Sri Lanka ship fuel suppliers target passing vessels

(http://www.augustenergy.biz/, July 13, Monday) --- From Lanka Business Online...

(LBO) - Sri Lankan ship fuel suppliers in Colombo port are aiming to expand their market by selling bunkers to vessels passing the island, after the break-up of a monopoly lowered prices and boosted volumes, officials said.

Right now, the suppliers cater mainly to ships calling at Colombo to either load or discharge cargo.

But a large number of vessels pass by the island, which is on the main trade route across the Indian Ocean, which present a potential market, bunker industry officials said.

Recently, two big suppliers, Lanka Indian Oil Corp., the Sri Lankan unit of Indian Oil Corporation, and Lanka Maritime Services, acquired more tanker vessels to supply fuel.

Lanka Maritime Services, part of the Sri Lanka Shipping group, bought an 8,800 DWT double-hull tanker to supplement its existing fleet of smaller vessels.

And Lanka IOC has just chartered a 1,800 metric tonne tanker barge.

Both companies say business is growing after the market was opened up by a court order that ended an effective monopoly held by the dominant player.

LIOC managing director Suresh Kumar said Colombo is well-placed on the main shipping routes to become a point for refueling ships.

The present bunker business caters mainly to feeder vessels that take transshipment cargo between Colombo and Indian ports.

The mainline vessels on the long-haul trade routes hardly take bunkers in Colombo, nor do many of the ships that bypass the island.

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