Major work is to commence this autumn to expand cruise facilities at the port of Gibraltar and allow larger vessels to dock at the Western Arm.

A key element of the project is to dredge the inner berths of the Western Arm to around 10m, the same draught available at the outer berths.

This will allow the port to accommodate two or more of the latest-generation passenger ships at the same time.

The cruise industry has seen a marked trend toward larger ships over recent years.

Any port committed to handling this business must ensure it can cope with these vessels or risk losing business.

In 2004 Cunard was forced to postpone a visit by its flagship Queen Mary 2 after plans to dredge the outer berth of the Western Arm were shelved due to rising costs over unforeseen technical difficulties.

The vessel has since called at Gibraltar several times, anchoring in the bay and ferrying passengers to land on small boats using the ferry terminal.

Larger vessels are good news for Gibraltar too because they can carry more passengers, in turn bringing knock-on benefits to a wide cross-section of the community ranging from tour operators to Main Street shops.

The number of annual cruise calls is expected to rise significantly this year, but the sharpest rise will be in passenger numbers.

Joe Holliday, Gibraltar’s minister for trade, industry and communications, told Parliament during the last budget session that the number of cruise ships expected to call at Gibraltar in 2007 is around 236, up from 202 in 2006.

At full capacity those vessels can carry a potential of approximately 301,000 passengers, which would represent an increase of 43% on passenger figures for 2006.

The work in the port, commissioned by the Government’s Technical Services Department, will also include dredging the approach channel for the inner berths.

There will also be developments on land.

Storage warehouses at the rear of the existing cruise terminal are to be demolished and two businesses relocated.

That will allow the cruise facility to be extended to accommodate growth.

The new area will also be paved in line with the existing terminal.

In broader terms, Mr Holliday said Gibraltar’s maritime sector enjoyed an “outstanding” year in 2006, handling an all-time record of 8,988 ships, representing 223m gross tonnes.

Local bunker suppliers delivered almost 4m tonnes of fuel and supply figures for the first quarter of 2007 show a year-on-year increase of 4.6% for that period.

The ship register is also showing strong growth and currently has 243 ships on its books, representing nearly 1.5m gross tonnes.

The growth has been achieved without a drop in quality, with the average age of the Gibraltar fleet currently 10 years.

The register is on the international White List of quality flags and will this year become one of the first to be inspected by the International Maritime Organisation under a voluntary audit scheme.