Summary
With some UK ports already facing unacceptable delays in unloading ships and with the BPA warning of the ‘impossible’ demands for the implementation of new import controls in 2021, setting in place border clearance systems to facilitate the continued smooth flow of ACP fresh food and plant products to the UK via ports of landing in the EU would appear a ‘no brainer’. The establishment of a “Green Corridor” system for the border clearance of products where necessary phytosanitary and safety controls have been caried out upon entry to the EU, and duty-free/quota -free access is enjoyed to both the EU and UK market, would appear a simple means of easing pressure on UK ports. What is more, it would simultaneously fulfil the Uk governments policy commitments to ensuring ‘continuity’ in trade with developing country partners within the Brexit process.
Unacceptable delays in unloading ships of up to 10 days are being reported at Felixstowe port, with some cargo vessels being diverted for unloading in Rotterdam, with cargoes then being ‘ferried back to the UK via London’s Thamesport’ (1)
The port owners Hutchinson Ports, ‘blames pre-Brexit stockpiling and the pandemic’ for the current situation. In a statement the company declared ‘Performance at the port remains under pressure due to the Covid pandemic, high levels of import traffic, the large number of empty containers and a large amount of unusually long-stay containers held at the port’. Part of the problem is attributed to ‘a shipment of 11,000 containers of PPE ordered by the government that is clogging up the port’, with this being compounded by the normal price-Christmas surge and the exceptional stockpiling now underway in preparation for the culmination of the Brexit process (1).
According to freight operators, problems are being compounded by the operation of Felixstowe’s Vehicle Booking System (VBS) which lorry drivers must use to gain ticketed entry to the port.’ It was argued, ‘there are more containers waiting on the port while all trucking companies are logging on trying to get a slot’. It was maintained ‘sometimes the port cancels some of the VBS [slots] when drivers are actually on port waiting’ (1)
For months staff at haulage firms have been complaining that ‘trying to get slots to go on to the port through the vehicle booking system (VBS) has become a full-time job, which is a drain on resource.’ Hauliers complain there are ‘fewer VBS slots available than there were 10 years ago.’ It was argued in early October that if nothing changes at the port ‘haulage companies will unfortunately disappear because they can’t trade’ (2).
Hutchinson Ports disputes claims about shortcomings in its VBS, maintaining ‘there were an average of 749 VBS slots unused each day.’ Hauliers maintain these slots are at a separate terminal where there are no containers (2). The port authority for its part maintains, ‘improvements to the system are under way’ (1)
Freight operators using the port have warned if the chaos continues, increased shipping prices will be passed on to consumers.’ It was argued improvements in dealing with the conjuncture of unprecedented circumstances (the surge in Covid-19 linked import service demand and Brexit related stockpiling) are needed quickly since the current port congestion and delays are ruining a lot of people’s businesses’ (1).
These concerns are replicated across the British ports sector. Addressing the House of Lords the British Ports Association (BPA) said some ‘ports will find it “impossible” to carry out checks on fresh food and plant imports in the event of a no-deal Brexit’, if standard 3rd country controls on imports are applied.
The UK government has ‘offered two solutions to the requirement to carry out huge volumes of new documentary and physical checks on imports’ which will be required following the UK’s departure from the EU customs union and single market: ‘one is for ports to carry out checks on site, something many have no space to do. The other is for goods to be transported direct to lorry parks that will be used as customs clearance centres, including a new facility at Sevington, near Ashford in Kent’ (3).
Unfortunately, the latter model depends on the use of ‘a new software system, the Goods Vehicle Movement System, which is still in development and will not be launched until two weeks before the transition period ends’ (3) Given the experience in Felixstowe with the operation of the Vehicle Booking System (VBS), this does not bode well for the operation of UK border controls in 2021.
This will carry real commercial implications. According to the BPA ‘It would put traders at a real disadvantage bringing their goods on certain routes if they know that a high percentage of those volumes need to be opened and inspected.’ The situation was described as ‘very challenging’, given a lot of fresh food, salad and meat enters the UK via ports like Rotterdam, with according to the BPA opening and inspecting these consignments being ‘something we really need to think about’ (3).
| Comment and Analysis Given the current chaos in ports like Felixstowe (which handles a third of UK containerised imports) and the recent concerns expressed by the British Port Association over the ‘impossible’ challenge faced in applying the standard 3rd country import controls established by the Animal and Plant Health Agency to the whole of the fresh food and plant import trade entering the UK from the territory of the EU, it would appear to be a ‘no brainer’ to set in place mechanisms to reduce the burden on the Uk border control service in ways which pose no threat to plant or animal health in the UK. One such mechanism, which would at stroke also insulate from disruption some of the most vulnerable ACP short shelf life product supply chains which serve the UK market, would be to move over to a “Green Lane” system for all imports of fresh food and plant imports to the UK from third countries via the EU which have been subject to phytosanitary and food safety controls upon import to the EU. Such ‘Green Lane” border clearance arrangements for 3rd country cargoes could be applied to all fresh food and plant products which have been: · subject to phytosanitary inspection upon entry to the EU, prior to onward shipment · Subject to safety and security risk assessments upon entry to the EU, prior to · Pre-notified electronically to the relevant UK authorities · Enjoy duty-free/quota free access to both the UK and EU markets. · Subject to cargo “Groupage” practices only in regard to consignments which fully This would effectively do away with the need for physical checks on these goods crossing EU/UK borders, without in any way endangering UK plant or animal health or compromising UK sovereignty, since such measures would be based on an objective assessment of the risk posed by such a trade. The risks posed would be minimal since controls, which currently are fully acceptable to the UK, would already have been carried out upon the entry of these products to the EU. The application of such a ‘Green Lane” border clearance arrangements could be operationalised by extending existing vehicle management systems to include automatic electronic identification of eligible vehicles, with port entry and departures and ferry loading and unloading, being prioritised for such cargoes which do not require any physical inspections upon arrival in the UK. Such a system would ease pressures on UK border control services while minimising disruption of highly vulnerable ACP supply chains which deliver short shelf life products to the UK market via initial ports of landing in the EU. Such a measure would also help fulfil the UK governments’ commitment to ensuring ‘continuity’ in developing country partners trade with the UK, despite the changes which the culmination of the Brexit process will bring about. Such arrangements would be particularly important for producers in least developed countries and small island and vulnerable economies, who tend to be more highly dependent on the use of single distribution hubs for exporting on a commercially viable basis. The value of this triangular trade into the UK runs into 100s of millions of £. Unfortunately, this is an issue to which the Uk government has far devoted only minimal attention, with initial interest in this issue demonstrated at the beginning of 2020, simply being overwhelmed by the severe economic and trade disruptions which the Covid-19 pandemic has given rise to. |
Sources
(1) Fpcfreshtalkdaily, ‘Felixstowe Port in ‘chaos’ as Christmas and Brexit loom’, 15 November 2020
https://www.fpcfreshtalkdaily.co.uk/single-post/felixstowe-port-in-chaos-as-christmas-and-brexit-loom
(2) Ipswitchstar.co.uk, ‘Christmas presents in peril due to port delays’, 2 October 2020
https://www.ipswichstar.co.uk/news/business/felixstowe-port-chaos-with-booking-system-1-6865212
(3) Yahoo News, ‘No-deal customs checks will be ‘impossible’, ports warn’ 16 November 2020
https://www.fpcfreshtalkdaily.co.uk/single-post/brexit-no-deal-customs-checks-will-be-impossible-ports-warn