2020 Cyprus Country Report

2020 has been
a challenging
year for
the Cyprus
shipping
industry
due to the global pandemic
causing a major impact.
Cyprus shipping, whilst facing
serious challenges, stands on
solid ground with the recent
re-approval of its Shipping
Taxation System and being
a proven resilient sector can
emerge out of this crisis
even stronger, if given the
appropriate financial support
from the Cyprus Government
and the EU through the
Recovery Plan. A joint effort
of the whole industry and
state is necessary, in order to
maintain the leading role of
Cyprus shipping internationally.
Thomas Kazakos
Director General
Cyprus Shipping Chamber
There are a number
of dedicated maritime
institutes that promote
research, technology
and innovation, and
contribute to shaping
international policies
for greener, smarter
and safer shipping.
at establishing a permanent representation in
Asia due to the importance of China and Japan
in world trade. The move would complement its
current list of offices in Hamburg, Rotterdam,
London, Piraeus, New York and its permanent
representation in Brussels.
The SDM is also rapidly embracing the use
of new technology, including the digitisation of
many services and offering them online to allow
for ship owners and operators to save time. In
addition, the Ministry and the industry strongly
support innovation programmes that contribute
to new shipping-related tech solutions. The
country’s start-up and innovation sector has been
growing in recent years, with many companies in
Cyprus launching new technologies that could
be integrated in the shipping industry, such as
blockchain.
A number of shipping companies based in
Cyprus are already implementing blockchain
technology during the development stage of
their products and services, as it provides many
practical solutions to daily business functions.
Blockchain could help cut red tape and speed
up prolonged procedures, such as waiting for
certificates and authorisations from port authorities,
and revolutionise the shipping industry with
multiple benefits to importers, exporters, transporters,
ship owners and governments by expediting
document flows and making transactions
more efficient and secure. The technology would
also optimise costs, provide a more environmental
way of doing business and help shipping companies
avoid prolonged stays in ports that end up
costing them a fortune.
Another key objective for the SDM is to keep
Cyprus visible on the world stage. The shipping
industry is showcased internationally at the biennial
‘Maritime Cyprus’ in Limassol, which attracts
hundreds of shipping executives and professionals
from around the world. Growing in prestige
since it was first held in 1989, the event now
serves as a leading global forum that influences
maritime policy, regulation and shipping trends.
The resident industry’s voice is also heard abroad
through Cyprus’ active participation in various
shipping-related fora, such as the International
Maritime Organisation (IMO), the International
Labour Organisation (ILO) and the European
Commission, the International Chamber of
Shipping (ICS) and the European Community
Shipowners’ Association (ECSA).
BLUE ECONOMY
Cyprus is growing as a regional education and
research hub, with maritime and marine education
also gaining new momentum. There are a
number of dedicated maritime institutes that
promote research, technology and innovation,
and contribute to shaping international policies
for greener, smarter and safer shipping.
The most recent launch is the Cyprus Marine
and Maritime Institute (CMMI), an international,
scientific and business Centre of Excellence
for Marine and Maritime Research, Innovation
and Technological Development that will
be driven by the needs of the industry. The
project received €15 million from the European
Commission’s Horizon 2020 research and innovation
programme, with another €15 million
from the Cyprus government. The CMMI will
focus on the ‘blue economy’ and cover a broad
range of subjects. The research and innovation
activities of the centre will be aligned with the
Smart Specialisation Strategy of Cyprus (S3Cy),
as well as with European Union and global priorities
in blue economy sectors. CMMI should
be operating as a self-financing organisation by
2024.
The Maritime Institute of Eastern
Mediterranean (Mar.In.E.M.) is a Cyprusbased
non-profit organisation founded in 2010
to promote research, training and technology.
Cyprus also hosts a DNV GL Maritime Academy,
while Bernhard Schulte Shipmanagement has
its own specialised maritime training centre in
Limassol. In 2016, the University of Nicosia, an
independent institution, launched the country’s
first Maritime Academy, which offers training in
nautical science and marine engineering in collaboration
with renowned shipping companies.
The Academy’s aim is to support the industry in
Cyprus and globally by providing qualified officers
for vessels.
In 2019, the Cyprus Foundation of the Sea
(CY-FOS) was initiated by the CSC. During its inaugural
meeting a new board was elected consisting
of leading personalities from all sectors and
stakeholders of the Blue Economy from public,
private, academia, civil society, research organisations
and financial and other institutions. The
purpose of CY-FOS is to shape the future of
the country’s Blue Economy and a number of
working committees have already been established
to help fulfil its vision.
In another landmark for the sector, classes
began in 2018 at the new Faculty of Marine
Sciences and Technology in Larnaca, which is
part of the University of Cyprus, a prestigious
Nicosia-based public institution. Instruction is
in English and, according to Lloyd’s Register, the
faculty is set to provide the local and global maritime
industry with high-quality human capital
and research capabilities. The private educational
sector is also helping to build a workforce for
an industry that is embracing rapid technological
advances.
Sector Profile
Country Report CYPRUS 2020 119