THE ABOLITION of duty-free sales within the EU will cause the loss of all car-ferry services between Ireland and the Continent, a new report has claimed. The report predicts the loss of 900 jobs.
Mr John Cushnahan MEP said yesterday the consequences for ferry operators in Ireland would be catastrophic.
The report was published in London by the European Travel Research Foundation (ETRF), which was set up in 1995 to gather research on the duty-free market.
A spokesman for Irish Ferries said yesterday they would prefer not to comment on the report.
The report says duty-free sales make up 13 per cent of ferry operators' revenue on routes between Ireland and the Continent, and as much as 30 per cent on routes between the Republic of Ireland and Britain.
The report says that the operators will be forced to increase ticket prices for passengers and cars after 1999. "There is a consensus among the operators that a fares increase of at least to per cent will be sought."
It predicts "startling consequences for levels of ferry service" if duty-free sales are abolished. "The main impact on levels of ferry service and consumer choice will be that all the Irish continental ferry routes and the Swansea-Cork route will be highly vulnerable to closure after 1999."