Cyprus shipping should have its own Directorate

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EDITORIAL

The island’s booming shipping sector, one of the safest components of the economy that regularly contributes increasing revenues, both to the government coffers and to the private sector, suffers from an unacceptable lag in state policy.

Every two years Cyprus plays host to the Maritime Conference, attracting nearly a thousand delegates from the leading shipping companies and services of the world. And every time there is disappointment that the most lucrative money earner for Cyprus falls under the auspices of a minister who has to juggle his duties, simultaneously handling the issues related to shipping and ports, civil aviation and airports, trucks, public transport and highways, telecommunications, post and even the repair of public roads and buildings.

It is fortunate that despite many shortcomings that derive from the mountains of red tape, each department of the abovementioned services is headed by good people. Otherwise, the whole nation would have come to a standstill during the August 14 air tragedy and the days that followed.

Which is why it is unacceptable that while the maritime sector alone generates some CYP 200 mln a year, half of that goes towards the civil service payroll.

Is it not, then, time that the Department of Merchant Shipping is upgraded to a full Directorate General, with a policy-making public official at the helm? This is in contrast to the present situation where the understaffed Department and its meagre network of ship inspectors dotted around the world makes heroic efforts to look after the interests of the maritime sector.

The fact that Constitution limits the number of Ministries cannot stand in the way of upgrading departments and having DGs with near-Ministerial rank and deputising the Minister himself at fora and international meetings.

It is inconceivable that the government service that looks after 15.5% of the European fleet after Greece and Malta, or 3.4% of the world fleet, should have the same treatment as the Public Works Department, or the Postal Services.

With the rise in international trade, primarily due to the rapid growth of the Chinese market that is absorbing the world’s fuel and steel production, there will be a growing need for more, yet reliable ships to serve these markets.

Cyprus has long exited the Paris MoU list of “flags of convenience” and with the adoption of stricter than ever ship safety and security measures, our vessels are deemed among the youngest and most reliable. With the eventual resolve of the standoff with Turkey, this market too will pave the way for new opportunities for Cyprus ships. And yet, all the decision making lies in the hands of one man, who has more than a dozen services to look after with a wide portfolio of responsibilities.

Even officials at the Employers and Industrialists Federation are in favour of the establishment of a Directorate General for Shipping within the Ministry of Communications and Works, as they say this will make the service more flexible in policy-making and its implementation, in order to tackle the hot issues of labour, health, ship safety, security more effectively.