DENMARK REPORT On April 18, 2002 the Danish Parliament passed the Danish Tonnage Taxation Act that in many ways is similar to the regimes already incorporated in other European shipping nations. The Danish shipping industry now has the same competitive framework conditions as the other major shipping nations in Europe. The introduction of the tonnage tax in Denmark is the prerequisite for continuing the positive development that Danish shipping has experienced for some years. Danish shipping is the second largest export industry in Denmark with a foreign currency turnover of nearly 13 billion USD. The fleet operated by Danish owners under the Danish flag has reached a record low average age of less than 7 years. This is the result of a constant focus on newbuildings, and the current newbuilding programme has a value of about 2 billion USD. The programme comprises approximately 60 ships with a tonnage of more than 2 million TDW. The Danish fleet is modern and dominated by technologically advanced vessels. Commercial efficiency, safety and environmentally friendly operations are key features in Danish shipowners' engagement in almost every aspect of modern shipping. On a worldwide basis, activities range from full door-to-door container services, advanced product carriers, sophisticated reefers and passenger ro-ro vessels to specialised salvage and offshore work. More traditional bulk, tanker and general cargo operations complete the range of services on offer. Apart from the Danish-flagged fleet, a substantial number of ships are chartered from abroad and operated by Danish shipping companies. Furthermore, several Danish owners have fully-owned shipping companies in a number of foreign countries such as the USA, the UK and Singapore. It is thus estimated that Danish owners all in all operate approximately 30 million TDW. While the European market of course is important to Danish shipping, 75 per cent of the gross freight earnings stem from activities outside the EU. The most important markets outside Europe are the USA and the Far East where the Chinese and Japanese markets, in particular, are important. Because of the important global cross-trade activities Danish shipowners keep a constant focus on international market conditions. The skills of the Danish seafarers are one of the reasons for the success of Danish shipping. Compared to most shipping registers there is a high proportion - more than 70 per cent - of national seafarers employed in the Danish fleet.