Last month UKWA held the second of its Warehousing Roadshow events in Belfast, co-hosted with the All Ireland Warehousing Association (AIWA). Appropriately enough, given the passionate discussion around the issues facing Northern Ireland’s warehousing and logistics community, guests and expert speakers convened at a venue directly opposite the Parliament Buildings at Stormont.
The roadshow brought together trade bodies including the Road Haulage Association (RHA) and Cold Chain Federation (CCF), to discuss amongst other things, the impact of the Windsor Agreement on the sector. Joining John Martin of RHA and Tom Southall of CCF, were Ally Hobson of Montgomery Transport Group and Peter Summerton of DFDS, each providing a view from the operational ‘sharp end’, and solicitor Steven Meyerhoff of road transport solicitors Backhouse Jones.
The Northern Ireland protocol, ratified as part of the 2020 Withdrawal Agreement between the UK and EU, experienced significant political and economic problems – from power-sharing collapse at Stormont, to the undermining of trade between Northern Ireland and the rest of the UK. The protocol was deemed unworkable and became subject to many exemptions and derogations.
In February 2023, the UK government agreed with the EU a new ‘Windsor Framework’, fundamentally amending the text and provisions of the original protocol. The UK government claims that the Windsor Framework will reestablish the balance of the Belfast (Good Friday) Agreement by ‘restoring the smooth flow of trade within the UK internal market’, ‘safeguarding Northern Ireland’s place in the Union’, and ‘addressing the democratic deficit’.
While there was consensus on the UKWA roadshow panel that the Windsor Framework is an improvement on the Northern Ireland Protocol, there were still real concerns around the negative effects of increased bureaucracy, uncertainty, higher costs and, as a result, diminished business across the Irish sea, to and from mainland GB.
We heard from Peter that costs were falling disproportionately on smaller operators as paperwork costs remain the same irrespective of the size of the consignment. He spoke of challenges around storage, with some products operating under different rules and coming through different channels. Everything has become both more complicated and more expensive, the panelists agreed.
Groupage operators, for example, are being affected in that a single pallet in a mixed load of 24 pallets could result in the whole vehicle being detained – and consequently multiple customers’ deliveries are delayed. Accordingly, operators are instead bringing in larger loads of the same products, which require storage, in turn driving up demand for warehousing space in the province.
Clearly there are multiple challenges still facing the logistics industry in Northern Ireland, but it was heartening to hear that trade associations such as the RHA had made a real difference in conveying those concerns to government. Similarly, UKWA is playing its part in bringing together voices from across the industry and providing a forum for exchange of views.
As Steven reminded our audience, this sector is resilient, resourceful and innovative. UKWA is the voice of warehousing and will continue to work in collaboration with our friends and colleagues across the industry to support our members operating in Northern Ireland and beyond. Solutions must be found and it will be businesses, not governments, that make this work.
Clare Bottle
UKWA, CEO
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