Container Ships Also Sink Our Liners

In the past, before 1980, there was no conflict between the our liners and the container ships. First, container ships did not exist before the late 1970’s. Second, before that time, general cargo ships were not many as it is our liners that were mainly carrying the inter-island cargo that should be transported fast and were not in bulk. That was the reason why even though our production and the number of people were not yet as high like today, there were so many liners existing with as high as 90 liners at its very peak.

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Gorio Belen research in the National Library

In the early 1970’s, the Sea Transport Company came into existence. What was notable for this new company is they offered regular express cargo service to Mindanao which means a direct service and aside from loose cargo, their ships were able to carry small container vans which were non-standard as in they were offering 8-foot containers which they themselves designed (it was rectangular in shape). In due time, they also shifted to standard container vans and they fielded pure container carriers.

In 1976, Aboitiz Shipping Corporation converted one of their general cargo ships, the P. Aboitiz into a container carrier. Conversion like this was not difficult because only some internal structures need to be modified so a container van can be slot in and that also means modifying the holds and the hatches. The grabs of the booms also have to be modified by a bit so it can handle a container van.

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Gorio Belen research in the National Library

In 1978, containerization was already in full swing when Aboitiz Shipping Corporation added more container ships and William Lines Incorporated followed suit. The next year, in 1979, Sulpicio Lines Incorporated also joined the bandwagon to be followed in the next year by Lorenzo Shipping Corporation which had already split from its merger with Carlos A. Gothong Lines Inc (CAGLI). Negros Navigation Company also joined this new paradigm in 1980. In 1981, Sweet Lines Incorporated also followed suit but they used their old company name Central Shipping Corporation. Among the major liner companies then, it was only Compania Maritima which did not join this new paradigm.

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Gorio Belen research in the National Library

These new container services offered direct sailings as in there were no intermediate ports. With direct service, the container ships might be a little slower than the liners (except for the fast cruisers) but their transit times were not worse than the liners (except to Cebu) because they don’t lose time in an intermediate port or ports. With the speed, convenience, security (no pilferage), lack of damage and contamination, soon the shippers were already shifting en masse to the new container services.

In the liner crisis of 1980 when many liners were deactivated and laid up, it seems the main cause of that was the emergence and immediate success of the container ships and container shipping. Maybe the liners suddenly found they don’t have enough cargo and hence they can’t maintain the old sailing schedule and from the outside it looked like that suddenly there was a “surplus” of bottoms (actually the liners complained of that).

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Gorio Belen research in the National Library

In December 1979, the first RORO liner, the Dona Virginia of William Lines came. This RORO and those that came after her were capable of carrying container vans especially the XEU or 10-foot container vans that can be loaded aboard by the big forklifts. Soon even the fast cruiser liners were also carrying container vans atop their cargo holds especially at the bow of the ship. Some can also carry container vans on a platform in the stern.

Locally, I did not see a new paradigm take hold as fast as container shipping. The ROROs even took longer to be the new paradigm. In containerization, there was even a rush to convert general cargo ships into container ships. All the “new” container ship of Lorenzo Shipping Corporation were converts at the start. The other container shipping companies bought general cargo ships from Japan and converted them into container carriers. Our first container ships looked like general cargo ship unlike the modern container ship which does not look like general cargo ships (and nor can they handle loose cargo).

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In just a little over a year William Lines had 5 container ships (Gorio Belen research in the National Library)

The emergence of the RORO liners even pushed containerization faster as that new kind of ferry is ready-made not only for vehicles or rolling cargo but also for container vans, wheeled in atop chassis (which means atop trailers) or not (if not wheeled then big forklifts “wheeled” them in). There were not yet reach stackers in the early years of our containerization to handle the container vans.

In the 1980’s and the 1990’s, the liners can still hold off the container ships. The reason was there were no budget airlines yet (Philippine Airlines fares then were really stiff) and there were no intermodal buses yet in the bulk of the islands (it was only strong in Eastern Visayas, their pioneer area). And liners can still pack in the passengers (even up to “overloading” or overbooking point) because people has already learned how to travel and there was a great push for migration to Metro Manila (which later led to the overcrowding of this metropolis).

However, when budget airlines and the intermodal buses came in droves, the passengers of the liners dropped. The 2,000 to 3,000 passenger capacity slowly became “too big” and hence the national shipping companies no longer fielded liners with capacities such as this in the new millennium. Aboitiz Transport System (ATS) also tried to reduce passenger capacity and increase cargo capacity by converting some of their liners to have two decks for rolling cargo like what they did in SuperFerry 12, SuperFerry 9 and SuperFerry 2.

Superferry 12

Photo by Edison Sy

Can the liners compete with container ships when the passenger demand dipped? The answer is a plain “No way”. Liners usually have more than three times the horsepower of a local container ship (and it is single-engined which means less spare parts are needed) and yet the local container ship usually have three times the container capacity of a RORO liner. This even became more pronounced when the regime of high oil prices came in the first decade of this millennium. Per fuel prices alone, the container ships can carry each container van much cheaper than what a liner can.

Container vans also do not need the amenities needed by the passengers. Moreover, it does not need the service expected of the passengers which need to be fed and be given more than decent accommodations plus some entertainment. Because of that, the crewing needs of a liner is far higher than that of a container ship. All of those means more expense of the part of the liner company. Besides, a RORO liner is more expensive than a container ship for the same size and its insurance is higher.

Ever since the 1980’s, even when the passenger demand was still great, the national shipping companies were earning more from cargo than their passengers. That is true even today when 2GO admits that almost 70% of their revenues are from cargo (and to think under their roof is SuperCat which widens the passenger revenues). Definitely their investment for liners is greater than their cargo ships. Maybe it was only loyalty to their passengers and passenger shipping why they were not quitting this segment. Maybe it is also because of inertia which means just keeping doing the old things.

Lorcon Dumaguete assisted by tugs

If we look at the recent years we can see that for every liner acquired at least 7 container ships were acquired and this is even a conservative estimate. If we look at the last 10 years starting from 2006, only 11 liners came to our shores and that includes the 3 Cebu Ferries, two of which are still used as overnight ships although already converted into small liners. Meanwhile, MARINA registered 80 or more newly-arrived container ships in the same period. These are the container ships of Oceanic Container Lines, Sulpicio Lines/Philippine Span Asia Carrier Corporation, Lorenzo Shipping Corporation, NMC Container Lines, Solid Shipping Lines, Negros Navigation/Caprotec Corporation/2GO, MCC Transport Philippines (MCCTP), Moreta Shipping Lines, Meridian Cargo Forwarders, Seaview Cargo Shipping Corporation, Escano Lines/Loadstar Shipping Company and West Ocean Lines and Transport acquired in the last ten years. Now how many container lines is that compared to a sole passenger liner company?

There are few liners sailing now and all are under just one company which is 2GO (since Romblon Shipping Lines has already quit). Meanwhile, container ships are still mushrooming and more container shipping companies are joining the field. Even 20 years ago there were already more container ships than liners. Now the container ships are already outstripping the liners in number. And the trend holds true year after year.

The question is why? Well, the simple answer is the shipping companies won’t invest in liners as it does not make sense. More revenues can be earned from container shipping at less investment with less hassles from regulations and supply needs (like the food needed by the passengers). So why would they enter passenger liner shipping? Better “pets” like containers vans rather than people like the passengers who can raise a ruckus and if the ship sinks then goodbye to all the advertising and service spent for the goodwill. If a cargo ship sinks, the uneducated public and the media almost won’t mind at all.

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A Cargo RORO LCT by Asian Shipping Corporation

If cargo is the bread and butter of shipping it will now go to the container lines because they can actually offer the lower shipping rates. If not it will go to the intermodal trucks which has even lower rates. And arriving now recently are the Cargo RORO LCTs which carry container vans (even from Manila) like those of Roble Shipping Incorporated, Ocean Transport and Asian Shipping Corporation. This new paradigm can offer even lower rates than the container ships.

Sometimes it looks like liners are already passe. But I don’t want them to go because I prefer them over planes and the intermodal buses are sometimes too tiring especially those who are no longer young.

Will the liners survive? Now, that is one question I would not like to answer.

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Shouldn’t We Be Downsizing Our Liners Now?

In the ten years after the end of World War II, the bulk of our liners were ex-”FS” ships with a sprinkling of former “F” ships, former “Y” ships and former small minesweepers of the US Navy which were even smaller ships. The first-mentioned ship was only 55 meters in length. Passenger capacity then of 200-300 were normal. The built capacity was not too high as our population was still small then with a little over 20 million people and besides, the country and the economy were just beginning to recover from the devastation of the Pacific War

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An ex-“FS” ship (Photo credits: Manila Chronicle and Gorio Belen)

In the next decade after that, there came the lengthened former “FS” ships which are over 60 meters in length with three decks. Passenger capacities then rose a bit. The lengthening of ex-”FS” ships, which was still the dominant liner type then was a response to the growing capacity need because the population was beginning to increase and trade was also on the rise. In 1960, our population already rose to 27 million.

In this period, there were no other sources yet of new liners as the European market was not yet discovered except by Compania Maritima and practically there were no surplus ships yet from Japan. It is true that we then already had some big ships mainly in the form of ex-”C1-M-AV1” ships which were US surplus from the war and former European passenger-cargo ships in Compania Maritima’s fleet. These big liners (by Philippine standards) averaged some 100 meters in length.

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An ex-“C1’M-AV1” ship (Photo credits: Philippine Herald and Gorio Belen)

In passenger capacity, however, those big liners then were not even double in passenger capacity compared to lengthened ex-”FS” ships. It was normal for them to have cargo holds in the bow and in the stern of the ship with the passenger accommodations in an “island” at the middle of the ship or amidship. Those big liners normally had only about 500 persons in passenger capacity.

Actually, when the European passenger-cargo ship Tekla came in 1965 to become the Don Arsenio of Carlos A. Go Thong & Co., she was then already tops in the Philippines in passenger capacity at about 700 persons. To think Go Thong has the tendency to maximize and pack it in and that ship was already 110 meters in length and one of the biggest in the country. [Well, liners of the 1990’s of that length already had more than double of that in passenger capacity.]

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Elcano by suro yan

In the middle of the 1960’s, big ships from Europe started to arrive for Go Thong and William Lines and also for Compania Maritima which had been buying ships from Europe right after the end of the war. These shipping companies had the long routes then which extended up to southern Mindanao which had many intermediate ports. Hence, big capacity matters to them. PSNC (Philippine Steam and Navigation Company) which also had routes to southern Mindanao was using ex-”C1-M-AV1” ships or if not they were using their luxury liners Legazpi and Elcano which were 87 meters in length (the two were sister ships).

It was the pattern that as the years went by the ships got bigger and its passenger capacities rose. That was a function of our country’s population increasing and hence also its trade because more population needs more commodities and goods. I am actually interested in the trivia which liner first had a 1,000 passenger capacity but right now I don’t have that data. Maybe that ship emerged sometime in the 1970’s.

In 1970, we already had a population of 37 million. And one change was Mindanao was already colonized, its population was growing fast and its new people had to connect to the rest of the country because this time most of the population of Mindanao were no longer native-born as in they were migrants from other parts of the country.

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Don Sulpicio  (Research by Gorio Belen in the National Library)

One benchmark in capacity was the Don Sulpicio which became the Sulpicio Lines flagship when she came in 1975. She had a passenger capacity of 1,424 (this could be the latter figure after refitting from a fire). But her sister ship Dona Ana has a bigger net tonnage and might had a bigger passenger capacity especially since her route was Davao while Don Sulpicio‘s route was only Cebu. The Don Sulpicio later became the infamous Dona Paz which supposedly loaded 4,000 plus passengers (guffaw!)

These two ships were only in the 90-meter class but one thing that changed with the arrival of the cruisers that were not formerly cargo or cargo-passengers ships is that they had full scantling already so the passenger accommodation stretches from the bridge to the stern of the ship. And one more, the liners became taller with more passenger decks and it is even up to bridge or navigation deck.

Of course, their spaces were not as big as the big 1990’s liners. Riding a 1970’s liner, one would find that all the spaces are “miniaturized” from the size of the bunks to the spaces between the bunks, the tables and the restaurants and the lounges. They were simply a different beast than their counterparts two decades later where spaces and amenities were really ample.

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Research by Gorio Belen in the National Library

In the early 1980’s, passenger capacities of over 1,000 was already commonplace with the biggest liners in the 110 and 120 meter class and with some featuring four passenger decks already. Actually as early as 1979 with the arrival of the sister ships Don Enrique and Don Eusebio which were southern Mindanao specialists, their capacities already touched 1,200 and yet they were only in the 110 meter class. The two were the latter Iloilo Princess and Dipolog Princess, respectively.

Actually, passenger maximization was already the game then as even 70-80 meter liners built in the 1970’s and early 1980’s, both cruisers and ROROs, already had capacities averaging 800 or so persons. These were the pocket liners in the 1980’s when the former smallest, the lengthened “FS” ships were already bowing out. In 1980, the country’s population already reached 48 million. With the development of the roads even the people of the interior were already traveling.

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Photo credits: Daily Express and Gorio Belen

On December of 1979, the first ship to reach 2,000 in passenger capacity arrived. This ship was the flagship Dona Virginia of William Lines. It was also the longest liner then in the country with a length of 143 meters, the longest then in our ferry fleet. And to think the Dona Virginia was not even a tall ship.

In 1988, further bigger liners arrived in the country. The Cotabato Princess which was also a southern Mindanao liner also reached 2,000 in passenger capacity. Its sister ship Nasipit Princess also had the same capacity. Both were 149 meters in length. But the new champion was the very big Filipina Princess which had a passenger capacity of over 2,900. This great liner had a length of 180 meters.

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In the 1990’s, liners of 2,000-passenger capacity or a little less became commonplace. The liner with the biggest ever capacity that existed here was the Princess of the Orient with a passenger capacity of 3,900. It was the longest-ever ship that sailed here at 195 meters. Other ships of this era that had passenger capacities of over 3,000 were the Princess of the Universe and the Princess of Paradise. Both were over 165 meters in length. All the ships mentioned from Cotabato Princess up to Princess of Paradise were liners of Sulpicio Lines.

Even with these high capacities of 2,000 and over the liners were able to pack it in in the 1990’s. I was once a passenger of the Princess of the Paradise on a Christmas trip when all bunks were taken (maybe if there were vacancies it was in the cabins). I also had a same experience on a June trip aboard the Our Lady of Akita (the latter SuperFerry 6) and the crew had to lay mattresses in the hallways because the ship was overbooked. And that ship have a passenger capacity of over 2,600. [Maybe we were technically not “overloaded” as there might have been vacancies in the cabins.]

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Princess of the Orient from Britz Salih

But things began to change in the new millennium. Maybe there was already a surplus of bottoms because there was a race then to acquire liners in the term of President Fidel V. Ramos as it was encouraged and supported. But budget airlines also came along with the intermodal buses. The demand for ship bunks began to slacken and the liners can no longer pack it in like before.

This trend was reflected in the liners fielded starting in 2000. Among the liners of the new millennium only SuperFerry 17 and SuperFerry 18 reached 2,000 in passenger capacity and just barely. And to think they are 174 meters in length. The new liners of Aboitiz Transport System already had two wagon decks instead of four passenger decks. But on a look-back the two wagon decks were also not fully loaded.

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Photo credit: port of douglas

The liner acquisitions of Sulpicio Lines in the new millennium both did not reach 2,000 passengers in capacity. Not even the very big Princess of the Stars, the Philippines’ biggest liner ever. So even Sulpicio Lines recognized that passenger demand was already declining. But unlike Aboitiz Transport System (ATS), they did not convert liners to have two cargo decks. Well, unlike ATS, Sulpicio Lines have many container ships to carry the container vans.

After 2005, only Aboitiz Transport System, Negros Navigation and latter 2GO still acquired liners (excepting Romblon Shipping Lines). None had a passenger capacity that reached 2,000. Some even had passenger capacities of less than 1,000. Most had two wagon decks that does not get full.

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SuperFerry 21 by Nowell Alcancia

If liners can no longer get full in passengers and in container vans then what is the use of acquiring liners of 150 meters length and with over 20,000 horsepower? It is useless. Liners should have lower horsepower now because fuel is the number one expense in shipping. There is also no use now running them at 19 or 20 knots. The overnight ferries have shown the way. Even though their ships are capable of higher speeds they just use economical speed now. No more racing.

Actually, the new overnight ships like what Cokaliong Shipping Lines is acquiring could be the new liners. These average 80 meters in length. Or maybe ships a little bigger than those could be acquired. And that will be like the former Cebu Ferries that were pulled out from the Visayas-Mindanao routes. Their length averages 95 meters. The engine power of all of these are all not topping 9,000 horsepower and yet they are capable of 17-18 knots if needed and that was the range then of many liners in the 1990’s.

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Our Lady of Lourdes by Ray Smith

I think the new size paradigm of the liners should just be about 100 meters maximum with a horsepower of 10,000 or less and a speed of no more than 18 meters. That will be like the smaller liners of the late 1980’s like the Our Lady of Fatima and the Our Lady of Lourdes of Carlos A. Gothong Lines Incorporated (CAGLI) which were 101 meters in length and had 8,200hp. The Tacloban Princess of Sulpicio Lines in that era was 98 meters in length had engines of 8,000hp total. Yet, all three were capable of 17 knots here.

Maybe another and probably better paradigm were the former Our Lady of Medjugorje and the Our Lady of Sacred Heart also of CAGLI. Both were former RORO Cargo ships in Japan but were beautifully refitted here. Both were 123 meters in length but only had 9,000 and 8,000 horsepower, single-engined. The passenger capacity of the two even averaged over 1,500 passengers. They might not be too speedy at about 16 knots but we have to be practical and have to scale back. In amenities and space, the two were good. The former SuperFerry 3 of Aboitiz Shipping Corporation is also a good model. At 118 meters, 9,300 horsepower, 16 knots she was a credible liner then with a passenger capacity of 2,000 . All the quoted speed were when they were already running here when they had additional metal and the engines were no longer new

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Our Lady of Medjugorje from Britz Salih

But technology has improved and for the same engine horsepower a ship can be faster. Take for example the Trans-Asia 3 of Trans-Asia Shipping Lines Incorporated. At only 9,000 horsepower and 110 meters in length, she is still capable of 18 knots here.

If liners are smaller with smaller engines then maybe weaker routes abandoned might be viable again. I think Aboitiz Transport System and 2GO had to scale back on routes because their liners and its engines were too big for the weaker routes. They tried to shoehorn a 150-meter liner in the like of Tagbilaran. No liner of that size did a Tagbilaran route before. Like even at the peak of passenger shipping no shipping company sent a liner of that size to Roxas City.

But government also has to help. Maybe, one possible step maybe is to limit the number of container ships. There might be too many of them sailing already. It is growing at a rate much ahead of our trade and production growth. So it simply diminishes the capability of a liner to be viable.

In the past before 1978, our cargo is being carried by the passenger-cargo ships. That was the reason why there was so many liners then as in over 60 in total and even 90 in the 1960’s when ships were smaller and ex-”FS” ships still dominated. What happened next is while our inter-island container fleet is growing, our liner fleet was also growing smaller because cargo is also being carried by the container ships.

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Research by Gorio Belen in the National Library

On the same route there is no way a liner can carry cargo cheaper than container ships. For the same length the container ships have much less smaller engines, the acquisition cost is much less, insurance is smaller and crewing is much smaller too and there is less regulation. Of course, they are slow. But let upon liners in competition they can practically sink the liners. I heavily doubt if our government functionaries understand this relationship and history.

It might be anti-competitive but if the government does not intervene I think our liner sector will sink and be wiped out. One possible intervention even is to decree that vehicles can only be carried by the liners. This will be added revenue for the liners. Or that liners should have fuel that is cheaper. Of course some will balk at that and suspicions of fuel diversion will always be aired. But good controls can be put in place. Unless we as a people is really that corrupt and bribable.

As it is, 2GO is profitable now when the world market prices of oil plummeted. But then one thing that worries me is their fares on the average are not lower than the budget airlines and the intermodal buses. With longer time of travel they cannot compete with budget airlines in the long run. And with frequencies that are not daily the passengers will not really wait for them.

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Maybe we should go back to this size

If the government wants the liner sector to stay it cannot just be verbal encouragement. Press or praise releases and promises are also next to nothing. There should be concrete steps and a program if they really want to save this sector. But is there anybody in government high enough that really understands this sector?

The government can put out all the verbal encouragement for other entities to enter this sector but I don’t think those who know shipping will enter this segment as things stand now. Downsizing is maybe one step that can arrest the downslide of passenger liner shipping.

The Last Stand of Compania Maritima

In the postwar years, Compania Maritima stressed routes going to southern and western Mindanao (because ships going to southern Mindanao dock in Zamboanga first). It was easy for them since they had liners bigger than former “FS” ships, a luxury not available to their competitors and they had more ships (which is needed since the route were long and takes time to come back). That period Compania Maritima was the biggest shipping company in the Philippines and half of their fleet were big ships. In terms of big ships, they then had the most in the country.

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Photo credits: Manila Chronicle and Gorio Belen

Most ships running the southern Mindanao routes were former “FS” ships which were once small cargo ships of the US Army in World War II. In those routes, Compania Maritima were using former passenger-cargo ships from Europe and there was a whale of a difference between those and the former “FS” ships. The extra space and speed matters a lot and smaller ships were simply more bouncy in inclement weather or when the monsoons are blowing hard.

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Their competitors William Lines and Go Thong were just using former “FS” ships in the route and in the case of the latter it was even using lengthened ex-”F” ships. PSNC (Philippine Steam and Navigation Co.) meanwhile has mixed ex-”FS” and ex-C1-M-AV1” ships in the southern Mindanao routes. In 1955, when Everett Steamship’s duo of brand-new luxury liners which were sister ships arrived, the Legazpi and the Elcano, PSNC withdrew the former “C1-M-AV1” ships in the Davao route (Everett SS was then operating through PSNC in partnership with Aboitiz Shipping Corporation).

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A former ex-“C1-M-AV1” ship (Photo credits: Phil. Herald and Gorio Belen)

Compania Maritima was dominant in the southern Mindanao routes because their ships were simply bigger, better and faster. Their only worthy competition were the Legazpi and Elcano but still their ships which were former European passenger-cargo ships were bigger than those and has more cargo capacity, an important feature then since more cargo meant more revenue.

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(Photo credits: Phil. Herald and Gorio Belen)

In those routes to the south, Compania Maritima followed what was in vogue or normal then, that is the ships pass so many intermediate ports (as in up to six) and Cebu or Iloilo will be one of them. The ships will then dock in other Visayan ports like Tagbilaran, Dumaguete or Pulupandan or northern Mindanao ports like Cagayan de Oro, Iligan or Ozamis, among others. In the early ’70’s, Sweet Lines pioneered the route through the eastern seaboard of Mindanao. But just the same their ships docked first in Visayas ports.

That was the reason why ships then took nearly two weeks to complete a voyage and two ships had to alternate in serving a route to southern Mindanao so a weekly schedule can be maintained. Most had Davao as end port and some had Gensan as end port. Those still going to Davao usually docked also in Gensan (it was called Dadiangas then). A few ships had Cotabato as the end port (it was actually the Polloc port in Parang, Cotabato).

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MV Dona Ana (Wikimedia Commons)

However, in 1976, the new paradigm, that of fast cruiser liners came also to Mindanao. Bringers of it were Sulpicio Lines with the Dona Ana and William Lines with the Manila City. These fast ships only took three days to Davao compared to the six days of the liners before. These new ships only had one intermediate stop, Cebu for Sulpicio Lines and Zamboanga for William Lines. Fast cruisers of that era meant a ship can do 18 knots sustained. These fast cruisers had prompt departures and usually they will arrive at the posted ETA.

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Photo credits: Times Journal and Gorio Belen

Aside from the Dona Ana, Sulpicio Lines also introduced small passenger-cargo ships with direct Davao sailings and these ships only took five days for the voyage. In 1978, Sulpicio Lines introduced the fast cruiser liners Don Enrique and Don Eusebio to Southern Mindanao routes. Even with these fieldings, Sulpicio Lines and William Lines maintained their old ships with multiple intermediate ports which took six days and with two ships alternating. But passengers who can’t afford or who don’t want to take the plane suddenly has a faster and more luxurious passage. These moves of Sulpicio Lines and William Lines put a lot of pressure on the other operators.

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Photo credit: Gorio Belen

These new liners of Sulpicio Lines and William Lines, being fast and taking fewer days forced changes in the sailings of the other companies. Sweet Lines then assigned three ships rotating to the Davao route and by using the shorter eastern seaboard route and with just one intermediate port was capable of reaching Davao in 4 days. Sweet Lines cannot match Sulpicio Lines and William Lines because they have no fast cruiser liners (they will try to match in 1983 when they acquired the fast RORO liner Sweet RORO 2).

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Photo credit: Times Journal and Gorio Belen

The combined Carlos A. Gothong Lines Inc. (CAGLI) and Lorenzo Shipping Company tried a new tack. They simply dropped passenger service to Davao and offered direct cargo sailings (hence, their ships can almost match the sailing times of the Sulpicio and William fast cruisers). Aboitiz Shipping Corporation meanwhile had already dropped Davao and Gensan even before and their ships were sailing up to Pagadian only (which they will also relinquish and abandon southern Mindanao). The other liner companies were not involved in this battle like Escano Lines, Negros Navigation and the minor liner companies because they had no southern Mindanao nor western Mindanao routes even before.

Compania Maritima which like the others used doubling of ships to Davao or Gensan also used the approach of Sweet Lines, that is to triple the ships in a Davao route so their sailings time will be reduced to four days. Their ships are faster than Sweet Lines’ but although they pruned the number of intermediate port they really can’t bring it down to just one port (so they are not faster to Davao than Sweet Lines). By this time Compania Maritima was already using their best and fastest ships to the Davao route and their next echelon of ships were also doing the other southern Mindanao routes. With this tactic Compania Maritima had a very thin coverage of their old northern Mindanao and Eastern Visayas routes.

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The Compania Maritima flagship (Photo credits: Evening News and Gorio Belen)

If Compania Maritima thought they can hold fort with this tactic they were sadly mistaken. In 1978, Aboitiz Shipping Corporation boldly came back to the southern Mindanao routes with its container ships, a new paradigm in Philippine shipping and they were offering direct sailings which means no intermediate ports. With that they can offer a faster (than Compania Maritima and Sweet Lines) and more secure shipping of goods with less damage. William Lines and Sulpicio Lines, not to be outdone, matched this new offering of Aboitiz Shipping Corporation the next year and this was followed soon by Lorenzo Shipping Corporation. Not to be left out was the new Sea Transport Company, a pure cargo company which offered direct container services to southern Mindanao even ahead of the national liner majors.

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Photo credits: Times Journal and Gorio Belen

As mentioned before, Sweet Lines also followed suit with a fast service to Davao with the Sweet RORO 2 in 1983. If Compania Maritima was also strong in Cebu cargo before, by this period the national liner majors also had direct and dedicated container ship sailings to Cebu. Cargo is actually the bread and butter of shipping and since Compania Maritima never invested in container ships in due time they were already badly outgunned. Their competition already had fast cruiser liners and it had containers ships too, both new paradigms that Compania Maritima never possessed and they were still stuck to the old cruisers and old way of sailing.

I don’t know if Compania Maritima ever thought of getting aboard the new paradigms. Whatever, events soon decided things for them. President Marcos’ grip on power was loosening, his health was deteriorating and soon Ninoy Aquino was gunned down in the airport in his return in 1983. Political crisis and financial crisis were soon raging in the land, the peso was sinking very fast and production and trade suffered. Even prime companies were tottering on the edge then because of crushing debt loads when lending from the banks was nearly impossible. In this period, even the local operations of the major car assemblers collapsed – Toyota, Ford, General Motors. Other big companies were closing shop too.

The next year Compania Maritima’s answer to the crisis became known to all. They simply ceased operations too like the motoring majors and soon their dual-citizen owners were on their way back to Spain. Compania Maritima’s ships were laid up but soon they were sold to the breakers one by one. By 1988, none of Compania Maritima’s ships were still existing.

And that was how the old and long No.1 in Philippine shipping ended its life.

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Compania Maritima building in Cebu