Port proposal sparks backlash
Importers claim a recommendation to close Auckland's port while further developing Northport in Northland is “stark, raving bonkers".
National’s transport spokesman Chris Bishop feels the same: “This looks like a political play by infrastructure Minister Shane Jones to succeed in the north, and the worry is that this process is heading towards a pre-determined outcome."
“These decisions need to based on sound economic analysis of what is best for the economic future of the upper North Island, not what best suits NZ First’s needs," Bishop told NBR.
Winding down Auckland’s port in favour of expanding Northport was part of NZ First’s election policy in 2017 and approval for the $850,000 study was part of its coalition agreement with Labour.
The report allows for continued operations at the Port of Tauranga, for a new inland freight hub in Auckland’s northwest built by private operators to complement Metroport in the south and rejuvenation of the North Auckland rail line with a spur to Northport. The Auckland ports would retain cruise ship visits.
The deal has to get government approval and will be considered by the Cabinet when the final report providing more detail on the recommendation is delivered before Christmas.
David Crawford, chief executive of the Motor Industry Association (MIA), told NBR this was “one of the dumbest ideas we have heard".
“Why would you move the port away from the main population and the Golden Triangle of Auckland, Hamilton and Tauranga and add costs."
Many distributors would not want new cars transported by rail because of the potential damage to them while it would be very expensive to upgrade the roads to cope with the extra freight, he added.
David Vinsen, chief executive of the Imported Motor Vehicle Industry Association (VIA), said such a move would be “very expensive and very complicated,” with benefits to the Northland economy but a loss to Auckland.
“The facile comment is that it’s very expensive prime real estate for parking cars but nothing could be further from the truth. They’re not parking cars, it’s a processing facility – the cars are disgorged from the ships and processed and moved from the wharf as quickly as possible.”
If the car and light commercial imports were shifted to Northland it will mean a completely different business model with Northport taking on the role of distribution centre rather than private operators, Vinsen said.
Vinsen said the shift north was probably inevitable but there was no question it would add costs to the end-user along with time delays and a higher risk of damage during transportation.
“It’s stark, raving bonkers,” Importers Institute spokesman Daniel Silva told NBR. He said it would be a better idea to float Ports of Auckland to take it out of council ownership and stop it being “a plaything for politicians.”
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