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| Port of Rotterdam infrastructure plans stall amid Brexit uncertainty | Port of Rotterdam infrastructure plans stall amid Brexit uncertainty |
| (35 minutes later) | |
| Officials at the port of Rotterdam, the largest in Europe, are stalling on investments in infrastructure amid renewed hope that local elections may lead to a U-turn on leaving the customs union. EU officials, however, have warned that global trade rules will stand in the way of a “fudge” on the issue. | Officials at the port of Rotterdam, the largest in Europe, are stalling on investments in infrastructure amid renewed hope that local elections may lead to a U-turn on leaving the customs union. EU officials, however, have warned that global trade rules will stand in the way of a “fudge” on the issue. |
| With the debate in full swing in the UK, officials at the port handling 40 million tonnes of UK trade in goods annually said plans for the construction of new customs inspection posts, parking spaces and cool warehouses for flowers and vegetables were on hold. | |
| While fearful that Brexit paperwork at the port could lead to 8km queues of trucks on its doorstep, Mark Dijk, the port’s head of external affairs, said the level of the investment required by the the port and its ferry companies required certainty. | While fearful that Brexit paperwork at the port could lead to 8km queues of trucks on its doorstep, Mark Dijk, the port’s head of external affairs, said the level of the investment required by the the port and its ferry companies required certainty. |
| Dijk said: “It is all dependent on what kind of free trade agreement they work up and the customs union discussion which is interesting. | Dijk said: “It is all dependent on what kind of free trade agreement they work up and the customs union discussion which is interesting. |
| “After these local elections [next Thursday] then probably there will be some new discussions on the customs union, which might be very interesting for us because that solves the whole problem ... | “After these local elections [next Thursday] then probably there will be some new discussions on the customs union, which might be very interesting for us because that solves the whole problem ... |
| “It’s a very difficult decision, of course, because we don’t know what is going to happen and those investments are not cheap. And we do not know if they are possible.” | “It’s a very difficult decision, of course, because we don’t know what is going to happen and those investments are not cheap. And we do not know if they are possible.” |
| Dijk said there are concerns that the necessary land will not be available around at least one of the four ferry terminals servicing the UK, although he suggested Dover faced greater issues. “I saw in the UK they have larger problems with the infrastructure,” he said. “The port of Dover, which has got no space to grow, and other ports are pleading for public investment to facilitate this growth.” | Dijk said there are concerns that the necessary land will not be available around at least one of the four ferry terminals servicing the UK, although he suggested Dover faced greater issues. “I saw in the UK they have larger problems with the infrastructure,” he said. “The port of Dover, which has got no space to grow, and other ports are pleading for public investment to facilitate this growth.” |
| Last week, Bart Jan Koopman of the Dutch shippers and exporters’ organisation, Evofenedex, told MPs in the Netherlands parliament: “Our concern is on the British side. Their preparations are far from the level of the Dutch. This underestimation also applies to other EU countries. That can really cause chaos.” | Last week, Bart Jan Koopman of the Dutch shippers and exporters’ organisation, Evofenedex, told MPs in the Netherlands parliament: “Our concern is on the British side. Their preparations are far from the level of the Dutch. This underestimation also applies to other EU countries. That can really cause chaos.” |
| The home secretary, Amber Rudd, is the latest politician to signal that the debate on the UK’s future customs arrangements with the EU is ongoing within the cabinet. Labour is seeking to force a change of policy in an upcoming Commons vote. | |
| Roel van’t Veld, the Dutch ministry of finance’s Brexit and customs advisor, said that the scale of the investments and changes required on both sides, should the UK go through with Theresa May’s plan to leave the customs union, were well understood in the Netherlands. | |
| Even with the signing of a free trade agreement between the EU and the UK, an extra 750 new Dutch customs officers will be needed, the first 150 of which have just started their training, with selection proceeding for the second batch. | Even with the signing of a free trade agreement between the EU and the UK, an extra 750 new Dutch customs officers will be needed, the first 150 of which have just started their training, with selection proceeding for the second batch. |
| “We started collecting the statistics and they are rather frightening,” van’t Veld said. “Trading between Southend and Rotterdam, will be as trading between Rotterdam and Morocco, and people have to realise that. We have a huge number of companies that have no idea what trading outside the EU means. We have 35,000 companies trading with the UK who have no knowledge of customs. They are not known in our system.” | “We started collecting the statistics and they are rather frightening,” van’t Veld said. “Trading between Southend and Rotterdam, will be as trading between Rotterdam and Morocco, and people have to realise that. We have a huge number of companies that have no idea what trading outside the EU means. We have 35,000 companies trading with the UK who have no knowledge of customs. They are not known in our system.” |
| Even with maximum facilitation, a proposal by the UK for trusted trader schemes to reduce the necessary paperwork, van’t Veld said there would always be companies outside such arrangements who would probably slow everyone else down at the ports. | Even with maximum facilitation, a proposal by the UK for trusted trader schemes to reduce the necessary paperwork, van’t Veld said there would always be companies outside such arrangements who would probably slow everyone else down at the ports. |
| Van’t Veld said he was advising the Dutch waste industry about the nine extra processes that would have to be followed for them to import British waste, in particular from Westminster, where a large amount of rubbish emanated, for treatment in the Netherlands. | Van’t Veld said he was advising the Dutch waste industry about the nine extra processes that would have to be followed for them to import British waste, in particular from Westminster, where a large amount of rubbish emanated, for treatment in the Netherlands. |
| In Brussels, EU officials said the was little clarity about the UK’s position following the rejection of the customs proposals made last year by the British government, which were designed to avoid a hard border on the island of Ireland. | In Brussels, EU officials said the was little clarity about the UK’s position following the rejection of the customs proposals made last year by the British government, which were designed to avoid a hard border on the island of Ireland. |
| Officials said they also expected a fresh proposal on customs from the UK after local elections, which would attempt to match the benefits of a customs union, without it being described as such, to avoid a domestic row. | Officials said they also expected a fresh proposal on customs from the UK after local elections, which would attempt to match the benefits of a customs union, without it being described as such, to avoid a domestic row. |
| A senior official involved in Brexit negotiations warned, however, that World Trade Organisation rules would stand in the way of such a ploy. | A senior official involved in Brexit negotiations warned, however, that World Trade Organisation rules would stand in the way of such a ploy. |
| The official said: “When they they come with a big fudge – custom partnership, customs facilitation, special customs arrangement – well, actually a fudge has its test and the test is Article 24 of the WTO. | The official said: “When they they come with a big fudge – custom partnership, customs facilitation, special customs arrangement – well, actually a fudge has its test and the test is Article 24 of the WTO. |
| “If you give preferential arrangement with a third countryoutside a customs union, you have to apply it worldwide under the most favoured nation rule. Imagine if the arrangement doesn’t qualify as a customs union: they will have to open their borders to the whole world. They have no trade deals to negotiate any more. | “If you give preferential arrangement with a third countryoutside a customs union, you have to apply it worldwide under the most favoured nation rule. Imagine if the arrangement doesn’t qualify as a customs union: they will have to open their borders to the whole world. They have no trade deals to negotiate any more. |
| “Whatever fudge they are brewing, it has to match the criteria set,” the official added. “Otherwise it is not a customs union and we end up with a free trade agreement, with the customs arrangements that you make with any third country.” | “Whatever fudge they are brewing, it has to match the criteria set,” the official added. “Otherwise it is not a customs union and we end up with a free trade agreement, with the customs arrangements that you make with any third country.” |
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