Additional costs due to Brexit amount to 55 million euros for the fresh produce sector
Belgium
Tuesday 26 January 2021
FJ
The estimated amount of additional costs is expected to increase further during the year for EU operators (Photo: freshfel org).
According to estimates by Fresfel Europe, the impact of Brexit on the fresh produce sector results in additional costs of around € 55 million. The introduction of new procedures during the year will add an additional burden for EU operators.
Freshfel Europe is closely monitoring the impact of Brexit on the fresh produce sector. The trade and cooperation agreement between the EU and the UK allows the industry to continue trading without rights or quotas.
But the fresh produce sector is already facing additional costs, due to Brexit, amounting to around € 400 per truck, a cumulative cost resulting from additional customs charges and related costs, such as customs broker fees. , as well as additional logistics and shipping costs as well as bureaucracy. This additional cost also differs according to the type of product exported, mixed shipments being the most affected with costs of up to € 500 per truck.
Overall, the total annual increase in fees for exports of fresh fruit and vegetables from the EU to the UK is estimated at € 55 million, a cost that will ultimately be borne by UK consumers. In April, most fresh fruit and vegetables from the EU will need to be accompanied by a phytosanitary certificate to enter the UK. In July, physical checks will be carried out both at the UK border and at inland sites. The introduction of these new procedures is expected to further increase the amount of additional costs for EU operators.
The EU27 exports more than 3.2 million tonnes of fresh fruit and vegetables to the UK per year, which represents 40% of UK domestic demand.
source : freshfel.org