Return to College with Young Enterprise

With the start of a new academic year, it’s not just teachers and pupils who are heading back to college.
Employees of businesses throughout Gibraltar will also find themselves back in the classroom over the coming months at Gibraltar College, working as volunteer business advisers to Young Enterprise companies.
Through the Young Enterprise Company Programme, young people aged 15 to 19, set up and run their own real company for one academic year, with the support and guidance of a Business Adviser, a volunteer from the business community who acts as facilitator and mentor to the students. The programme is based on a principle of learning-by-doing, and exists to provide students with a relatively safe environment in which to learn by trial and error, and from their own mistakes, how a company operates, and how business works.
“It truly is an exciting and motivating experience, both for the students you support, and for yourself as a volunteer,” says John Lowe, Managing Director of the UK’s Avalon Training and 2005 Young Enterprise Business Adviser of the Year. “The change in the students from the beginning of the experience to the end is quite dramatic as they grow and develop in terms of their business skills and knowledge, but also in confidence and their aspiration to succeed. It’s great to know that you have played a part in making that happen, and the spin-off benefit is that you have had the chance to develop your own mentoring skills along the way.”
Company Programme Business Advisers attend a 1-2 hour weekly “board meeting” with the students, where they are on hand to offer help and advice, and to stimulate and facilitate discussion and debate. Some Business Advisers volunteer on an individual basis, and some volunteer as part of their employers’ volunteering programme.
At the beginning of the summer, and in preparation for the autumn launch of Young Enterprise in Gibraltar, the Chamber of Commerce hosted two training sessions for Business Advisers and Link Teachers here in Gibraltar.
If you are interested in becoming a Young Enterprise volunteer, you can find out more, and volunteer on-line at www.young-enterprise.org.uk or contact Ken Longster, Project Manager in Gibraltar at ken.longster@yeyh.org.uk for an informal discussion.

Autumn 2006

Chamber comment

The Directors of the Chamber lunched with The Chief Minster and Deputy Chief MinisterThe conclusion of the Tripartite Agreement on the 18th September 2006 in Cordoba can be summed up as probably the greatest commercial achievement for Gibraltar since the full opening of the border by Spain in 1985.

The Airport Agreement is far reaching in that it will bring new routes to Gibraltar from other European destinations and these will enhance the business opportunities available to the private sector not only in Gibraltar but also in other markets. Construction of the new terminal itself will provide new business opportunities and will create a significant increase in the workforce to deal with the anticipated annual traffic of over a million passengers. The Chief Minister in his address at our Annual Dinner last month stressed that he saw the airport as an engine of the economy in its own right.

Similarly, the new arrangements that have been agreed for the freer flowing frontier will give a further boost to the economy. The establishment of a red and green channel is welcome and it is hoped that traffic will flow with ease as a matter of routine. The two lane entrance into Gibraltar should also ease the congestion and should go some way to reducing the long queues that have been a common feature on the Spanish side for too long.

The agreement on telecommunications, whereby the 350 country code will be used for Gibraltar and roaming agreements are to be made available for mobile phones, normalises our international communications. This will allow Gibraltar’s economy to expand by easing the pressure on telephone lines that are available to businesses. It will also enable the two local telcos to provide a broader range of services commonly offered by telcos in other jurisdictions.

The Agreement, however, is just the first step. Without implementation it will mean little for Gibraltar and its economy. If the various components of the Agreement are fully brought into effect in a spirit of genuine cooperation by all sides, many of Gibraltar’s commercial sectors stand to benefit.

Trust is the cornerstone of any durable agreement. There will doubtless be challenges and hurdles to be overcome in the months ahead.

Misunderstandings may be cured by mutual goodwill. But real challenges will need the robustness of trust if such hurdles are to be overcome.

The opportunity to improve life and boost our economic advantage is tantalising. Not just for the Gibraltar of today, but for future generations as well. Provided we protect what is rightfully ours, we can enjoy the benefits which the Agreement is set to deliver.

Gibraltar: at the crossroads

Minister Holliday surveys the new port in Tangier.On a clear day standing at the top of the Rock, you can just about pick out Tangier’s new port with the naked eye. Half way between the city of Tangier and the Spanish enclave of Ceuta, Tangier Mediterranean is the focal point of a multi-million dollar investment programme that aims to turn northern Morocco into a hub for global trade and commerce. The deepwater port is the centrepiece of broader plans to establish free trade zones, logistics platforms and improved road and rail links to the Moroccan hinterland. In the process, the development is poised to radically change the maritime make-up of the Strait of Gibraltar, a chokepoint for seaborne trade through which 80,000 ships sail each year. Ports like Gibraltar and Algeciras have already capitalised on the Strait’s unrivalled geographically-strategic location, offering numerous services to vessels as they transit from east to west, north to south and back again. But maritime officials believe that new port infrastructure on either side of the Strait will provide a further boost to the sector.

“The more infrastructure we have in the Strait [of Gibraltar], the more business we will attract,” said Manuel Morón, chairman of the Algeciras port authority.

And while there will inevitably be greater competition between the ports of the Strait in key sectors such as bunkering, officials also believe there is much to be gained from inter-port cooperation, both on practical operational issues and in terms of joint marketing initiatives.

Algeciras already has close links with Tangier and is now fostering similar contacts with the Rock. Improved diplomatic relations between Gibraltar and Spain have enabled officials from both ports to meet for the first time to discuss key matters such as navigational safety in the increasingly busy Bay of Gibraltar. The developments have resonated at the highest political levels. Although the main elements of the trilateral agreement announced by ministers last month focused on the airport, frontier flow, telecommunications and the Spanish pensions issue, the new climate of cooperation bodes well for the maritime sector.

Operators say that enhanced use of the airport will likely open up new opportunities and facilitate the movement of crews and spares, while softened controls at the border – including new lanes for freight traffic – will make it easier to get ship spares and provisions across the frontier.

The final joint communiqué issued after the three-way ministerial meeting in September also included a clause specifically relating to maritime matters.
“We welcome and encourage the co-operation between the port authorities of the Bay in relation to issues relating to their operations, and in continuing to explore possibilities for collaboration in fields of common interest,” the three governments said.

The need for tighter controls on vessel movements in the Bay was sharply illustrated in 2005 by the collision in thick fog between the cruise ship Van Gogh, which was leaving the Rock, and the laden tanker Spetses, which was coming in to discharge oil at the Cepsa refinery in the Campo de Gibraltar. In the event there was no injury or pollution, but the incident could have proved disastrous and represented a stark wake-up call for authorities in the bay.

But it is the major projects underway in Tangier and Algeciras, and to some extent Gibraltar too, which are providing the catalyst for closer ties between the two shores of the Strait.

Tangier Mediterranean is the centrepiece of a wider E1.7bn project that is transforming northern Morocco, one of the country’s poorest regions. The port itself envisages construction of a 1.8 km breakwater sheltering deepwater berths with a draught of up to 45m and terminals handling everything from transhipment containers to trucks and bulk cargoes. Aside from the start of operations at the first of two container terminals in the summer of 2007, Said Elhadi, chairman of the executive board of the Tangier Mediterranean Special Agency, said three ferry berths would also be available to help ease congestion at the existing port of Tangier. Ultimately, the aim is to shift all cargo traffic to the new port and develop the old Tangier facilities for cruise and leisure business. The initial phase of a 135 ha logistics zone will also be ready by next year, with the first 40 hectares operated by Dubai-based Jebel Ali Free Zone expected to be ready for occupation. A 53km stretch of motorway linking the port to existing road networks from Tangier to Casablanca should also be complete by 2007.

Algeciras doubles its port sizeAlgeciras meanwhile is also investing over E600m through to 2015 in new infrastructure that will bite into the Bay of Gibraltar and virtually double the port’s capacity over the coming years. Once complete, the port will boast a total of 121 ha of new terminal space and nearly 3km of deepwater quay line, with draughts ranging between 16.5m and 18.5m. The second phase of the project will provide 46 hectares of land and should be operational by early next year.

Gibraltar, with projects such as the East Side development and Ocean Village, is also adding to the region’s maritime infrastructure, albeit focused primarily on cruising and the marina and leisure market. And expanded use of the airport, part of the trilateral agreement signed last month between Gibraltar, the UK and Spain, will also prove a boon to the Rock’s maritime services industry, facilitating such things as crew changes and the movement of urgent spares for vessels.

Gibraltar is starting to wake up to the potential for business and inter-governmental cooperation that Tangier Mediterranean could offer.

Joe Holliday, Minister for Trade and Industry, travelled to Morocco this summer and met with the country’s ministers for trade, industry and tourism. He also met key officials at Tangier Mediterranean, including Mr Elhadi.

Mr Holliday toured the new port and received a detailed briefing on the scope of the project. His delegation also held talks with their Moroccan counterparts on a range of issues including the potential for economic cooperation not just between ports, but also between cities.“I am most impressed at the work that has been done so far on the new port of Tangier-Med,” Mr Holliday said. “I am also very heartened to see the interest at the top level of developing closer ties between the ports of Gibraltar and Tangier. There are a number of areas of potential co-operation between Gibraltar and Morocco. In the same way that we are interested in developing closer links with our neighbour in the region of the Strait of Gibraltar, Moroccan players are very interested in cementing closer ties with us not just in the field of shipping but in other areas such as, for example, the financial sector. There are also important opportunities for both Gibraltar and Tangier in the field of maritime links, tourism and commerce. The meeting was the beginning of what I believe is potentially a long, fruitful relationship that can be mutually beneficial.”

Both sides are drawing up a detailed subject list for future discussion and a delegation from Morocco will travel to Gibraltar to view facilities and learn about the Rock’s shipping business.

In a parallel initiative, Algeciras hosted the first-ever meeting of the Ports of the Strait early in October, bringing together delegations from port cities including Algeciras, Tangier, Tetouan, Gibraltar and Ceuta.

The encounter was initiated by the Algeciras port authority and, in no small measure, by the personal efforts of its chairman Manuel Morón, whose vision for the Strait is one of a busy maritime cluster rich in the diversity of services and opportunities it offers.

The work programme for the October session reflected the thrust of the discussions that have been held - bilaterally so far – between the various ports that border the Strait.

“We want to establish the region of the Strait of Gibraltar as a world-class, premier-league maritime platform,” said Mohamed Hafnaoui, a member of the Tangier Mediterranean Special Agency’s board of director. Everyone at the meeting agreed that, as a first step towards building closer links, the event proved a resounding success.

There were discussions across all areas of maritime and port business, from navigational safety to environmental protection and commercial cooperation, and promises of future inter-port initiatives and working groups.

“We compete in some areas but in other types of traffic, where we work as a maritime bridge between Europe and Africa, we share the same clients,” Mr Morón said.
“In this sense, the ultimate aim is to establish a stable framework of contact and cooperation between all the ports on either shore of the Strait, with objective of promoting this region as a first-class global hub for maritime traffic.”

This was the first stage in a process that will unfold over years, but the mere fact that the meeting took place was a major achievement in itself.

“It’s given us the opportunity to get together for the first time and identifying, at a very basic level, not just problems but opportunities for all of us,” said Peter Canessa, principal private secretary at the Ministry for Trade, Industry, Employment and Communications.

Gibraltar Port: A shipowners’ bazaar

Gibraltar Port a shipowners bazaarThere is far more to Gibraltar’s maritime sector than bunkering and cruising, the mainstays of the port’s business.

While those two sectors are admittedly the most prominent and visible, the Rock offers a broad range of services to shipowners whose vessels are transiting the Strait of Gibraltar.

From crew changes to the provision of food, charts and spares, virtually anything a ship or its crew might need is either already available here, or can be brought in at short notice.

And away from the physical activities of the port and the ship repair yard, Gibraltar’s legal community has long been active in various aspects of admiralty law.

Underpinning much of that business is Gibraltar’s ship register, a Category 1 member of the British Red Ensign group, one of the most prestigious flags in the world.

The register currently has 200 vessels representing 1.2 million deadweight tonnes on its books.

This year the Gibraltar flag obtained the coveted White List status within the Paris Memorandum of Understanding on Port State Control, the intergovernmental body that checks vessel safety and the quality of ship registers in Europe and Canada.

Gibraltar based: new routes from our airport

Fly Gibraltar will be a low cost airline but will provide some frillsAfter weeks of speculation, local start-up airline FlyGibraltar finally confirmed its plans to launch services from Gibraltar to a range of cities in the UK and Ireland as from next year.

The project will prove a boost to the local economy and was unveiled just weeks before ministers signed the long-awaited trilateral agreement between Gibraltar, the UK and Spain, which has at its core a deal to dramatically expand use of the local airport.

The announcement followed news that existing airlines had reached an agreement with the Ministry of Defence over the contentious issue of landing fees at the local airfield, which is controlled by the British military.

Taken as one, the various developments bode well for the future of Gibraltar airport, which seems poised to see a sharp rise in traffic – and competition - over the coming months.

FlyGibraltar will operate as a low-cost airline and is financed by OEM, the company run by Irish businessman Robert Noonan and which is already engaged in major projects in Gibraltar, including the affordable housing development Nelson’s View and Cumberland Terraces.

The airline will use chartered passenger planes that will start and end their flights in Gibraltar, spending the night on the tarmac here.

Operations will commence with two Boeing 737-300s, each with a seating capacity of 148 passengers, leased from UK-based Astraeus Airlines, which will also provide crews and maintenance staff. The planes will be painted in FlyGibraltar’s own livery.

Fly GibraltarFlyGibraltar has been busy securing the necessary licences and permits over the past few months, and expects to start flights by spring of next year.

Initial destinations will likely include London Stansted, Manchester, Birmingham and Bristol in UK, plus the Irish cities of Dublin and Cork.

In common with the other two airlines, it has already reached an understanding with the MOD on the thorny issue of runway fees.

In the UK, the company’s advisors include Hugh O’Donovan, an aviation specialist with Quadrant Chambers in London who helped set up EasyJet 10 years ago.

“Fly Gibraltar will be a low cost airline but will provide some frills, as in on-board meals and seat allocations,” Mr Noonan told reporters at a press conference this summer.

He added: “The airline will be carrying freight in and out of Gibraltar. It is intended to target a market within a 50-mile radius from Gibraltar, to include business, leisure and frequent travellers. Gibraltar and its hinterland will also be promoted in the UK and Irish destinations.”

The new airline’s managing director, Gibraltarian Mark Carreras, said the overseas property owner market would be a natural target for the new operation but considerable traffic would also be derived from pure business and holidaymakers both to Gibraltar and to Spain.

“We know that 65% to 70% of the passengers currently flying into Gibraltar cross over to Spain and I would not expect that to be any different from our operation,” said Mr Carreras.

Although specific route prices have yet to be announced, Mr Carreras said that prices will be as low as from £29.99 one way.

The new venture was warmly welcomed by the Gibraltar Government, which had long been in discussions with several airlines over proposals to launch new services to and from the Rock.

FlyGibraltar’s announcement proved a fillip for the local administration, which had expressed disappointment over recent news that existing airlines GB Airways and Monarch were ending flights to Heathrow and Manchester respectively. Monarch pulled its Manchester service at the height of the row over MoD landing fees, which are higher than in neighbouring Spanish airports and, according to the airlines, are prohibitive. GB Airways meanwhile plans to end its Heathrow flights later this month as it moves to expand its services to Morocco this winter and focuses its local routes on Gatwick.

Joe Holliday, Minister for Trade and Industry, said both the tourism and business sectors would benefit from FlyGibraltar’s new services. The company would also create new job opportunities for locals.

“Discussions with FlyGibraltar have been on-going with the Government for some time now, considering various operations which would be of most benefit to Gibraltar’s business and leisure travellers’ needs,” he said.

“It is encouraging to see that a company that has already made significant investments in Gibraltar is willing to embark on this venture.”

“The initiative is typical of the investor confidence that exists in Gibraltar’s current economic climate.”

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