John Martin, RHA Policy Manager for Northern Ireland

John Martin

RHA Policy Manager for Northern Ireland.

RHA MEMBERS MEET WITH THE EUROPEAN COMMISSION IN BRUSSELS

At the request of some of its members, the RHA was able to secure a meeting with senior officials within the European Commission in Brussels to discuss their experience with moving goods between GB and the Island of Ireland (Northern Ireland and Ireland) since the 1st January 2021. The meeting was both held in person with some members joining the meeting virtually.

The meeting included senior officials within the Commission including the Policy Officer on the Ireland/Northern Ireland Protocol, Tax and Customs Policy and counsellor the Director and Coordinator Brexit, Head of Unit EU-UK Withdrawal Agreement, Head of Sector Protocol on Ireland/Northern Ireland, Expert Legal and Policy Officer on the Ireland/Northern Ireland Protocol and Communication Policy officer on the EU-UK withdrawal agreement. The RHA participants came from a wide and varied representation of businesses who move goods from GB to both Northern Ireland and Ireland directly and indirectly and included representatives from manufacturing, logistics and freight forwarding. This enabled participants involved to set out very clearly their experiences of both Brexit - GB to Ireland and Ireland to GB and the Protocol GB to Northern Ireland. They were also able to articulate the finely balanced nature of logistics within Northern Ireland given that we are a small island economy with extremely integrated logistics supply chains and manufacturing businesses with Northern Ireland’s biggest trading partner/export market GB. These trading partnerships have been built over centuries with logistics operating in the round (One load out with a return load back) with small margins and critical just in time delivery timeframes both for short shelf life food and products or materials used in manufacturing.

ONGOING ISSUES

It was explained the disruption caused to the supply chain from GB to NI impacts a wide range of issues within the province including: - Efficiency of logistics - increased costs, delays, inability to schedule collection in

GB in the most efficient and cost-effective manner, longer drivers hours, greater miles driven, increase in empty trailers travelling between the two regions, suppliers stopping supplies to Northern Ireland reducing return loads and more staff needed to move less product within a shorter timeframe. - Efficiency of manufacturing – longer lead times for parts or raw materials from

GB, suppliers stopping supplying NI due to the bureaucracy, increased costs to manage the bureaucracy and risk to employment. - Environmental impact – Increased distances driven to facilitate checking procedures with more fuel used and increased in empty running to return trailers/vehicles to either pick up locations or to return to NI with logistics being circular between GB and NI. - Costs to the consumer or business increasing making goods more expensive

or NI product being less competitive in its final market destination. - The requirements in Northern Ireland being applied differently to various sectors – easements, mitigations and support schemes and the impact when these schemes end both on cost and product availability. - The human cost – this is often unseen and under reported where staff in suppliers within GB, logistics operators and businesses in Northern Ireland are so fatigued with the seemingly endless amount of bureaucracy for no justifiable reason which is stifling and relentless with changes happening frequently without notice or rationale.

BENEFICIAL MEETING

All attendees were candid and fully engaged in a detailed discussion on their experiences of the trading arrangements. The meeting was extremely beneficial to both RHA attendees and the Commission officialsand all participants are keen to build on this initial meeting with further meetings to be scheduled develop a better working relationship. Some more specific concerns raised included: • SPS – overly bureaucratic, not risked based, inconsistent and over-zealous application in

Northern Ireland when compared with Dublin. • Customs including supplementary declarations – Unnecessary, overly bureaucratic with no recognizable benefit considering circa 80% of goods moving GB to NI do not enter the EU single market. • Any proposed digital solution will not reduce the need for the collation of data and records or the need for EHCs nor will

John Martin

RHA Policy Manager for Northern Ireland.

they reduce the number of inspections/ checks currently experienced at the ports when full implementation happens. • The full financial and operational/logistical impact of the Protocol hasn’t been experienced due to the considerable support provided by the UK government through the easements – MAS scheme and TSS schemes. • The legal action instigated by the

Commission on the UK government for failing to introduce checks and requirements is considered unhelpful. • Concerns why hauler’s views have not been sought by the Commission and this meeting had to be instigated by the

RHA through the Irish Government • The RHA are the only trade body that has had a consistent view on the logistical issues created by the protocol from day one. • The Protocol is an agreement between the UK Government and the European

Commission signed by both groupings, therefore both groupings must take equal responsibility for its content and its failings.

Any proposed solution must address these issues and have actual sectorial input

from the road haulage community to ensure the proposals can be delivered.

WELCOME DEVELOPMENT

I would emphasize the meeting was extremely beneficial and ensured the Commission officials actually heard from the businesses who are experiencing the reality of Brexit and the Protocol on a daily basis. It’s envisaged this meeting will ensure the logistics community in Northern Ireland views are heard in the heart of the Commission, which is a welcome development. We look forward to more detailed and frequent engagement over the coming weeks.

RHA FACILITATES DUTCH TEACHER DELEGATION ON VISIT TO NI HAULAGE BUSINESSES

RHA members along with South West College recently hosted a group of twelve Dutch teachers, who specialise in Logistics and Transport from different colleges throughout Holland. This was part of a knowledge exchange trip on Transport and Supply Chain Management in light of challenges that Brexit has presented to N. Ireland.

Throughout the week, the teachers visited Manfreight, McCulla (Ireland), Woodsides and WS Dennison, talking with each operator understanding their operation and how they each have navigated the NI Protocol. Each operator set the scene for the processes and changes they have introduced since January 2021 and what the future looks like going forward. They learnt about the burden the bureaucracy and checks have on the certain sectors within the supply chain in Northern Ireland as well as the potential new technology being developed by business to alleviate some of the challenges. It was recognised that the haulage landscape in NI is quite different than that of Holland and this is intensified by the re-occurring lack of an NI Executive which brings its own separate challenges on future legislative considerations for the sector and business development. The aim of the visit was to share real life business experiences and ideas with the students back in Holland, demonstrating a shared knowledge and understanding of the implications of Brexit, the complexities of Northern Ireland in the wider conversation as well as the obstacles faced by the wider supply chain. Transport and Logistics is a very popular course in Holland that attracts a lot of interest from students throughout the country. The Dutch business community recognise the importance of securing correct pathways and provide shared learning opportunities developing the next generation of logisticians, this was mirrored by the businesses they visited in NI. The teachers were very impressed by their weeklong tour with Jos van Kollenburg, MBO Studiereis saying: “We want to thank the RHA and its members for this opportunity to visit you, learning about your experiences with Brexit. This was important lesson for us all to take back to our students, thinking about constitutional change and its effects on business within the supply chain.”

Some of those who took part in the visit. Manfreight was one of the transport operators taking part.