White paper Brexit part 2
After providing tips in our white paper on the Brexit a while ago to avoid surprises, we had been hoping to gain a bit more clarity and certainty by now. Unfortunately that’s not the case. New situations – to put it mildly – do not lead to a less tumultuous situation.
The UK is going through unstable times
The results are reported on daily in the news. To name just a few examples, London has supposedly lost its position as an attractive global financial centre, the mayor of the same city is calling for a new referendum, and Prime Minister May is doing her best to salvage whatever can be salvaged out of the situation. Nevertheless, you can still prepare yourself for the Brexit, and Huisman explains how.
Like most of our business relations, at Huisman we are still hoping that the Brexit will be completely called off or that, in the worst-case scenario, a ‘soft Brexit’ will take place. That is not to say that a hard Brexit is no longer a realistic option. In that case, goods that are shipped to the UK will first have to be exported and then imported and cleared through UK customs.
Paying the piper
These activities will place an enormous burden on the British customs service, which is already very much outdated. A hard Brexit will be a guarantee for long waiting times at the border, major delays, and extra costs. This will result in customs clearance costs, VAT, and import duties having to be paid, so that the receiving party will have to pay the piper.
A soon as the Brexit movement first started to pick up steam, Huisman took measures to prepare for what we could expect. We owed that to our business relations as well as to ourselves as the UK specialist in the Netherlands. You can read about these measures below.
1. Reliable partner companies
As a leading company with an excellent reputation, we obviously prefer to work with well established partners. The companies with which we cross the Channel play a critical role for our operation in this regard. For the time being, we are therefore working together with Stena (from Hoek van Holland or Europoort to Harwich and Killingholm) and the Eurotunnel. In our experience, they are the ones that are best organised and prepared for what is coming.
2. Cutting-edge IT and automation
Huisman has made significant investments in IT and automation. This allows us to realise EDIs easily and quickly in any area. These EDI links have already been established and tested with Verhoex Douane Service. This greatly simplifies the preparation of customs documents and allows us to prepare export documents for our clients together with the Dutch customs service.
3. ETSF (AD) in Corby
Of course, Huisman already offers the benefits associated with its own full-fledged warehouse in Corby, centrally situated in the Midlands. In addition, we have submitted an application for an External Temporary Storage Facility (Approved Depository) for that same warehouse. This would give us the option of having transport vehicles continue on directly from the boat or tunnel to Corby to unload the goods. The required documents are then made out underway, thereby saving an enormous amount of time at the border.
Can we be of help?
Huisman has been AEO certified for years now, and we therefore enjoy excellent relations with the customs authorities. This is a great advantage, as it’s not yet clear exactly what type of Brexit we will end up with. At Huisman, we are in any case optimally prepared for every possible scenario. We will, of course, keep you updated on any and all further developments. If you still have any questions, please feel free to contact us at your convenience.