Dover, UK: Logistics UK is warning that potential delays, caused by the new European Entry and Exit System (EES), could cost operators over £1,000 per truck.
The association worked with independent modelling experts MDS to examine the potential impact of delays on trade across the Channel short straits – the route between Dover and Calais – on the UK economy.
Logistics UK’s policy director Kevin Green said that the introduction of the new EES from the beginning of November could hit the UK’s supply chain unless any potential delays are mitigated or minimised.
“Any delay in the processing of passengers will have a knock-on impact in terms of disruption and delay to freight along this route, and we estimate that this would cost £1,100 per truck, a cost which would have to be passed on to the end customer or consumer.
“And even if delays were limited to 90 minutes for the 3.35 million HGVs that passed through the Short Straits in 2023, the cost to the economy would be £400m per annum. This is a cost that the logistics industry cannot just absorb, not least because our members already operate on incredibly narrow margins and are facing rising operating costs that are putting pressure on their ability to keep trading.
“There are two sides to any border, so delays to exports will also impact inbound goods. This could cause supply shortages and rising prices for British consumers – if the produce arrives at all. EU hauliers may well decide to bypass the potential for delays at the UK border altogether, opting to work with retailers on the European mainland instead, further reducing supply and pushing up prices for UK consumers.
“Adding border checks on imports to the delays caused by EES could have a disastrous impact on the UK’s supply chain, which was previously about supplying goods as and when they are needed – or “just in time”. In recent years, we have already seen the impact of delays at the Short Straits caused by border closures, customs strikes and even bad weather.
“Delays could become a regular occurrence and have even more of an impact on the UK’s supply chain if an app-based solution is not implemented swiftly to take some pressure away from the border along this critical GB EU supply chain route.
“We are urging the government to accelerate its diplomatic engagement with French counterparts and the European Commission, and to work closely with the logistics industry and key local partners, to mitigate the impact of EES and streamline border processes before significant damage is caused to the UK’s trading relationships with Europe.”
