Building a strong maritime industry to stimulate the economy and create jobs
SA’s moment to shine as a maritime nation and a formidable player on the world stage is nigh. Ours is a nation whose fortunes since the dawn of mankind have been intertwined with the ocean. Many an explorer and seafarer from distant lands has ventured to the southernmost tip of Africa, seeking fortunes and lands to conquer. The oceans have been a source of trade and livelihood through the ages, and continue to play this vital role.
As a maritime nation with 3,000km of coastline, strategically located on one of the busiest shipping routes, surrounded by three oceans on the eastern, western and southern seaboards, we are steadfast in our commitment to position the oceans economy as a strategic contributor to economic stimulation and growth. More than 80% of all SA’s trade is seaborne.
The reality that SA is a primary goods export-oriented economy poses many challenges. Transport is a significant trade input cost due to the vast distances from our markets. Equally, while we are a maritime trading nation, we have yet to achieve the status of a shipowning or ship-operating nation.
Our membership of the International Maritime Organisation (IMO) since the dawn of democracy has enabled us to collaborate with other maritime nations and draw from their experience. Our election onto the IMO Council, the executive organ responsible for supervising the work of the global maritime body, has enabled us to participate in decision-making on global maritime issues. We are hopeful that we will be returned to the IMO Council when elections are held later this year, and continue our work of placing maritime at the centre of our socioeconomic development, both as a region and as a continent.
In the recent past, the cabinet approved SA’s national maritime policy, placing the country on a developmental trajectory that will unlock the massive potential of our oceans economy. A coalition of nations that share a common goal of developing requisite capacity to maximise value from the oceans economy is our preferred path, and will find expression in our international engagements.
In recognising our contribution to efforts towards realising inclusive growth, we have prioritised the acceleration of interventions that will unlock the potential of the oceans economy and drive transformation in an aggressive way. Among these is the establishment of a national shipping carrier as a means of building strategic national shipping capacity and capability.
Enhancing our ship registration framework remains at the centre of our efforts not only to grow our shipping industry, but to transform the sector such that it makes a meaningful contribution to broadening economic participation. Exploiting the potential of our maritime sector must ensure that we realise value to advance both social and economic activity. We must be resolute in our efforts to grow a seafaring nation where young men and women are able to take advantage of our vast maritime resources for their careers.
Coastal shipping occupies centre stage as an intervention to create jobs. This will be realised by creating a captive market for South Africans where regulation will determine what categories of goods should only be moved by sea. Similarly, South African vessels would be given preference to move cargo from one domestic port to the next, a move that could trigger the growth of merchants and create new industries. Our national policy recognises that SA’s economy is intrinsically linked with other regional economies and prioritises regional coastal shipping as an important enabler in unlocking the potential of the oceans to the region.
We are determined to drive the implementation of this policy with urgency and renewed commitment. SA is in the process of putting in place building blocks towards the introduction of coastal shipping that also extends to the Southern African Development Community region. Regional integration is a critical instrument in positioning maritime as a catalyst for economic renewal and growth. Our oceans offer the region and the continent massive opportunities for economic stimulation. We are well on track towards the realisation of this goal.
Developing capacity through skilling interventions with a specific focus on maritime skills is an immediate priority that must be supported by both the public and private sectors. A number of institutions of higher learning offer courses in maritime studies and young people must be exposed to maritime learning at school level in order to take full advantage of career opportunities in the sector.
We similarly encourage both the government and private companies to send their students to the World Maritime University and the International Maritime Law Institute, both IMO institutions. These institutions not only assist governments to train their officials to be able to provide necessary support on the implementation of the IMO instruments, but also provide powerful platforms for collaboration, giving impetus to a global vision.