New custom rules for Post-Brexit: The implications for eCommerce businesses

Stricter custom rules emerged for Post-Brexit on January 1, which were introduced for companies trading with the EU

The New Year for 2022 marked one year following the novel trade agreement between the UK and EU was struck. New custom regulations were introduced on the anniversary day to enhance the implementation of the agreement’s policies. Routine checks would be at a minimum at the onset, but would later become stiffer all through the year.

The new rules being introduced

On 1st of January 2022, a new set of stiffer custom rules for post-Brexit became effective and it had more restraints on companies trading with the EU. There are some succinct changes that needs adherence, even though the new rules and policies will take a while to be completely integrated into the deal.

There would be complete customs control for all exports between Great Britain and the EU now. It means any goods earmarked for Britain will require all the essential paperwork to be dully filled before entry. Another implication is the need for custom clearing of goods before permission to leave the port. Besides, any additional tariffs de has to be paid at the importation time.

• All export declarations must be filled into the HMRC system while the goods must be presented to customs for inspection. It would determine if other physical checks are necessary. 

• Physical examination would be conducted at an Inland Border Facility if required or at a specified customs checking facility at the borderline locations. 

• Exportation of goods without permission is restricted and a message must accompany departure. 

• The government introduced the goods vehicle movement service (GVMS) to back up the customs controls on goods, especially the locations with little infrastructure. 

The checks in place now

The new rule states that any animal or plant-based products need statement of origin certificates and all drivers must declare their goods being conveyed and their point of origin. Nevertheless, these checks are lenient at the moment until the summer time when strict measures will take effect.

The essence of the new rules being introduced now

The changes will take effect now after a year of the EU-UK trade and Cooperation Agreement. There was zero-tariff and zero-quota free trade deal last year which was a transition period for post-Brexit Britain. Hence, the new rules signify the anniversary of the agreement.

The effects of the new rules on EY goods earmarked for Britain?

Goods being transported into Britain should have all checks and forms filled and completed four hours before arrival time or bear the risk of being denied entry at the border. The ability to delay submissions of forms will end completely from January 1, 2022, so businesses need to submit their custom declarations on time to reduce any kind of delays in transit.

Changes in the summer

 From July 1, 2022, goods being transported to the UK will go through careful inspections just like those in effect for food products being transported to the EU from the UK.

• Some of the requirements include:
• Checks for electronic documents before goods are transported
• Checks on seal identification applied to the consignment before departure
• Third physical checks on arrival with country of origin certificates

Types of goods that require three checks include animal products such as eggs, milk, meat, fish, poultry meat, and honey. It must have a “Products of Animal Origin” Certificate. All inspections would be conducted at the specific Border Control Posts; it could result to delays and other pending issues at the border.

At the moment, the Northern Ireland and the Republic of Ireland do not have such restrictions, even as political leaders actively negotiate for more trade collaborations. Similarly, goods coming to Britain from the Republic of Ireland will continue to enjoy same pre-existing rules.

What are effects of the new rule on your business? Please, share your thoughts.