Dáil Éireann Debate, Wednesday - 27 January 2021
94. Deputy Richard Bruton asked the Minister for Transport his views on whether it is necessary to undertake a fundamental re-evaluation of Ireland’s connectivity to markets of the remaining EU members in view of the conclusion of the Brexit decision. [3636/21]
View answerPrior to the end of the transition period the landbridge was the favoured route to market for many companies dealing in perishable and time sensitive goods due its reliability and speed. The Government has always been clear that it would not be possible to fully mitigate against all outcomes following the UK’s exit, and the reality of UK being fully outside of the EU means that seamless trade is a thing of the past. This also has implications for the landbridge as customs and regulatory processes are required for moving goods to the EU under transit via GB.
This is one of the primary reasons why, in advance of the end of the Brexit transition period, my Department in conjunction with the Irish Maritime Development Office (IMDO), undertook a major communications campaign urging business using the GB landbridge to consider a switch to direct routes which would avoid the new control regimes. This campaign was also supported by the Departments of Foreign Affairs and Trade, Business Enterprise and Innovation and Agriculture, Food and the Marine.
This communication campaign served to reinforce the message that there is maritime capacity available to transport goods directly to Continental Europe and that these options are many and varied across different modalities providing both accompanied and unaccompanied options to exporters.
Clearly importers and exporters have reacted to this changed environment and we have witnessed throughout 2020 and at the beginning of 2021 an unprecedented response from the shipping industry in terms of increasing capacity to match market demand on direct shipping routes. It has occurred across all relevant modes and has drawn from all available responses. These responses include (1) utilization of surplus capacity, (2) increasing capacity by altering schedules, (3) redeploying vessels within their fleets, and (4) adding new capacity in the form of additional vessels.
The increase in choice and frequency in the RoRo freight market over the past year has had a very significant impact on freight capacity to continental EU ports. Weekly RoRo freight capacity to continental EU ports has doubled in the past 12 months. There is now capacity for approximately 5,000 additional HGV’s & unaccompanied trailers on continental RoRo services per week in January 2021.
The largest increase in capacity has come on RoRo services to Northern France. In January 2020, capacity to Northern France represented 35% of all continental EU capacity. As of January 2021, it now accounts for 49%.
That being said, I am aware of problems still being experienced by trade and backlogs in the supply chain, particularly in GB. We know that the introduction of new import and export regulatory requirements adds additional burdens on companies. Government Departments and Agencies are continuing to engage with companies and haulage and logistics companies to help them work through these new checks and controls to ensure that they can, if they so choose, continue to use the landbridge.
Brexit means that we no longer have a seamless trading relationship with our nearest neighbour, and it is going to take a period of time to adjust to this new reality, and by extension for supply chains to adjust and settle. In due time I will give consideration as to whether or not it is necessary to undertake the re-evaluation as suggested by the Deputy.
