TASMANIAN exporters and business leaders are celebrating news that an international service will return to the state next month. But a leading industry figure has questioned what the announcement may mean for a deal struck between the state government and Singapore-based Swire Shipping, which is investigating introducing a direct shipping link between Tasmania and Asian ports. Mediterranean Shipping Company yesterday announced plans to include Bell Bay in a port rotation connecting Tasmania and the east coast of Australia with New Caledonia and New Zealand. The company will rotate three vessels throughout the ports, offering Tasmanian clients a fortnightly international service for both exports and imports. In a statement, MSC said the initiative would connect Tasmania with the company's global freight network. "The return of MSC to Tasmania demonstrates the confidence MSC has in the potential Tasmanian market growth, and the anticipated support of our existing customers together with future new clients who will be attracted to the high level of service and global port coverage offered by MSC," the company said. The company said volumes across the route would be continuously reviewed, and a weekly call service considered in the future if there was demand. Tasmanian Exporters Group chairman Bob Gozzi said while he was still seeking further details on the MSC service, it was a terrific boost for the state. "Any company providing an international shipping service is extremely welcome news," Mr Gozzi said. "Seeing Bell Bay used in this way is sure to boost employment opportunities across the North and North-West of the state and help exporters get their goods to market in a cost-effective way." Tasmanian Logistics Committee chairman Steve Henty said the announcement showed large shipping companies were taking Tasmania's export potential seriously. "It's an incredibly positive sign that MSC are willing to put ships on the line and include Bell Bay in their routes," Mr Henty said. "More capacity and more competition can only be good for Tasmania and will certainly put downward pressure on export pricing." Mr Gozzi was confident the two companies could compete effectively side-by-side, but Mr Henty said the level of market take-up the two companies may receive remained to be seen. The state government has offered Swire $33 million if it can make the direct Asian link viable in the long term. It is understood MSC is not seeking a government subsidy to run its trans-Tasman service. Infrastructure Minister Rene Hidding said MSC's announcement was a vote of confidence in Tasmania's economy, but stressed the service was not a direct shipping link to Asian ports. "The government remains focused on delivering its election commitment to reintroduce a direct shipping service to Asia and find a solution to the high-cost of international shipping in Tasmania," Mr Hidding said. Mr Hidding said it was for Swire to make a decision on whether to push on with the Asian service.
TASMANIAN exporters and business leaders are celebrating news that an international service will return to the state next month.
But a leading industry figure has questioned what the announcement may mean for a deal struck between the state government and Singapore-based Swire Shipping, which is investigating introducing a direct shipping link between Tasmania and Asian ports.
Mediterranean Shipping Company yesterday announced plans to include Bell Bay in a port rotation connecting Tasmania and the east coast of Australia with New Caledonia and New Zealand.
The company will rotate three vessels throughout the ports, offering Tasmanian clients a fortnightly international service for both exports and imports.
In a statement, MSC said the initiative would connect Tasmania with the company's global freight network.
"The return of MSC to Tasmania demonstrates the confidence MSC has in the potential Tasmanian market growth, and the anticipated support of our existing customers together with future new clients who will be attracted to the high level of service and global port coverage offered by MSC," the company said.
The company said volumes across the route would be continuously reviewed, and a weekly call service considered in the future if there was demand.
Tasmanian Exporters Group chairman Bob Gozzi said while he was still seeking further details on the MSC service, it was a terrific boost for the state.
"Any company providing an international shipping service is extremely welcome news," Mr Gozzi said.
"Seeing Bell Bay used in this way is sure to boost employment opportunities across the North and North-West of the state and help exporters get their goods to market in a cost-effective way."
Tasmanian Logistics Committee chairman Steve Henty said the announcement showed large shipping companies were taking Tasmania's export potential seriously.
"It's an incredibly positive sign that MSC are willing to put ships on the line and include Bell Bay in their routes," Mr Henty said.
"More capacity and more competition can only be good for Tasmania and will certainly put downward pressure on export pricing."
Mr Gozzi was confident the two companies could compete effectively side-by-side, but Mr Henty said the level of market take-up the two companies may receive remained to be seen.
The state government has offered Swire $33 million if it can make the direct Asian link viable in the long term.
It is understood MSC is not seeking a government subsidy to run its trans-Tasman service.
Infrastructure Minister Rene Hidding said MSC's announcement was a vote of confidence in Tasmania's economy, but stressed the service was not a direct shipping link to Asian ports.
"The government remains focused on delivering its election commitment to reintroduce a direct shipping service to Asia and find a solution to the high-cost of international shipping in Tasmania," Mr Hidding said.
Mr Hidding said it was for Swire to make a decision on whether to push on with the Asian service.
