Trade and innovation have driven growth, but increasing climate risks, weak governance, and underinvestment threaten the sector’s future and the lives of 600 million people worldwide.
The ocean economy has grown 2.5 times since 1995, surpassing the global average.
In 2023, ocean-related trade in goods and services reached record levels of $899 billion and $1.3 trillion, respectively, highlighting the growing importance of maritime activities for coastal and island nations. Fisheries alone support 600 million people, mostly in developing countries.
Notably, South-South trade is booming. Between 2021 and 2023, primary fish exports increased by 43% to $19 billion, while processed fish exports surged by 89% to $23 billion.
Meanwhile, the ocean remains largely unexplored, with up to two-thirds of marine species yet to be identified, offering vast potential. The marine biotechnology market, valued at $4.2 billion in 2023, is expected to reach $6.4 billion by 2025, driven by low-carbon marine foods, new antibiotics, and bio-based materials.
However, climate change, pollution, overfishing, regulatory gaps, and underinvestment threaten the sector’s future.
Climate Change and the Shipping Challenge
2024 was the hottest year on record, with global temperatures 1.55°C above pre-industrial levels, exceeding the critical 1.5°C threshold. Rising ocean temperatures disrupt marine ecosystems, harm fish populations, reduce harvests, and threaten food security, especially for coastal communities.
Maritime trade is also at risk. Rising sea levels and droughts threaten ports and shipping routes, while extreme weather delays shipments and drives up insurance costs.
The shipping sector, responsible for 2.9% of global emissions, faces annual decarbonization costs between $8 billion and $28 billion, plus up to $90 billion for infrastructure upgrades. The International Maritime Organization’s 2023 greenhouse gas strategy sets ambitious targets, but progress is slow. Low-carbon fuels remain expensive, ports lack infrastructure, coordination on alternative fuels is weak, and developing economies struggle to finance the transition.
Yet, most national climate plans overlook the ocean economy. Without urgent action, climate change will undermine both the ocean economy and global trade.
Lack of Data Hampers Action
The ocean economy accounts for 11% of global CO₂ emissions, yet no comprehensive dataset tracks emissions across key sectors.
Coastal and maritime tourism alone contributes 4% of global emissions, but official data is incomplete. Shipping, offshore oil extraction, and fishing are better documented, but other sectors, such as ports and shipbuilding, are largely missing from global carbon assessments.
Expanding the UN Conference on Trade and Development’s (UNCTAD) ocean trade database and the FAO’s fisheries statistics could help bridge these gaps.
Trade: Unlocking Potential by Removing Barriers
High tariffs and non-tariff barriers limit the potential of South-South trade in the fisheries sector. Developing economies impose average tariffs of 14% on fish products traded among themselves—far higher than the 3.2% in high-income countries.
The Global System of Trade Preferences (GSTP), a $16 trillion market among 42 developing countries, could boost trade by reducing tariffs and strengthening cooperation.
Meanwhile, exports of marine-based non-plastic substitutes, such as seaweed and silicates, reached just $10.8 billion in 2022—only 1% of global plastic exports. Growth is hindered by high tariffs, outdated regulations, and trade barriers. The UN treaty on plastic pollution, currently under negotiation, could help unlock this market by facilitating trade and supporting innovation in sustainable marine-based materials.
An Ocean Economy Starved of Investment
Despite its scale, the ocean economy remains severely underfunded. In 2022, global ocean-related financing totaled less than $3 billion—just a fraction of what is needed.
Achieving Sustainable Development Goal 14 (Life Below Water) requires $175 billion annually, but only $30 billion has been disbursed since 2010, making it the most underfunded SDG.
At the same time, the global fishing industry receives about $22 billion in harmful subsidies, fueling overfishing. Redirecting these funds and expanding blended financing mechanisms could help bridge the gap.
What Needs to Change?
The ocean economy is at a turning point. To ensure sustainable and inclusive growth, five urgent actions are needed:
- Integrate ocean-related sectors into national climate and biodiversity plans to accelerate adaptation and improve resilience.
- Finalize the legally binding treaty on plastic pollution to reduce waste and promote marine-based materials.
- Lower trade barriers to boost South-South fisheries and aquaculture trade.
- Expand data collection on ocean-related emissions, trade, and investment.
- End harmful subsidies and scale up financing by mobilizing public and private funds.
With the 5th UN Ocean Forum (March) and the 2025 UN Ocean Conference (June) approaching, policymakers must act now. The future of the ocean economy depends on it.
