APPENDICES TO THE MINUTES OF EVIDENCE
Memorandum by Physical Distribution (CHT
01)
Physical Distribution Ltd is a family owned
business and operates as a specialist rail forwarder between the
United Kingdom and mainland Europe and vice versa. The company
has traded over the last fifteen years, encouraging large manufacturers
such as Corus, Allied Steel and Wire and Bridgnorth Aluminium,
to utilise the European rail network as a major logistics provider.
Through our extensive knowledge of customers
transportation needs, the international rail infrastructure and
rolling stock available throughout Europe, Physical Distribution
has been able to develop transport routes by rail, thus successfully
achieving competitive freight solutions for our customers and
consequently transporting approximately 80,000 tonnes of freight
per annum through the Channel Tunnel.
Due to changes in the supply of Internationally
approved rail rolling stock, Physical Distribution has found it
necessary to undertake, by way of lease over 5 years, over 120
rail cars. This demonstrates the commitment and belief that a
private company has in the product which it sells.
Since 11 November 2001, and as a direct result
of the actions of the SNCF in not providing the necessary security
for the Channel Tunnel at Frethun, our business is now very seriously
under threat with jobs losses imminent.
The inability to move rail wagons freely through
the Channel Tunnel has resulted in the following costs to be incurred
by our business:
Loss of Orders | Euro
| 324,000.00 |
Lost contribution to fixed asset cost | Euro
| 70,000.00 |
Wagon delays in Europe | Euro
| 415,000.00 |
Additional Costs | Euro |
50,000.00 |
TOTAL | Euro | 859,000.00
|
As a direct result of the poor reliability of the Channel
Tunnel, rail borne goods have now been transferred to road delivery
at an added 30% cost to our customer. This is wholly unacceptable
both to us and our customer, but also negates the efforts of the
government wish to gain 80% rail freight growth.
The above costs are a very accurate and reflect the extremely
negative impact the suspension of rail services through the Channel
Tunnel have caused to our company and both my British and European
customers.
Alan Robert
24 May 2002
|