The number of shipping accident deaths on the mainland fell by a fifth last year, but the country still lacks the right equipment to save more lives, according to a Reuters report, which quoted a senior Chinese transport official.

Speaking at a news conference, the Vice-Minister of Communications Xu Zuyuan explained that the drop in deaths to 376 people was achieved despite China being hit by six typhoons in 2006.

"It could be said that last year was the best for safety on the water since the start of the new century," he said.

But he later played down the comment saying: "China is a developing country, and a developing seafaring nation. Over the past few years, investment in sea rescue safety has risen a fair bit, so our abilities have improved a lot. But certainly there exist shortcomings."

Mr Xu, who is also in charge of maritime rescue operations, pointed out that some of the shortfalls included too many outdated ships, an inability to operate effectively in stormy seas and a lack of equipment to fight oil slicks.

"As our rescue equipment is limited, at the moment what we are concentrating on is strengthening accident prevention work," he added.