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| Southeast Asia |
| Littoral States' Ministers Want Lloyds' War Risk Assessment On Straits Corrected |
| 2005-08-03 |
| BATAM (Indonesia), Aug 2 (Bernama) -- Foreign Ministers of Malaysia, Indonesia and Singapore have asked the Lloyds Joint War Committee to review its risk assessment which categorised the Straits of Melaka and Singapore as a high risk zone for piracy and terrorism. A joint statement issued at the end of their meeting here today said the categorisation was made without consulting and taking into account the existing efforts of the three littoral states to deal with the problems of safety of navigation and maritime security in the waterways. The straits, through which 30 per cent of the world's trade and 50 per cent of the world's oil supplies pass yearly, have been placed on Lloyds' list of war-risk areas. Analysts said the categorisation could lead to insurers raising premiums or underwriters pulling out their insurance cover for shipping in the straits. The two-day meeting at Tiru Beach Resort on the outskirts of Batam reaffirmed the sovereign rights of the littoral states over the two straits. "The primary responsibility over the safety of navigation, environmental protection and maritime security in the Straits of Melaka and Singapore lies with the littoral states," the ministers said. They acknowledged the littoral states should address the issue of maritime security in a comprehensive manner, taking into account piracy, armed robbery and terrorism, trafficking and smuggling of people, weapons and other trans-boundary crimes. In this task, the ministers welcomed the assistance of the user states, the relevant international agencies and the shipping community in capacity-building, training and technology transfer and other forms of assistance. [ Malaysian Foreign Minister] Syed Hamid told the news conference the meeting was a clear sign that the three nations viewed safety and security of navigation in the straits seriously. Singapore's Yeo said it was a timely meeting because of the global concern on the issue of maritime security in general and in the safety of the sea lanes in Southeast Asia in particular. He said there was a need to strike a balance between the interests of the littoral states and those of the user states. "This (Straits of Melaka and Singapore) is a major arterial lifeline of the global trade...we've a major responsibility here, for our own interest and that of the international community's," he said. |
| Posted by:Pappy |
| #9 Heh. Go wash yer mind out with soap, lh. |
| Posted by: Pappy 2005-08-03 19:21 |
| #8 i think these radical feminists should drop this nonsense about littoral politics -- oops, never mind. |
| Posted by: Liberalhawk 2005-08-03 16:56 |
| #7 :> Indeedy. Like I said, seaborne commerce can be closed by words, POTUS, CEO Lloyds, The First Lord of the A... it's a great gig, don't even have to forces in place. |
| Posted by: Shipman 2005-08-03 15:21 |
| #6 This is likely why Indonesia and Malaysia started slightly changing their usual song-and-dance a month or so back. Singapore is a major trade center and Indonesia and Malaysia are desperate to become ones; any increase in the cost or reduction in the amount of shipping is damaging. When you have them by the wallet, their hearts and minds will follow. |
| Posted by: Pappy 2005-08-03 10:49 |
| #5 Anyone else expecting Lloyds to "review its risk assessment" and raise the estimate of risk? |
| Posted by: Robert Crawford 2005-08-03 07:41 |
| #4 Insurance is a numbers game. Perhaps Lloyd's has noticed a positive correlation between areas swarming with pirates and terrorists and actual acts of piracy and terrorism. This whimpering is rather amusing coming, as it does, on the heels of the recent declarations by Malaysia and Indonesia that they didn't want their sovereignty compromised by anyone's military providing well armed escorts for merchant shipping. |
| Posted by: SteveS 2005-08-03 05:54 |
| #3 I think the "ministers" don't have the concept down, talking about repsonsibility and sovreignty are one thing, practcing them are another. Watch the rates to underwrite climb until you start hanging pirates and offer protection instead of lip service. |
| Posted by: Sock Puppet 0’ Doom 2005-08-03 02:07 |
| #2 "...reaffirmed the sovereign rights of the littoral states over the two straits." Wow. Meetings and statements! I'm sure the hard-eyed adjusters at Lloyds will be really impressed at how they're dealing with the problem... |
| Posted by: PBMcL 2005-08-03 01:31 |
| #1 I get the feeling that it owuld be better for everyone involved if they attributed the risk to sea serpent or yeti attacks. |
| Posted by: Phil Fraering 2005-08-03 01:19 |