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Bali to give visiting superyachts a warm welcome thanks to new Indonesia PIB regulations

December 12, 2011

In a meeting on the 8th of December 2011 in Bali with Asia Pacific Superyachts Indonesia, Ms Nyoman Rini, Head of Customs for Benoa Harbour, gave her full support to the new Indonesia PIB regulations, welcoming in a new era for superyachts visiting Indonesia.

Indonesia Custom & Asia Pacific Superyachts Team

Indonesia Custom & Asia Pacific Superyachts Team

Under the old laws, a boat could be made to pay a ‘Bond’ to Customs to ensure no commercial ventures were undertaken while they visited Indonesia. The terms of this – notably the return of said bond on departure – were unclear and many captains and owners were put off by the ‘Bond’ and conditions. But as of the 3 December, the Bond is no longer necessary and the role of Customs in dealing with inbound vessels has been minimized.

APS has always maintained a close working relationship with the Customs departments around Indonesia to find amicable solutions for the many yachts they service in Indonesia each year. In moving forward to talk about the new regulations with the new face of Benoa Customs, APS GM Richard Lofthouse met with Ms Rini to discuss her understanding of the new attitude towards visiting yachts and how it would affect APS clients in 2012.

The GM reports Ms Rini exudes Balinese charm and has a positive outlook and attitude. He noted she is friendly and well versed in the rules and regulations and was quick to acknowledge the role APS plays in bringing many foreign yachts into Indonesia, including, in 2011 the two biggest motor yachts and the biggest sailing yacht to visit the country. Ms Rini made it clear that her role as Head of Customs was to help grow the number of visiting yachts by minimizing Customs interference with inbound vessels.

Ms Rini stressed that the main role of Customs was to ensure that visiting yachts were not operating commercially, nor bringing goods (contraband or otherwise) into the country for commercial gain. However, unlike in the past only a letter of guarantee from a representative of the vessel is required and talk of a bond is consigned to the dustbin of history.

Also encouraging was her reinforcement of the new rule which allows the boat to make PIB (temporary import) in first port of call and subsequently make PEB (export) at last port of call. Formerly, this could all only happen at the port of entry, making it highly restrictive to a vessel’s movements. By allowing the import and export to happen anywhere in Indonesia, this change alone truly opens up this amazingly diverse cruising ground for yachts to explore at will.

Following the meeting, Richard Lofthouse, commented, “It was an enlightening and enjoyable to meet with Ms Rini”, adding, “She welcomed us and talked openly and frankly, showing a first rate understanding of the new rules and regulations as well as expressing a constructive attitude towards helping to grow the numbers of superyachts coming to Indonesia.

The GM reported that by extending a more supportive and helpful Customs welcome than in the past, this in turn allows Asia Pacific Superyachts to move forward with much greater confidence into a new era for Indonesia as a welcoming superyacht cruising destination. The APS GM concluded, “This appears to be a major sign that Indonesia is coming of age and recognizing the true potential of Marine Tourism in her waters. We are very excited and looking forward to a great 2012.”

Philippines shipyard acquired by Austal

November 08, 2011

Austal, the main global shipbuilder and defence prime contractor has acquired the Philippines shipyard as a part of its plan to regionalise its manufacturing base for commercial vessels.

Philippines+Yard

Philippines shipyard

The $7 million acquisition of the former FBMA Marine shipyard enables Austal to establish shipbuilding operations at the West Cebu Industrial Park at Balamban, in the province of Cebu. Austal will invest a further $5 million to enhance the shipyard’s existing facilities.

Austal plans to commence vessel construction in the first quarter of 2012, dependant on orders, and expects to employ about 30 workers during the start-up phase. Future workforce growth is expected in line with market demand, and the site allows for efficient expansion of the facility when future operational and market conditions require.

Austal and FBMA executives at the contract signing ceremony

Austal and FBMA executives at the contract signing ceremony

Austal Chief Executive Officer Andrew Bellamy said the acquisition of the former FBMA shipyard is an important milestone in Austal’s corporate strategy to meet the requirements of key commercial vessel markets by further regionalising its shipbuilding operations.

“Our strategic review earlier this year found that there is strong demand in specific segments of the international commercial vessel market, such as fast crew transfer yachts, work boats and 30 metre to 50 metre ferries,” he said.

“With our Australian and United States manufacturing operations increasingly defence focussed, we identified the need to regionalise our manufacturing base in order to be successful in those commercial vessel markets.”

Austal will primarily construct small and medium sized aluminium passenger ferries, work boats and transfer vessels such as Austal’s Wind Express series of wind farm support vessels at the Philippines shipyard. The shipyard is purpose-designed and built for building aluminium yachts of that size and type and will also have the skilled workforce and facilities to be able to undertake service and maintenance work. Austal is retaining its large commercial yacht manufacturing capability in Australia.

The Philippines shipyard has a history of aluminium yacht fabrication, and has previously delivered medium and high speed ferries, patrol boats and specialist work boats to operators based in Europe, Mexico, Australia and Asia.

Austal’s significant intellectual property in the design and construction of commercial vessels will be utilised at its Philippines operations, which will help ensure that Austal’s quality and performance standards are maintained.

“Our planned infrastructure enhancements combined with the existing pool of skilled local tradespeople and ancillary industries will support the same safe, efficient, high quality production we achieve in our other shipyards,” said Mr Bellamy.

“Austal now has an order book of approximately $1.8 billion, nearly all of it related to defence work and over 80 per cent attributable to our US operations. The new shipyard in the Philippines provides the right foundation to grow that order book further through increased commercial vessel sales,” he said.

The acquisition of the Asian shipyard will have no adverse effects on Austal’s Australian and US operations, with both manufacturing facilities currently under contract for several significant multi-vessel, multi-year defence programs.

America’s Cup Act of 2011 approved

November 07, 2011

The America’s Cup Event Authority today came with the following statement on the America’s Cup Act of 2011, “We applaud the members of the U.S. Senate and U.S. House of Representatives who voted overwhelmingly in support of the America’s Cup Act of 2011,” said Craig Thompson, Chief Executive Officer, America’s Cup Event Authority. “This Act enables our international field of America’s Cup teams to participate in the only global sporting event currently committed to come to the United States in the next decade.”

34th America´s Cup - San Francisco Bay

34th America´s Cup - San Francisco Bay

The upcoming America’s Cup events in Newport, Rhode Island, San Francisco and San Diego, California are supposed to create thousands of jobs and over $1 billion in economic impact over the next two years. For the first time in its history, the America’s Cup will be able to be seen from shore, creating incredible public access for spectators as well as drawing a huge number of  spectators to profit from the port cities hosting America’s Cup events.

34th America´s Cup teams - Photo Ivor Wilkins

34th America´s Cup teams - Photo: Ivor Wilkins

“We are very proud that our host cities of San Diego, San Francisco, and Newport, Rhode Island will benefit greatly from hosting America’s Cup events,” said Thompson. “We are working closely with the cities of San Diego, San Francisco, and Newport, Rhode Island to maximize this economic impact.”

Third party sources estimate a $20-million economic impact to San Diego from the event to be staged November 12-20, 2011, with an estimated $72-million economic benefit to Newport, Rhode Island, which will be held in June 2012.  Additionally, the America’s Cup is predicted to deliver an estimated over $1 billion economic impact to the San Francisco Bay area, with more than 8,500 jobs that will be created due to the America’s Cup.

The 34th America’s Cup is the oldest trophy in modern sport and continues to build upon its rich heritage of leading-edge innovation with an event that is designed to showcase the best sailors in the world on the fastest yachts.

RYA encourages to get involved with Government’s Red Tape Challenge-Maritime

November 04, 2011

The RYA is inviting everbody to get involved with the Government’s Red Tape Challenge as it moves onto the maritime sector on 10 November 2011 for five weeks. The aim of the challenge is to help free discussion of the steps by which the goals of existing regulation can be achieved in the least disturbing way possible.

RYA logo

With the focus now on the maritime sector the Department for Transport wants to gather thoughts and ideas from those who deal with regulations on a day-to-day basis on which regulations should stay, which could be merged, which can be scrapped and so on.

Gus Lewis RYA Head of Government Affairs: “This is a great opportunity for us all, from clubs and training centres, to volunteers and boaters and the RYA to let Government know what we think about existing regulation and its impact upon our activities.”

“As a preliminary to the Red Tape Challenge opening publicly the RYA met informally with the Maritime Coastguard Agency (MCA) and the Department for Transport to discuss the process and to enable us to identify where the RYA’s intervention might be most effective.”

“The RYA believes that any legislation or regulation should be transparent, accountable, proportionate and consistent and only targeted at cases where sound risk and evidence analysis demonstrates that such action is needed.”

“This process gives us a unique opportunity to challenge those regulations that do not satisfy these criteria and in doing so to set a benchmark against which future legislative proposals might be measured” concludes Gus.

At the end of the five weeks Ministers will have three months to decide what action they will take in light of the experience and ideas they have received from the sector.

The Government’s Red Tape Challenge, which will be conducted across all departments and sectors, started in April 2011 and will run until April 2013.

Tognum´s ongoing compliance investigation

October 31, 2011

Tognum has introduced several primary, decisive measures today regarding the ongoing investigation into potential improper payments by its subsidiary MTU Asia. Tognum started this investigation in February 2011 after receiving external information. Preliminary results of this investigation have been passed to the supervisory board, leading to the measures communicated today. The state prosecutors in Ravensburg had already been informed by Tognum that promised full cooperation with any separate investigation by the German Authorities.

Tognum

Supervisory Board and Board of Management of Tognum both adhere to strict policies of zero tolerance towards bribery and corruption. The new supervisory board with members of majority shareholders Daimler and Rolls-Royce, together with the Management Board of Tognum, will continue to work with the highest priority and care to clarify these issues as well as to take decisive remedial action. To ensure the consistent application of the highest standards of conduct across the organization, Tognum has ordered an immediate, comprehensive and rigorous independent review of Tognum’s compliance systems and their effectiveness.

The supervisory board and Peter Kneipp, member of the Board of Management and formerly in charge of MTU Asia, have mutually agreed that Mr. Kneipp will be relieved of his duties. Peter Kneipp is interested in a fast and full investigation of the matter, also in the interest of Tognum. He will fully support the investigation of the district attorney. The supervisory board has therefore relieved Mr. Kneipp from his duties effective immediately.

His tasks will be taken over by Tognum CEO Joachim Coers.

Ferretti Yachts´ capital restructuring process

October 31, 2011

To maximize the value of the Ferretti Yachts S.p.A., the Board of Directors has decided to start a consensual process to restructure its capital structure thanks to an important reduction in debt position and by raising new money, also because of an order portfolio that to date comprises approximately 465 million euros, an increase of around 44% in comparison to the 322 million euros on the same date in 2010, and also in consideration of the current financial market conditions.

Ferretti Custom Line 100 Yacht

Ferretti Custom Line 100 Yacht

To this end, the Ferretti Group has already started talking to its main lenders, who have expressed their willingness to assess the possibility of such restructuring process.

Pershing 92 motor yacht Credit Ferretti Group

Pershing 92 motor yacht - Credit Ferretti Group

With regard to the offer by Shandong Heavy Industry Group (“SHIG”), the Board of Directors of the Ferretti Group, while confirming the industrial validity of a possible deal with the Chinese Company, deems that to date it still contains a number of elements of uncertainty, which therefore require further evaluation.

The Ferretti Group therefore confirms its intention to continue to pursue discussions with counterparties with the aim to evaluate all opportunities.

Riva 86 Domino Yacht

Luxury yacht Riva 86 Domino

In terms of its business, despite the phase of contraction that the entire nautical sector is currently witnessing, the Ferretti Group continues to operate with the usual dynamism, taking part with its prestigious brands to all the main international nautical trade shows.

Ferretti 720 Motor Yacht

Ferretti 720 Charter Yacht

After the Autumn yacht shows in Cannes, Monaco and Genoa, the group today is present at the 52nd Fort Lauderdale Boat Show, Florida, USA, with an impressive fleet of 15 models, of which 5 are exclusive debuts for the American market. In a bid to best satisfy the demands from the American markets, the Ferretti Group has presented in Ft. Lauderdale: the highly anticipated Ferretti Custom Line 100’ motor yacht of the Ferretti Custom Line brand, the new Pershing 92’ motor yacht of the Pershing brand, luxury yacht Riva 86’ Domino of the Riva brand, motor yacht Ferretti 720 of the Ferretti Yachts brand and the motor yacht Bertram 64’ of the Bertram brand.

Bertram 64 motor yacht by Bertram, Studio Zuccon International Project and Ferretti Group

Bertram 64 motor yacht by Bertram, Studio Zuccon International Project and Ferretti Group

The Ferretti Group therefore confirms, also in this way, its objective of anticipating the trends of the nautical market in terms of quality and product innovation bringing forth the plans for its 8 brands that represent a prestigious example of the Made in Italy style around the world.

Below is an image gallery for Ferretti luxury charter yachts.

Ferretti Charter Yacht Images

Pandora-2
Pandora-2
Pandora-3
Pandora-3
Pandora-1
Pandora-1
Pandora-10
Pandora-10
Pandora-8
Pandora-8
Pandora-11
Pandora-11
More: Ferretti Image Gallery

European Commission brings action against French VAT exemption for commercial vessels

October 11, 2011

The European Commission has now decided to bring action before the European Court of Justice (“ECJ”) concerning the VAT exemption applied by France to certain transactions involving vessels – commonly referred to in yachting circles as the French Commercial Exemption (“FCE”).

The European Commission

The European Commission

In a press release from Brussels dated 29 September 2011, the Commission accuses France of still acting in breach of EU law on the matter. Whilst acknowledging that France had acceded to its earlier request to amend its legislation so as to include the condition of use for navigation on the high seas – which France did on 1 January 2011 – the Commission notes that this condition is not actually applied in practice by France. It cites in particular the administrative interpretation published by France on 22 February 2011 authorising the rules previously applied to be maintained, despite the legislative amendment.

The VAT Directive provides for exemption from VAT, under certain conditions, on supplies of goods for fuelling and provisioning ships used for navigation on the high seas and on the supply, modification, repair, maintenance, chartering and hiring of such vessels. The Commission considers current French legislation and administrative practice as going beyond what is laid down in the Directive. This is because France applies the VAT exemption to commercial vessels, including commercial yachts, without requiring them to be used for navigation on the high seas.

The Commission’s action began in March 2010 when it officially called on France to amend its legislation within a two-month time limit. This request took the form of a ‘reasoned opinion’, which constitutes the second stage of infringement proceedings. France failed to act within the time limit, but it did introduce changes to its legislation with effect from 1 January 2011. However, the Commission’s decision to refer France to the

ECJ signals that it is not satisfied that France is complying properly with its obligations under the EU law on this issue. It marks a significant escalation in the dispute, which under Articles 258 and 260 of the Treaty on the Functioning of the European Union exposes France to financial penalties if it loses, on top of being forced to comply by the Court.

On the basis that in over 90% of infringement cases Member States throw in the towel before the Court issues its judgement, it is now highly unlikely that France will maintain the FCE in its present form for much longer. Which raises the question as to what will replace it. That remains to be seen, but for those yacht owners operating in the EU and not already within the VAT system, it is likely that they will seek refuge in the default VAT rules. These generally require that yacht charter businesses register for VAT in the EU in order to exercise any right to deduct VAT on their purchases in the EU.

New Norwegian lay-up rules of foreign pleasure boats in Norway

October 11, 2011

As a direct result of lobbying by the European Boating Association (EBA) the Norwegian Directorate of Customs and Excise announced on 5 October 2011 that it would be amending its rules relating to lay-up of foreign pleasure boats in Norway.  Boat owners, whose permanent residence is outside Norway, may now leave their yacht unattended in Norway for up to twelve months, provided that the yacht owner applies to Norwegian Customs and Excise for permission beforehand.

View of Narvik, Norway. Photo Credit Nicola Mulryan Desitnation Narvik

View of Narvik, Norway. Photo Credit Nicola Mulryan Desitnation Narvik

Previously such boat owners were only permitted to leave their yacht unattended in Norway for up to six weeks during a twelve month period and with no possibility for extending this stay without paying temporary VAT and the Norwegian “horsepower-tax”. This made it almost impossible for cruisers to lay-up their boats over the winter months with a view to continuing their cruise the following summer, without having to pay these substantial taxes.

The General Secretary of the EBA Stuart Carruthers, RYA Cruising Manager, said “I am delighted that this issue has now been resolved for the benefit of recreational boating in general. The guiding aim of the EBA is to promote leisure boating throughout Europe and keep rules, regulations or restrictions to the minimum. The EBA was happy to support the Royal Norwegian Boating Federation in this way.”

At the biannual meeting of the EBA in Interlaken, 6-9 October, the Secretary General of the Kongelig Norsk Baatforbund (Royal Norwegian Boating Federation) Mr Reidar Kjelsrud confirmed the Norwegian Government’s announcement.

Mr Kjelsrud explained, “For a stay longer than the normal 6 weeks, it will be necessary to formally declare that you are leaving your boat in Norway, for which a form will be required, but once you have done this you are free to leave your boat in Norway for the winter without the danger of financial penalty.”

“We are very grateful for the assistance of the EBA in our dealings with the Norwegian Government. I believe that the letter written by the President of the EBA to the Norwegian Prime Minister in support of the Royal Norwegian Boating Federation’s position was instrumental in securing this change to the rules,” Mr Kjelsrud added.

Ince & Co welcomed to the Principality by Monaco Chamber of Shipping

September 15, 2011

The leading international maritime law firm Ince & Co opened its Monaco office on 01 August 2011. The firm has been granted a licence to practise English law as Ince & Co Monaco SARL in matters relating to shipping and energy in the Principality.

Ince & Co welcomed to the Principality by Monaco Chamber of Shipping

Ince & Co welcomed to the Principality by Monaco Chamber of Shipping

Welcoming the firm to the Principality, the President of the Monaco Chamber of Shipping, Mr Manolo Veladini, said: “We are delighted to have Ince & Co here in Monaco and look forward to their support and association with the Chamber of Shipping. Ince & Co opening an office in Monaco demonstrates to the shipping and offshore industries that we are totally committed in our ambition to become a leading centre of maritime and offshore services.”

The office provides proximity to many of the firm’s key shipping, international trade, offshore energy and yachting clients, enabling Ince’s Monaco team to deliver to them an unrivalled level of service. Partner Ian Cranston, who has advised clients in the region for over 20 years, heads up the office. He is joined by an English qualified solicitor, Ruth Monahan, who trained with the firm in London.

Ian Cranston, head of the Ince’s Monaco and Italy teams, said “I look forward to strengthening our association with the Chamber of Shipping. I’m very pleased our Monaco office is up and running and that our clients are able to benefit from an enhanced level of service providing “on the doorstep” advice.”

Moore Stephens Yachting to present views on VAT issues relating to superyachts at the 4th Annual Superyacht Finance Forum

September 14, 2011

Ayuk Ntuiabane, director of Moore Stephens Yachting, a leading provider of services to the superyacht industry, will present the firms views on current VAT issues relating to superyachts and their owners at the 4th Annual Superyacht Finance Forum on Tuesday 20th September, the eve of the 21st Monaco Yacht Show. Hosted by Marine Money International the forum has become a “must attend” at Monaco, with the industry’s’ most respected professionals addressing critical issues facing the Superyacht industry.

Ayuk Ntuiabane, director of Moore Stephens Yachting, to present views on VAT issues relating to superyachts at the 4th Annual Superyacht Finance Forum

Ayuk Ntuiabane, director of Moore Stephens Yachting, to present views on VAT issues relating to superyachts at the 4th Annual Superyacht Finance Forum

A much sought after speaker, Ayuk is recognised throughout the industry as an authority on VAT and yacht ownership structures.

“It’s a very challenging time right now for the superyacht industry on many fronts”, Ayuk said, “One of the biggest issue continues to be European VAT and this Forum provides the perfect opportunity before the show to explore the possible ramifications with industry leaders.”

The Superyacht Finance Forum begins at 8:30am at the Auditorium Rainier III of the Fairmont Hotel and is followed by a networking cocktail reception at 6:00pm.

The 2011 Monaco Yacht Show takes place from 21st to 24th September and will see 500 exhibitors from over 36 countries join the 100 plus superyachts expected to gather for the biggest event in the yachting calendar. Also representing Moore Stephens Yachting this year will be Grant Atchison, VAT manager and Fiona Moore, supervisor.

Besides yachting and aviation services, Moore Stephens Isle of Man offers a broad range of services, including personal wealth management and financial planning, fiduciary services, trust and company administration, corporate pensions and personal retirement solutions, investigations and forensic, audit and assurance, accounting, corporate recovery, taxation advice and consulting and HR services,  all under one roof.

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