The largest ferry operator in the Irish Sea, Stena Line, has had "productive dialogue" with the British government seeking "as frictionless trade as possible" when the UK leaves the EU next year.
"We are in discussions with a number of government departments, they are well aware of our position that we would like to see the future relationship being one based on as frictionless trade as possible, therefore enabling us to continue to operate within the same framework as we do today," Ian Hampton, chief people and communications officer with Stena Line, said.
Stena Line operates three UK ports, Holyhead, Fishguard and Cairnryan. Its ferries carry more than seven million passengers and two million units of freight to and from the UK each year. Will Brexit bring choppy waters? Or will it be plain sailing for the ferry operator?
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Mr Hampton said it is hard to plan for Brexit when the company does not know what deal will be negotiated between the UK and the EU, or if any deal will be reached at all. "We have started planning with various governments particularly the UK government, and some governments in the EU," Mr Hampton said. "But it is very difficult for us to start to invest in infrastructure if we don't have the fundamental answer to the question: what will the relationship be with the EU come March 29?"
He said if trade flows change as a result of Brexit, then Stena Line would have to move accordingly. "We wouldn't like to move our trading routes, we have no intention to do so and equally we can't move our ports, but if the political arrangement with the EU changes trade flows then we would have to move accordingly," the Stena executive said.
Mr Hampton said 80% of Irish exports use the UK as landbridge, and there is a possibility that in future, Irish exporters will not use the UK as a landbridge and go directly to continental Europe.
He said it was difficult to say if Brexit represents an opportunity for exporters because it all depends on trading conditions post-Brexit, and if World Trade Organisation rules apply and how that would change trade flows. "Equally it's a long sea leg from Ireland to continental Europe, much longer than taking the UK as a landbridge," he said. Putting friction in trade flows creates delay so food shortages in both Ireland and the UK is a potential outcome from Brexit, Mr Hampton cautioned.
He also acknowledged that negotiations are difficult for the British government. "We can see the political landscape around us, how difficult it is for the UK government to reach agreement. For us, we've made our point, we hope people listen and we hope we see some solution in the pragmatism in the solution that is arrived at," he stated.
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