Business groups study cross Border obstacles

THE IBEC/CBI joint business council will today examine a preliminary list of issues which impede firms involved in North South…

THE IBEC/CBI joint business council will today examine a preliminary list of issues which impede firms involved in North South trade. This will form the basis of a detailed submission to the British and Irish governments during the Irish EU presidency.

"North South trade is now on course to double within five years," according to Mr John Kenna, the chief executive of the council. He said that provisional Central Statistics Office figures showed an annual increase of nearly 14 per cent in cross Border trade last year, compared to a 10 per cent rise in 1994.

The development of cross Border trade is essential, due to the small size of the home market, he said. "But it requires a level playing field on the island of Ireland, where the future development of industry is dependent on achieving greater penetration of European markets," according to Mr Kenna.

The most important aid to further growth will be the improvement of transport infrastructure, he said, especially the Dublin Belfast road. The council is calling for EU supported further investment of £235 million over the next six years in the road.

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The upgrading of the Belfast to Dublin road is welcome, but further investment is needed "to create a fast rail service from Cork, through Dublin and Belfast to Derry, as well as improving rolling stock." EU regional support should be extended to cross Border air services, according to the council.

The council is also calling for an increase in the maximum weight of articulated trucks in the North from 38 to 40 tonnes, the same as in the Republic. It is also calling for a North South public sector suppliers' charter. This would standardise tender specifications, environmental requirements, evaluation criteria and other aspects of the tendering process.

Mr Kenna said the Republic also has to address 16 national measures to complete the EU single market in areas such as regulation, public procurement and copyright.

The council is also examining, "other long term differences between both parts of the island which it believes affect competitiveness."