Exporters North and South of the Border are at a competitive disadvantage because there is no direct container service to the US and Canada, a report published by the Institute of International Trade said yesterday.

"Clearly a direct container liner service between Ireland and the USA would be of major benefit to many Irish exporters," said the institute's director, Mr John Whelan.

Companies find that transhipment costs to ports in Britain or elsewhere in Europe amount to 25 per cent of shipping costs to the US, he said. If established, he said Irish firms would use a reasonably priced service with frequent sailings and good transit times.