THE KEY TO OUR GROWTH AS A NATION
The bottom-line is that we should offer a high-quality service or product at a reasonable price. This is the fulcrum of what makes us competitive
by
Censu Galea

Although the term ‘competitiviness’ is derived out of ‘competition’, it says and carries much weight when applied to a nation’s performance within all of its social and business sectors. It is of paramount importance to a country’s ecomomy, to its well-being and prosperity, and to its overall delivery within its own borders, and beyond. Indeed competitiveness is the ability to achieve success in international markets leading to better standards of living for all. It stems from a number of factors, notably firm strategies and a business environment that support innovation and investment, which combined lead to strong productivity growth, real income gains and sustainable development.
Unions, constituted bodies, entrepreneurs and several other main players within our country’s economic dimension voice the vitality of being competitive. Government completely agrees with this statement and as such whilst appointing for the very first time throughout the course of Malta’s political history a Minister directly responsible for Competitiveness, has listed this issue as one of its top priorities. However this is a responsibility to be carried by all. Each and every one of us has to be the guarantor that day by day, month after month, we mould competitiveness into a functioning term for our country. The process duration is never-ending, as necessities and global requirements change continuously.

Several areas are vital indicators of competitiveness; the public service, national service providers, the private sectors, businessmen, industry, small and medium enterprises….the list is endless. I do not believe in an implementation of policies which spreads its wings over all existing sectors and adopts an immediate radical change within its structure. I believe, on the other hand, that by identifying and targeting the main pillars of provision of services we can adopt a revamp in its respective operations by implementing necessary changes, ultimately yielding the desired results. The process is not an easy one and I am more than sure that criticism will be leveled on the field. I am sure that some will forcefully disagree; but if we insist that being competitive is at the top of our national agenda then I am not afraid of grabbing the bull by its horns, addressing the issue, and delivering results for the wellbeing of our socio-economic dimension.

Each and every sector, in some way or another, contributes to our overall competitivity as a nation. Therefore we have to focus on those essential services and sectors which would really, following the necessary reforms and implementations, reap the desired targets, and not those which theoretically are beyond our national realities. With this is mind the reduction of earmarked bureaucratic practices, whereby delivery of services would indeed be of benefit to the consumer thus increasing their efficiency within the competent sector they are responsible for, will contribute to the overall level of competitiveness. This without putting aside the fact that within several of our national structures, large and untiring reforms have already, and still are, taking place, thus enhancing their delivery and provisions. We should not live in utopia and forget what has been done already. On the contrary we must admit that change is needed on a daily basis, adapting ourselves to the daily necessities of an ever changing world, and this is precisely what Government has in mind.

The much awaited port reform is currently under discussion for eventual implementation. This is one of the main areas of internal services requiring urgent attention and change. This is what I mean by underlining earmarked sectors of domestic economy contributors. This reform will constitute the various aspects of the handling of cargo and provision of services within our harbours thereby facilitating present working operations together with ensuring that the level of competitiveness of domestic ports be enhanced. Recently a number of studies involving all those concerned have been compiled. At the time of writing this article, roundtable discussions are in course, amongst which with the Malta Maritime Authority. This reform will follow that implemented a few months ago to the port pilots sector, and which was carried out in a very positive way. Thus shipping activities will operate within a competitive harbour, resulting in further attracting new activities due to cost-effective operations. My main vision within such a perspective, complimented also by the other areas of service providers, is that Malta offers a high-quality service or product at a reasonable price. This is the fulcrum of what makes us competitive.

Our human resources sector has already given proof of its capabilities. Within the health, education, economic and other fields our nation can boast of individuals who distinguish themselves within their respective areas. A few years after the widespread application of IT, we can already identify quite a few Maltese nationals who have excelled within this area of technology. Our public service has made great strides ahead on all levels – Malta’s process of screening and negotiations prior to our EU membership is a case in point.

Competitiveness is also a vital drive towards the attainment of a sustainable development meeting the requirements of the present without diminishing the ability of future generations to meet their own needs. Following EU membership, standards are another important area of consideration for local industry. Being directly responsible for the Malta Standards Authority I am seeking to diffuse further the need of certification for the products and services we offer. I am constantly striving towards creating an awareness on the issue as such standards give us an edge within a competitive market, enabling us to offer local produce and services at the best possible quality resulting in consumer satisfaction. I have recently launched together with the MSA two new schemes offered by the EU which certify environmental-friendly standards. With an ever-increasing awareness, both in Europe and around the world to the environment, this too provides us with an essential tool when competing with others. Tourism services are one of the sectors that would definitely reap its benefits.

The ‘Growth Competitiveness Index’ released by the World Economic Forum indicated Malta at a very good placing as a newly acceding member of the European Union and I quote, ‘Malta, which holds the highest ranking among 22 new entrants, fares relatively well in the area of technology. Specifically the government scores highly in its prioritization of ICT and success in ICT promotion although it rates less favourably in terms of innovation.’ Within this context we are promoting innovation and investment in the research and development field, being one of the main drivers for industrial competitiveness.

Competitiveness is not a term to be used conveniently whenever the occurrence is felt. I believe we have already seen substantial achievements within our social, political and economic sectors, and this has to go to the credit of those who have worked for such. In spite of this, we are now living a new reality within the European Union; a reality which places us at par with other member states. The same Union is working hard to achieve a competitive market built on internal harmony and a sound economy.

In Malta we are doing the same. We have placed this priority as fundamental for turning the challenges which lie ahead into achievements.

The Hon. Censu Galea is the Minister for Competitiveness and Communications