4 minute read
Insight in the world of imports/exports
COMMENT
KNOW WHERE YOU STAND
GIVEN ENOUGH TIME AND EFFORT, MOST DISTILLERS CAN ACHIEVE THEIR GOALS BY THEMSELVES, BUT TIME IS VALUABLE, AND EXPERTS CAN SAVE A LOT OF TIME (AND FEES) IN DOING THINGS RIGHT THE FIRST TIME, EXPLAINS BERT ALBRECHT, MANAGER OF MARKET DEVELOPMENT AT ETHIMEX
We are involved in the international trade of bulk ethanol and premium spirits, we import and export alcohol to and from the EU, US and globally.
In our UK warehouse, we break bulk into more manageable volumes like IBCs, 200L drums and even 25L jerry cans and distribute to UK spirit bottlers, craft distillers and drink creators.
Our team deals with ethanol every day, and we are familiar with the problems distillers are facing. Newcomers to the trade go through a steep learning curve about licensing and legislation requirements, and they frequently come to us for help when developing their business plan.
These new distillers often have a background that is not related to the beverage business. As a new company, where do you find out about the practical workings of paying duty versus deliveries under bond? Or due diligence with HMRC SEED checks and the first shipment under EMCS (Electronic Movement Control System)? How it all works on the distillery floor and in the office is not clear from day one. Although there is a lot of information available on the internet when it comes to hands-on issues like these you need to talk to someone with experience.
It can take some time to go through this, however, if your supplier has a customercentric attitude, they will make a real effort to help and guide the distillers through the process of understanding the correct licensing (e.g. AWRS, WOWGR), the implications on transport and storage of hazardous goods, and other intricacies of the industry.
Once the still is up and running, we receive many questions related to ABV. The concept of LPA (Litre Pure Alcohol) is not always well understood, and it is so important when blending.
This also goes for the TCF (Temperature Correction Factor) and shrinkage when diluting ethanol. LPA is also used to calculate duty.
Here, you don’t want to get in trouble with the HMRC for underpaying, but you don’t want to pay them more than their fair share either.
We participate in seminars around these topics and are happy to share this onthe-job knowledge and offer customised support. It’s not just newer distillers that need assistance, more established distillers reach out to us when venturing outside their area of expertise. It could be for the development of a new or unique product.
That product may require ingredients from particular locations which have strict legislation in place for their spirits, like tequila, or perhaps help is needed to deal with the complexities of importing Sochu from Japan as part of a consolidated container load, or simply purchasing bulk rum or sugar-cane alcohol that arrived in vessel via the ARA (AmsterdamRotterdam-Antwerp) trading hub in the EU.
The truth is that, given enough time and effort, most distillers can achieve their goals by themselves, but time is valuable, and experts can save a lot of time (and fees) in doing things right the first time. Today, distillers are not merely looking for the lowest price but also for support, guidance, and fast response times. They want an outstanding supplier service that they can pass on to their custom-ers.
Through years of visiting local distilleries and close contact with our customers, Ethimex has built up a global network and we relish being active members in the beverage community. We are here to help and maybe even inspire British Distillers.
Ethimex is a privately-held UK-based company, headquartered in London, with over two decades of experience in the industrial ethanol and beverage spirits markets. We supply a comprehensive range of over 40 grades of ethanol, specialised spirits, as well as botanicals and barrels from our specialised divisions, Cask Solutions By Ethimex and Craft Solutions By Ethimex.
Privately owned, established over 40 years. Operating to BRC and retail accreditation.
Specialist manufacturers of self adhesive labels. Digital, conventional and combination print facilities including: • Hot foil • Cold foil • Digital spot colours • High build tactile varnish • Embossing • Debossing • Conventional print up to 17 colours Supplying premium soft drinks, beers, wines, spirits, food, toiletries and any market requiring decorative labels.
