World | Indian Ocean

September 11, 2012

Sealift Indian Ocean: Establish Cabotage System

The Indian Ocean region is marginalized in terms of shipping services.

To try to change things, a workshop organized by the Indian Ocean Commission (IOC), has been held Monday at Hennessy Park Hotel. The goal: to develop a system of cabotage in the South-West Indian Ocean.

90% of our imports and exports are carried by sea. This was emphasized Anil Bachoo, Minister of Shipping. For its part, the Jean Claude Estrac, Secretary General of the IOC argued that the importation of distant countries such as Argentina, Pakistan and China, among others, now represents 30 to 40% Cost of products sold to consumers.

He also drew attention to the prospects for the production of corn, rice, dried beans, garlic and onion, among other things, Madagascar. It would be interesting for the region to put in place a system of cabotage market and intra-regional food security. Cyril Monty consultant, Agribusiness, he presented possible scenarios for food security.

Regional shipping line can not be profitable if Madagascar participates fully, says Jean Claude de l'Estrac. These obvious benefits for the peoples of the Indian Ocean deserve the governments in the region to pay more attention, he says. Especially since several studies have demonstrated the enormous potential of this shipping line.

It does not take into account the internal market of the IOC only, but also larger markets with free trade area which includes tripartite regional blocs COMESA, SADC and EAC.

However, if a strategic optimism seems to animate the Secretary General of the IOC as well as donors and chambers of commerce of countries in the Indian Ocean, the Mauritian government through Anil Bachoo, displays some skepticism. It warns not to repeat the mistakes of the past and indicates that there is no room for a shipping company lame.

He has listed various challenges and constraints of such an initiative including rising prices of ships, binding environmental regulations, the low volume of cargo, freight rates competitive, expensive operating costs, lack of capacity production and logistics and face competition auxdes major shipping companies.

 

 

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