Concerns raised over post-Brexit customs checks

Creating physical
customs borders
post Britain’s
exit from the
European Union (Brexit)
could be a “nightmare
scenario” which could
reduce the volume of
trade between the United
Kingdom (UK) and the rest
of the world.
This was the warning
from the CEO of the UK
Chamber of Shipping, Guy
Platten, last week following
the announcement by
British Prime Minister,
Theresa May, that she
was calling a general
election on June 8,
citing opposition to the
Brexit plan as the main
motivation behind her
decision.
Platten said that while
May continued to push for
a customs arrangement
with the EU that would be
as “frictionless” as possible,
the implementation of
physical customs borders
would be “an absolute
catastrophe” for British
ports, affecting the efficient
movement of containers,
as all goods would now be
subject to physical searches.
“You’ll have trucks
stacked up, waiting for
goods, sailings cancelled
– the whole supply
chain will be affected,”
he commented, adding
that if EU vessels and
vehicles faced the same
procedures as their non-EU
counterparts, the entire
process would be slowed
down.
According to Platten,
this would particularly
affect temperaturesensitive
imports and
exports such as fresh food
and pharmaceuticals.
“Congestion at the ports
could result in a lot of
spoilage,” he said.
The UK imports about
40% of South Africa’s total
fresh fruits and flowers
destined for the European
Union (EU), according to
a report released by the
Industrial Development
Corporation (IDC).
The chamber – which
represents about 170
UK-based shipping
companies – is calling
for the British
government to
reach an early
agreement
on customs,
or ensure a
transition period.
“Physical checks will
require new infrastructure
that will take time to develop
and which Britain’s ports will
struggle to accommodate,”
he said.
British media recently
released details of a leaked
HM Revenue & Customs
report showing that extra
customs checks could push
up the cost of imported goods
by as much as 24%.
INSERT AND CAPTION
You’ll have trucks
stacked up, waiting
for goods, sailings
cancelled — the
whole supply chain
will be affected.
– Guy Platten