Major changes to border controls between Dover and Calais may severely impact hauliers, potentially costing up to £1,100 per truck.
- The implementation of the European Entry and Exit System (EES) could result in significant delays and increased prices.
- Logistics UK warns of severe economic impacts, especially with added post-Brexit checks on fruits and vegetables.
- EES delays might encourage EU hauliers to avoid UK routes, impacting food supplies.
- The UK government is urged to work swiftly to mitigate potential supply chain issues.
The introduction of new border controls between Dover and Calais, including the European Entry and Exit System (EES), poses significant challenges for hauliers, potentially costing them up to £1,100 per truck. This cost arises from delays that could extend to as much as 14 hours, as predicted in worst-case scenarios by Ashford Borough Council. The logistics sector, already strained by narrow profit margins and rising operational costs, may have to transfer these costs onto consumers.
Modelling by Logistics UK in collaboration with MDS Transmodal suggests that these changes could escalate food prices and lead to stock shortages. Kevin Green, the policy director at Logistics UK, articulated that even a delay of 90 minutes in the processing of approximately 3.35 million HGVs passing through the Short Straits in 2023 could have an economic impact of £400 million annually. The narrow margins on which logistics operators work make it impossible for the industry to absorb these costs without significant consequences.
EU-based hauliers might bypass the UK to avoid delays, preferring instead to collaborate with mainland retailers, which could exacerbate food shortages and further inflate prices in the UK. The possibility of regulatory changes on EU imports by the UK, such as documentary and risk-based checks, alongside EES biometric checks for non-EU travellers, adds to the level of complexity and risk of congestion, thereby heightening the challenges faced by the logistics industry.
Logistics UK has highlighted the urgency for governmental engagement with their French counterparts and the European Commission to mitigate these impacts before they irreversibly damage the UK’s trading relationship with Europe. The organisation has emphasised that the existing government funding of £10.5 million to prepare Dover for EES implementation is insufficient to eliminate border delays. Prompt action is needed to secure the UK’s supply chain, previously adept at ‘just in time’ delivery methods.
The recent postponement of the EES introduction beyond the anticipated date has been deemed “good news for business” by Logistics UK, signalling an opportunity to address these issues before they escalate. Additionally, the UK government’s decision to delay post-Brexit checks on medium-risk fruit and vegetable imports offers temporary respite, however, ongoing dialogue is essential to ensure sustainable solutions.
The potential delays and costs associated with new border controls necessitate immediate action to safeguard the UK’s logistics sector and supply chain.
