6


Issue 6 2019 - Freight Business Journal


///NEWS


Freeports idea has wind in its sails


Political momentum is building in favour of freeports, said speakers at a conference organised by the British Ports Association in London on 9 September. Deputy director of maritime policy at the Department for Transport, Rod Paterson told the event, used to launch a new Port Zones UK report, that there was now “a strong political drive” around freeports policy and that shipping and freeports minister Nusrat Ghani “cares very passionately” about the plan to create up to ten freeports or port zones around the UK. The report has been produced


by a new coalition of British airport and seaport operators, and follows International Trade Secretary’s unveiling of a plan to allow ports and airports across the UK to bid to become one of up to ten freeports aſter Brexit. The government was now


asking port and airport operators, and their customers, for their views on how freeports and port zones should operate, ahead of planned legislation to create them. He added that the UK’s expected


departure from the EU would be an opportunity to reshape UK policy on freeports; current rules severely curtail the customs facilitations


that can be offered. Grimsby and Immingham


MP, and chair of the All-Party Parliamentary Freeports Group, Martin Vickers told the gathering that the government had been convinced of the case for freeports, although there might still be some battles to be won with the Treasury. Freeports, he said, would “be an opportunity to open up the UK to world markets.” Sadly, the UK was not currently at the forefront of developing and promoting the concept compared with, for example, the UAE, US and China. He suggested that UK freeports


could be targeted on high- unemployment zones, especially in the north of England and had the potential to create 75,000 jobs, possibly as many as 150,000. He also dismissed suggestions from other politicians and trade unions that freeports were “sinister plan to create tax havens”. However, freeports could only


be developed if the UK was to perform a full Brexit, as opposed to remaining in the EU customs union. Planning lawyer John Grimbley,


from Eversheds Sutherland said that freeports offering fiscal advantages could also be


coupled with a simplified and streamlined planning regime for ports. Currently, ports were subjected to various planning regimes on the land and marine side of their operations, as well as various environmental and other legislation (some of which, including the stringent Habitat Regulation, were of EU origin). He said that while radical


changes to the planning regime would need extensive primary legislation, some easement


would be possible through a review of current


requirements


and of the guidance to local authorities. It should be possible to better coordinate land and marine planning, he said. Simplifying and narrowing the scope of Environmental Impact Assessments could cut the time needed to get port developments through the planning process by up to a year he said. Port of Tyne chief executive


Matthew Beeton revealed his vision for port zones to become “virtual corridors” encompassing


not just ports and airports but local manufacturing sites. In Tyne’s case, this could include the Nissan car plant in Sunderland – about ten miles from the port of Tyne – and industrial estates. Experience in other freeports


around the world showed that technology could be used to create virtual zones and that activities would not necessarily have to be port-based. While to some extent many


of the VAT and duty advantages of freeports are already available through existing trade


simplifications offered by HMRC, obtaining the necessary approval was not always simple and freeports could greatly ease the process. In answer to a question from


FBJ, British Ports Association chief executive Richard Ballantyne however said that some easements of customs regimes might be necessary for firms throughout the country to ensure that those operating in locations without freeport status did not get leſt behind.


Southampton-based


terminal


operator SCH has secured an agreement to load and discharge all Neptune Lines ro ro vessels calling in the port. The line’s pure car and truck carriers are expected to call twice a week on a European rotation that will bring Renault-Nissan and Dacia vehicles through Southampton. Neptune previously shared the


traffic with Euro Marine Logistics (EML) but has now secured the full volume of UK vehicle imports, set to total around 30,000 units per year. Renault Nissan vehicles will be loaded in Spain, while Dacia


units will be transhipped from Zeebrugge. The European port rotation comprises two separate legs that also include calls in Le


Havre, Rosslare and Portbury. SCH had previously discharged


the proportion of traffic that was carried by EML but, from July 1,


will handle the total volume, as exclusive stevedores to Neptune. SCH


director Lee Davis


explained: “The addition of Neptune Lines to our list of customers will mean that we now handle 100% of the Renault Nissan traffic coming into the port and will provide another boost to our cargo volumes. Securing this work is a further reflection of the high levels of service and expertise that we are able to offer ro-ro shippers.” SCH also handles Ford traffic


moving through the Port of Liverpool.


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