Navigating Cyprus worldwide
The shipping industry in Cyprus is centered around two pillars; the flag and the resident shipping industry. It is no secret that shipping continues to face serious commercial headwinds which is making the lives of ship owners and operators very challenging. The downward pressure on the industry has been significant for a number of years and we have seen in recent times, consolidations and mergers from companies trying to survive this downturn but also a number of bankruptcies which tell their own story.
How is it then that the shipping cluster in Cyprus is able to continue to grow, both in absolute terms and also in contribution to the Cyprus economy? It is because the cluster is indeed a varied cross-section of the shipping industry.
While the challenges that we face to significantly grow the Cyprus flag are many, during this time we have successfully focused on the resident cluster and we have seen a number of new shipping companies either relocating entirely to Cyprus or starting up operations here. However, our competitors are also growing by improving their product continuously and we must not at any time take our industry here for granted.
We enthusiastically welcome Transport Minister Marios Demetriades’ efforts at re-organising the Department of Merchant Shipping (DMS) to become a modern organisation fit for purpose in today’s world, as well as the various marketing and public relations initiatives which are still ongoing and which have largely been responsible for attracting the new shipping companies to the island.
We welcome the positive climate and the dynamics that have been formed recently within the framework of the negotiations process for the solution of the ‘Cyprus problem’, and are greatly encouraged about a possible settlement. This renewed hope for reconciliation provides a strong impetus towards the further development of the Cyprus shipping industry. If indeed a workable solution is soon found, Cyprus shipping will need to be ‘ready’ to operate ‘the day after’ under a modern, fully functional and politically upgraded federal structure.
To this end, the creation of a Deputy Ministry for Shipping we believe will play a vital role in strengthening and growing our industry in the years to come. The relevant bill for the creation of the Deputy Ministry for Shipping as well as for Deputy Ministries for Development and Competition, and for Tourism have been approved by the Council of Ministers in late October and have been subsequently sent to Parliament for final approval.
We urge Parliament to move quickly and pass this bill into law. There is no doubt in our mind that a Deputy Ministry that is able to focus its energy exclusively on shipping, will serve as a catalyst, not only to improve our industry as it stands today, but more importantly to shape our future strategy as a maritime nation in the decades ahead.
The shipping sector continues to operate in an evolving, highly competitive global environment, which in turn requires stability. Cyprus is well positioned to become an even more sustainable shipping and energy centre with real growth potential. It is clear that for sustainable maritime development to flourish, contributions will be needed from the Government, the shipping industry and from all those involved in the Cyprus maritime cluster as a whole, all acting in a concerted partnership.
Join us in our committed aim to continue Cyprus Worldwide’.
‘Navigating