Port Elizabeth - We need jobs, skills and ships - and there is a lot of work to be done to whip the South African maritime industry into shape.
That was the take-home message on day one of the South African Maritime Industry Conference (SAMIC) in Port Elizabeth on Thursday.
The secretary general of the African Shipowners Association, Funmi Folorunso, warned that now is not the time to sit on our hands.
“South Africa’s maritime policy should be as dynamic as the industry is it is written for. Changes should be made,” she told delegates.
Folorunso said is was time to get the job done instead of having more meetings and bureaucracy. “The money we have now is not going to last forever.”
Earlier in the day, Higher Education and Training Minister Blade Nzimande spelled out the economic opportunities of the industry.
“South Africa has the potential to become a maritime nation where the maritime industry contributes to economic growth and offers opportunities for job creation,” he said.
“In 2013 the maritime sector contributed about 13.6%, or R55bn, to the gross domestic product. It is projected that maritime has the potential to make a contribution of between R129bn and R177bn to the GDP by 2033, and in so doing, creating 800 000 to 1 000 000 jobs.”
Nzimande said that this department has identified skills gaps and will invest money to overcome them. “Clearly more investment in skills development is needed to boost production capacity within the sector.”
He said government has prioritised the maritime economy through Operation Phakisa, but that government can’t do it all alone. “The industry needs to take responsibility for growing the sector. It's not only government’s job.”
The minister begged the private sector to give youngsters internships. The lack of internships and sea time for cadets has been a major stumbling block to seafarers trying to get into the industry.
Nzimande's words were echoed by Nelson Mandela Bay Executive Mayor Athol Trollip, who said: “The ocean economy means nothing if it does not create jobs for the people of Port Elizabeth”.
In his welcoming address, Trollip said local government should step up and support the sector, and he warned that we have to treat the oceans with care. “If we don’t take care of it, it won’t take care of us.”
The South African Maritime Safety Authority’s acting CEO Sobantu Tilayi took delegates through some of the successes since the previous SAMIC was held in 2012, as well as pointing out what still needs to be done.
While his outlook was generally positive, he said that lots more still needed to be done.
“We are not where we want to be. We know what needs to be done,” he said.
Tilayi has been acting in the position for almost a year since the resignation of his predecessor.
He stated that progress has been made on most of the six key areas of Operation Phakisa (transport and manufacturing, offshore oil and gas exploration, aquaculture, marine protection services and ocean governance, coastal and marine tourism, small harbour development) but said we are still playing catch up with our ship’s registry.
The Exchange Controls Act had in the past made it challenging to transact in the shipping industry but changes to Section 12 Q were introduced in 2014 to make South Africa more attractive for ship owners. “The first ship was registered in South Africa soon after (the amendment) and now we have four on the books,” he said.
“South Africa moved slow (due to the tax laws) and got left behind,” he said.
While this is seen to be progress, Folorunso had some critisism. “If it took this long to get four vessels on the register, how long will it take to get 100 on the register?” she asked.
The conference concludes on Friday.
Read Fin24's top stories trending on Twitter: Fin24’s top stories