Maritime freight traffic grows as passenger numbers decline

Passenger numbers between Ireland and the UK suffer the biggest hit, falling by 5%

The 333m cruise ship the MSC Splendida visiting Dublin Port. Ireland’s cruise industry witnessed an 11 per cent increase  with 274 vessels docking at Irish ports. Photograph: Eric Luke
The 333m cruise ship the MSC Splendida visiting Dublin Port. Ireland’s cruise industry witnessed an 11 per cent increase with 274 vessels docking at Irish ports. Photograph: Eric Luke

The total number of passengers travelling between the island of Ireland, Great Britain and continental Europe declined by 2.6 per cent to 4.3 million passengers in 2016 according to a report produced by the Irish Maritime Development Office (IMDO).

Despite passenger declines, total port traffic last year increased by 2 per cent, with growth driven predominantly by unitised trade, roll-on/roll off (ro-ro) and lift on/lift off (lo-lo) traffic.

According to the IMDO the growth in unitised trade points to increased consumer confidence in the Irish economy.

"While 2016 was a challenging year for business, the overall increase in port traffic and strong growth in unitised trade demonstrates the resilience of Ireland's maritime industry in continuing to meet the needs of our growing economy," said Liam Lacey, director of the IMDO.

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But, the report also notes a fall by 5 per cent in total bulk traffic. This category includes items such as animal feeds, fertilizer and oil. The report suggests that the decline in demand for these goods comes on the back of relatively warm and dry weather conditions in 2016.

However, break bulk traffic did grow by 2 per cent due to increases recorded in the shipment of commodities such as cement. The biggest drag on this category was a 22 per cent fall in coal volumes, which, according to the report, is attributable to a coal/gas price differential and an increase in stockpiles.

Passenger traffic

The most significant decline in passenger traffic in 2016 was recorded between the Republic of Ireland and Great Britain, with a drop of 5 per cent to 2.2 million passengers in 2016.

Car volumes to and from the island of Ireland also decreased by 1 per cent last year.

The decline in overall sea passenger traffic is in contrast to strong growth in air passenger traffic which increased by over 10 per cent in 2016, according to figures from Fáilte Ireland.

Commenting on the outlook for the maritime industry post-Brexit, Mr Lacey said: “While the impact of Brexit on the trading environment is not immediately apparent in bilateral trade volumes recorded between Ireland and the UK in the second half of 2016, our maritime industry is influenced by factors such as exchange rate fluctuations”.

Writing the foreword for the report, Minister for Transport, Tourism and Sport, Shane Ross TD, said: “we will continue to engage fully with stakeholders in relation to Brexit preparations to ensure that the interests of the maritime industry and the national economy are protected.”

Ireland's cruise industry was the biggest percentage winner across all categories last year with 274 vessels docking at Irish ports – an 11 per cent increase on the previous year. Dublin Port was Ireland's busiest cruise terminal with 109 vessels stopping off there.

Peter Hamilton

Peter Hamilton

Peter Hamilton is a contributor to The Irish Times specialising in business