With the end of the Brexit transition period, the implementation of UK regulations for all consumer goods (including cosmetics) and the introduction of new border and customs procedures between the UK and the EU as of 1 January 2021, CTPA wants to alert its members and companies that disruptions to the movement of goods are expected occur, regardless of whether there is a Free Trade Agreement (FTA) in place or we begin the year under general World Trade Organisations (WTO) rules. While the estimation of the disruptions and delays varies, the overall consensus remains that the initial weeks will see a slower pace of goods dispatched and released at customs. The impact of these disruptions is expected to be higher for those goods which are perishable such as fresh produce, however it will not be limited to these.
While there still might be uncertainty on the outcome of the negotiations for the future trade relationship between the UK and the EU; an agreed FTA at this stage might leave no time for authorities to implement the possible facilitated customs procedures and implement the new requirements. Disruptions to the supply chain are highly likely to happen as a result and it’s important for companies to take this into account for their contingency planning to ensure continued supply of goods to the market and possible consequences of these delays.