Maritime Transport & Short
Sea Shipping- PROPOSSE
Promotion of SSS with SME’s – Small to
Medium Enterprises
7th February 2012
Captain Michael McCarthy
Commercial Manager
Port of Cork
PROPOSSE - Project Objectives.
• The Project objective was to assess potential alternative Short Sea
Shipping Routes through cooperation between ports and regions.
• To identify possible alternative routes for Short Sea Shipping and examine
viable options in logistics freight transport
• Develop strategic plans for Short Sea Shipping for the key sectors,
including logistics, infrastructure and models of management.
• Organise workshops with road transporter providers and SME’s on
aspects of the project
• Organise Trans-National cooperation between regions to evaluate the
projects objectives
PROPOSSE Presentation by Port of Cork Oct
2011
2
Project Activities
 Activity 1: Preparatory activity: to centre the proposal on the real needs
of SME and to prepare a successful proposal
• Activity 2: Management, monitoring and evaluation: To guarantee the
execution of the project to provide results and to reach aims. To manage
the resources in an efficient manner. To control and to report on the
development of the project
• Activity 3: Identification of the SSS and promotion activities: to have a
wide vision of present and future projects, studies, offer of SSS services
relative to the development of marine transport.
• Activity 4: Study of imports and exports flows of the SME sector: to
identify in detail the commercial flows, especially imports and exports of
SME’s of the hinterlands of the participating ports to other countries of
the EU.
PROPOSSE Presentation by Port of Cork Oct
2011
3
Project Activities- continued
• Activity 5: Analysis of the logistic complementary services needed by
SME: Identify the barriers to entry of support services in marine transport
that prevent or limit access to market for SME’s.
• Activity 6: Design of one or several routes: To design a Business Model
within 3 years of one or more alternative marine routes based on
Activities 3 and 4, comparing the competitiveness of the studied services
(Ro-Ro and Lo-Lo).
• Activity 7: Alliance with haulier: to align the road transport and the Short
Sea Shipping requirements into the design.
• Activity 8: Communication Plan: Promote and disseminate the results of
the project and its specific achievements between stakeholders and
participating partners in SME’s and the Logistic Transport Services.
• Design a web and an informative brochure, organise conferences and
events within the Short Sea Shipping and the intermodal transport sector.
• Visit potential shipping lines.
PROPOSSE Presentation by Port of Cork Oct
2011
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Project Partners & Budgets
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1- Port Authority of Gijón Project Leader
2- Chamber of Commerce of Oviedo
3- Port of Cork
4- Port of Poole
5- CRITT Transport & Logistics
7- APA- Aveiro
(ADMINISTRAÇAO DO PORTO DE AVEIRO)
• 8- AIDA- Aveiro
(ES) €328.250
(ES) €246.050
(IRL) €333.500
(UK) €273.500
(FR) €409.500
(PT) €188.000
(PT) €120.000
(ASSOCIAÇAO INDUSTRIAL DO DISTRITO DE AVEIRO)
• 9- Marine South East
PROPOSSE Presentation by Port of Cork Oct
2011
(UK) €219.000
5
Cork-Gijon. Cork-Nante/La Rochelle
PROPOSSE Presentation by Port of Cork Oct
2011
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CorkGijon
PROPOSSE Presentation by Port of Cork Oct
2011
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Cork-La
Rochelle
PROPOSSE Presentation by Port of Cork Oct
2011
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Cork-Gijon
Alternative
Current
Services
PROPOSSE Presentation by Port of Cork Oct
2011
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Ro-ro traffic patterns 1
 Pressure on landbridge via UK & /or France
because of:
• Strict enforcement of legislation on drivers’ hours &
vehicle weights
• Rising cost of diesel
• Restrictions on week-end driving in France
• Traffic bottlenecks
 Awareness of UK and French Governments plans
to introduce road pricing
 EU white paper on transport sets targets for
modal shift from road to rail & water.
PROPOSSE Presentation by Port of Cork Oct
2011
10
Ro-ro traffic patterns 2
 Remarkable growth in ro-ro traffic on direct services
from Ireland to France & Benelux in 2010:
• 2009: 32,000 units
• 2010: 90,000 units
 This is largely the result of Cobelfret’s ro-ro service
between Dublin & Rotterdam & Zeebrugge which
takes containers on cassettes. Traffic has been
diverted from lo-lo services.
 It may also demonstrate a greater willingness to ship
unaccompanied ro-ro.
PROPOSSE Presentation by Port of Cork Oct
2011
11
Research Results 1
 Maritime connections between Ireland & Iberia
are “thin”:
• Landbridge via UK and/or France is the only
ro-ro option
• Southbound lo-lo services are very slow
 Business opportunities are lost because of poor
shipping services which reduce the competitive
advantage of Irish exporters.
 Great interest in a reliable direct service which
would support more efficient logistics.
 Interest from SMEs in Northern Ireland & even
Scotland.
PROPOSSE Presentation by Port of Cork Oct
2011
12
Research Results 2
The attractions of a direct ro-ro or ro-pax
service (e.g. Cork-Gijon) to both exporters and
importers include:
Lower overall journey costs
Faster transit times
Better utilisation of equipment
Defined indications that the limited range of
shipping services severely hampered trade
between Ireland and Spain & Portugal.
Manufacturers saw potential to use Spanish,
French & Portuguese suppliers.
Quality of service is very important.
PROPOSSE Presentation by Port of Cork Oct
2011
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Logistics benefits
• To Spain: Makes a weekly round trip from anywhere in Ireland to
Southern Spain and back possible with one driver.
• To France: Saves a driving day on trip to Bordeaux, Toulouse, etc
• For both Spain & France the new route offers faster service, better
frequency and reliability, at a competitive price.
• Complies with Working Time Directive, avoids VOSA in the UK and
driver arrives with clean tachograph. Can use time on ship as rest
time.
• Seen as “green” which important to some receivers of cargo.
• Lower CO2 emissions
• Avoids congestion hot spots across France and reduces
• Avoids the péage tolls in France.
4/8/2015
PROPOSSE: Port of Cork Jan 2011
14
Logistics:
New Direct Route vs. Landbridge
•
Route
Distance
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Limerick to Madrid
Limerick - Cork - Gijon – Madrid
Limerick - Rosslare - Fishguard - Portsmouth - Caen - Madrid
Limerick - Rosslare - Fishguard - Poole - Cherbourg - Madrid
Limerick - Dublin - Holyhead - Poole - Cherbourg - Madrid
Limerick - Dublin - Holyhead - Poole - Santander - Madrid
Limerick - Rosslare - Fishguard - Poole - Santander - Madrid
Limerick - Rosslare - Cherbourg - Madrid
589 kms
1,915 kms
1,939 kms
2,145 kms
1,218 kms
1,012 kms
1,582 kms
•
Castletownbere to Madrid
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Castletownbere - Cork - Gijon - Madrid
Castletownbere - Cork - Roscoff - Madrid
Castletownbere - Rosslare - Cherbourg - Madrid
•
With the new route a round trip by truck can be completed within a working week
Ringaskiddy- Gijon : 510 nm.
Santander: 540 nm
612 kms
1,499 kms
1,822 kms
Bilbao: 562
STS International October 2011
Saved
Km
1,327 kms
1,350 kms
1,556 kms
629 kms
423 kms
993 kms
887 kms
1,210 kms
PROPOSSE Study
Identified Savings to the Haulage Industry
Example 1 :
40’ Container/Trailer weighing 20 tonne delivered RO-RO from
Limerick to Madrid.
Limerick-Madrid via Rosslare-Fishguard-Portsmouth-CherbourgMadrid: 1939km
Limerick-Madrid via Cork- Gijon- Madrid : 589 km
Road Saving : 1350 km
Saving in CO2 emissions: 1515 kilos per 20 tonne trailer load
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Conclusions. 1
 The research shows that there is enough freight
traffic to support a direct ro-ro service between
Ireland & Spain:
• Accompanied and unaccompanied ro-ro
• Trade cars (Ireland imports new cars from
Spain)
• Project cargo (machinery)
• Cargo on mafi trailers
 There is a willingness to transfer to this service
from existing landbridge routes as it is likely to
be faster, cheaper and more efficient.
PROPOSSE Presentation by Port of Cork Oct
2011
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Conclusions 2
 Insufficient demand to/from Portugal for a
direct service, but support for link to Portugal
via Northern Spain.
 Competition issues for Portugal (MacAndrews)
 Service needs to be direct – no interest in a
“round the bay” operation as too slow and
uneconomic.
 Sufficient demand for a Bay of Biscay Port
 No obvious trans-shipment opportunities
PROPOSSE Presentation by Port of Cork Oct
2011
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Conclusions 3
 A business model for a ro-ro & ro-pax service was built
and tested... Shared with 4 “potential” operators
 The current popular mode is accompanied ro-ro. It will
take time to switch to unaccompanied ro-ro which is
more efficient:
• Need to build the confidence of hauliers, and
• Encourage co-operation between hauliers in each
country
 There is also strong interest from passengers in a direct
service. Carrying passengers & their vehicles would
enhance the financial viability of the new route without
compromising freight capacity.
PROPOSSE Presentation by Port of Cork Oct
2011
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Ringaskiddy Deepwater & Ro Ro Terminals
SuperGreen vis-à-vis Trans-European Transport
Networks (TEN-Ts)
SuperGreen Corridors Belfast-Cork –Ship- Gijon-Madrid