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Jersey farmers warn ferry charge increases raise export costs

Jersey's main goods exporters, the island's farmers who ship tens of thousands of tonnes of Jersey Royals to the UK each year, have raised concerns over recent increases in ferry-related charges. Growers say the increases should have been limited to inflation for the current year.

The Jersey Farmers Union stated that harbour dues levied by Ports of Jersey and passed on by DFDS from next month are leading hauliers to raise their rates by more than 7.5 per cent. The union said the additional costs were unexpected for the sector.

JFU president Dougie Richardson said the extra charge had arisen because DFDS was unaware that the previous operator, Condor, had been absorbing the per-unit charge applied by Ports. He described the situation as a "fiasco" in a submission to the Economic and International Affairs Scrutiny Panel, which is reviewing the government's concession agreement with DFDS signed in late 2024.

Retail prices are also expected to be affected. According to recent reporting, at least one retailer plans to increase shelf prices from next month to reflect the additional transport costs.

DFDS said the charge represents a "one-off correction" after the operator discovered last summer that Condor had previously absorbed the cost. Ports of Jersey had issued an invoice that had not been anticipated by DFDS.

The government said the adjustment is part of securing a long-term ferry arrangement. Under the agreement, DFDS has committed to investing US$325 million in three new vessels by the end of 2031.

In its submission, the JFU stated: "Unfortunately, before the concession was awarded, no consultation with stakeholders took place, leading to unnecessary misunderstandings and a number of immediate course corrections being necessary."

Mr Richardson added that once the concession was awarded and schedules published, dialogue with the government and DFDS led to changes that supported Jersey Royals exports during the season.

He also said exports to Guernsey have been affected, with only one inter-island sailing per week and no service provided by DFDS. Additional sailings via Portsmouth have been discontinued. "I will be seeking urgent discussions with the minister to see if anything can be done to resolve this," he said.

Retailer SandpiperCI also submitted, stating that the ferry service was "not aligned in any way with the needs of business, residents or visitors", adding that DFDS's flat-rate freight fee was "in effect, a tax on food".

The scrutiny panel is expected to make recommendations to Economic Development Minister Kirsten Morel after concluding its evidence review.

Source: Jersey Evening Post

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