Tourism and business interests yesterday expressed disappointment at the decision of Swansea Cork Ferries to cancel its service for 2007 with the loss of some 30 direct jobs .
It has been estimated that the service made a contribution of over €30 million a year in tourism revenue to the Cork and Kerry region.
Swansea Cork Ferries made the announcement yesterday that it is terminating its service for 2007 because it can't source a suitable ferry to replace the 35-year-old MV Superferry, which it sold to a Greek line last October because of its age and limited freight capacity.
According to a statement issued by Swansea Cork Ferries, the company successfully bid for a suitable vessel last November and agreed to buy the ship for over €30 million on the basis that the seller would terminate a charter arrangement it had for the ship with a third party.
However, the seller was unable to terminate the arrangement and the sale fell through in Christmas week, and despite extensive efforts since then, Swansea Cork Ferries has been unable to find a replacement vessel for the route this year.
A study by the department of economics at UCC found that the service has carried over three million passengers since it was established in 1987
It is estimated to be worth about €35 million annually to the economy of Cork and Kerry.
A Swansea Cork Ferries spokesman said the decision was taken with regret.
"It has been demonstrated that the service is an imperative for the southwest region, bringing in hundreds of thousands of visitors to Ireland.
"It is ironic that the service has had to be suspended at a time when the market indicators suggest an upturn in ferry travel.
"It is our ambition to resume the service in 2008," said the spokesman, who paid tribute to the 30 staff being made redundant.
Cork Chamber of Commerce chief executive Conor Healy said the news was very disappointing as Swansea Cork Ferries had been a significant contributor to both the tourism and travel economy in Cork over the past 20 years.
"It's very regrettable. Hopefully, it can be rectified and a service can be provided at some stage in the future .
"It's coming at a time when tourism is growing in Cork and a renewed effort is being made to market Cork and access is a key factor in that," he said.
Chairman of the Cork Branch of the Irish Hotels Federation, Aidan Moynihan said it was a very serious blow to the self-drive tourism market in the southwest region.
However, he expressed hope that Swansea Cork Ferries might find a replacement vessel for this year.
