Lite Shipping optimistic on ro-ro sector’s growth

Despite surging prices of fuel in the world market, Lite Shipping Corporation, a Cebu-based ro-ro shipping company showed optimism for the development of their sector as they recently invested in the rebuilding of a Japanese vessel they consider as the biggest addition so far to their fleet of ro-ro ships.

M/V Lite Ferry 8 is a 68 meters long roll-on, roll-off (ro-ro) passenger and cargo ferry with a 1,108 gross registered tons (GRT) that will be the daily ferry service for their Cebu to Ormoc route. The vessel has been acquired by Lite Shipping a year ago and it was locally rebuilt here in Cebu with 70 to 80 percent renovations works.

In an interview, Lite Shipping’s president Lucio Lim, Jr. said that they continue to have high hopes for the domestic ro-ro shipping industry as reflected by their investments in new vessels.

He said that for the last five years, they have invested in five new ro-ro vessels which underscore their great confidence on the domestic shipping industry despite the challenging phase that industry players such as them face due to the price spikes of oil.

Lim agreed that oil prices is currently one of the biggest problems of the sector as it contributes 50 to 70 percent off from their total revenue which he said was only about 35 to 45 percent in previous years of their operations.

Although a minimum of ten percent increase has been imposed to their regular fares to cope with this rise in oil prices, Lim stressed that this change in rates are still lower compared to their competitors which posted a 20 percent increase in passenger fares.

Lim said that the ro-ro sector has huge growth potential as there are still several new destinations which have not yet been explored by the industry.

He shared that even before President Gloria Macapagal-Arroyo actively pursued her Strong Republic Nautical Highway Program with the aim of reducing the country’s cost of inter-island transportation; Lite Shipping has already been investing in the ro-ro sector.

“Ro-ro is the future of the domestic shipping industry. This is only the beginning as slowly, ro-ro traffic has been increasing by leaps and bounds. The sector has also contributed to the progress of some destinations in the region such as Bohol as it provided an extension of national highways,” Lim pointed out.

Lite Shipping’s M/V Lite Ferry will be formally inaugurated today at the Pier 2 of Cebu’s port with the Department of Transportation and Communications secretary Leandro R. Mendoza as guest of honor.

M/V Lite Ferry 8 has first class facilities, well appointed tourist class, spacious standard class and economy class accommodations which can hold around 859 passengers.

Classified by MARINA as a rebuilt vessel, the recently rehabilitated and renovated ship is powered by two Akasaka engines with a total horsepower of 4,200 and has a service speed of 14 to 16 knots and could carry 18 buses or trucks in its sizable wagon deck.

With this new addition, Lite Shipping now has ten vessels serving the ports of Ormoc, Tagbilaran, Tubigon, Getafe, Loon, Bohol via Argao, San Carlos City via Toledo City and is planning to add 2 more destination links in the Visayas or Mindanao area before the end of this year.

Lite Shipping Corporation vessels has been known for their comfortable passenger accommodations and has been consistently awarded as the “Cleanest Ship of the Year” in its category since 2005 by the Maritime Industry Authority during the annual Maritime Week Celebrations.