MARINA: ‘Maritime to triple contribution to economy’

‘Maritime to triple contribution to economy’
December 25, 2018 https://www.manilatimes.net/maritime-to-triple-contribution-to-economy/4...

The Maritime Industry Authority (Marina) has projected an exponential growth in the maritime industry’s contribution to the Philippine economy, with the implementation of the 10-year maritime industry development plan (MIDP).

Vice Admiral Narciso Vingson Jr., Officer–in-Charge (OIC) of Marina sees a very vibrant maritime industry, and forecasts a double or triple economic growth, as he laid down the MIDP 2019-2028, the first comprehensive effort to address the problems of the Philippine maritime sector.

“The mission of MIDP is to have a nationally-integrated and globally competitive maritime industry.

It will double or triple the economic growth of the country, if we are to support the MIDP, because 90 percent of our trade is through the sea. We have to develop the maritime industry to propel our economy to double or triple its growth,” he said in an interview with The Manila Times.

“By next year, we have to start the MIDP program. We will have a 10 percent increment on a yearly basis and 100 percent growth for the next 10 years,” Vingson said.

Marina has identified the priority projects in MIDP with total funding requirement of P94.571 billion. Out of this amount, the national government would infuse P7.882 billion while majority of the cost will come from private sector in the amount of P86.689 billion.

One of the priority projects was the development of a global maritime hub, estimated to cost P45.727 billion. Marina said the government has earmarked P970 million to undertake this global maritime hub project and majority of the cost, or P44.757 billion must be sourced from the private sector.

“For the global maritime hub, we need the support not only from the government but also from the private group through direct investments. The maritime hub includes increasing ship registry, shipbuilding, and developing land-based support for maritime like maritime administration, business processes, and education and training. We are the seafaring capital of the world and we have to make our seafarers world -class and competent,” he said.

He said there will be a major hub in Luzon, Visayas and Mindanao. “That’s in Subic, Cebu and somewhere in Mindanao. We still need to look for a place in Mindanao. We need to consult the industry leaders where to put -up the maritime hub,” he added.

The economic reach of the Philippine maritime sector covers several industry groups such as agriculture, manufacturing, construction, transport, education, financial intermediation, tourism and recreation and other business activities. It provides significant jobs and revenues and increases the movement of people and goods across the country and the rest of the world.

Other key programs cited in MIDP were as follows; upgrade of domestic shipping in support of the nautical highway development; shipping service for maritime tourism; development of coastland and inland waterway transport system (CIWT); strengthening of safety operations of registered fishing vessels; maritime safety, modernization of maritime security and establishment of maritime innovation and knowledge center.

The seafarers have contributed $5.87 billion remittances in 2017, up by 21.4 percent from $4.84 billion in 2012. There were 442,820 seafarers deployed in 2016, 28 percent higher than 347, 150 seafarers deployed in 2010.

In shipbuilding, Philippines was the fourth largest ship producer in the world based on gross tons in 2016.

Philippines has locally manufactured 2, 161 vessels in 2017, up 61 percent from 1, 354 in 2011.

For cargo shipping, Philippines recorded $2.28 billion worth of transport services in exports and $4.8 billion worth of transport services in imports in 2017.