The maritime industry is one of Cyprus’ oldest and most successful industries and is one of the longest generators of foreign direct investments in Cyprus. It contributes more than €1 billion to the economy, making up 7% of the Cyprus’ GDP.
Along with being EU’s largest shipping management centre, Cyprus has the third largest merchant fleet in Europe and the eleventh largest globally. The country has become a favoured base for global shipping operations. Shipping companies in Cyprus are some of the world’s largest shipping companies, managing approximately 20% of the world’s third-party managed fleet and employing 3% of Cyprus’ workforce.
THE SHIPPING DEPUTY MINISTRY
In 2018, the Shipping Deputy Ministry (SDM) was created to draw quality shipping companies and tonnage to Cyprus. The vision was to make Cyprus one of the world’s key maritime hubs. This was an impressive milestone for the sector’s development. Based in Limassol, the SDM charted a roadmap to ensure that Cyprus maintains its competitive edge. It has since completed two successful years.
THE NEW WAVES OF 2020
The EU re-approved the Cyprus Shipping Taxing System in April 2020, ensuring a viable future of Cyprus’ shipping industry for the next decade. In 2020, Cyprus confirmed its position on the ‘white lists’ of Paris and Tokyo memorandum of understanding, with respect to the safety performance of flag administration. It even joined the US Coast Guard’s Qualship 21 list, as a top performing flag states based on the port state control performance.
NAVIGATING THE PANDEMIC
With the Covid-19 pandemic, the shipping industry across the world was the first affected sectors. Since most of the world trade is connected to China and other Asian countries, global trade has taken a tremendous impact. Shipping companies bravely faced the challenge of crew changes, approaching ports and implementing measures to minimize exposure to the virus. Cyprus joined the global appeal to G20 leaders to enable crew changes and provide access to healthcare for the crew members whose sacrifices enabled the maintenance of the supply chain for food, medical supplies, energy and raw materials.
Throughout the crisis, the Cyprus Shipping Deputy Ministry, has been fully operational, providing high-quality services and 24/7 uninterrupted support to ensure efficient operations of all ships registered under the Cyprus flag.
THE CHAMPION OF THE SEAS
Cyprus’ shipping companies have grown by 33% in the last two years. In the wake of Brexit and natural gas exploration in the Mediterranean, Cyprus boasts plenty of opportunity for shipping companies. With competency, proficient safety measures and several geographic advantages, Cyprus is more than capable to hold its edge on the global scale.
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