Overseas trade endangered unless New Zealand has a maritime strategy

The Maritime Union of New Zealand says that New Zealand's overseas trade could be in jeopardy unless the Government has a plan for ports and the maritime sector. Maritime Union General Secretary Joe Fleetwood, responding to comments from the Minister of Transport Hon. Stephen Joyce, says it is not good enough for the Government to leave it to chance when 99% of New Zealand's imports and exports are shipped. He says that there is widespread concern in the industry that in future cargo could be hubbed through a large Australian port, with complex and negative effects for New Zealand.

The Mari­time Uni­on of New Zea­l­and says that New Zeal­and’s over­seas trade could be in jeop­ardy unless the Gov­ern­ment has a plan for ports and the mari­time sec­tor.

Mari­time Uni­on Gen­er­al Sec­ret­ary Joe Fleet­wood, respond­ing to com­ments from the Min­is­ter of Trans­port Hon. Steph­en Joyce, says it is not good enough for the Gov­ern­ment to leave it to chance when 99% of New Zeal­and’s imports and exports are shipped.

He says that there is wide­spread con­cern in the industry that in future cargo could be hubbed through a large Aus­trali­an port, with com­plex and neg­at­ive effects for New Zea­l­and.

“This decision would be made by glob­al ship­ping lines, whose interest is their own profit, not New Zeal­and’s long term eco­nom­ic secur­ity.”

Mr Fleet­wood says that an Octo­ber 2009 report from Auck­land Region­al Hold­ings, the busi­ness arm of Auck­land Region­al Coun­cil (ARC), had noted the risk that, over time, New Zea­l­and con­tain­ers would be hubbed through Aus­tralia.

Fur­ther com­ments last week from retir­ing Paci­fica Ship­ping CEO Rod Grout backed up the view the cur­rent hands-off approach could end with New Zea­l­and cargo being hubbed through Sydney or Mel­bourne.

Mr Fleet­wood says the views of the mari­time industry appear to be fall­ing on deaf ears.

He says an example of poten­tial prob­lems could be seen with what had happened when Fonterra had changed its trans­port mode in South Can­ter­bury with no warn­ing from the Port of Timaru to long dis­tance rail.

This had led to severe pres­sure on the port, and was just one of a num­ber of examples where ports had risked major invest­ments in infra­struc­ture to build capa­city, only to be left in the lurch by glob­al ship­ping com­pan­ies.

“This situ­ation if repeated on a lar­ger scale through hub­bing to Aus­tralia due to decisions of ship­ping com­pan­ies could res­ult in huge dis­rup­tion to region­al eco­nom­ies, mil­lions of dol­lars of infra­struc­ture being moth­balled, and our trans­port chain in chaos.”

Mr Fleet­wood says Mr Joyce’s claim that changes in the port sec­tor would occur nat­ur­ally over time showed the Gov­ern­ment did not grasp the implic­a­tions of recent devel­op­ments.

He says the Mari­time Uni­on wants a long term nation­al strategy to ensure any ration­al­iz­a­tion of ports is achieved through a planned and non-destruct­ive pro­cess.

Ports should be integ­rated through a “Kiwi­Port” sys­tem and coastal ship­ping had to receive the same sup­port that road and rail did to cre­ate a effect­ive, New Zea­l­and-con­trolled trans­port sys­tem.

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The Mari­time Uni­on of New Zea­l­and was formed in 2002 when the New Zea­l­and Water­front Work­ers’ Uni­on and the New Zea­l­and Sea­farers’ Uni­on joined togeth­er. We rep­res­ent water­front work­ers, sea­farers and related work­ers in New Zea­l­and.

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