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There are several issues. First, it is true that most ports and insurance companies prohibit arms of any kind aboard ships. Countering that is the fact that if a port denies ships with arms, it is the port that goes out of business.
Second, escort ships sound good, but there are many times the number of cargo ships as Navy vessels, and convoys only work if all the ships are going from and to the same places. It would actually cost more to escort these vessels than to ransom them. (That only touches on the monetary costs, I am fully aware of the human costs, mind you.)
Third, as mentioned, ship crews know ships. They likely don't know one end of a gun from the other; arming them is pointless.
So what should be done? I have two ideas. First, ship escort might be prohibitive, but we could place small teams of trained shooters aboard ships - and remove them by helicopter or small boat just before each ship enters a port. They'd then board another ship going the other way, and be taken off again at that end.
Second, we should revisit the 19th century practice (written into law and still on the books) of letters of marque. These letters essentially charter private security companies to run anti-piracy vessels, to deal with pirates as they see fit. Ron Paul proposed this recently, along with sensible safeguards. I'm no Ron Paul fan, but this idea truly has merit.
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