The OECD-ITF report Maritime Subsidies: do they provide value for money? provides a long-needed evaluation of the subsidy regimes which developed countries offer the maritime transport industry.
Government support subsidies for many noble reasons including fostering competitive maritime industries, supporting their national flags and promoting employment and the creation of quality jobs.
However, the report will be a wake-up call to policymakers who design these subsidy schemes, as the OECD-ITF analysis confirms what workers and their unions have long suspected: maritime subsidies are failing to achieve their desired objectives.
The report reviews a comprehensive range of recent impact studies and analyses the effect of direct and indirect maritime subsidies on the shipping industry, with a specific focus on EU countries where state aid schemes are regulated and monitored by the European Commission.
The overall picture gives little evidence that maritime subsidies are
value-for-money in achieving their stated aims, despite governments
are spending more and more money on them.