Diversifying an economy away from labour-intensive industry required effort and foresight to attract and build up new sectors most suitable to the island. The effort would need to be kept up all the time to ensure the economy is resilient enough to make up for the impact of any adverse developments that may come Malta’s way.

It was probably with this in mind that EY Malta has sought to identify future growth areas. These are: financial technology, a commodity trading hub, a gateway for Asian e-commerce, regional logistics hub and retraining of regular immigrants.

At least two of these five have already been brought up before as potential growth areas but the other three are equally valid.

Most interesting in the context of the EY proposals are the government’s views as expressed by the Prime Minister. Picking up on a suggestion by a company managing partner for the widening of existing capital allowance incentives to stimulate the development of distribution facilities and warehousing infrastructure to attract foreign suppliers, Joseph Muscat said: “What we are looking into is very much based on what were known as the bonded stores, where existing warehouses could be identified as free zones.”

To do this, he remarked, legislation would have to be changed and security measures implemented to ensure any goods stored in such warehouses do not end up on the black market.

There is one other thing that would have to be seen to also: the need to be competitive in rates and efficiency. There are other logistically well-placed centres in EU countries in the Mediterranean that may well go for this work at cheaper rates.

It is good to recall that, well before the country had any industry of the kind it has had since it stopped relying on UK defence spending, it was already a leader in the Mediterranean in transshipment, the provision of warehousing facilities and in serving as a coal bunkering station.

Trade flourished so much that the island was called the warehouse of the Mediterranean. But it gradually lost the business when rates rose in excess of those charged at competing ports. Bona (Annaba), Algiers and Oran were developed into first-class bunkering depots while Malta eventually lost its position as a bunkering port. Steamers bypassed the island or took enough bunkers to last them until their next port of call.

There is great potential in reviving sea trade, as the success story of the Freeport shows only too well. But efficiency and competitive rates remain among the most essential considerations as they have always been.

EY identified port and container charges as a significant stumbling block for the development of a logistics hub. So, before the country goes further into the promotion of the business, it would first need to see that the rates are competitive.

The government has been called up to consider investing in a state-of-the-art distribution facility that could make Asian companies consider holding inventories here, close to key European markets for their goods. This is not an innovative idea but it can be done.

In this connection, the Prime Minister has said that the government was having exploratory talks with a Chinese e-commerce venture to see whether they would be interested in using Malta as a stepping-stone for their European and North African markets.

Online trading is quite a lucrative trade today and the island can successfully exploit this new niche too if it plays its cards well.