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Ferry plan founders

21st May 1992, Page 12
21st May 1992
Page 12
Page 12, 21st May 1992 — Ferry plan founders
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Which of the following most accurately describes the problem?

• P&O European Ferries has given up hope of a joint venture with Sealink Stena Line on the short Channel route.

This will leave operators with a choice of two ferry lines or the Channel Tunnel when it comes on line in 1994.

P&O had hoped to pool resources with Sealink on the Dover-Calais route to compete more effectively against the Chunnel.

P&O says: "The joint venture does seem to be off the agenda and we are planning for the Channel Tunnel as an individual entity." And Sealink adds: "We had wanted to work orignally with P&O... but now it's clear there is sufficient market for both operators."

P&O is spending £15m to convert a new freight-only superferry to passenger use because of an expanding passenger market. "This year there has been a 27% increase in the passenger market on Dover-Calais so we had to look at that growth in planning ahead," says the company. "Freight has remained pretty constant."