Address by the Minister of
Communication and Works Mr Marios Demetriades at the 2 nd Cyprus
Shipping Forecast Forum
It gives me great pleasure to address
the Cyprus Shipping Forecast Forum which is organised for the second time,
following the great success of the previous forum. I would like to congratulate
IMH for organising this important conference which gives the opportunity to all
shipping stakeholders to get together, discuss and analyse the crucial matters
which affect shipping today. The contribution and the invaluable sharing of the
expertise of the world class analysts, speakers and panellists is a major
feature of the Conference and I would like to take this opportunity and extend a
warm welcome to them, especially to those who came from abroad.
Cyprus is today a fully fledged
maritime centre, combining both a sovereign flag and a resident shipping
industry which is renowned for its high quality services and standards of
safety. Cyprus is considered as one of the leading third-party shipmanagement
centres in the world. Shipping is an invaluable asset for Cyprus with
significant political and economic advantages. At the same time, Cyprus has
established itself as a quality registry. The government’s shipping policy is
established on three pillars QUALITY, COMPETITIVENESS and RELIABILITY.
The maintenance of a high quality fleet and the effective
implementation of the internationally applicable safety, security and
environmental protection standards, is the foundation on which Cyprus builds its
reputation as a serious maritime flag and as a reliable base for international
operations. Cyprus follows the modern approaches, which the current international
shipping environment dictates. The quest for higher safety standards and the protection of the
environment never ends. New international and EU instruments are adopted and
enter into force.
Cyprus is today an active member of all
international organisations regulating shipping, such as the International
Maritime Organization, the International Labour Organization, and the European
Union. The presence of Cyprus in these Fora ensures that Cyprus maintains a
strong shipping voice internationally. The international recognition that Cyprus
enjoys in the shipping world is also being reflected in the fact that our
country is being successively re-elected at the IMO council since 1987.
During the last year, the Government and the Private sector witnessed
the worst unprecedented financial difficulties. During these extremely tough times, the shipping sector is invited to play
an even more leading role. The continuous growth of the Cyprus Registry
and of the local shipping industry in general is a valuable income source to our
economy.
Shipping is a significant pillar of our economy in its capacity to
act as a wide gateway of foreign investments to our island and this is of
crucial importance on Cyprus´s path towards economic recovery. The sustainable
growth of Cyprus Shipping is one of the priorities of the Cyprus Government and
consequently I would like to assure our friends and collaborators in the
shipping industry, that the Ministry of Communications and Works and the
Department of Merchant Shipping will do their utmost to enhance the
competitiveness of our flag and of our maritime cluster.
The Cyprus Government is well aware of
the fact that the Cyprus shipping sector operates in a continuously evolving
highly competitive global environment and that this, in turn, requires a stable
environment which supports long-term planning and investment.
The Ministry of Communications and Works, through the Department of
Merchant Shipping, will continue to improve and update the incentives offered to
shipping entrepreneurs, and explore new incentives ensuring that Cyprus’s
attractiveness and competitiveness as a shipmanagement and shipping centre are
safeguarded. Cyprus is a leading international shipping centre, offering a
favorable regime for foreign investors. Our integrated maritime cluster
comprises ship owning, ship management and chartering companies, and companies
involved in other shipping related activities such as marine insurance,
equipment suppliers and telecommunications, and ship bunkering.
With regard
to the rapidly deteriorating situation with the piracy activity in the high
risk areas of Indian Ocean and West Africa, the Department of Merchant Shipping
has prepared in 2012 comprehensive new legislation in order to counteract
unlawful acts against Cyprus Flag ships.
The enacted Law is a pioneering legislation establishing the required
legislative framework allowing the use of private armed personnel on board
Cyprus flagged vessels, in a regulated manner, when these vessels are sailing
through high risk areas.
The geopolitical situation in our area
is changing fast and Cyprus is once again in the centre of these developments.
New political balances are emerging which are not unconnected with the discovery
of energy reserves in our area.
The discovery of hydrocarbons in our
Exclusive Economic Zone (EEZ) creates new prospects for our country and our
economy. These new developments widen the horizons of our shipping industry,
creating relevant synergies. The discovery of hydrocarbons places new challenges
to our shipping industry. Offshore exploration and production of gas and oil, as
well as their transportation ashore, require the operation of specialised ships
and equipment and the supply of specialised supporting services.
A whole new industry will be created in Cyprus to meet the needs of
the offshore activities. Many Cyprus based shipping companies are very keen to
be involved in the industry and some of them have already taken this step by
broadening their services and activities. It is also anticipated that foreign
shipping companies will relocate their offices and operations in our island in
order to explore the benefits of the emerging East Mediterranean offshore
market.
Cyprus can develop into an important
Energy Center in the Mediterranean. New and vibrant shipping and energy projects
can be launched and the policy that the Cyprus Government will implement will
include Cyprus´s future maritime transport needs for our hydrocarbons.
Turning now to the relevant Government action, the Ministry of
Communications and Works is also part of this adventure, performing through the
Department of Merchant Shipping the relevant functions of the Flag State, but
also the increasing responsibilities of the functions as a Coastal State. In
close cooperation with other Cyprus Government agencies, the Ministry of
Communications and Works has a very important role to play. Our aim is to maintain Cyprus´s leading role in the
world shipping scene through continuous development and growth.
Shipping is an international activity. The free movement of goods and
raw materials worldwide is essential for the economic development of mankind. In
this respect, the lifting of t he illegal
Turkish restrictive measures against Cyprus shipping, in force since 1987
, would certainly have a positive economic and political impact.
This issue adversely affects European interests and our intention is
to seek a solution in line with the European Union Acquis . I would
like to assure you that the Cyprus Government will intensify the efforts towards
the lifting of the Turkish embargo which will lead to great growth prospects of
the Cyprus Registry and consequentially the growth of Cyprus Shipping in
general.
Ladies and
Gentlemen,
Our objective for the future is to consolidate and further develop
our role in world shipping and to provide the adequate conditions for a
sustainable growth of the shipping sector in Cyprus.
We always strive for further improvement. I am
confident that, with the coordinated efforts of all the stakeholders in Cyprus
shipping, the maritime sector of Cyprus will have an even brighter future.
I would like to wish you all a very
productive Conference and a pleasant stay in Cyprus.
