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7th December 1989
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• Cabotage will finally get under way from 1 July next year with an initial 15,000 permits, each valid for two months.

Despite protests by Greece and Germany, a pilot scheme was approved by EC transport ministers in Brussels on Monday. British EC officials believe the scheme is better than that proposed by Spain earlier this year, which would have allowed 5,000 three-month cabotage permits.

Under the agreed pilot scheme Britain will get 1,107 permits — fewer than Holland (1,842), Germany (2,073), France or Italy (1,767 apiece). Permit-holding hauliers will be allowed to bid for business in the 12 EC countries.

The Department of Transport says the allocations are based on the use made of the Community Quota Licences previous years. It intends tc split the UK's share and issi 2,214 licences, each valid fo one month. These will be all cated according to past exp( ence, says the DTp, so ope ators who failed to use all di Community Quota Licences might not do so well.

The pilot scheme is desig to cover about 1% of the Ef transport market. It is clue t run until 1 January 1993, wh the Single European Market begins, with universal cabotage. The final form this will take has yet to be decided.

Until then the number of cabotage permits is expecte to grow by 10% a year —1) this could be reduced if the allocations are not used.

Following French and Ger man pressure the transport ministers have inserted a sa

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Organisations: Department of Transport
Locations: Brussels

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