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Schengen exemptions for Bulgaria and Romania have more nominal than practical significance

EU member states reached an agreement in December to grant Bulgaria and Romania partial access to the bloc’s borderless Schengen zone, but a passport-free agreement on land borders is the subject of further discussion, EU Observer reports.

From 31 March, internal border controls will be removed at the two countries’ sea and air borders. However, the agreement to grant passport-free regime on land borders is a much more controversial and important decision.

The road to this stage has been very thorny and long. Romania and Bulgaria joined the EU more than 15 years ago, in 2007. The European Commission first recommended that they join Schengen in 2018. However, the move was blocked by member states in the EU Council.

European Commission President Ursula von der Leyen praised the decision in December that Austria, which had previously objected to the two countries joining Schengen, agreed to their “partial” accession. She said it was “an important step forward for both countries and for the Schengen area as a whole”. The European Commission said in a statement that it would “promote travel, trade and tourism”, according to EU Observer.

However, whether “partial” membership in Schengen will really contribute to the economic growth of Romania and Bulgaria remains to be seen.

It will certainly boost the tourism prospects of the two countries. One of the ways in which the Schengen zone has boosted tourism in the EU is by making it much easier to take a day trip from say, France to Switzerland. You can quickly drive or take a train across the border without spending time checking passports.

However, as Romania and Bulgaria’s partial accession to Schengen does not abolish passport controls at land borders – only at sea and air borders – it is unlikely to increase the number of short or day trips by those coming from neighbouring countries such as Hungary or Greece, EU Observer reports.

There will still be huge queues at the border while border guards stamp passports. As the main source of tourists to Bulgaria is neighbouring Romania and the main source of tourists to Romania is neighbouring Hungary, so this is bad news for tourism. A simplified land border crossing regime will increase these numbers, which will have a positive impact on the economy of the tourism sector.

Partial Schengen membership will also not make it easier for EU citizens to travel to Romania or Bulgaria by plane. Although there are plans to abolish internal border controls at air borders, EU citizens can already travel to Romania and Bulgaria without visas.

Thus, the only way to make the travel process smoother is to reduce waiting times at the airport, as EU travellers will not need to have their passports stamped. However, will this be the decisive factor attracting EU citizens to Romania or Bulgaria? Probably not. One segment of tourists who may get an incentive to visit Bulgaria or Romania are non-EU citizens travelling on a Schengen visa, according to EU Observer.

From March, it will be easier for these tourists to fly to Bulgaria or Romania as part of their European tour. However, it was relatively easy to do so before. According to the visa guide, tourists from 142 and 150 countries can already visit Romania and Bulgaria respectively without a visa. This includes citizens of Turkey and Israel, the two largest sources of tourists from non-EU countries.

The impact on trade is limited as border checks at land borders will remain in place. This is because land transport is an important mode of freight transport. Eurostat reports that in 2021, road and rail freight transport accounted for 55% of total freight transport in Romania and 28% in Bulgaria. There are often long queues of lorries on the roads leading to the Romanian-Hungarian border. Partial Schengen membership will not reduce transit traffic or facilitate trade flows at the land border.

The abolition of passport checks at sea borders could reduce costs for cargo ships from other Schengen countries arriving at Bulgarian or Romanian Black Sea ports, so perhaps it could boost maritime trade. It could reduce the administrative burden on shipping companies and speed up the delivery of cargo, EU Observer reports.

However, it is important to remember that Schengen membership is about the free movement of people within the EU – it is people working on cargo ships that are affected by this policy. Free movement of goods has existed since Romania and Bulgaria joined the EU customs union in 2014. Any additional benefits to maritime trade – speeding up operational efficiency for shipping companies – will be minimal in comparison.

Yet because land border restrictions remain in place, so the decision to grant the two countries “partial” Schengen membership has more symbolic significance than tangible economic benefits.

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