Riga–Stockholm route has generated a loss of two million euro (LVL 1.4 mln), according to the latest fiscal year data of the shipping company Tallink. However, the company’s management intends to make profit from this route soon, indicates Andres Hunt, vice president of Tallink.

He underlines the leap from losses of two million euro to profit is not that big; however, Riga has to contribute a certain amount of work as well, as infrastructure should be developed to make it an attractive destination for Swedish tourists.

Hunt points out it is necessary to attain a certain amount of passengers and boost revenues. Only then it will be possible to talk about profiting from Riga-Stockholm route. I cannot promise anything, but if the trend is ongoing and the passengers turnover grows, we can hope to make profit soon enough, predicts the company’s representative.

Hunt also explains that by increasing the market share, Tallink is trying to attract Lithuanians, so that they would go from Riga to Stockholm on a cruise trip and spend their holidays on board. Distance from Lithuania to Riga is not large, but it also offers the possibility to travel to Stockholm, Tallink representative indicates.

He says the company’s business plan did not foresee such economic situation as in the past two years. It was a difficult time. The events in the economy affected our business activities. Based on the experience gained on other routes, this business does not bring quick profit, Hunt acknowledges.

Tallink Grupp offers regular traffic in seven different routes between Estonia, Sweden, Latvia, Finland and Germany, providing cruise trips as well as passenger and freight traffic.

Ferries run under Tallink and Silja Line brand name.

In the fiscal year from September 1, 2009 – August 31, 2010, Tallink serviced more than 8.4 million passengers, carrying 258 000 cargo units and 964 000 passenger vehicles.

The company also operates a hotel chain Tallink Hotels with four hotels in Tallinn and one in Riga.