FTA identifies six trade talk priorities
The FTA has identified six key areas the UK needs to prioritise in its negotiations with the EU.
It warns that failure to secure a good deal in these areas could have a devastating impact on the supply chain.
Elizabeth de Jong, FTA’s policy director, said: “While the UK is setting out its parameters for the future relationship with the EU in Brussels, it is vital that the needs of the logistics industry are front and centre of any conversations.
“UK PLC is reliant upon a highly complex, interconnected supply chain, and if the needs of those responsible for moving goods and services to support the country’s economy are not prioritised, the effects could be devastating for the supply of vital products to shops, schools, hospitals and manufacturing. Delays to deliveries could well cause out of stock issues and shut down factories operating ‘just in time’ production. The logistics industry needs to be engaged from the start.
“The risk of disruption at the borders must be mitigated to ensure that businesses can continue to operate efficiently and effectively. It costs more than £1 a minute to operate an HGV – so lengthy delays at the border could add significant costs to the price of goods, driving up prices and fuelling inflation.
“Trade facilitation measures are needed to reduce the impact of additional border requirements and red tape and help reduce the threat of delays and added costs. There are a number of simplifications and agreements we are pressing negotiators to deliver which could mitigate many of these threats for our industry and our economy. The need for physical checks should be reduced and any which are required should be take place away from the border.
“Logistics needs to know now what procedures and processes will be used to cross borders, to have time to test and feedback on proposals, and then time to install and train staff. The detail our members need is not available. Complex new systems cannot be delivered overnight without interruptions to the existing supply chain, even with the best will in the world.
“There is a substantial customs agent shortage and member states and the UK government need to urgently address this by giving support, guidance and funding. Sufficient co-funded training should be provided for those new to completing customs declarations, as well as for those handling a significant increase in declarations and other new administrative requirements.”