RIJEKA, Aug 23 (Hina) - The Rijeka-based shipping company 'Jadrolinija' will build 11 ships in Croatian shipyards in the next two to three years, including seven ferries and four fast ships, Economy Minister Goranko Fizulic said after
a meeting on Wednesday with the managements of Jadrolinija, and shipbuilding yards '3. maj', 'Brodosplit', 'Kraljevica' and 'Brodotrogir'. Fizulic said the new ships, worth about US$100 million, will replace ten Jadrolinija vessels, which must be withdrawn because they no longer meet safety standards. According to Fizulic, the construction of two ships could start in September already. The construction works would be financed on a commercial basis, with loans from commercial banks, which Jadrolija would have to pay in 10 to 12 years' time. Jadrolinija's operation would be subsidised with more favourable prices of propellants or in some other way, he sa
RIJEKA, Aug 23 (Hina) - The Rijeka-based shipping company
'Jadrolinija' will build 11 ships in Croatian shipyards in the next
two to three years, including seven ferries and four fast ships,
Economy Minister Goranko Fizulic said after a meeting on Wednesday
with the managements of Jadrolinija, and shipbuilding yards '3.
maj', 'Brodosplit', 'Kraljevica' and 'Brodotrogir'.
Fizulic said the new ships, worth about US$100 million, will
replace ten Jadrolinija vessels, which must be withdrawn because
they no longer meet safety standards.
According to Fizulic, the construction of two ships could start in
September already.
The construction works would be financed on a commercial basis,
with loans from commercial banks, which Jadrolija would have to pay
in 10 to 12 years' time. Jadrolinija's operation would be
subsidised with more favourable prices of propellants or in some
other way, he said.
A more difficult issue is the renewal of the Jadrolinija ferry
fleet. Of the existing five such ships, three will not be able to
sail after 2003 because they do not meet international standards
and their repair and remodelling would be expensive and
uneconomical. If Croatia does not have such ships after it is
admitted to the European Union, lines along the Adriatic coast will
probably be taken over by foreign shipping agencies, he said.
The construction of such ships, which will activate a number of
other industrial branches, will give Croatia references for the
return to the market of big floating hotels, worth US$50 and more
million, he said.
Pula's shipbuilding yard 'Uljanik' will this year make a net profit
of 110 million kuna and it has signed contracts worth US$337
million. Most of other Croatian shipyards have signed contracts
which will be executed in the next two to three years, Fizulic said.
However, he reminded that the total inherited debt of the Croatian
shipbuilding industry amounts to between US$105 and 115 million, of
which part will be paid with the companies' immovable assets which
are not essential for their operation.
Fizulic today also visited the shipyard '3. maj', which, he said,
will this year incur losses of some 60 million kuna. This is five
times less than last year, and the shipyard could start operating
without losses as early as next year, he said.
'3. maj' should in 2001 build four ships, worth US$120 million, and
in 2003 another six ships, worth between US$150 and 200 million.
(hina) rml