Please read the ammo FAQ tacked to the top of the forum.

Quoted: Personally, I've never really understood anything but FMJ .223. 5.56/.223 uses fragmentation as the primary wounding method, and this method is very effective. As far as I understand, JHP hinders the fragmenting process, as it just causes a mushroom. So, in effect, you're really shooting a heavier JHP .22. For the range they'd be fine, but I personally wouldn't rest my life on it.

Not correct. Heavy JHPs/OTMs fragment very well. It's the thickness of the jacket that's the deciding factor.

Quoted: So why is the HP more avaliable then FMJ

Is it? FMJ is cheaper, so you usually see larger quantities of "value" ammunition.

Quoted: military was prevented from shooting people with hollow/soft point ammunition.

Close, but not quite. The bullet can't be designed to expand - there's no mention of fragmentation. You can't use a HP in pistol bullets (because they expand), nor can you use SPs in rifle ammo for the same reason. A HP/OTM in rifle bullets that isn't specifically designed to expand is legal. All ammo has to be reviewed by JAG in order to allow its use on the battlefield.

Now we all know (as does the military and everyone involved) that fragmentation is really nasty, but since the original Hague convention didn't specify fragmentation, no one says anything and happily exploits this loophole. I suspect that if an international body were to try to ban fragmenting bullets in warfare, it would meet with stiff resistance. The Swiss one time tried to push for a non-fragmenting bullet, and it died a quick death.