The British International Freight Association (BIFA) has advised Norman Global Logistics, and other BIFA members, to prepare our customers and shippers for a disorderly British departure from the EU on 29 March, until further clarity is obtained.
BIFA’s director general Robert Keen said that this had been the advice of the trade association for freight forwarders’ for several weeks, noting: “Confusion reigns and with less than a fortnight to go before Brexit, no proposal is off the table and some suggest that a ‘no deal’ exit can happen because last week’s vote was advisory.
“A no-deal departure would be very disruptive and damaging for the UK economy as a whole, but freight forwarders – many of whom are Authorised Economic Operator (AEO) accredited (as Norman Global Logistics are) – would play a key role in tidying up the mess left by the politicians by ensuring UK importers and exporters can continue trading with the rest of Europe as best as possible after March 29.
We have seen various estimates as to the preparedness of importers and exporters. The figures vary but it is extremely unlikely that even half of those who need to be ready, actually are prepared.
YOUR NO-DEAL BREXIT ACTION PLAN
You’ll need a UK EORI to carry on importing, if you have only imported from the EU previously. If you import from outside the EU, you will already have one.
Know the commodity codes for your goods and check them against the temporary tariff introduced last week, and which has denoted 87% of goods at zero, if the UK does finally leave the European Union without a deal.
Follow this LINK to open our Excel spreadsheet of all 470 tariff lines and check out your commodity codes to see if any duty rates apply. If it’s not shown the rate is zero.
NOTE – These tariffs apply to EU to UK flows (excluding NI)
We can ensure that you declare the correct classification for your imports, and ensure that you pay the lowest rates of tax, seeking binding tariff and origin rulings if necessary. We can deal with outstanding registrations and value your shipments for customs correctly, so that you avoid non-compliance penalties.
Check your contracts and agreements and ensure that you know who is paying for what.
Transitional Simplified Procedures may be the right solution for volume and regular importers, who have or acquire a deferment account. Use this LINK for TSP registration.
You will need to submit a TSP return for all imports by the 4th working day of second month. We can handle this for you or assist you to manage in-house.
The TSP import process:
1. EU exporter raises an EAD (Export Accompanying Document)
2. Exporting Customs computer generates an MRN (Movement Reference Number)
3. Driver uses MRN number to check in at the export port (He will not enter without it)
4. Driver uses TSP approved UK EORI number to board the ferry/Eurotunnel
5. Frontier declaration submitted up to two hours before boarding ferry/Eurotunnel
6. Driver moves through port to inland destination
7. Duty settlement is made on 15th of calendar month
8. You can settle import VAT on postponed VAT accounting
9. Final declaration made by 4th of following month
TSP will be reviewed 3 to 6 months after 29 March 2019 and a 12 months’ notice will be given when HMG decide.