The Irish Road Haulage Association (IRHA) has threatened to "bring the country to a halt" if the Government continues to make hauliers shoulder the burden of increased fuel costs.
The Government must either roll back previous budgetary increases on fuel-excise duties or offer a rebate to the hauling industry, IRHA President Eamonn Morrissey told ireland.com. Otherwise it could face an "all-out strike".
A short IRHA demonstration was staged outside the Dáil on May 26th to make the same demands but created little disruption. According to Mr Morrissey, "Nothing came out of it. We were not taken seriously.
"This time the gloves are off," he said, suggesting there is strong possibility that, if industrial action is taken, it will be on a much bigger scale than a 24-hour strike staged four years ago.
At that time, demands to lift tax on diesel fuel were met, but 12 months later they returned, Mr Morrissey said.
He called the situation "frustrating" and said hauliers around the country were "incensed."
"The haulage industry is the backbone of the country. All goods in this country are delivered by hauliers. . . . A strike would bring this country to a halt," said Mr Morrissey.
"We do not like it, but it happens in other European countries." The IRHA has called an emergency meeting of the ruling council to address the issue.
Mr Morrissey has accused the Government of being the only winner from the recent rise in oil prices through increased revenue from taxes.
"The IRHA believe that not only should the Finance Minister row back the last few years' increases in fuel duty, but that, with oil prices now up to $54 a barrel, the amount of tax the Government is collecting should be put under the microscope."
He said the fact the Irish exchequer figures were suddenly looking a lot better came as no surprise to the road transport industry considering the amount the State coffers stood to gain on the rapid rise in fuel prices.
"This is a very nervous market . . . what we need is stability and certainty. That stability can be provided, at least to some degree, by fuel surcharges and a rowing back of any excise duty increases.
"As prices rise and the road transport sector is squeezed even tighter the Government's taxation policy must be looked at carefully. Putting unnecessary pressure on a sector of industry on which every single person in the country relies, every day of the week, is simply unreasonable."
The hauliers threat comes as competing interests begin jockeying for position ahead of Budget 2005 in December. Minister for Finance, Mr Cowen, must decide how to balance increased spending demands against an easing of the tax burden.
The first hint of how much room for manoeuvre he has on tax reduction will be when spending allocations are published in the Book of Estimates next month.