Better Island shipping?

Press, 11 July 1983, Page 8

Better Island shipping?

PA Auckland Modernisation next year of the joint shipping link between New Zealand, Rarotonga, and Niue Island is expected to bring improvements in handling and costs for exporters. Before then, however, New Zealand merchants shipping general cargo to the islands will face an increase in freight rates of 14 per cent designed to help to reduce the heavy loss the two-ship service makes. The Minister of Transport, Mr Gair, said last evening that the freight in-

crease and the upgrading of the service were decided at the annual series of talks on the shipping link held between Rarotonga, Niue Island, and New Zealand, in Rarotonga last week. Mr Gair said that Ministers from the three countries had agreed to recommend that one of the small ships be replaced in the second half of next year with a bigger ship which will in effect mean the start of a container service on the run.

The bigger ship would be faster and better able to cope with container traffic,

providing an improved refrigerated service for island producers who export tropical fruits to New Zealand. Mr Gair said the larger ship could be used as a result of deepening and upgrading the port facilities at Aviatia, Rarotonga, under a New Zealand aid scheme. It had been decided to place the freight increase on northbound general cargo, relieving pressure on southbound fruit exporters who were recovering from a drought which had devastated export banana crops on some islands.