1. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Maritime Clusters in Landlocked Countries Prague Conference 27 April 2009 Patrick O’Riordan Aerospace, Defence and Maritime Industries European Commission Enterprise and Industry

2. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Civilization grew in the beginning from the minute that we had communication - particularly communication by sea that enabled people to get inspiration and ideas from each other... Thor Heyerdahl

3. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Maritime Clusters ….

4. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Maritime clusters: manufacturing industries like shipbuilding, transport (shipping) and infrastructure (ports and terminals); ocean and sea resources like aquaculture; service providers such as classification societies; leisure related activities like yachting; specific public sector organisations and services like the coast guard; and sea related research and consultancy.

5. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Cluster benefits Increase in efficiency Increase in level of business formations Higher level of innovation Increase internal and external communication and more possibilities to cooperate efficiently. Increased awareness of market developments. Focus in maritime cluster organisation on education, training and more mobility in the labour market. Focus in maritime clusters on RDI

6. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Maritime clusters in the Blue Paper  Integrated Maritime Policy is to create optimal conditions for the sustainable use of the oceans and seas, enabling the growth of maritime sectors and coastal regions”  “Business integration and competitiveness in the maritime sector are greatly enhanced by the formation of multi-sectoral clusters. These clusters are instrumental to maintain the maritime know-how of Europe and will occupy therefore a central position in the Maritime Policy.”  “The Commission will encourage the formation of multi-sectoral clusters and regional centres of maritime excellence, and promote a European network of maritime clusters.” The first goal of an EU

7. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Promotion of maritime clusters under IMP Staff Working Document on Maritime Clusters SEC (2007) 1406 – October 2007 Study on the Role of Maritime Clusters – November 2008 Workshop “the role of maritime clusters in land-locked areas” - 27 April 2009 Prague

8. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Employment Direct (Σ direct) employment = 4.78 million persons 500 000 = 500 000 persons employed Percentage maritime employment in national employment * Average value added/employee = € 39 000 Europe: 2.25% MT:13.51% CY:12.02% NO: 6.85% EE:6.54% GR: 6.39% LV:5.36% DK: 5.26% ES: 4.62% BG:3.46% PT: 3.34% Europe: 2.25% MT:13.51% CY:12.02% NO: 6.85% EE:6.54% GR: 6.39% LV:5.36% DK: 5.26% ES: 4.62% BG:3.46% PT: 3.34% * Top-10 countries in terms of share of maritime added value (and employment) in all sea-related Areas are listed; for other countries % share is well below 2.5% (and 3%) 2 800 15 000 = 15 000 million € of added value Added value Direct (Σ direct) added value = 186 600 million € Percentage maritime added value in national GDP * Europe: 1.65% MT:11.36% CY:9.07% EE:8.83% LV:7.71% NO: 6.23% DK: 4.19% GR: 3.24% LT:2.59% ES: 2.53% NL: 2.25% Europe: 1.65% MT:11.36% CY:9.07% EE:8.83% LV:7.71% NO: 6.23% DK: 4.19% GR: 3.24% LT:2.59% ES: 2.53% NL: 2.25% KEY FIGURES OF ALL EUROPEAN SEA-RELATED SECTORS EU-27 + Norway Value added amounts to 186 600 million € (of which 88% in the top-10 countries) and employment to 4.78 million persons (of which 83% in the top-10 countries) 287 000 876 000 504 000 634 000 725 000 279 000 191 000 156 000 145 000 23 000 25 400 28 400 24 300 6 400 11 500 15 100 4 000 8 700 17 200 147 000 3 400 3 800 3 200 1 000 200 300 50 2 100 100 500 1 200 20 000 50 000 38 000 40 000 6 000 35 000 55 000 70 000 48 000 42 000 10 000 4 000 1 000 4 000 136 000 103 000 171 000

9. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Added value in the European maritime sectors (all Areas)

10. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Maritime economic centres are generally are represented by clusters Privately driven France, Spain, Italy, Finland, Sweden, Norway, UK, Poland Government driven Germany, Denmark Mixed Netherlands and Norway Regional clusters e.g. France, the UK, Germany and Norway Star-region represented by national and/or regional cluster organisation

11. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#›

12. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Top-down organisations tend to operate with higher budgets, with a strategic focus on competitiveness and RDI for the entire sector. But face the need to balance between the interests, resulting in longer dialogue and more universal themes Bottom-up organisations are efficient are targeted to operational problems and activities (events, issues platforms) and provide a single-point-of-entry to the government But sectoral interests can prevail and focus may be short term “Mixed” cluster organisations capture all maritime stakeholders in order to have well-structured discussions between government and sector Cluster typology – strengths and weaknesses

13. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Role of maritime cluster organisations All European countries with a maritime cluster have access to that cluster through a maritime cluster organisation Policy (initiatives) and actions are translated to European, national and regional level, although not in a uniform manner Maritime cluster organisations are mostly historically established (and regionally grown) based upon the specific needs of the cluster and its participants and upon the country’s culture Top-down and bottom-up initiated clusters focus in general on same content Topics of cluster organisations are mostly softer topics (e.g. innovation and labour market); in top-down maritime cluster more opportunities are created for strategical issues through the availability of funding Limited direct evaluation of impact/success of the actions of cluster organisations on project- basis, but indirectly through the evaluation of maritime cluster organisations and the impact on financing (membership contributions) In principal, any organisation concept can do the job; nevertheless, organisations that are able to capture ‘best’ of both worlds seem most natural to balance public and private interests

14. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› YEAR OF ESTABLISHMENT OF MARITIME CLUSTER ORGANISATIONS After the popularisation of the cluster concept in Porter’s ‘Competitive advantage of nations’ in 1990: – Most maritime cluster organisations were established – Governments have become more reluctant on developing sector policies * Full name and abbreviation of European, national and regional cluster organisations as used in this study is provided in Annex 7 ** NO 1 is MARUT and NO 2 is Maritimt Forum; more information concerning the activities of these clusters is provided in the Background Country Report – Norway Source: Policy Research Corporation based on questionnaires of maritime cluster organisations

15. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› PRIMARY RATIONALE FOR ESTABLISHING MARITIME CLUSTER ORGANISATIONS Source: Policy Research Corporation based on questionnaires amongst maritime cluster organisations Main reasons for establishing a maritime cluster organisations are to increase competi-tiveness, to promote maritime sectors, and to improve coordination within the cluster PromotionCompetitiveness CoordinationOther (e.g. education, framework) National cluster organisations Regional cluster organisations

16. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Maritime cluster organisations are developed different according to specific needs and the prevailing culture In spite of differences in size, scope or funding, maritime clusters tend to be set up for similar reasons (to increase competitiveness, promote maritime sectors and coordinate activities) There is no organisational concept of cluster organisations that intrinsically excels All these clusters can play a role in public-private dialogue and benefit from learning from each others’ best practice and lessons learned

17. THE SEA RELATED SECTORS AND THEIR AREA-CLASSIFICATION * In the study Economic impact of maritime industries in Europe, carried out by Policy Research on behalf of the EC, the fisheries sector was also included as part of the traditional maritime sectors; furthermore, differences exist per country with regard to the ‘scope’ of the maritime industry; the members of the European Network of Maritime Clusters regard eight sectors as part of the maritime cluster from a narrow perspective: shipping, shipbuilding, marine equipment, seaports, maritime services, yacht building, offshore services and fishing; three sectors can be added from a national, broader perspective: Navy and coastguard, inland navigation and maritime works Coastal and sea-related (marine) recreation and tourism Fisheries Traditional maritime sectors * : –Inland navigation –Marine aggregates –Marine equipment –Maritime services –Maritime works –Navy and coastguard –Offshore supply –Recreational boating –Seaports –Shipbuilding –Shipping Area 1Area 2 Area 3

18. EMPLOYMENT IN SEA-RELATED SECTORS IN LANDLOCKED COUNTRIES Hungary and Austria have highest employment in Area 1; the Czech Republic has highest employment in Area 3 compared to the other European landlocked countries * Employment in Area 2 in landlocked countries is achieved in the cruise tourism sector ** Employment in Area 3 in landlocked countries is achieved in fish processing and aquaculture Source: Policy Research based on Ecotec (2006) – Employment trends in all sectors related to the sea or using sea-resources, BIMCO/ISF (2005) – Manpower 2005 update, Eurostat – Industry, Trade and Services (Annual enterprise statistics) 2005, and Policy Research based on LEI (2006) – Employment in the fisheries sector Employment figures for Czech Republic in all Areas Employment figures for Austria in all Areas Employment figures for Luxembourg in all Areas Employment figures for Slovakia in all Areas Employment figures for Hungary in all Areas Area 1: Traditional maritime sectors Area 2: Coastal (and marine) tourism and recreation * Area 3: Fisheries ** Area 1: Traditional maritime sectors Area 2: Coastal (and marine) tourism and recreation * Area 3: Fisheries **

19. Employment figures for Czech Republic in Area 1 No stars for landlocked countries because maritime employment does not exceed 5 000 persons, yet countries as Austria are strong niche players in certain subsectors NO STARS FOR EMPLOYMENT IN TRADITIONAL MARITIME SECTORS (AREA 1) IN LANDLOCKED COUNTRIES Employment figures for Austria in Area 1 Source: Policy Research based on Ecotec (2006) – Employment trends in all sectors related to the sea or using sea-resources, BIMCO/ISF (2005) – Manpower 2005 update, and Eurostat – Industry, Trade and Services (Annual enterprise statistics) 2005 Employment figures for Luxembourg in Area 1 Employment figures for Slovakia in Area 1 Employment figures for Hungary in Area 1 2 000 1 100 2 400 3 800 3 200

20. Area 3 * (figures on country level) NO STARS FOR EMPLOYMENT IN COASTAL TOURISM (AREA 2) AND FISHERIES (AREA 3) IN LANDLOCKED COUNTRIES No stars are awarded to regions within landlocked countries because maritime employment does not exceed 1 000 persons Area 2 * (figures on country level) Source: Policy Research based on Eurostat – Tourism indicators 2005 * NUTS II regions in landlocked countries do not exceed 1 000 persons employed in Area 3 Source: Policy Research based on LEI (2006) – Employment in the fisheries sector Employment in cruise tourism Employment in fish processing and aquaculture 1 700 1 200 2 300 700 200 100

21. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Aerospace, Defence, Maritime Industries European Commission, DG Enterprise and Industry http://ec.europa.eu/enterprise/sectors/maritime/shipbuilding/index_en.htm Thank you for your attention!

22. European Commission Enterprise and Industry Prague Conference on Maritime Clusters in Landlocked Countries | 27/04/09 | ‹#› Cluster benefit Promotion of the maritime cluster Focus in maritime cluster organisation on education, training and the labour market Focus in maritime clusters on RDI Almost all sectors are involved in these initiatives Sector involvement Almost all sectors are involved in these initiatives with leading roles for shipping and shipbuilding industry Almost all sectors are involved in these initiatives with leading roles for shipbuilding, marine equipment, offshore supply and shipping Mainly project-based approach Project-based and structural approach Project-based approach based upon (high budget) government support programs and structural approach Approach Main initiatives Promotion campaigns through websites, videos and presentations Report on economic importance of the cluster Organising promotion events Programs in cooperation with universities and professors Recruitment campaigns and fairs Platforms to exchange best practices On (governmental) project basis Structural cooperation with RDI-institutes and universities Platforms to exchange best practices