Shipping market embarks on airline challenge

THE latest figures released by the Irish Maritime Development Office (IMDO) show that Ireland’s shipping passenger market is continuing to peg back market share from the low-cost airline market.

The IMDO has estimated that the total shipping passenger market rose by 5% over the first half of this year on a like-for-like basis — actual passenger figures up from €.39 million at the halfway stage of 2006 to 1.46m by the same stage this year.

“The latest mid-year reports continue to underline the important role that Irish ports and shipping sectors play as facilitators of economic growth, efficiency and competition.

“The upward trend in Irish shipping and container volumes appears to show good correlation with recent mid year Central Statistics Office and other trade data,” according to IMDO director, Glenn Murphy.

The IMDOs passenger estimates follow on from its recent reading of the container sector of the shipping industry, which showed an 11% first half rise in load on/load off business and a 12% year-on-year rise in roll on/roll off business.

Speaking last Friday at the National Ports Conference in Dublin, Minister for Transport, Noel Dempsey said: “The historic trend of declining passenger and car numbers in light of strong competition from the airlines is now showing some signs of reversal in direct response to the recent successful marketing initiatives from the ferry companies and the ports.”

Meanwhile, one of the longer running sagas in Irish shipping circles — namely, the fight for control of Irish Continental Group (ICG) — continued to rumble on yesterday.

Property developer Liam O’Carroll increased his stake further in ICG — which owns Irish Ferries and the Eucon freight shipping firm — to 26.08%, after purchasing another 10,000 shares at €25.75 each. It is thought that Mr Carroll will continue to up his stake in ICG until he reaches the 29.9% point, when he will have to make a bid for the company.

He has, to date, declined to state his intentions. His latest investment is significant as it is higher than the €24 per share offer made by the ICG management-led Aella consortium, rejected at the group’s extraordinary general meeting last month.