Cyprus reunification effects on shipping

Cyprus reunification would be a major lift to Cyprus’s shipping industry, both as a maritime flag and an international shipmanagement hub. It would be a giant leap and very positive effect on shipping if Greek and Turkish Cypriot leaders overcome the Cyprus’s historical division.Cyprus has been divided since 1974 north as Turkish Cyprus and south as Greek Cyprus. A deal to reunify the island would most certainly lead to an end of Turkey’s prohibit Cyprus-flagged vessels from calling at Turkish ports. Extending the ban to any vessel sailing to Turkish ports directly from the Greek-controlled Cypriot south and including any vessels linked to it, either by ownership or management. Lifting these restrictions could get an immediate boost, with the fleet potentially doubling in size of Cyprus flagged ships. Cyprus reunification will provide an unprecedented impetus to shipping because it will remove the in-built uncertainty some shipowners have had since 1974 about what might happen on the island. Cyprus’ open register was founded in 1960 and has almost 2,000 registered vessels with a total tonnage exceeding 20 million dwt. In terms of volume, that is between 1% and 2% of the world’s cargoship fleet. Cyprus reunification deal could also produce benefits on the shipmanagement side, where Cyprus is already one of the world’s top five hubs. Cyprus reunification peace treaty could entice even more shipmanagers to set up shop on the island, particularly from Turkey. Cyprus reunification would also lead to the repatriation of some shipmanagement offices which have established branches abroad, exclusively for the purpose of managing ships that trade with Turkey.