BIA's positions - Bilateral Relations

BIA's Position on the Bulgarian – Greek Border Blockade

With regard to a publication from yesterday (February 8, 2010) in Trud Newspaper (p.14) concerning the Bulgarian–Greek border problems, which claims that “we have not heard anything neither from BIA, nor from KRIB, nor from BCCI, let alone seen them go to the border”, it is our duty to point out the following:   

• From the onset of the crisis precipitated by the Greek farmers, BIA has initiated negotiations for settling down the problem with the assistance of BUSINESSEUROPE (the biggest business organization in Europe whose only member from Bulgaria is BIA) and bilateral negotiations with the Hellenic Federation of Enterprises (SEV). It was pointed out at the negotiations with SEV that no Bulgarian citizens have ever hampered the Greek economic operators from doing their business so far, while the Greek farmers do this only towards Bulgaria (and no other neighbouring country). This can exert a strong negative impact on and can affect both the business and regular human relations alike, especially in a period of an economic crisis.   

• The Bulgarian–Greek border blockade is a direct infringement of the Lisbon Treaty, more specifically the part concerning free movement; hence Bulgaria is entitled to the necessary compensations from Greece. The Bulgarian enterprises, which have suffered damages, should also appeal to the European Court of Justice in Luxembourg for compensations from Greece.   

• Unfortunately, we are witnessing reluctance on part of the Greek government, as well as lack of will or intention to solve the problem. The Greek authorities’ inactivity creates a dangerous precedent which can lead to a point when any Bulgarian or Greek group of citizens may freely block our mutual or any other border. Moreover, this is turning into a habitual activity.

• We firmly believe that organizing counter blockades or other similar activities is an unproductive approach which would not lead to the problem desired outcome. We would like to point out that a representative of BIA management was at the Kulata Border Checkpoint ten days ago; however, without the presence of a dozen reporters or cameras!  

• It would be wrong and superficial to estimate the damages of the blockade by only considering its impact on the transport or agriculture sectors.  The damages in all industrial sectors are far bigger, due to delayed deliverances and loss of market positions, which has produced a negative effect on the whole economy, especially at a time of an economic crisis. The deliverances to and from Bulgaria are now considered risky endeavors and the foreign partners would either turn to other suppliers or calculate this risk in the price.

• The suppliers’ contracts stipulate severe sanctions for failure of executing their duties. In this regard, BIA reminds that it can issue force majeure certificates to the companies affected by the blockade, which are internationally recognized and are considered valid proof in court and arbitration disputes.

• We remind that during the blockade on the Bulgarian–Greek border last year Bulgaria lost about one third of its trade turnover, for almost the whole trade between Bulgaria and Greece, as well as the transit to and from third countries, is primarily done by road.