The Arran III was a 49nt steel steamship built by Ayrshire Dockyard Co Ltd of Irvine and launched in March 1926. She was owned by Clyde Cargo Steamers and was employed carrying cargo between the ports of the Clyde estuary.
The Arran III, like all Clyde puffers, made deliveries to all the Clyde ports. Many of these, such as those in Loch Fyne, were in extremely remote areas where no road communication was possible. She was lost on 31 December 1922 while returning from Lochgilphead with empty beer bottles for recycling. A storm with severe south-easterly gales blew up, and from that direction the winds could run right up the loch. As Arran III approached Tarbert, she became more exposed to the fury of the storm. In the terrible conditions at 6.30am that Hogmanay, she ran aground on the northmost skerry east of Barmore island. Badly holed, she sank on the next high tide. Her cargo was salvaged.