* Minister sees the need to enhance competitiveness of maritime cluster *
The Ministry of Transport, Communications and Works will do its utmost to enhance the competitiveness of the Cyprus flag and its maritime cluster, Minister Marios Demetriades has said, noting that “our shipping product needs rebranding and restructuring.
Addressing the Annual General Meeting of the Cyprus Shipping Chamber, Minister Demetriades said that Cyprus has become “a fully-fledged, well-known and respected maritime centre, combining both a sovereign flag and a resident shipping industry which is prominent for its high quality services and standards of safety”.
He noted that “despite the international adverse economic conditions and the financial difficulties that our country has faced in the last years, the Cyprus shipping sector has managed to maintain its competitiveness and perspectives, as a result of combination of efforts from the public and private sectors. Shipping has, in fact, evolved in recent years, into one of the leading drivers of our economy and is helping Cyprus navigate to recovery, in its capacity as a gateway of foreign investments to our island”.
Given its importance, he added, “shipping and its sustainable growth is one of the main concerns and priorities of the government”.
“Both myself, as the political head of merchant shipping, and our government realise that the shipping sector has stagnated during the last years and action is needed. This is due to both the increasing competition that Cyprus faces from competitive maritime centres, as well as the problems that the shipping industry has been experiencing in recent years. Our shipping product needs some kind of rebranding and restructuring. We need to become more aggressive in promoting our flag and intensify efforts to attract more companies to the island”, he said.
The Minister noted that “in an effort to develop a comprehensive strategic development plan for the shipping sector, a study has been recently completed. The study proposes measures that would strengthen the Cyprus merchant fleet and the shipping cluster”.
Taking into consideration the study, he said, “as well as other recommendations made from both the Department of Merchant Shipping and the private sector, we are planning to implement a number of operational changes in the next few months. Among others, it includes the offering of incentives to the private sector for business development, the strengthening of offices abroad, the intensification of promotion events and other operational changes, including upgrading of our software programmes and 24 hour service for our clients”.
“I also intend to create a permanent link between the private and public sector with the objective to find ways to promote shipping in Cyprus. Our first mission will be to prepare a package of incentives that could be offered to maritime companies to relocate to Cyprus”, he added.
In the medium term, he said, “we also need to change the way we work, by providing the Department of Merchant Shipping with the necessary flexibility to fulfil both its regulatory, as well as its business development role. It has already been included in the terms of reference of the restructuring study, which is currently under review”.
In conclusion, he expressed his conviction “that the shipping industry of Cyprus secures through its knowledge, expertise and adequate human capital, the further development and growth in the sector and revitalisation of the Cyprus economy”.
