Port concessions of Vittmark

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The Port Concessions of Vittmark were concession territories ceded by the Provisional Government of Vittmark as part of the Treaty of Nisipari in 7564. The smallest concession, the F.P.S. in Skara, is about 15 hectares (40 acres) large, while the largest in Källbyholm measures over 500 hectares (1250 acres) in size. Most concessions are administered as condominiums and the Treaty explicitly prohibits for permanent and total surrendering of the territory to the concession taker. While intended to function as 99 years lease agreements, most of the concessions were terminated before the turn of the century. However, the legacy of the port concessions still lives on in the strong presence of foreign businesses in some Vittmarker coastal cities, as well as some existing free port agreements still in place today.

Background

The main reason for the instigation of these concessions was to avoid conflict between signatory nations of the Treaty of Nisipari. With each nation having access to Vittmark's raw material and consumer markets on an established, fixed basis; unhealthy competition would be avoided. All trade between Vittmark and the individual nations should go through these concessions. The concession holder was free to use the port concession for tax-free import, manufacturing and export within the area, while applying a low, universal import rate for goods leaving the concession into Vittmark. Even non-signatory nations were assigned trade ports, usually smaller ones or in more peripheral harbours. A clear hierarchy between concessions was created this way.

The Treaty of Nisipari was only an outline agreement. Signatory nations had the right to acquire and exploit free trade zones as a condominium between the foreign nation and local Vittmarker authorities. The level of autonomy and possible compensation should be dealt with in separate agreements between the signatory nation and the administration of the territory in question. Access to the rich coal and iron mines in the deep south was a key element in the distribution of port concessions as well. Therefore the nations that were assigned a harbour town in Kletudde, Mivö and Liden all contributed to the construction of the Blue Mountains Railways.

Outline

The Treaty of Nisipari stated a universal, flat customs duty tariff for goods being handled through the port concessions. Export tariffs as a percentage of the trade value (market price) were free to be set by the federal government of Vittmark but should be equal to all nations. An exception was made for the export of iron ore and rods, coal, copper, lead and timber. Here a fixed rate per ton was being applied. All imports into Vittmark were subject to a 2.4% federal import tax. These duties were earmarked and could only be spent on customs services and infrastructure benefitting the concessions.

Exemptions

The city of Östervallen was excluded from this part of the agreement, since it had by far the largest access to hinterland. As a federal capital it could not be assigned to a single Anarian nation. Östervallen is therefore designated as Free Trade City, even though this was a title without any substance. But through practical application of the port concessions, Östervallen lost much of its international trade as a result of it. In hinesight, it has led to a more equal distribution of trade and commerce among several port cities, avoiding Östervallen becoming an even more dominant city than it is today.

The Treaty of Nisipari was ratified automatically by all the member states of Vittmark in 7564. However, when Fisks joined the federation in 7570 it declared it was not bound by the articles on the port concession in that same treaty. In retrospect, the same applied to the Bengtist and Fjällsta Stifts, who also joined the federation voluntarily by free association after the formation of Vittmark. This standpoint became official when the House of Lords passed a proposal made by the three member states in 7571. As a result, Fisks organised colonial trading outside Vittmark, carrying the goods directly to Östervallen. Fjällsta Stift started doing the same through a separate shipping registry avoiding the limitations of the Treaty of Nisipari. Even this led to much more goods and material passing through Östervallen.

Non-harbor implementations

Aedeland was the only nation which originally did not opt for a port concession in a harbour town. Instead it acquired a concession in the state of Kötthagen (nowadays Mellersta Haga), near the iron mines. It signed an agreement with the city of Strömstad and the state of Kötthagen about terms of use and involvement in infrastructure development outside the concession.

Even the United Royal Provinces opted for a railway town concession, but contrary to Aedelish concession it was not located on the border. The railway junction town of Andersbo, located a couple of miles south of Mellersta Haga's state capital of Vinborg became a dry staple port.

Helreich created an Economic Zone of Cooperation in the state of Sörmark, which shares a land border with Mörenburg. In order to uphold the requirements of the Treaty of Nisipari, the city of Nabben formally had custody over the railway station in Apelrum, which as a territory had been transferred to Laxholm state. In return, Fjällsta Stift acquired free port facilities in Nabben. Apelrum became an integral part of the Hellish concession, although only local legislation applies.

Criticism

According to some critics, the foundation of concessions by Anarian nations was considered a way to permanently colonise Vittmark. While presented as a safeguard for peace between Anarian nations, it could easily be used to start a trade oligarchy where foreign investment defines the export opportunities of Vittmark. These criticisms were proven right when the Straits Cartel was formed in 7574. It singlehandedly changed the trading rules for all non-signatory nations. Its implementation failed, so the full effects weren't felt until 7579 when the Gadalhem Accords were added.

The Treaty of Nisipari did not anticipate an extension of Vittmark through colonial or chartered possessions. However, in 7570 Fisks became a member state of Vittmark by free association. Being located on the east coast of Altaia, it has generated an unforeseen transportation of goods from this region to Vittmark, including non-signatory nations like Kamura. But the Fisks traders have been accused of bypassing the trade ban against The Bind, with many products getting repackaged and relabelled in the concessions before exporting them to Anarian nations.

Designation

Östervallen with a hinterland served by railways and waterways catering for at the time of implementation about 5.7 million inhabitants is not assigned. However, it has become the preferred trading port for Fisks and Fjällsta Stift, two member states not bound by the Treaty.

Port towns in Kletudde, Mivö and Liden had access to 4.5 million inhabitants and the coal and iron reserves in the south. They are primarily assigned to central Anarian allies.

  • Skara was assigned to Livaria, this was generally considered to be the best located harbour town after Östvallen.
  • Kletudde was assigned to Auresia, which also uses the Free Port as bridgehead for its military tasks as peacekeeper in the Kram and Kletudde regions.
  • Källbyholm was assigned to Halland. Here a separate treaty was signed to create Hallish Shelbyholm in the form of a 99 year lease and full autonomy for the concession.
  • Tammerköping was assigned to TBA

Port towns with dual gauge in western Vittmark giving access to 3.6 million inhabitants and the iron mines in Mellersta Haga. Talpå gives excellent access by waterways as well.

Harbors in Ådalen serve a hinterland of 2.3 million inhabitants. Nabben only serves Mellersta Haga as hinterland with access to 1.6 million inhabitants and the iron mines in that state. Hinnårum and Hagneå in Hagen serve a hinterland of 1 million inhabitants.

Furthermore the border town of Strömstad was designated as "port" concession to Aedeland. The railway hub of Andersbo fulfilled the same role towards the United Royal Provinces.

Overall developments

Development of the different concessions went at different speeds. A master plan for the development of the immense concession in Källbyholm was drawn, setting an example for ambitious economic development. The concessions in Skara and Kletudde soon proved to be too small. In Kletudde there was room for expansion, but not in Skara. The concession in Talpå saw a quick development after 7574 due to an enormous increase in cargo handling through Anisora. On the other end of the scale, the concession in Nabben became nothing more than a single proxy dock, since most of the trade went through railway lines instead.

Treaty of Aerilar, 7574

A large test for the concept of port concessions came in 7574, when eight nations signed the Treaty of Aerilar, forming a cartel limiting the access through sea straits. The object of the treaty was to nationalise vital straits through extended territorial claims and monetise them. Vittmark opposed the treaty heavily, labelling it as an illegal way to monopolise all trade with Vittmark. Free or cheap access to Vittmarker raw material would now be combined with having to pay a tariff for using the open seas. Vittmark stated that after Aerilar it no longer felt bound by the restrictions as indicated in the Treaty of Nisipari considering the port concessions.

During the conflict, the concessions at Skara, Talpå, Nabben, Strömstad and Andersbo were targeted heavily. This through ending amenity services, roadblocks and added infrastructure taxes. The conflict calmed down when Anisora offered a cheap open shipping registry. However, Vittmark felt no longer obliged to maintain infrastructure around the other concessions, since they saw Aerilar as a breach against the port concession agreements. As a result, iron export by train to Aedeland grinded to a halt.

Termination of concessions in 7579

In 7579 the same conflict flared up again with five nations agreeing on the Protocols of Gadalhem. This time the objective of the Vittmarker government was more bold: the port concessions of the signatory nations would get dismantled immediately if they would ratify the agreement. To make this legally possible, Vittmark withdrew from the Treaty of Nisipari. It chose however to leave the concession agreements with other nations unchanged.

Aedeland ratified the Protocols in April 7579. The same day eviction notices were handed out to Aedelish command in Strömstad. After the deadline of 10 days passed, federal forces took over abandoned compounds. Angry mobs attacked several buildings that had not been emptied yet, some of them were set on fire. Fleeing Aedelish staff and military were violently attacked. In the end the federal military had to create a safe passage towards the border.

Even the concession in Andersbo was evicted when the United Royal Provinces ratified the Protocols. Widespread violence could be avoided thanks to the actions of the federal military.

The swift but but sometimes violent termination of these concessions led to hesitation with the other signatory nations to ratify. Livaria postponed its decision to November 7579 after the general elections. The port concession in Skara was left fully functional, but the relation between the two nations deteriorated.

The third concession to be terminated was that of the Häverist Commonwealth. Since the city government of Nabben was not cooperating with the federal instructions, the federal navy started a blockade against the port, while the army started controlling every way in and out, including setting up custom offices. The railway station of Apelby in Sörmark was taken over without any resistance, after which the federal army started dismantling every Häverist installation and institution northwest of Grönspång, effectively terminating the Economic Zone of Cooperation in this area. The blockade against Nabben lasted until April 7580, when more than half the population had left and the local economy had collapsed. Special military units arrested the remaining local board members and sank the remaining trading vessel at the quay. Federal military then went from door to door, arresting everyone involved in local law enforcement or local government. The town was then put under federal government control for a period of 17 months.

Further development towards termination

The remaining port concessions kept functioning to some extent during the Pan Stoldavian War. In 7598 the concession lease in Hagneå expired, upon which TBA decided not to renew the agreement. The facility kept functioning as a more open free port for the companies operating there. In 7606 Kamura signed an agreement with the city and the federal government about the use of a part of the harbour facilities as free port. This can no longer be seen as a port concession, but opened a new chapter in trading relations with Vittmark. The agreement was in some way related to the handing over of custody of the northern Fisks Islands during the Wolgos Scourge. It gave Fisks access to Kamuran ports as well. Today's status of Hagneå as Fisks Han's main Stoldavian cargo hub can be traced back to this post-concession agreement.

In the 7620's, both Auresia and Anisora entered internal conflicts, which led to falling trade volumes in the respective concessions in Talpå and Kletudde. In the 7630's, both port concession agreements were renegotiated into a more modern free port agreement with both nations.

The last concession to formally expire was the Hallish concession in Källbyholm in 7666. While governance of the large complex reverted to the state of Mivö and Skara, a new agreement was signed granting access to Hallish companies under beneficial circumstances. The Free Port of Shellbyholm is run as a joint venture between the port authority and the Hallish Department for Foreign Trade, but the territory falls completely under Vittmarker jurisdiction these days.

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