Jul 6 2016 0

How will BREXIT affect International Freight Forwarding?

 

As the country moves forward BIFA that represents UK freight forwarders has reported that it will campaign to support our industry in negotiations to prevent over complicated trade procedures.

British International Freight Association (BIFA) Director General, Robert Keen explained “BIFA is a neutral body and will now be looking at the ways in which we can support our members as the forthcoming legislative changes become apparent between now, the day that the UK formally triggers the resignation process and the date the country’s exit becomes effective”.

Both UK transporters and the cargo industry warned that exit negotiations must make sure that the cargo will keep flowing on both sides. Following the result of a ‘leave’ outcome in the European Union referendum, the Freight Transport Association (FTA) have said that “coming out of the EU dangers new expenditures, restrictions and bureaucratic necessities being imposed on moving items in and out of Europe and the UK as well”.

 

 This statement suggests that the decision to exit the European Union may have a negative impact on freight movement.  However this is only one view and as we all know there are definitely two sides to this particular topic. 

 

Chief David Wells of FTA stated Europe will stay a great export market and the UK will continue to have an excessive share of imports. He also commented that the UK cannot allow new bureaucratic burdens to abate the effective motion of exports and imported items destined for British buyers. 

 

What we do know is that the next two years will be extremely important and the government need to use this time to make sure terms currently imposed on other non-European member states will not be imposed on UK freight flows. Whilst Britain will be out of the European Union, we are not out of the industry and FTA will undoubtedly be leading the campaign on behalf of exporters and importers to keep exchange tactics simple and try to keep the charges of international transport down.

 

As of today the 6th July 2016 the UK is still a member of the European Union.  It is far too soon to start speculating the impact “Brexit” will have on our industry and we’re sure that in the forthcoming years the impact will become clearer.

 

Whether you are in the “leave” or “remain”camp, Britain has the fifth best economy in the world and with unity we will make our future a positive and successful one.

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