Senturk turkish ship recycling industry and its future challenges

MINISTRY OF TRANSPORT MARITIME AFFAIRS AND COMMUNICATIONS

TURKISH SHIP RECYCLING INDUSTRY AND ITS FUTURE CHALLENGES

Ö. UMUT ŞENTÜRK WMU INTERNATIONAL CONFERENCE ON SHIP RECYCLING 07-09 APRIL 2013 MALMÖ GENERAL DIRECTORATE OF SHIPYARDS AND COASTAL STRUCTURES

TURKEY AT A GLANCE

MACROECONOMIC OUTLOOK Ø 17TH LARGEST ECONOMY IN THE WORLD IN 2012 Ø BOOMING ECONOMY (USD 230 BILLION TO USD 800 BILLION OF GDP FROM 2002 TO 2012) Ø SUSTAINABLE ECONOMIC GROWTH (6.0 PERCENT ANNUAL AVERAGE REAL GDP INCREASE FOR THE LAST 9 YEARS) Ø OVER 25 MILLION YOUNG, WELL-EDUCATED AND MOTIVATED PROFESSIONALS Ø THE 4TH LARGEST LABOR FORCE WITHIN THE EU COUNTRIES

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TURKEY AT A GLANCE

ANNUAL AVERAGE REAL GDP GROWTH (%) FORECAST IN OECD COUNTRIES 2011-2017

Source: OECD Economic Outlook

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SHIP RECYCLING INDUSTRY

Ø AS NEW SHIPS ARE CONSTRUCTED, THERE MUST BE PROPER RECYCLING FACILITIES FOR THE ONES COMPLETED THEIR ECONOMIC LIFE

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TURKISH SHIP RECYCLING INDUSTRY

Ø OECD, EU , NATO, Basel, HKC Ø SR Industry jointly regulated by Maritime, Environment and Labour authorities Ø 20 Ship Recycling Facilities Annual capacity ~ 900,000 LDT* Unique dedicated SR area in Turkey

Ø Import scrap(2012): 22.4 million tons (11.5 from EU27) Ø Production steel (2012): 35.9 million tons * LDT = light displacement tons

RECYCLED SHIPS

RECYCLED SHIPS 2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Recycled Ships (pcs)

99

136

88

94

76

72

127

229

341

281

Tonnage of Recycled Ships (x1000 LDT)

193,4

153,6

120,2

152,0

297,8

114,8 135,9

1.600 persons are employed directly in the Region.

410,4 652,5

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TURKISH GOVERNMENT POLICY FOR SHIP RECYCLING INDUSTRY

GOVERNMENT PERSPECTIVE FOR THE SHIP RECYCLING INDUSTRY ü WORLD LEADER IN GREEN SHIP RECYCLING ü GENERATOR OF EMPLOYMENT ü NATIONAL ECONOMIC PERFORMANCE ü NEW INVESTMENTS (CAPACITY INCREASE) ü VEHICLE TO RELATED INDUSTRIES ü PILLAR OF REGIONAL DEVELOPMENT

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TURKISH SHIP RECYCLING INDUSTRY

Landing

Afloat W astes

off shore S econdary B lock C utting

O il T reat W astes

A ssorting A rea

P rim ary B lock C utting

P rim ary B lock C utting A rea

S lope

W inch

Finishing A rea

W harf

shore

O il T reat

Floating C rane

O ffice

S econdary B lock C utting

O ffice M obile C rane

A ssorting A rea

P rim ary B lock C utting A rea

Floating C rane

pier

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IMO SHIP RECYCLING CONVENTION

Ø TURKEY’S SIGNING OF THE CONVENTION PAVES THE WAY FOR OTHER NATIONS TO FOLLOW THIS COUNTRY’S EXAMPLE

IMO

Ship Recycling Convention

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IMO SHIP RECYCLING WORKSHOPS

ü ILO, IMO and BASEL CONVENTION WORKING GROUP MEETINGS ü IMO SHIP RECYCLING WORKSHOPS ü BASEL SHIP RECYCLING TECHNOLOGY&KNOWLEDGE TRANSFER WORKSHOP

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NATIONAL REGULATING AGENCIES TAKING PART IN THE SHIP RECYCLING SECTOR Ø PRIMARY REGULATING AGENCIES 1. MINISTRY OF TRANSPORT MARITIME AFFAIRS AND COMMUNICATION - REGIONAL DIRECTORATE OF IZMIR - ALIAGA HARBOUR MASTER 2. MINISTRY OF ENVIRONMENT AND URBANIZATION 3. MINISTRY OF LABOUR AND SOCIAL SECURITY

Ø SECONDARY REGULATING AGENCIES 1. MINISTRY OF CUSTOMS AND TRADE 2. MINISTRY OF HEALTH 3. MUNICIPALITIES

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TURKISH SHIP RECYCLERS’ ASSOCIATION

Ø TURKISH SHIP RECYCLERS ASSOCIATION IS NOT A GOVERNMENTAL REGULATING BODY BUT IT HAS AN IMPORTANT ROLE WITHIN THE INDUSTRY

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THE IMPLEMENTATION OF LEGISLATION EFFECTIVELY

Ø SHIP RECYCLERS ORGANISATION WITH A PROFESSIONAL TEAM WILL HELP BOTH TO THE IMPLEMENTATION OF LEGISLATION EFFECTIVELY AND TO THE ESTABLISHMENT OF AUTO-CONTROL MECHANISM ON SHIP RECYCLING COMPANIES Ø INTERNATIONAL SHIP RECYCLING MEETINGS AND ACTIVITIES INCLUDING IMO SHOULD BE FOLLOWED AND PARTICIPATED REGULARLY

BY BOTH THE GOVERNMENT AND THE INDUSTRY

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THE CREATION OF A LEVEL PLAYING FIELD WORLDWIDE

Ø THE SUCCESS OF THE WORK TOWARDS AN INTERNATIONAL AGREEMENT IN FORCE ON SHIP RECYCLING IS OF PARAMOUNT IMPORTANCE FOR THE CREATION OF A LEVEL PLAYING FIELD WORLDWIDE

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THANK YOU FOR YOUR ATTENTION

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