Global shipping industry faces challenges: experts

Rising uncertainties on ocean safety and environmental changes mean that the global shipping industry is facing challenges arising from fast-changing conditions in the coming years, industry experts attending a maritime forum here said.

"We are at a critical junction in international shipping. We must take collective efforts to solve the key issues, to ensure a healthy competition among shipmakers, ship owners and exporting companies," said Yoo Ki-June, South Korea's Minister of Oceans and Fisheries, in a speech at the 2015 Danish Maritime Forum that opened Thursday as part of the annual Danish Maritime Days.

"We must cooperate to develop new and more eco-friendly fuels for our ships and adopt smarter ways to optimize the port's operations," the minister added.

Shipping is considered the backbone of international trade, as 90 percent of all exported goods are transported by ship. The International Monetary Fund predicts that the total tonnage of sea transport will be doubled by 2030.

During the Danish Maritime Days, hundreds of international key players from the shipping industry gathered in Copenhagen to discuss how to unleash the potentials of the industry.

Shipbuilders, ship owners, politicians and analysts met to exchange views on challenges and opportunities including political instability, low cargo rates, overcapacity on container ships, and new, cost-saving shipping routes through the Arctic seas.

Even though the shipping industry is expected to grow in short terms, many shipping professionals are worrying about the future business which faces dire challenges, such as political uncertainties and the demand for reducing emissions.

"We have to ensure an open market and free trade. And we as politicians have to resist the temptation of imposing too many regulations on the shipping industry," said Robert Goodwill, the British Minister of Shipping.

Goodwill also stressed the necessity of both increased international cooperation and public-private partnerships within the industry.

"The governments should ask their shipping industry: How can we help you to develop the shipping industry and to cut emissions the best?" the minister said.

He described the current low price of oil as an "tragic obstacle" for emission cuts, making it urgent to create public-private partnerships worldwide to address the challenges.

"Governments can hinder or help but no country can shape the system alone. The shipping business as the backbone of world trade is driven by the power of market and it is essential that we guard it against any kind of protectionism by ensuring effective and transparent international regulations," he added.

Knowledge sharing is also important to the shipping industry, experts said.

According to Claus Hemmingsen, chief executive officer of Maersk Drilling and chairman of Danish Shipowners' Association, the need of more knowledge sharing is necessary, even in a sea transport business with fierce competition.

"There are a lot of common interests in the shipping business. We need to share more and start to think shipping on planet Earth more as a collective," Hemmingsen said.

"There is a gap between regulators and shipping industry. We need to improve that," he added. Endit