UK Brexit news for traders and transporters
Johan Reitsma
Owner at Foodlogicx/Trade Consultant/Supply Chain Consultant/Experienced Transport and Trade Executive/Entrepeneur
UK leaving EU
The Withdrawal Agreement, signed by both EU and UK was adopted by the council of the EU on January 30, 2020 and ensures an orderly withdrawal of the UK from the European Union and aims to provide sufficient time for citizens and businesses to adapt, through a transition period until December 31, 2020.
During the transition period, the UK will continue to apply EU laws, but will no longer be represented in the EU institutions. It is important to know that during this transition period, nothing will change for your transports to and from the UK,
What will happen now?
Negotiations have started on a trade agreement, which are expected to be finished by the time the transition period ends. An extension of up to two years is foreseen in case an agreement was not reached within the set timeframe.
However, a HARD BREXIT is still a possibility if a treaty was not reached on December 31, 2020, and if no extension was agreed on by July 1, 2020.
This will implicate that , you have to be prepared for border processes to be entered into force on 1 January 2021.
A great part of the announced simplifications such as TSP (Transitional Simplified Procedure), the abolishment of UK border inspections for food, feed and plants, temporary tariffs and perhaps even postponed VAT accounting (still to be confirmed) will no longer be applicable as businesses have been given sufficient time to prepare. This will mean traders in the EU and UK will have to submit customs declarations and be subject to import controls from January 1, 2021, onwards.
Mind you , all information in this article finds it's source at the actual situation. The ongoing discussions between the UK and EU and might change the situation from day to day. If you like to follow the latest developments, find it at https://www.gov.uk/transition.
Source: CldDnCargo,UK.Gov.