The Potential Of The Maltese Maritime Sector

Posted on: 16 Nov 2020

Category: News

A recent study report, commissioned by the Malta Maritime Forum, analyses the current and future potential of the Maritime Sector towards the growth and development of the Maltese Economy in terms of the generation of value added and employment, including recommendations for policy initiatives for continuous success of the maritime sector. This report presents high-level policy recommendations using a case study approach to address the competitiveness gaps identified through an analysis of Strengths, Weaknesses, Opportunities and Threats (SWOT) pertaining to the maritime sector.

Through a defined methodology, the maritime sector was found to have directly generated around €853 million in value added in 2018. This refers to the direct impact generated from the maritime sector direct activities and translates to approximately 11,864 jobs in Full-Time Equivalent (FTE). Including the indirect effects, which refers to the impact generated within firms that are supplies to the maritime sectors, the value added generated is estimated at €1,566 million, sustaining around 14,579 jobs. The overall economic contribution including also the induced multiplier effects across the economy, including unrelated sectors, is estimated at € 2,163 million, generating 20,515 jobs. The 2018 direct economic contribution of the Maritime sector is equivalent to 8% of the total Economic Value added and 6% of the total economic gainfully occupied in FTE.

From a regulatory perspective, Malta’s competitive fiscal, legal and corporate support structures are attractive to business and from a logistics perspective, Malta`s strategic position in the middle of the Mediterranean is ideal for better coordination of logistics and it is well connected. Finally, in terms of general business, Malta is an established Maritime service provider and has built a reputation over the years. Moreover, there is avenue for foreign direct investment, a good ICT sector and evidence of a strong subcontractor base within the industry.

The full report, can be accessed through this link.