Indian Ocean Importance

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By virtue of its geo-strategic location, bounded by three continents, namely, Africa, Asia and Australia as well as the Middle-East region, the Indian Ocean retains immense economic significance that is tied to the functioning of the global economy through the shipping industry. Effectively, half of the world's container ships, one third of the bulk cargo traffic and two-thirds of the world's oil shipments converge in the region, strengthening the importance of the Indian Ocean as a central strategic scene in the 21st century14. As a complement of the pivotal role of the shipping industry, ports and logistics have a significant role, especially with the rapid growth of maritime trade and commerce among IORA Member States. In spite of the…show more content…
For example, the Australian Maritime Safety Authority (AMSA) is responsible, on behalf of the Commonwealth Government of Australia, for the regulation and safety oversight of Australia's shipping fleet and management of Australia's international maritime obligations. In Comoros, all administrative activities and registration procedures are governed by the Comoros Merchant Shipping Act 2000, which forms a part of the law of the Country, after having been adopted by the Cabinet17. In India, Indian ports are also generally administered and regulated by the Central and State governments. The Ministry of Shipping has been entrusted with the responsibility to formulate policies and programmes on shipping and ports sectors and their implementation18. The Cabotage restrictions have been implemented by the Indonesian government and Indonesia's shipping and offshore marine industry underwent major changes since the introduction of the Maritime Law No 17 of 2008, which was aimed at providing business opportunities and greater market share to Indonesian companies19. After this initiative there were other new regulations to the Shipping Act in Indonesia to regulate a wide range of transportation…show more content…
However, levels of development of Member States differ, with some countries still lagging behind in terms of development in the seaport and shipping sector, as a result of limited resources, technology and capacities. There have been a large number of initiatives from IORA Member States. For example, in Comoros, Maritime Transport Business Solutions B.V of the Netherlands has been assigned by the CAON (Support Unit to the EDF National Authorising Officer, Comoros) to develop a national port project for the ports on the Comoros islands. In Kenya, in order to increase port’s facilities and cargo space, a new berth was constructed at the Mombasa’s seaport in 2013. In Madagascar, the Port Rehabilitation Project’s main purpose is to rehabilitate the physical infrastructure and equipment of ten

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