Road Transport Puts Denmark Ferry Out of the Running

MarineLink.com
Friday, September 13, 2013
Photo courtesy of Kattegatruten

Kattegatruten’s ferry services between Kalundborg and Aarhus are to end next month . The core business area for the service is truck transport and driverless cars, but for months the service has been unprofitable.

"It is impossible to compete with Eastern European prices. Danish haulage companies are increasingly using Southeast European road transport companies as subcontractors. This means much lower labor costs and therefore driving across the Great Belt Bridge is more attractive than the Kalundborg-Aarhus route for these companies”, says operations manager at Kattegatruten, Birte Dettmers.


Kattegatruten’s attempts to find new customers and increase the number of transferred units have not been sufficient to reverse the negative development. Large differences in wages and social costs between Danish sailors and Eastern European truck drivers are making it impossible for Kattegatruten to compete.


"We are very sad that we have to close down the route from 12 October, but realistically there is no longer a need for the route. Additionally, the new rules surrounding sulfur levels in fuel for ships whuch come into force from January 2015 will only make the problem worse. The company is then forced to use more expensive fuel or reconstruct the ship's machinery", says Operations Manager Birte Dettmers .



Maritime Reporter October 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Gazprom Transgaz Ufa Organizes Arts Festival

Over 200 healthy children and children with disabilities from Bashkortostan as well as the Volga Region participated in the Breaking the Barriers second interregional children’s arts festival,

President Pryor Retires from ExxonMobil Chemicals

Stephen D. Pryor, president, ExxonMobil Chemical Company and vice president of Exxon Mobil Corporation, has elected to retire on January 1, 2015, after more than 44 years of service.

Steven Palazzo Visits HII, Newport

Huntington Ingalls Industries today hosted Rep. Steven Palazzo, R-Miss., for a tour of the company's Newport News Shipbuilding division. Palazzo represents the fourth district of Mississippi,

Finance

Time-out for Kwanza Drilling

Statoil has decided to cancel the Stena Carron rig contract after fulfilling the work commitments in the Statoil-operated blocks 38 and 39 in the Kwanza basin offshore Angola.

Oil Deal Between Iraqi Kurdistan & Baghdad Welcomed

The United States welcomes an agreement between Iraq's central government in Baghdad and its northern Kurdistan region over the management of oil exports, U.

Nigeria to Cut Petrol Subsidy by Half

Nigeria plans to cut subsidies on petroleum products by half next year after sharp falls in global crude prices, spurred the government to revise its 2015 budget downwards,

Ferries

Gazprom Transgaz Ufa Organizes Arts Festival

Over 200 healthy children and children with disabilities from Bashkortostan as well as the Volga Region participated in the Breaking the Barriers second interregional children’s arts festival,

Energy Storage System Ordered for LNG Battery Hybrid Ferry

Norwegian hybrid to be the first LNG battery ferry to operate on commercial routes Corvus Energy, Siemens AS and Fjord1 have announced the award of the contract for the Fannefjord LNG hybrid ferry.

New Agency to Replace S. Korea Coast Guard after Ferry Disaster

South Korea launches a massive new government agency this week to handle emergency rescue and safety management seven months after a ferry disaster killed 304 people

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Naval Architecture Navigation Offshore Oil Pipelines Port Authority Ship Simulators Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2512 sec (4 req/sec)