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Matson Navigation Co. has announced that it has lowered its fuel surcharge due to the recent fall in bunker prices, according to local media reports.

Hawaii's leading ocean shipper has decreased its fuel surcharge for shipments to Hawaii by 4.75 percentage points to 37.5 percent from 42.75. The fee for shipments to Guam and Microneria will drop by the same amount from 43.75 to 39 percent.

The decision to lower its rates follows four consecutive price increases this year and nine rate rises in a row since the surcharge was lowered in January 2007 from 18.75 percent to 17.5 percent. The latest drop is the largest since the surcharge was implemented almost a decade ago.

Below is a summary of the previous fuel surcharges announced since January last year.

21/09/2008: 37.50 %
31/08/2008: 42.25 %
13/07/2008: 38.25 %
06/04/2008: 33.75 %
04/02/2008: 31.5 %

“While crude oil and gasoline prices began to decline in August, Matson's expenses for bunker fuel, which is used to power its fleet, continued to climb. Fortunately, Matson is now seeing the downward trend extend to bunker fuel costs, allowing the company to make this adjustment,” said Dave Hoppes, senior vice president, ocean services, in a statement.

Meanwhile, Hawaii's second-largest ocean shipper from the US mainland, Horizon Lines Inc., recently raised its rates to Hawaii from September 1st by 4 percentage points from 38.25 percent to 42.25 percent, an increase of 10 percent. The fuel surcharge covering its Guam service route also increased by 4 percentage points, from 39.75 percent to 43.75 percent, a rise of 10 percent.

The company had previously planned to increase its surcharge to Hawaii by 4.5 percentage points - or 11.8 percent - to a record 42.75 percent, and its rates to Guam by 4.5 percentage points - or 11.3 percent - to 44.25 percent. However, Horizon then reduced its rates after Matson, its main competitor, declined to match its price hike.

Matson's latest surcharge rates are due to come into effect on September 21st.