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There are a few reasons you might want to host a website offshore. For example, if your site is about certain topics you may have problems hosting it on traditional hosts located in the US or UK.
Mainstream hosts don't want the trouble associated with certain topics, so they don't allow them.
These might include sites such as: Content that breaches copyright, Adult websites, Proxies, or Warez content. Sites with this sort of content are much more likely to receive regular DMCA complaints.
A DMCA complaint is where a copyright holder or organisations representing a copyright holders lodges a complaint to have a site or content on a site taken down.
Traditional hosts will remove the site without any reservations. An offshore host, which is located outside of the US may have a more understanding policy about such a request.
You should read a providers policy before signing up. Sites that a blatantly illegal such as: phishing, spam and mass emailing will likely not be accepted on most offshore hosts either.