The road traffic protest by members of the Irish Road Haulage Association (IRHA) over the cost of diesel fuel passed off without serious dislocation yesterday. It was an ill-judged protest from the beginning. Its initiation owed more to the aggressive, blockading actions by truckers in France, Britain and Belgium during the past week than to conditions here at home. Sentiment may have run so high within the association that the leadership had no option but to allow members to express their anger and frustration over rising fuel costs and falling profits. Now that the protest has been made in a moderate and comprehensive manner, however, the IRHA should join the other social partners in negotiating a comprehensive budgetary package to deal with their concerns.
The Taoiseach, Mr Ahern, has assured the president of the IRHA, Mr Gerry McMahon, and his officer board that their concerns will be taken into account in the pre-Budget negotiations over the next six weeks. In addition, they have been offered a special meeting at Government Buildings next week to discuss non-monetary issues. Since inflation gathered pace and the price of oil products raced ahead last July, the Coalition Government has been committed to addressing inflationary and fuel price issues, along with related matters, in the December Budget. As a result, trade unions, farmers and fishermen have held back on their demands, pending a review of the Programme for Prosperity and Fairness. Road hauliers should now display the same discipline as these sectors.
Executive members of the IRHA are due to meet today to discuss future strategy and tactics. It is to be hoped that the moderation displayed during most of yesterday's protest will carry through into those deliberations. The road and oil refinery blockades that brought parts of the EU to a standstill during the past week have wound down; most European motorways are open and no useful purpose would be served at this stage if Irish hauliers engaged in militant action.
As an open economy, we have a far higher dependence on exports and imports than other EU states. An estimated 92 per cent of our freight is now moved by road. Much of our modern freight business was created in recent years as the economy prospered and fuel prices remained low. And while the profitability of some road haulage companies has been seriously eroded by the recent surge in diesel prices, Irish firms are not being subjected to the same economic pressures as some of their EU counterparts. In Britain, for example, the cost of fuel is nearly double that being paid here. In price terms, we come in the lower half of EU states. That said, there is no doubt that Irish haulage companies are suffering. The Government has agreed to address their concerns.
Last Wednesday, the Irish Road Haulage Association demanded an immediate 33 per cent reduction in excise duty on diesel and when the Government refused to entertain the claim it launched street protests. There is some public support for hauliers because of their economic difficulties. And the moderate behaviour of most truckers yesterday has not damaged that sentiment. But prolonged and seriously disruptive action would change all that. The Government has offered an understanding ear to hauliers' complaints. It has insisted there will be no financial concessions before the December Budget. In the circumstances, the IRHA would be wise to work though social partnership and keep its powder dry.