ASSESSMENTS

Obstacles to the Competitiveness of France's Ports

Oct 15, 2012 | 10:32 GMT

Obstacles to the Competitiveness of France's Ports
Containers on Le Havre's harbor

KENZO TRIBOUILLARD/AFP/Getty Images

Summary

As part of a broader protest organized by French labor union CGT, dockworkers and shipping agents went on a 24-hour strike Oct. 9 in the northwestern French port of Le Havre. The strike was a reminder of France's hindrances in the competition for market share between northwestern European ports. This competition will likely only intensify as consumer markets become more important during an extended period of slow or negative economic growth for Europe.

French ports are lagging in the race for market share. The country is trying to catch up by expanding its port infrastructure and inland connections. The French government is also discussing labor reforms with French unions on a broader level to reduce the country's labor costs. But the effects of infrastructure development will take time, and given the historical strength of France's labor unions, attempts at reform are likely to be met with further resistance in the form of strikes, which are especially effective at trade chokepoints such as ports.

In Europe, reliable access to consumer markets is more important than ever....

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