The largest interisland cargo shipping company wants to raise its shipping rate by 5.5 percent for the second year in a row because of rising fuel costs.

Shippers say the increase would affect Island businesses, such as vegetable and fruit growers.

Consumers will also likely see rising shipping costs passed on in higher produce prices in the markets.

"Any increase will have ramifications for farmers," said Alan Takemoto, executive director of the Hawai'i Farm Bureau Federation. "Any time there's an increase in rates, it does concern us and how it will affect the industry."

Young Brothers applied to the Public Utilities Commission on Friday for permission to hike its rates.

"Although Young Brothers continues to work and apply new technology to make its operations more efficient, fuel costs continue to rise," said Glenn Hong, the company's president, in a written announcement.

Young Brothers also cited climbing repair and maintenance costs, increased equipment leasing expenses and rising labor costs.

If the increase is approved, the company expects it to take effect on Sept. 18. The PUC should take up to 45 days to review the filing, the company said.

The shipping company's last rate increase of 5.5 percent went into effect in July 2005. It was the first containerized cargo rate raise in eight years.

The rate increase application comes as the Farm Bureau and other shippers are trying to resolve an earlier Young Brothers application to stop shipping "less than a container load" of cargo to and from Maui.

The company asked for the change because its dock space in Kahului Harbor will be cut to make room for the Superferry, a passenger service scheduled to begin serving several islands by mid-2007.

Takemoto said Young Brothers and the Farm Bureau, which represents 1,600 farm families, have been meeting to seek ways the small agricultural businesses, whose cargo might not fill a container, can be accommodated.

"We are working on ways to consolidate and find locations to consolidate" the goods from small shippers, Takemoto said.

David Cole, head of Maui Land & Pineapple Co., said the Superferry would give shippers more options.

"We will have an alternative method for moving our goods. The Superferry will allow us to move cargo faster. Choice is important here. Now there is a monopoly, not a lot of options. We have the air option, but it's a poor one because it's so expensive," Cole said.

Young Brothers provides interisland cargo service throughout Hawai'i, stopping at all major islands.