National Ship Registry is a registry that was established together with the “Ship Registry Regulation”, based on the article in the Turkish Commercial Code No. 6102 regarding the creation of a registry where ships should be registered.
The Turkish International Ship Registry, on the other hand, is an open international registry created to enable the Turkish merchant fleet to operate on equal terms with competing merchant fleets in the international maritime markets. In other words, Türkiye, like many European countries, has adopted the second registry practice to prevent domestic shipowners from turning to easy flag countries. In this context, the Turkish International Ship Registry Law, which allows foreign-flagged ships to switch to the Turkish flag, and the Law on Amending the Decree Law No. 491 contain tax incentives. The law aims to reduce the cost factors by introducing tax incentives to the maritime sector, thus developing and strengthening the sector.
Regarding the subject, the aims are stated in the 1st Article of the Turkish International Ship Registry Regulation and the Turkish International Ship Registry Law and the Law on Amending the Decree Law No. 491.
The Purpose
Article 1- The purpose of this Regulation is to determine and implement the principles regarding the registration procedures of ships, yachts, and special purpose, specially built ships, which are within the scope of the Turkish International Ship Registry Law dated 16/12/1999 and numbered 4490.
(Turkish International Ship Registry Regulation)
The Purpose and Scope
Article 1 – The purpose of this law is to accelerate the development of Turkish maritime business and increase its contribution to the economy by facilitating the procurement and operation of ships registered in the Turkish International Ship Registry and commercial yachts registered in the inventories of tourism companies. The provisions of the Tourism Promotion Law No. 2634 regarding yacht tourism are reserved.
(The Law on the Amendment of the Turkish International Ship Registry Law and the Decree Law No. 491)
When the justification of the Law No. 4490 is examined, the following definition will be encountered: “It was carried out to eliminate the heavy tax burdens of the ships in the National Ship Registry, to compete in the international arena and to ensure that the ships and yachts operating under the foreign flag are registered in the Turkish Ship Registry.”
In addition, in Article 2 of Law No. 4490, the concept of “Ship” is defined as all kinds of cargo, passenger, and offshore fishing vessels used for commercial purposes in coastal and/or non-cabotage waters, as well as special purpose and specially built vessels. In this sense, it is understood that whether the ship will carry out a cabotage voyage or not may differ in terms of various regulations.
What are the restrictions on the crew of the ships registered in the Turkish International Ship Registry?
Ships and yachts to be registered in the Turkish International Ship Registry are listed in Articles 4 and 5 of Law No. 4490. The 9th article of the Law No. 4490 includes regulations regarding the crew. Within the scope of this article, the captain must be a Turkish citizen, regardless of whether the shipowners are foreign or Turkish citizens, for ships flying a foreign flag to be able to switch to the Turkish flag. If the owner is a Turkish citizen, at least 51% of the other ship and yacht personnel must be Turkish citizens.
Nationality and employment of seafarers
Article 9 – Without prejudice to the provisions of the 2nd paragraph of Article 7 of this Law, on ships and yachts registered in the Turkish International Ship Registry, it is essential that the master be a Turkish citizen, regardless of whether the owner is foreign or Turkish. If the owner is a Turkish citizen, at least 51% of the other ship and yacht personnel is required to be Turkish citizen.
(The Law Amending the Turkish International Ship Registry Law and the Decree Law No. 491)
Likewise, Article 21 of the Turkish International Ship Registry Regulation on Personnel Equipment is regulated that the captains of the ships to be registered in the Turkish International Ship Registry must be citizens of the Republic of Türkiye. In case the owner is a citizen of the Republic of Türkiye or if there is a ship that has the right to fly the Turkish Flag within the scope of article 823 of the abolished Turkish Commercial Code no. 6267, at least 51% of the personnel are required to be citizens of the Republic of Türkiye, except for the cabotage line of these ships.
A) Right and obligation to fly the Turkish Flag:
I – Terms:
Article 823 – (Amended: 20/4/2004 – 5136/2 art.) Every Turkish ship hoists the Turkish Flag. The ship is a Turkish ship, which is the property of only Turkish citizens. Ships owned by more than one person based on joint ownership are considered Turkish ships, provided that the majority of the shares belong to Turkish citizens.
Established by Turkish laws;
1. The majority of persons constituting the administrative body of ships, which are the property of legal entities, establishments, associations, and foundations, must be Turkish citizens,
2. The ships owned by Turkish commercial companies, the majority of the partners authorized to manage and represent the company must be Turkish citizens and the majority of the votes are in Turkish partners according to the company agreement, in joint stock companies and limited partnerships whose capital is divided into shares, they are also considered Turkish ships, provided that the majority of the shares are registered and the transfer of the shares to another person is subject to the permission of the company’s board of directors.
Ships that are the property of armament subsidiaries registered in the Turkish trade registry are considered Turkish ships, provided that more than half of their shares are owned by Turks and the majority of the joint shipowners authorized to manage and represent the subsidiary are Turkish citizens.
(Repealed Turkish Commercial Code No. 6267)
Conclusion:
It is clearly stated in the relevant legislation that in case the ships with Turkish owners hoist the Turkish Flag, 51% of the crew will have to be citizens of the Republic of Türkiye, regardless of whether the ship has made a cabotage voyage or not.