NMI 2009 – Volume 14

By Minister of Trade and Industry, Mr. Trond Giske

2009 has been a challenging year for the maritime sector. Freight rates have fallen in most market segments – dramatically in some. We have seen numerous new building contracts being cancelled and very few new contracts have been signed. While the situation in many other business segments is slowly improving, the situation in the maritime sector is still difficult. Many analysts believe that the worst lie ahead for parts of the maritime industry.

In these circumstances, strong actions by policy makers seem particularly important. However, such actions must be directed towards promoting innovative and viable businesses and allow for restructuring of the global industry which is likely to follow. It is also extremely important that governments resist protectionist measures which could threaten free trade and damage the world economy.

The maritime industry is global by nature and extremely competitive. However, the Norwegian maritime industries have a competitive advantage in the market for advanced technical solutions and high quality products. This advantage is a result of the knowledge built up through generations as a seafaring nation, the need to adapt to our harsh climate and the constant need for new and innovative solutions.

The Norwegian shipping companies make up the core of a comprehensive maritime cluster, a cluster which stretches from shipbuilding to classification, manufacturing of ship equipment, shipbroking, ship finance and insurance as well as maritime offshore activities.

The maritime industry is a priority area for the Norwegian Government. In 2007 the government adopted a national strategy for environmentally friendly growth in the maritime industry. Our vision is that Norway will continue to be a world leading maritime nation and that the Norwegian maritime industries supply the most innovative and environmentally friendly solutions for the future. The Government is committed to this vision and we will continue our efforts to maintain and attract ships and maritime activities to the Norwegian flag and to Norway.

It is a priority for the Norwegian government to maintain a complete maritime cluster for the future. The various segments of the Norwegian maritime industry push each other to develop and make use of new, more efficient and environmentally friendly technology. I believe that a complete maritime cluster, with sound cooperation as well as competition, is able to develop and deliver better products and services both separately and as complete packages.

I believe that the environmental advantages of commercial shipping should be considered as opportunities to gain markets in a world facing the challenge of global warming. By developing smarter engines, using low-emission fuels and new ship designs, Norway hopes to commercialize ships for the future that are cheaper to operate thanks to lower fuel consumption and optimized designs.

It is very important that international shipping makes real contribution to the global effort to reducing Green House Gas emissions (GHG). Unfortunately the results of the UNFCCC Climate Conference in Copenhagen in December 2009 were disappointing for the maritime sector. No concrete goal for reductions of emissions from ships was determined. However, we are confident that the International Maritime Organization, IMO, will continue its important work with a view to agree on binding global regulation for shipping to contribute to GHG reductions.

Shipping is a global industry, and global problems ultimately need global solutions. Norway strongly supports the development of international environmental regulations through the IMO. It is vital that international regulations are introduced for all ships regardless of the country of registration.

Market conditions in most parts of the maritime sector are currently very challenging. However, the crisis also creates opportunities. I encourage research, new and innovative solutions and the ability to adapt to new and challenging situations. The coming years may be hard, but if we focus on competence, innovation and environmentally sound solutions we may be rewarded in the future.

I hope you will enjoy NMI 2009!