Irish charged a “paddy tax” for goods shipped to Dublin port
Stock delivered at Dublin Port is sold for less in Northern Ireland than in the south, and Irish retailers are not allowed to buy in sterling
9 March 2009
Retailers in the Republic are charged more than those in the North for deliveries from the UK, yet approximately 90% of such grocery stock comes through Dublin port, a source told ShelfLife.
A spokesperson for the Dublin Port Company has confirmed it is often cheaper, especially since the development of the M1 port tunnel, for UK suppliers to deliver to Dublin and then drive up north. Driving through England and shipping goods through Larne takes substantially longer.
He added that fuel prices are cheaper here despite sterling’s current weakness, and diesel prices were averaging £1.05 stg per litre in the north, whereas could cost only 89.9 cents in the Republic. UK companies also rent out bases in Dublin.
A CSO ‘Road Freight Transport Survey 2007’ shows 148,000 tonnes of goods from “other countries” were carried to Northern Ireland.
A Dundalk retailer meanwhile has complained about being charged a ‘Paddy tax’. Gift store owner Brian O’Neill lodged a complaint with the Competition Authority after one supplier refused to allow him to pay for products in sterling.