Cyprus ship management grew 7.3% in H2 2010

The Cyprus ship management industry was in healthy shape at the end of 2010, according to latest results from the Central Bank of Cyprus’ Ship Management Survey.
Ship management revenues rose in the second half of 2010 in constant (inflation-adjusted) terms by 7.3% compared with the second half of 2009 at a time when the Cyprus economy as a whole grew in constant price terms by just 1%.
Growth compared with the first half of 2010 was 4.4%.
The ship management sector accounts for 4.8% of GDP.
The survey shows that the ship management sector is dominated by Germany, which accounts for 63% of revenues, followed far behind by Vietnam with 9% and Latvia with 7%.
However, in terms of growth Norway, Marshall Islands and the UK showed the highest growth in revenue, albeit from a much smaller base.
Of the total foreign ship management revenues, 95% comes from abroad and 5% from Cyprus.
For the shipping industry as a whole, 73% of revenue comes from ship management, of which 75% comes from Germany and 7% from Cyprus.
Only 16% of the industry’s revenue comes from freight and 2% from charter.
Crew management accounted for 47% of management in the second half of 2010.
Non-EU residents account for 32% of crew, dominated by the Philippines, which account for 25% of crew expenses. EU-member Poland is next with 16%.
The Central Bank reports that the ship management industry is relatively concentrated, with 24% of the companies accounting for 83% of revenues.
Fiona Mullen