98% foreign companies hold sway on the shipping sector in Algeria

Algeria is suffering a financial loss worth more than 500 million Euros yearly due to its complete disregard for the shipping sector whose activities do not exceed 2% of the overall trade exchange as opposed to 98% for the foreign companies operating in the country.

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• Figures release by the sales department of the national maritime company “ CNAN – NORD” have revealed an uneven activity of the four vessels that count this company and whose age exceed 35 years.

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• Those figures revealed that the company transported 144, 430 tons over the year 2008 as opposed to 132, 17 tons in 2009 while the activities have slightly increased to reach 148, 347 tons in 2010.

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• One vessel coasts more than $ 6 thousand daily in terms of insurance fees, reparations and maintenance, employee’s wages and catering. This expenses cause tremendous losses to the company, according to company’s trade union.

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• They suggest renewing the company’s fleet since the old vessels are not fit for this activity anymore.

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• The company’s union has sent an formal correspondence to the Prime Minister Ahmed Ouyahia asking for the necessity to acquire 25 vessels at least to reach shipping capacity varying between 25 and 50% of the overall exchanges.

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• The Union’s SG Ahmed Aitou has indicated that hegemony of the foreign companies over the sector has soared exports and imports costs noting that the Algerian personnel is qualified by marginalized.

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• This situation has forced numerous skilled managers to flee the national company towards foreign ones, he added.

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