Pettersson presentation at 29 BSPC

29 BSPCYEARSBaltic Sea Parliamentary ConferenceTHIRD SESSIONREPORTIntegrated Maritime PolicyMr. Jörgen PetterssonFormer BSPC PresidentDear chair, parliamentarians, friends since many years, fighters for a better Baltic Sea. I am honored to have the opportunity to onceagain address you in a matter I truly believe is important for literally everything we appreciate in life. The very screen you are watchingright now has arrived to your office after spending weeks and maybe months on a ship at sea. Your phone has arrived via waterways,probably from China, the serials you had this morning has been transported inside a huge ship, carefully placed in the cargo hold byskilled drivers. Likewise your shirt, trousers, socks, car, bicycle and the television you probably will watch before go to bed tonight. Yes,the bed have also probably been transported on a ship or a ferry as the fridge from where you took your nightly sandwich.Integrated Maritime PolicyState of Shipping in the Baltic Sea during the pandemic.Baltic Sea Parliamentary Conference, 24th August 2020. Jörgen Pettersson, Åland.Upto March this year shipping industry was mainly developing according to plan. Cruise industry was constantly increasing and only inEurope we had over two million people working directly and indirectly in the maritime businesses. The contribution to the total GDPwas calculated to 150 billion euro! There were of course challenges such as gender equality, social safety, sustainability, greenhouse-gasesand so on but at the end of the day everyone realized shipping industry was needed in order to provide an increased population withfood, clothes, products, leisure, transport etcetera.Things were looking reasonably goodEuropean CommunityShipowners’ Associations/Oxford Economics.The EU-controlled fleet was larger than ever but still smaller than before compared with the rest of the world. The demand for shippingservices had been risen more than European Shipowners could provide which lead us to a business opportunity. Still shipping was oneof the major employers in Europe and the world. Besides the direct effects in the industry there were indirect impacts like purchasesof inputs from suppliers and suppliers own supply chains. Furthermore there were induced impacts like consumer spending of thoseemployed in the shipping industry and its supply chains like food and beverages, recreation, clothing, household goods and so on. Thetotal impact created an industry that impacted literally everything we consume in our daily lives.Shipping makes adifference everywhereTransports of goods and persons bysea creates business-opportunities andgrowth. The total EU-controlledfleethas beengrowingin recent years.Despitethis, the EU-controlledfleet’ssharein the worldfleetsizehas fallenback in recent years.EuropeanCommunityShipowners’Associations/OxfordEconomics.Then came the pandemic and people were forced to stay inside and thereby stop consuming which had huge impact on the maritimeindustry. Except for tankers, the rest of the industry is suffering from significant immediate losses. So far its been bad but its probably farfrom over. The situation for ferries, car carriers, offshore services vessels and also general cargo and containers is expected to deteriorate andthe cruise industry has disappeared. At the beginning of 2020 the world fleet of cruiseships, including 108 in order, consisted of 474 shipsworth 170 billion dollars. The same fleet is today expected to be worth 32 billion less. The older units are expected to have fallen 90 per centand more. Its mayhem in the cruise-industry which up to this year has increased steadily, every year.Behind all this figures there are also humans unable to travel home to their families, being stuck on cruise ships. And of course all those who nolonger have a job to attend. We are facing massive job losses hence the crisis. I would have loved to come up with advices and recommendationshow shipping will survive and come back but for the moment the uncertainty is larger than everything else and I am quoting Phil Hogan, theCommissioner for Trade in the European Commission saying our world is reshaping and that we have to adapt. In order to keep an Europeanshipping industry we have to make sure our shipowners will stay competitive and ambitious also in the future.Then everything stopped,literally over night•Exceptfor tankers, the rest oftheindustryis sufferingfrom significantimmediatelosses.• The situation for ferries, carcarriers,offshore services vesselsand alsogeneral cargoand containers isexpectedto deteriorate.• Seriousdeclinein the employmentofseafarersand officepersonnelin thehardest-hit segments –cruises,offshore, carcarriersand ferrieswith ”The current pandemic is reshaping the world asoverall expectationsofmassive jobwe know it, and our trade policy must adapt tolosses.be more effective in pursuing Europeaninterests.” Phil Hogan, Commissioner for TradeHaving in mind all the challenges that rammed the industry it is also important to remember the heroic deed seafarers and shipownersperformed during the first months of the pandemic. Risking their own lives they continued to transport the goods we who stayed in ourhomes needed – every day. We could continue to buy gas, eat bananas, watch tv and work in Teams because the supply chain continuedto work and deliver. That is something I would like all of us in the BSPC to acknowledge and praise and to realise the unbeliavable effortsmade by sailors unable to return to home.Shipping and sailors saved our wellfare The current crisis has very much proven the intrinsic, vital importance of global trade toEurope, its citizens and its companies. Martin Dorsman, General Secretary, ECSA.#EveryShipmentCounts Despite the many challenges posed by the current COVID-19 crisis, maritime professionalsacross the whole European shipping industry are working hard to ensure the continuedsupply of goods, energy and equipment and the necessary transport services to millions ofcitizens currently affected by the COVID-19 pandemic. Maritime transport workers are alsoessential to the resumption of passenger transport services throughout Europe.Its far from over but we still have to focus on the future and make sure we are ready the day we can pronounce we’ve beaten the virus.From ECSA, the European Community Shipowners’ Association, I quote the following requests in order to grow. We must focus onbuilding a resilient and sustainable EU economy after the coronavirus and we should reform the World Trade Organization in orderto create global trade opportunities for businesses and in particular small and medium sized enterprises. We also need to handle globalchallenges such as climate change, sustainable development and the digital transition. Improving the level playing field and protectingEU business and citizens is as vital as providing a well functioning maritime structure is necessary in order to go back to sort of normalagain.• Maximising the contribution oftrade policy to addressing keyglobal challenges such asclimate change, sustainableIn order to get thingsdevelopment and the digitaltransition.going again, we• Improving the level playingfield and protecting EU businessshould...and citizens.• A well functioning maritimestructure is necessary in order togo back to sort of normal again.• Focus on building a resilient and sustainable EUeconomy after the coronavirus.• Realise the unbeliavableefforts made by sailors unable to• Reform the World Trade Organization.return to home.• Create global trade opportunities for businessesand in particular small and medium sizedenterprises.Finally. This report is nothing like it used to be, its different like the rest of the world. I am however delighted having discussed a printedversion together with our dear friend Georg Strätker from Mecklenburg Vorpommern and my colleague in maritime policy, JochenSchukte and hope this will become reality later. Thanks for listening and keep up your enthusiasm, high hope and great ambitions forwhat is probably the best little ocean in the world, the Baltic Sea.Things are bad, for sure. But together we are strong and life is not over, far from. Therefore we have to push ourselves to see thepossibilities that inevitably will turn up when this sort of miserable year will end. Thanks for listening and good luck in your future workfor a better Baltic Sea!