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“The demand for EU goods is pretty insatiable”

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“The demand for EU goods is pretty insatiable”

Frank Haas interviews Michael Stephenson

Forwarding and logistics organization Davies Turner has been Gebrüder Weiss’ partner in Great Britain for over 40 years now. Managing Director Michael Stephenson talks about his personal expectations regarding Brexit.

We are facing the so-called No-Deal-Brexit. How did you, as a logistics company, prepare for this situation?

It took a lot of time and money! It is very difficult to make plans when one does not know what one is actually planning for. Finally, at the eleventh hour there seems a real desire by both the EU and British Government to reach a Trade Deal and so we are hoping for the best. What ever the outcome, we will be ready and prepared. We have been recruiting and training additional customs staff and developing and enhancing our import and export systems. The challenge is to maintain, as best we can, the competitive lead times our mutual clients have come to expect.

Are you afraid for the competitiveness of British products? What British products do you have in your portfolio, which you do – and still want to – export to the EU?

A No-Deal-agreement will certainly impact the competitiveness of British products and services but this may be offset by the falling value of sterling. Although, no longer British owned carmakers such as Jaguar Landrover (JLR), as well as major manufacturing plants for Nissan and Toyota are extremely important for UK exports to the EU along with Aerospace and Finance. To stay competitive these industries will be very dependent on a free trade agreement and some flexibility in terms of rules of origin, which we understand is a difficult point in the negotiations, will be necessary.

People who voted for LEAVE claim that Brexit will boost the British economy. What is your personal opinion on that?

The advantages and disadvantages may eventually cancel each other out, but the reasons for Brexit are probably ideological as much as commercial. In the short term the UK economy is expected to experience a considerable negative effect, but of course this will be much reduced, if a Trade agreement can be reached.

Do you feel that Brexit will strengthen the local economy? And if so, what would be the impact on the local logistics framework?

There will be winners and losers on the logistics market. Some companies in the UK are relocating their stock-holding to warehouses on the Continent to retain free circulation and frictionless trading with EU customers. In reverse some EU companies are setting up distribution warehouses in the UK to serve the UK market. There could be interesting local effects for Davies Turner as the Government is introducing a strict process to avoid traffic jams around the port area whereby trucks on route to continental Europe will need to have completed the export customs process prior to entering the county of Kent in which Dover is located. Our leading hub for continental Europe is situated at Dartford in Kent where we will be able to complete the export documentation online to the Government computerized system and obtain permission for the trucks to travel straight to the ferry port or Eurotunnel with no further export formalities. However, the Government’s computer system is not yet ready which is a concern as we approach January 2021!

Talking about import – what products do you expect to still be preferred by British consumers even when prices rise due to custom fees?

The demand for EU goods is pretty insatiable – technology, consumer goods like washing machines and motorcars and of course wine and cheese. The consumption of alcohol has substantially increased during Covid-19 lockdown!

Apart from the obvious challenges that Brexit will pose to your business, could you imagine benefits, as well?

Even in the free trade area, which we hope for, there will be many more Customs clearances for Davies Turner to handle. We have the staff, the systems and the Customs-controlled premises to process the extra work fast and profitably. But to complete our preparations,

we need a detailed agreement between Brussels and Westminster, without further delay!

There is a lot of concern among forwarders regarding timeliness of border clearance. What do you expect in this regard?

Initial delays are inevitable but we will be prepared for any scenario that a EU and UK trade deal will lead to. British Customs will also be under strain so may show some flexibility during the six month introductory period through to 06/30/21. Davies Turner controls a great deal of Ocean and Air freight, including successful relationships with Gebrüder Weiss branches in the East Asia. We already handle a large number of trailer movements from countries outside the EU such as Turkey and Morocco, which means we have a lot of experience working under all Customs regimes. We offer reassurance to our customers and partners that all areas within our control will be taken care of. Elsewhere, we are expecting some initial difficulties but the forwarding industry is as flexible as it is resilient and so I’m sure we will all soon settle into the new working methods that will become necessary.

If asked today, would you expect the British people to vote for LEAVE again?

The British people effectively had a second vote on Brexit during the turbulent politics and Christmas election last year which Boris Johnson won with what he now famously described as an “oven-ready deal”. So for better or worse this question has been settled for the time being. However, the country remains split down the middle. The younger generation are mainly supportive of remaining in the EU and so who knows perhaps in the future there will be a vote to re-join someday, if it is felt better to be in than out.

Brexit – a chronicle

2016 In the June referendum, the British people vote to leave the EU by a narrow margin

2017 The UK invokes Article 50 of the Lisbon Treaty, triggering negotiations on its withdrawal from the EU.

2019 Following endless debates in the House of Commons and protracted negotiations in Brussels, the 27 EU countries and the British Parliament approve the Withdrawal Agreement in November. January 31, 2020 Britain leaves the EU and begins an eleven-month transition period during which the parties pursue a future trade agreement. What follows, remains to be seen.

Allerdings ist das Computersystem der Regierung noch nicht fertig, was uns Sorgen macht, da der Januar 2021 näher rückt!

Apropos Import – welche Produkte werden Ihrer Meinung nach auch dann noch von den britischen Verbrauchern bevorzugt, wenn die Preise aufgrund von Zollgebühren steigen? Die Nachfrage nach EU-Gütern ist ziemlich unerschöpfl ich – Technologie, Konsumgüter wie Waschmaschinen und Autos und natürlich Wein und Käse. Der Alkoholkonsum ist während des COVID-19-Lockdowns erheblich angestiegen.

Abgesehen von den off ensichtlichen Herausforderungen, die der Brexit für Ihr Unternehmen mit sich bringen wird, sehen Sie auch Vorteile? Selbst in der Freihandelszone, die wir uns erhoff en, wird Davies Turner sehr viel mehr Zollabfertigungen zu bewältigen haben. Wir verfügen über das Personal, die Systeme und die vom Zoll kontrollierten Räumlichkeiten, um die zusätzliche Arbeit schnell und rentabel abzuwickeln. Aber um unsere Vorbereitungen abzuschließen, brauchen wir eine verlässliche Vereinbarung zwischen Brüssel und Westminster, und das ohne weitere Verzögerung.

Unter Spediteuren herrscht große Sorge bezüglich der Wartezeiten bei der Grenzabfertigung. Was sind Ihre Erwartungen in dieser Hinsicht? Anfängliche Verzögerungen sind unvermeidlich, aber wir werden auf jedes Szenario vorbereitet sein, zu dem ein Handelsabkommen zwischen der EU und Großbritannien führen wird. Der britische Zoll wird ebenfalls stark aus ge lastet sein, sodass es während der halbjährigen Einführungsphase bis zum 30. Juni 2021 fl exible Lösungen geben könnte. Davies Turner macht See- und Luftfrachtgeschäfte in großem Umfang, auch in erfolgreicher Zusammenarbeit mit Gebrüder Weiss in Ostasien. Schon jetzt wickeln wir regelmäßig Transporte aus Ländern außerhalb der EU wie der Türkei und Marokko ab, wir haben also viel Erfahrung in der Verzollung. Wir bieten unseren Kunden und Partnern die Gewissheit, dass alle Prozesse, die wir selbst kontrollieren können, gut laufen. Woanders erwarten wir anfäng liche Schwierigkeiten, aber das Speditionsgewerbe ist ebenso fl exibel wie widerstandsfähig, deshalb bin ich sicher, dass wir uns alle schon bald an die neuen Arbeitsmethoden gewöhnen werden.

Wenn Sie heute gefragt werden, würde das britische Volk erneut für Leave stimmen? Das britische Volk hat ja bereits quasi zum zweiten Mal über den Brexit abgestimmt, während der turbulenten Phase mit der Wahl um Weihnachten im vergangenen Jahr, die Boris Johnson mit einem »ofenfertigen Deal«, wie er es nannte, gewann. Diese Frage ist also wohl oder übel vorläufi g geklärt. Dennoch bleibt das Land gespalten. Die jüngere Generation befürwortet den Verbleib in der EU größtenteils, und wer weiß, vielleicht wird es eines Tages eine Abstimmung geben, um wieder beizutreten, falls es sich herausstellt, dass es doch besser ist drin zu sein statt draußen.

Brexit – eine Chronik

Großbritannien

KOPENHAGEN

LONDON

PARIS AMSTERDAM

BRÜSSEL BERLIN

PRAG 2016 Per Referendum stimmt die britische Bevölkerung im Juni mit knapper Mehrheit für einen Austritt aus der EU.

2017 Großbritannien stellt einen schriftlichen Antrag auf Austritt; die Verhandlungen beginnen.

2019 Nach Endlos-Debatten im britischen Unterhaus und langen Verhandlungstagen in Brüssel stimmen im November sowohl die 27 EU-Länder als auch das britische Parlament dem Brexit-Vertrag zu.

31.01.2020 Großbritannien verlässt die EU; bis Ende des Jahres gilt eine Übergangsregelung, nach der sich zunächst für Wirtschaft und Handel nichts ändert. Um ein zukünftiges Handelsabkommen wird gerungen.

Planet 9 ist der neue Pluto. Seit Pluto 2006 zum Zwergplaneten degradiert wurde, sind es eigentlich nur noch acht Planeten in unserem Sonnensystem. US-Forschern zufolge gibt es aber einen Ersatz: Man vermutet den Planeten 9 mit fünf- bis zehnfacher Masse irgendwo dort, wo wenig Sonnenlicht hingelangt. Im Dunkeln also.

Planet 9 is the new Pluto.

After Pluto was downgraded into a dwarf planet in 2006, there were only eight planets left in our solar system. But according to U. S. scientists, an unknown replacement might be waiting in the wings. Planet 9 is thought to have between five and ten times the mass of Earth. However, because little sunlight reaches it, it remains largely in the dark. Rather like the scientists.

Slow Food ist das neue Fast Food. In Zeiten der Pandemie spendet die Hinwendung zu einfachen, guten Lebensmitteln mehr Trost denn je. Selten wurde so viel zu Hause gekocht und experimentiert wie in diesem Jahr. Denn frisch zubereitetes Essen macht nicht nur satt, sondern auch zufrieden.

Slow food is the new fast food.

The expression “comfort food” has never rung truer than now, during the pandemic. Homecooking and experimenting have never been as popular as this year. After all, freshly prepared meals not only fill you up; they also make you feel good.

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