NEWS\\\
The Supreme Arbitration Court of the Russian Federation - the country’s highest judicial body – has ruled that Russia’s Federal Customs Service plans to leave the TIR system for road transport are illegal.
Russia had been planning
to effectively withdraw the TIR system throughout its entire territory in mid-August, before postponing the move twice, first to mid-September and then 1
P3 plan alarms shippers
The Global Shippers’ Forum (GSF) has officially raised its concerns over the P3 shipping alliance. GSF says that the proposed link-up between Maersk Line, CMA-CGM and Mediterranean Shipping Company (MSC) could be an industry game changer and shippers are concerned about its market impact and the effect on rates and the quality of services. GSF is submitting detailed to
questions the European
Commission Competition Directorate in Brussels. The GSF has said that the
potential P3 members are already aware that their mooted global alliance would have a higher market share than the 30% allowed
under EU consortia
block exemption rules and therefore requires a more in-depth assessment - so the GSF needs to be able to submit its views on the competition and market implications. In particular, the GSF has asked Commission
the to confirm
that it has commenced a formal investigation. GSF secretary general, Chris Welsh said in mid- October that no such confirmation had been received, but that he would now expect to be notified “fairly promptly”. However, indications were that the P3 lines had had informal discussions with the Commission. He told FBJ: “Our main concern
is the high market share that the P3 alliance would have; depending on
whose figures you use, it would be between 32 and 37% overall, but for the Europe/Asia and Transatlantic trades it exceeds 40%.” There could also be serious
implications for the port industry. One of the primary objectives of any shipping consortium would presumably be to reduce the number of ports used and given that many lines have their own terminals on the Continent (though not the UK) there could be vertical competition issues to consider too, Chris Welsh pointed out. The Commission could start an
investigation on its own initiative; it might also give an informal indication of its views, Chris Welsh added. If the Commission said that it
would not investigate, that might not necessarily be the end of the matter. Shippers could, in theory at least, mount a legal challenge. Chris Welsh said: “Shippers
are rightly worried about the potential of the P3 to eliminate effective competition in the world’s main liner trades. We therefore
need an in-depth
assessment of the P3. That’s why we are asking the European Commission to provide us with the essential details of the P3 and to confirm whether they have started a formal investigation or intend to do so. We need information
and answers
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December. The customs service is in dispute over an alleged 20 billion roubles-worth of duty (about £400 million) owed to the customs service by the Association of International Road Carriers, which issues TIR carnets in Russia. Customs has however imposed
restrictions on the TIR system in specific territories, firstly in the Ural Customs, Siberian and far east regions, introduced on
14 September and then, on 2 October, the Privolzhsky Customs Directorate area. However,
following the court’s
decision, the International Road Transport Union said it hoped that the restrictions would now be withdrawn immediately. By mid-October, the TIR ban
was affecting the Bashkortostan, Nizhegorodskaya, Orenburg, Perm, Samara, Saratov, Tatarstan,
Issue 7 2013 - FBJ Russia’s TIR ban is illegal, says supreme court
Ulyanovsk, Privolzhskaya, Chelyabinsk, Khanty-Mamsyisk, Koltsovo, Magnitogorsk, Tyumen, Uralskaya Operatyvnaya, Yamalo- Nenets and Yekaterinburg regional customs offices. Meeting in Geneva in early
October, the highest decision- making body of the TIR Convention had already warned that the Russian customs service’s actions were “contrary to the commitments
3
of the Russian Federation under the TIR Convention”. Trade tensions between Russia
and Europe have also been rising. On 9 October, Russia’s food standards agency said it would ban dairy imports from Lithuania and the Netherlands. Customs surveillance on other Lithuanian goods was also stepped up for a time, although this was subsequently withdrawn after a few days.
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