Time to close off our ports to Russian blood money | Daniel-Luc Farrugia

This is also Malta’s opportunity to be at the forefront and endeavour to lead the way on the European level

Russia’s assault on Ukraine is a premeditated, unprovoked invasion against a sovereign, democratic and independent state. With over 37,000km of coastline and maritime borders that include the Pacific Ocean, Baltic, Black and Caspian Seas, Russia enjoys a vast and hefty sea transportation presence. So much so that as much as 60% of all of Russia’s international trade is carried by cargo ships.

Needless to say, such trade has contributed to the funding of Putin’s outrageous war involving the inevitable trigger of bloodshed among innocent civilians.

Based on Lloyd’s list intelligence, approximately 256 commercial vessels having Russian ownership links are currently scheduled to arrive in European ports by the seventh of April. Five of these vessels are destined to travel to Malta in the coming days. These numbers do not include the luxury yachts owned by Russian oligarchs who may opt to dock in our ports without any form of restrictions being imposed upon them whatsoever.

Roberta Metsola, President of the European Parliament in an address to an Extraordinary European Parliament Plenary Session has aired her concern that Russian, “superyachts should find no harbour in our Europe.”

Yet, until the time of writing, no formal action has yet been taken in this sense. It is now day nine from the commencement of the start of systematic hostilities across the whole territory of Ukraine and as yet these highly-Kremlin connected oligarchs can sail around scot-free, whilst also having their trade transported by sea across Europe resume in a business as usual modality.

The maritime sector is fundamental in facilitating international trade. “We must play our part in restricting Russia’s economic interests and holding the government to account,” stated Grant Shapps, the United Kingdom’s Secretary of State for Transport. Britain has taken efficient action and on Monday 28 February ordered, through the passing of legislation, that its ports are to block any vessels which are Russian flagged or believed to be registered, owned or controlled by any such person connected with Russia.

In essence, a vessel is owned by someone who has legal title or has a beneficial interest in the vessel. A person having control is a person who takes decisions about its operation, including decisions about its route and the appointment of the master of the vessel and its crew.

With regard to the phrase, ‘connected to’, this refers to anyone who is resident, located or domiciled, or in the case of companies, incorporated in the Russian Federation. Canada has in turn followed suit, awaiting legislation to be passed in the coming days. If the European Union follows such course of action too, then operational options for such vessels are going to be indeed very limited.

Russia is a major producer and exporter of commodities such as crude oil, refined oil, natural gas, coal fertilisers, wheat, timber, aluminium, titanium and more. Therefore such a stance of closing off our ports will likely exacerbate already strained supply chains which will in turn lead to price increases across the board.

This is because container shipping is intrinsically tied to the global economy.

Nonetheless, the intrinsic problems this measure would create pales into insignificance compared to the grave humanitarian issues faced by the people of Ukraine.

The European Union is reportedly seriously considering whether to follow UK’s example aiming to tighten sea restrictions after the halt on air traffic. This step would further hamper Russia’s commercial shipping activity. Denmark is also currently actively working and providing direction to the European Union in order to adopt a common front in its decision to close all of its ports to Russian vessels.

This is also Malta’s opportunity to be at the forefront and endeavour to lead the way on the European level in order to convey a message on the world stage that we, although geographically minute, are truly compassionate with the people of Ukraine. As Metsola courageously asserted, the European Continent is braving a ‘whatever it takes moment’.

This is the time to act. Slava Ukraini!

Daniel-Luc Farrugia is a lawyer reading for International Shipping LLM, Queen Mary University London