ICS LEADERSHIP INSIGHTS - Ioannis Plakiotakis Greek Shipping Minister faces up to COVID's challenges - International Chamber of ...
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Issue no: 01 | April 2021 ICS LEADERSHIP INSIGHTS Monthly insights from the International Chamber of Shipping’s global leadership community Ioannis Plakiotakis Greek Shipping Minister faces up to COVID’s challenges
In this issue…
2-3 Decision maker 6 Analysis 8-9 Global agenda
COVID-19 inspires Ioannis Naval ships sent to Gulf of Dutch elections prompt
Plakiotakis’ 2021 priorities Guinea as piracy attacks hopes of ministerial
on the rise reform and zero-emission
4 ICS in action investment
Round up of ICS news 7 Strategic thinking
ICS trade study reveals 10 Facts & figures
5 News focus the benefits of reducing Benefits of breaking down trade
Ever Given confirms shipping’s global maritime barriers: key figures from ICS
role; India woos global investors protectionism policies study explained
DECISION MAKER: IOANNIS PLAKIOTAKIS
Pandemic sets minister’s priorities
for Greek shipping recovery
Ioannis Plakiotakis’ Greek Shipping Minister Ioannis Plakiotakis long-standing practice definitely prevents any
has faced some difficult situations in the past serious conflicts as regards the formulation
personal experience year, both professional and personal. “The of maritime policy initiatives and is a catalytic
motivates his Greek pandemic derailed or rescheduled our priori- driver for Greek shipping to conquer and main-
ties”, he told ICS Leadership Insights, leaving tain the first place worldwide,” he added.
shipping overhaul for
him with one guiding principle for 2021: to This is anything but rhetoric; data from the
a post-COVID era lay strong foundations for the recovery of all Union of Greek Shipowners (UGS) annual
economic activities, including shipping. report published September 2020 shows
One of his most recent challenges has been Greek shipowners control 20.67% of global
to settle a 72-hour strike by 13 Greek seafarer shipping capacity and 54.28% of capacity in
unions in late February, finally resolved during the European Union.
talks between the unions and Plakiotakis himself. But Plakiotakis does not take those figures for
It is clear from a ministry statement that the talks granted and recently undertook policy initiatives
were wide-ranging, calling them “an honest and to keep the Greek flag competitive and attrac-
detailed dialogue on all issues of the sector” and tive. “They comprise a set of practical measures
referring to a shared goal: “strong shipping for the on manning requirements, seafarers working
benefit of our country, sailors [and] all Greeks”. conditions, modernisation of on-board training
Plakiotakis noted that, as with the resolu- and facilitation of financing” he detailed.
tion of the strike, all maritime policy decisions
must be based on tripartite dialogues between Top-five Targets for 2021
the government, shipowners and seafarers, Plakiotakis told ICS Leadership Insights of five
and taking all stakeholders’ views into account major initiatives for 2021 that reflect global as
when shaping Greece’s positions presented well as local ambitions – his complete to-do
to the EU and international bodies. “This list is somewhat longer.
Piraeus port is already
mostly foreign-owned and
Ioannis Plakiotakis plans to
reform the rest of the Greek
port infrastructure
(image: Shutterstock)
2 April 2021 | www.ics-shipping.org
Decision maker
Ownership of the EU workers”, Plakiotakis said. Greece was flexi-
merchant fleet, based on ble about issuing visas and travel documents
dwt (ships >1,000dwt). and Plakiotakis repeatedly communicated his
Source: UGS 2020 Annual concerns, ideas and initiatives to EU insti-
Report/European Commission tutions, international organisations and his
government colleagues, he said. The prob-
lem, however, is not resolved.
“Whilst positively noting that some sort of
alleviation of the problem has been witnessed
with gradual restoration of international flights,
in certain crew change-over hubs, problems
on the movement of seafarers and technical
personnel persist,” he stressed.
In Greece, as elsewhere, vaccines have
been prioritised for the elderly and vulnerable
but, speaking in early March, Plakiotakis told
ICS Leadership Insights that as more vaccine
becomes available he hopes to prioritise crew,
First, he wants to promote “realistic poli- both working domestically or abroad. His goal
cies” in the EU and at IMO that recognise ship- is to get all Greek seafarers vaccinated before
ping’s prominent position in the European and the beginning of the tourist season “so that
Serving Greek global economy. “As Europeans, we need to
be stressing on every occasion that shipping,
they will be providing their indispensable ser-
vices in a safe and healthy environment”.
shipping and its maritime employment and expertise should be His fourth priority this year is to optimise
retained high in Europe,” he said. the Greek port system through concessions
human capital is a Second, Plakiotakis stressed the urgent and/or privatisation. This would affect 10 ports
matter of duty and need to decarbonise shipping, despite earlier – but not Piraeus and Thessaloniki, which
push back on the IMO’s emission reduction already have majority foreign ownership. “This
responsibility strategy timeline. In 2019 Plakiotakis and the will create new investment opportunities for
UGS opposed the IMO’s 2020 introduction of companies active in combined transport, logis-
the 0.5% sulphur cap, preferring an alternative tics and cruising,” he explained. “The policies
2025 date because of concerns about availa- we implement [will] enhance the geostrategic
bility and safety of the new fuels. role of our ports, by turning them into major
Looking back, he still believes those con- and modern transshipment hubs in Eastern
cerns were justified and said they prompted Mediterranean and the main gateways to
IMO and its member states to take meas- Southeastern Europe.”
ures to address them. “Without this, I doubt Plakiotakis is also responsible for coastal
whether we would now be in a position to shipping. Companies operating these services
speak about a successful transition”, he said. have seen reductions in passenger numbers
Plakiotakis would now like to see rapid action. of up to 90% during the pandemic, so his fifth
This includes a focus on practical implementa- priority is the “great challenge” of maintain-
tion of the short-term technical and operational ing frequent, regular and quality connections
measures adopted by MEPC 75 in November, across a network of more than 400 routes
followed by work on creating the necessary pre- serving 115 inhabited islands.
conditions to enable shipping’s decarbonisation. He faced a great challenge himself when he
He supports a proposal from ICS and other fell ill with COVID-19 and spent time in intensive
organisations to build a fund to finance R&D care in December. It had a profound effect on
for alternative fuels and propulsion systems, him, he confided to ICS Leadership Insights. The
backed by Greece and other major shipping experience “influenced my considerations as to
nations. It is due to be discussed by IMO’s what is important to our life … and enhanced my
MEPC 76 in June and “needs to be imple- faith in God”. He found himself thinking about
mented as a matter of urgency”, he said. those who had lost loved-ones or their jobs
because of the illness, in particular seafarers.
Essential Workers “I would like to reassure the world’s seafar-
His third priority is on crew change. Greece ers that we are here for them”, he said. Ensuring
exempted crew from COVID-19 travel restric- their welfare is essential to retain them in the
tions in July last year and is one of just 34 profession, which he believes is crucial, given
states that have set up National Focal Points the shortages expected in the years to come.
for crew change and repatriation of seafar- He brings the same passion to his govern-
ers, as recommended by an IMO resolution ment role. He has been a member of parlia-
adopted last September by an extraordinary ment since 2004 but “serving Greek shipping
session of IMO’s MSC. and its human capital is a matter of duty and
“We started from the obvious but neces- responsibility”, he said. “This is the underlying
sary recognition of seafarers as essential principle of any decision I have to take”.
3 April 2021 | www.ics-shipping.org
ICS in action
ties, at both national and local
Concern There are still
200,000 seafar-
levels, to support the seafar-
ers that the world needs to
over Panama ers impacted by
the crew change
recover from COVID-19.
The UN bodies reiterated
Canal price crisis (image: the essential role that seafar-
Shutterstock) ers continue to play in keeping
hikes global trade moving during the
pandemic. On 19 March, ICS
ICS has expressed indus- and ITF expressed fears that
try concerns over the the figure of 200,000 seafar-
extent and speed of price ers currently impacted by the
increases on canal transit crew change crisis is rising
fees and other maritime due to travel restrictions being
services proposed by the
Panama Canal Authority
ICS lobbying prompts call to imposed by governments in
response to new variants.
(ACP) that will begin from prioritise seafarer vaccines Guy Platten, Secretary Gen-
15 April 2021. eral of the ICS, commented:
A letter from ICS to The heads of five UN bodies two other UN bodies issued “ICS and other organisations
the ACP on 17 March, have signed a joint state- the joint statement on 26 have been lobbying hard to
co-signed by the Euro- ment calling for seafarers to March urging all United get this recognition for seafar-
pean Community Ship- be prioritised for COVID-19 Nations member states to pri- ers and we urge governments
owners’ Associations and vaccinations. This follows oritise seafarers and aircrew to heed the call from the UN
the Asian Shipowners’ intensive lobbying from ICS, in their national COVID-19 and recognise that successful
Association, notes the the International Transport vaccination programmes. vaccination will rely on those
“significant increases Workers Federation (ITF) and Member states were hidden heroes who deliver
in charges payable for other organisations. strongly encouraged to take the vaccines and PPE around
selected vessel types”. The World Health Organ- urgent action to address this the world. Seafarers are a vital
The proposed changes ization, International Labour issue and work with their part of the vaccine roll out and
represent a minimum cost Organization, International health, immigration, border need to be vaccinated them-
increase per transit reser- Maritime Organization and control and maritime authori- selves, and not forgotten.”
vation of US$20,000 (up
57%) and a maximum cost
increase of US$58,500
(up 167%). US$5 billion R&D fund gains momentum
“This represents a sub-
stantial sum, especially The global shipping industry is backing a moon- bon technologies tailored for maritime.
when taking into account shot proposal of a US$5 billion research and All governments are being urged to
the ongoing economic development (R&D) fund submitted by govern- approve this mature proposal at a critical
impact of the COVID-19 ments to accelerate the complete decarbonisa- MEPC meeting in London in November 2021,
pandemic on the ship- tion of maritime transport within a decade. coinciding with the next UN Climate Confer-
ping industry”, wrote ICS Governments controlling a major share of ence (COP 26) in Glasgow.
and its partners. the world’s shipping tonnage submitted the ICS and its industry partners proposed the
ACP said the proposal to the IMO on 10 March to establish idea of an R&D fund in December 2019, which
increased fees are to an ‘IMO Maritime Research Fund’. was considered at the IMO Marine Environ-
adapt to changing supply It will use mandatory contributions to fund ment Protection Committee (MEPC 75) in
and demand conditions collaborative R&D programmes for zero-car- November 2020.
for the service it offers.
ICS and its industry
partners have requested
ACP to delay the price ICS/China MSA to work on GHG and COVID-19
hike and provide further
rationale to explain ICS and the China Maritime Director General of China as vaccines for seafarers,
the changes. Safety Administration (China MSA, led the online meeting. legal liability for shipowners
They also asked MSA) will meet regularly to ICS and China MSA and maintaining strong global
for details of a long-term collaborate on key challenges agreed to promote fair and supply chains – could be met
strategy to mitigate after a successful virtual meet- pragmatic measures to and managed through inter-
ongoing congestion ing in March. The meeting reduce GHG emissions from national co-operation.
issues reported at the focused on reducing green- international shipping, under The two organisations
Neopanamax locks and house gas emissions and man- the framework of the IMO. announced a regular consul-
proposed a meeting with aging the impact of COVID-19 The two organisations also tation mechanism, whose aim
the ACP to discuss these on shipping and seafarers. scheduled discussions on is to discuss any IMO regula-
issues further. Guy Platten, ICS Secretary how COVID-19 related chal- tions and technical issues of
General, and Cao Desheng, lenges in the industry – such common concern.
4 April 2021 | www.ics-shipping.org
News focus
Suez grounding highlights shipping’s vital role
Last month’s grounding of the
20,388TEU box ship Ever Given pro-
vided a reminder across the globe of the
importance of shipping to world trade
and its reliance on a few key arteries,
such as the Suez Canal.
As this issue was published, the ship
had been refloated but ICS Secretary
General Guy Platten warned that “it may
take some days yet to ensure normal
flow of cargo will resume. This incident
has shone a spotlight on the delicate
nature of global supply chains and the
significant impact rare incidents like
this can have”.
While the canal was blocked, Bloomb-
erg estimated that cargoes worth US$10
billion were held up by the blockage and
in an advisory to its customers, Maersk
said that 12% of global trade passes
through the canal. Tug crews transiting Ever Given northwards to Great Bitter Lake after it was
By the time ship was refloated, more re-floated on 29 March (Image: ICS)
than 360 ships were awaiting transit of
the 120-mile canal and many others had wide concerned over the potentially “Shipping’s ongoing crew change crisis
already re-routed to avoid the blockage, significant economic fallout on supply has been largely invisible to the wider
S&P Global Platts reported, including Ever chains and consumers. However, Platten public” he said. “Crew are still working
Given’s sister ship, Ever Greet, which it hoped it would also remind govern- hard around the globe to keep global trade
said had rerouted to skirt southern Africa. ments of the vital role seafarers and moving, despite 200,000 seafarers being
The incident garnered wide attention shipping play in keeping vital supply impacted by overly harsh restrictions which
from governments and markets world- chains moving at all times. stop them boarding or disembarking ships.”
India seeks global support for infrastructure plans
India’s cabinet has approved budget on 1 February, the DFI Speaking in a personal and recalled that that the
a scheme to invest in infra- was approved by the govern- capacity, he said that financ- Maritime India Summit 2021,
structure and increase ment on 16 March. ing big infrastructure projects which took place online in
spending for ports alongside Anil Devli, CEO of the is difficult because India March, organised by the Min-
rail and energy. Shipping Indian National Shipowners lacks enough institutions istry of Ports, Shipping and
executives hope this will Association, has previously able to back projects that Waterways, demonstrated
lead to broader support for called for a Maritime Devel- might have 10-20 years’ ges- that there was international
the maritime industry. One opment Fund (MDF) and told tation, so “setting up a DFI is interest in these industries.
potential area for investment ICS Leadership Insights that a welcome step”. That event’s website lists
is in green energy for ports, the DFI “seems to be the Underlying the DFI will some potential projects, which
many of which are already best way” for the MDF to be a new National Bank include new ports in locations
installing solar and wind- become a reality and pre- for Financing Infrastructure that are poorly served. In such
based power systems. dicted that it will stimulate and Development (NaB- regions, “cargo is forced to
A development financial the economy post-pandemic. FID), which Suresh Sinha, travel longer distances
institution (DFI) will be estab- Aamir Hashim Sayed, Managing Director of the [adding] to both the cost and
lished using Rs200 billion Managing Director of BHN Indian Register of Shipping time required for cargo
(US$2.8 billion) of state funds Shipping Group, said that (IRClass), said “will act as handling”, the event’s docu-
that the government plans to good infrastructure will a much-needed catalyst in mentation notes.
boost to as much as Rs3 tril- “unclog” railways, airports infrastructure financing”. “We believe this renewed
lion (US$41.4 billion), raising and ports and lead to more He told ICS Leadership focus on the maritime sector
funds from global investors. efficient logistics, something Insights that the government with supporting initiatives like
First announced by that he said forms a part of has identified “a large number the NaBFID will help sustain
Finance Minister Nirmala India’s Infrastructure Vision of investible projects” in the a long-term growth trajectory
Sitharaman in her national 2025 initiative. shipping and maritime sectors for the sector,” Sinha said.
5 April 2021 | www.ics-shipping.org
Analysis
Navies bolster GoG anti-piracy response
A pirate attack on a chemical tanker
210 nautical miles offshore in the Gulf of
Guinea (GoG) on 11 March saw 15 of its 21
crew kidnapped for ransom in an incident
that the International Maritime Bureau
(IMB) said “could signal a reignition of seri-
ous kidnapping incidents” in the region.
With 140 seafarers kidnapped in
the GoG during 2020, the region now
accounts for 40% of global pirate attacks,
according to the Danish Ministry of
Foreign Affairs, which announced in
March that a Danish frigate would be
deployed to the area for five months
starting in November.
A few days later, the UK published a
Defence Command Paper that included
a commitment to address threats in the
region using an offshore patrol vessel to
be based in Gibraltar.
Speaking to ICS Leadership Insights,
Peter Aylott, Director of Policy at the UK
Chamber of Shipping, supported that
policy but warned that “the deployment
of international naval assets is not a Italy conducted an anti-piracy exercise in November involving the LPG tanker Enrico
panacea and it will take regional capac- Fermi and the frigate Federico Martinengo (image: Confitarma)
ity building and political influence over
a prolonged period for the situation to times” even when the incidents involved
improve markedly”. foreign flag ships, Mattioli said.
These resources will add to those A spokesman for the Spanish ship-
already operating in the region from the The deployment of owners association ANAVE said that
Spanish, Portuguese, French and Italian the CMP’s objective is “to coordinate
navies and IMB acknowledged their international naval assets the efforts of the member states’ forces
support in its 2020 annual report, along already deployed” but stressed that
with cooperation from the Nigerian Navy is not a panacea “deployed forces will always be under
and the Nigerian Maritime Administra- national command”.
tion and Safety Agency. Nonetheless, he interpreted Den-
mark’s proposed action as indicating “an
Nigeria’s Deep Blue official EU military operation” in the area
Two years ago, in March 2019, Nigeria’s wide strategic cooperation similar to that and said that ANAVE had written to the
Minister of Transportation announced its in operation off east Africa, along with Spanish Ministers of Defence, Transport
‘Deep Blue Project’, set up to “rid Nige- mechanisms to allow military deployments and Foreign Affairs and the Chair of the
rian territorial waters of criminalities”. In to communicate in real time. Joint Chiefs of the Spanish Navy asking
March this year, Nigeria started deploy- for Spanish support to that initiative.
ing fast response vessels as part of this Coordination underway Asked what action these naval forces
scheme and they are already having an Some coordination is already happen- could take, Stawpert confirmed that
effect, said John Stawpert, ICS’ Manager ing. In March, the Italian frigate Luigi they have the right to apprehend pirates
for Environment and Trade. Rizzo conducted joint training with the under UNCLOS and he would like to see
In a statement, ICS Secretary-General USS Hershel “Woody” Williams, which ‘sea riders’ from regional states on board
Guy Platten applauded states that com- Mario Mattioli, President of the Italian the naval vessels to take on the policing
mit resources to the GoG and encour- shipowners association Confitarma, said responsibilities if pirates are caught.
aged them “to cooperate and coordinate was aimed at supporting interoperability Any improvement to this longstand-
with regional states to increase the effec- between the two navies. ing problem will be welcome and he
tiveness of counter-piracy measures”. About 25 Italian shipping companies is hopeful that the actions now being
A mechanism to do this was created in operate in the area he told ICS Leader- taken will have an impact “if external
January by the European Council, when it ship Insights, and last year, the Italian assets coordinate with the operations
launched a pilot of its Coordinated Mari- government authorised the Italian Navy of regional states, creating a meaningful
time Presence (CMP) concept. In addition to conduct two, two-month operations, and enduring maritime security architec-
to this, Stawpert would like to see region- during which it “intervened several ture for the region”.
6 April 2021 | www.ics-shipping.org
Strategic thinking
New WTO DG is
determined to
deliver results
With the appointment of a new
director general, Dr Ngozi Okon-
jo-Iweala of Nigeria, the World Trade
Organization (WTO) hopes it can
move on from being “one of the
most maligned and misunderstood
international organisations” that “has
been labelled as the single worst
trade deal ever made”.
That is how Singapore’s permanent
representative to WTO Ambassador
Tan Hung Seng described the organ-
isation during an ICS event to launch The Protectionism In Maritime Economies Study allocates scores that aggregate the
its Protectionism in Maritime Econo- different measures of a country’s trade policies based on their level of restrictiveness.
mies report. He went on to refer to
“the paralysis of the appellate body
and the impasse over the appoint-
ment of the new Director General”, Latvia tops league table in ICS
global protectionism analysis
a post that had been vacant for six
months when Dr Okonjo-Iweala took
up the position on 1 March.
She is aware of the challenges
ahead. Addressing the WTO Gen- Latvia has the lowest level of restrictive The study found that “PRIMEs are
eral Council immediately after taking maritime trade policies and Egypt the closely correlated with income per
office, she said “we have to change highest out of 46 countries analysed capita”. There is “a clear pattern whereby
our approach from debate and rounds in the recently launched ICS study on countries’ propensity to adopt more
of questions to delivering results” and Protectionism in Maritime Economies. The open policies … increases rapidly as they
set a challenge for the delayed 12th study uses a ranking system to demon- become more economically developed”,
Ministerial Council (MC12), now to strate the impact of trade policies in those the report’s summary notes.
be held in Geneva in the week of 29 46 nations in a bid to incentivise reform. But there are exceptions, such as
November. Although WTO members Speaking during an event to launch the US. Despite being in 29th place, its
would like to see a large number of the report, Esben Poulsson, chairman of per-capita income is 3.7 times that of
topics discussed, she suggested they the ICS, believes that restrictions such first-placed Latvia and its PRIME index is
should focus on “three or four clear as these are putting countries’ econo- 1.8 times more restrictive.
deliverables” with “programmes for mies under threat. Referring to a report Taking these PRIME indices as its
the rest to be agreed”. published by the WTO in November guide, the report finds that maritime
2020, he said that “US$1.7 trillion of barriers are as much as four times more
Support for WTO changes world imports have been affected by restrictive than tariffs and assesses the
Other speakers at the ICS event wel- constraints like these since 2009” and economic forces that could be released by
comed these signs of change. “I think that they “are making it more difficult for policy reforms. It looks at four scenarios,
everyone in the world would love economies to recover from the effects of with the most ambitious predicting that the
to see the WTO succeed,” said ICS the COVID-19 pandemic”. average country’s total exports would rise
chair Esben Poulsson. Marco Felisati, The ICS study, co-authored by Profes- by 21.1% and its real GDP grow by 1.1%.
deputy director, international affairs sor Craig Van Grasstek of Harvard Ken- Ralf Nagel, Chairman of the ICS Ship-
and trade policy at Italy’s Confind- nedy School of Government, shows the ping Policy Committee and CEO of the
ustria described MC12 as “the first removal of tariff and non-tariff barriers on German Shipowners’ Association, said
reality test” for WTO and hoped it will maritime trade would not only benefit the during the event that the report “demon-
deliver “enough to develop a trend shipping industry; countries could see strates very clearly that removing tariffs
and establish a positive agenda”. their GDP rise as much as 3.4%. and non-tariff barriers … would help
Ralf Nagel, CEO of the German Each nation was analysed and given national economies navigate towards
Shipowners Association said the a ‘PRotectionism In Maritime Economies’ economic recovery from COVID-19”.
COVID-19 pandemic “has proven how (PRIME) score according to how restric-
important effective and efficient the tive their trade policies are, based on fac- The report will be presented to the
international organisations are … and tors such as management and licensing WTO’s Services Council and to the B20’s
that is why ICS has high confidence rules, government integrity, and tariffs. Taskforce on Trade & Investment. A sum-
in the new newly invigorated WTO”. The PRIME score ranges from 0-100, with mary can be downloaded – or a full copy
100 being the worst possible score. purchased – from the ICS website.
7 April 2021 | www.ics-shipping.org
Global agenda
Dutch shipowners are looking for environmental opportunities, such as this project by Boomsma Shipping which installed two
Ventifoil sails, supported by the EU’s Wind-Assisted Ship Propulsion project (image: Boomsma Shipping)
Dutch shipowners back ‘Maritime
Masterplan’ of zero-emission shipping
ICS Leadership Insights Dutch shipping is hopeful that results ers is entirely different from licensing taxi
of the general election on 17 March will and bus companies, she pointed out.
spoke to Annet Koster, advance government reform on maritime For years, KVNR has called for the
Managing Director at strategy and release financial backing for return of a Netherlands Shipping Inspec-
zero-emission fleets. The People’s Party torate as part of a maritime authority and
the Royal Association
for Freedom (VVD) of current prime min- late last year, the then minister set out a
of Netherlands ister Mark Rutte emerged as the largest plan to establish a Dutch Maritime Author-
Shipowners about party and talks about forming a new coa- ity, a development that Koster welcomed.
lition government and which parties will Then, in early March, the previous
developments in the join the new administration were under- government adopted a subsidy scheme
Dutch shipping industry way as this newsletter was published. worth €150 million (US$180 million) for
“We hope that the new government R&D in aviation, automotive and mari-
will advance some important policies for time. Koster said that, for the maritime
shipping together with financial backing sector, she welcomed this step as part
for initiatives supported by many maritime of a broader Maritime Masterplan that
organisations such as the creation of a was announced last November with
Dutch Maritime Authority”, Annet Koster, a goal of having 30 different types of
Managing Director at the Royal Associa- zero-emission Dutch ships in service
tion of Netherlands Shipowners (KVNR) by 2030. Together with other maritime
and the 2020 Rotterdam ‘Port personality sectors, KVNR is pressing for a total of
of the year’, told ICS Leadership Insights. €250 million of government co-financ-
At present, maritime affairs are pack- ing for this masterplan.
aged up with roads, railways and air trans- That could come from the National
port within the Human Environment and Growth Fund or the European Recovery
Transport Inspectorate of the Ministry of & Resilience Fund over a period of four or
Infrastructure and Water Management, yet five years, alongside €750 million invest-
certifying and licensing ships and seafar- ment from the maritime sector. “We call on
8 April 2021 | www.ics-shipping.org
Global agenda
the Ministry of Defence and the Ministry
of Infrastructure and Water Management
to participate as launching customers,
also moving their own fleets towards a
zero-emission future”, Koster added.
COVID concerns
COVID-19 is the most pressing current
concern for KVNR’s members, Koster
said. Cruise operators and offshore
oil and gas have had a difficult time,
although offshore wind and traditional
reefer operators have fared better.
Seafarer travel restrictions and access
to vaccinations have also been a prior-
ity. Dutch sea ports and Amsterdam’s
Schiphol Airport make up a significant
crew change hub and this is now func-
tioning well for crew transfers, she said.
As for vaccinations, seafarers are not
a prioritised category in the national
vaccination programme, but KVNR and
trade union Nautilus International are KVNR Managing Director Annet Koster hosted a live streamed pre-election debate
engaged in talks about a national pro- in January in which she emphasised shipping’s importance to the Dutch economy
gramme to vaccinate them. (image: KVNR/Erik Jansen)
“This is not about prioritising seafar-
ers; it is about devising a tailor-made they are docked. It is due to be com-
national programme because they are pleted later this year and will also supply
difficult to reach”, she explained. “We are power to non-HMC vessels.
looking at a programme to vaccinate all The vaccination The Port of Rotterdam itself is also
seafarers, regardless of nationality, who encouraging environmental shipping. As
work on ships managed by the Dutch programme is not about one of the world’s major bunkering hubs,
shipowners”, she added. it is encouraging use of new fuels through
prioritising seafarers; it is an incentive scheme for climate-friendly
Brexit fallout about devising a tailor- shipping, which began in January 2019.
Now that the UK has left the EU, “we are Until the end of next year, it is offering up
seeing some effects, especially at our made programme because to 40% towards projects that use batter-
ferry ports, where customs facilities have ies, fuel cells or alternative fuels, provided
been enhanced and veterinary inspec-
they are difficult to reach the fuel is bunkered within the port.
tions stepped up”, Koster said. Some port In early January, Boomsma Ship-
and logistics organisations have cre- ping fitted two Ventifoil sails made by
ated a website, Get Ready for Brexit, to eConowind to its 6,447dwt Frisian Sea
address domestic port procedures, and with support from the EU’s Wind-Assisted
a government-backed Brexit Desk offers The government’s response has Ship Propulsion project. Meanwhile,
advice about how to prepare for this new been to suggest that Inmarsat relocate some KVNR members are working with
EU-UK relationship. the LES out of the Netherlands, “which Marine Performance Systems to test its
As for seafarer certificates, the neces- KVNR feels may not be the only possi- Fluidic Air Lubrication solution, which
sary steps were taken in close coopera- ble solution”, she added. More details uses air bubbles to reduce hull friction.
tion between the Netherlands maritime are on KVNR website. Other members are also working
administration and the KVNR to ensure Second, ships registered in The with partners to explore environmental
that seafarer certificates issued in the UK Netherlands “may finally use private options, Koster said.
could continue to be recognised for ser- security guards, under specific circum- As the Dutch wait for a new govern-
vice on board Dutch-flagged ships after stances”, she said; something KVNR has ment to be formed, Koster also spoke
the Brexit date of 1 January 2021. been pressing for. The Dutch Parliament about the future. “We are looking to the
has adopted the Merchant Shipping Pro- longer-term global situation as we move
Safety and security tection Act, which is likely to come into towards decarbonisation”, she said,
She also mentioned concerns about two force on 1 January 2022. noting that many ships that will be built
national developments that affect ship in 2030 will still be sailing in 2050. “So
safety and security. First, the roll-out in Green initiatives the reality is that we need to be getting
the Netherlands of a 5G mobile phone Heerema Marine Contractors is working ready now for a zero-emissions future.
network that uses the same frequency with power company Eneco and Port of Here in The Netherlands, we are confi-
as C-Band signals, including GMDSS Rotterdam to provide shore power from dent that, with the right support and a
messages received by the Inmarsat wind turbines and battery-charging facil- proper long term and comprehensive
Burum Land Earth Station (LES). ities for two HMC crane vessels when maritime strategy, that is a realistic goal”.
9 April 2021 | www.ics-shipping.org
Facts & figures
Benefits of cutting barriers to maritime trade
Percentage global gain for industry sectors of a 10% cut in protectionism ratings
In one of four scenarios explored in the Protection-
ism In Maritime Economies study (see page 7), an
assessment was made of the effect on global trade
of an across-the board reduction in national PRIME*
scores of 10%. This graph (Figure 3.6 in the full
study) shows the percentage improvement in value
that reduction would have on various industrial
sectors, compared with 2015 levels.
This scenario is called a ‘modest and equal
ambition’ in the study and Ralf Nagel, Chairman of
the ICS Shipping Policy Committee and CEO of the
German Shipowners’ Association, described it as a
realistic approach in an ICS Leadership Insights live
event to launch the study.
* For details, see page 7
Developing countries increasing share of global seaborne trade
This UNCTAD data shows the rise in developing 75 75
countries’ percentage share of global seaborne Goods loaded Goods unloaded
trade by volume of goods loaded and unloaded
at their sea ports. These nations’ economies now
account for about 60% of maritime transport activity 50 50
(see Figure 2 in the ICS summary report). While Asia
has capitalised on the fragmentation of globalised
production processes to bring together more than 25 25
50% of global maritime trade volumes, slow mari-
time trade growth in developing America and Africa
should not be overlooked. By reducing their PRIME
score by 50% the South American trade bloc Mer- 1990 2000 2010 2019
cosur could make gains of 0.8%, while the African
Union bloc could gain 1% of GDP, according to ICS. Source: UNCTAD, Review of Maritime Transport 2020
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association for merchant shipowners www.ics-shipping.org Press and Communications
and operators, representing all sectors Duncan Bray,
and trades and over 80% of the world ICS contacts Woodrow Communications
merchant fleet. Tanya Blake, ( +44(0) 797 222 4445
ICS Communications Manager
For more ICS contacts:
tanya.blake@ics-shipping.org Sales
www.ics-shipping.org/contact-us/
( +44 (0) 7498 871353 Richard Emsley
richard.emsley@ics-shipping.org
Paul Gunton, ICS Newsletter Editor ( +44(0) 7730 289 459
paul.gunton@ics-shipping.org
( +44 (0) 7776 441192
Disclaimer: Whilst every effort has been made to ensure the quality and accuracy of the information contained in this newsletter at the time of going to press, the International Chamber of Shipping, its affiliates and any person,
firm, corporation or organisation who or which has been in any way concerned with the furnishing of the information assume no responsibility as to the accuracy or completeness of and, to the extent permitted by law, shall not
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Any views or opinions expressed do not necessarily represent the views or
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