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Metro is SMEs resource to deal with post-Brexit paperwork

Time-poor SMEs are being forced to outsource their post-Brexit paperwork, which is adding cost and time pressures, but Metro’s digital CuDoS platform offers an easy solution.

The  Federation of Small Business (FSB) Customs Clearance report found SMEs are often forced into using high-cost intermediaries because they do not have the internal resources to handle complex post-Brexit customs paperwork themselves.

The report revealed that less than one in ten SMEs have a dedicated staff member or team for customs procedures, with over a third of businesses saying that extra intermediary fees were posing a challenge to international trade because they increase their supply chain costs. 

The research also revealed that four in ten SMEs do not have the expertise required to handle customs declarations, while over half said they have outsourced this function to help free up their time for other tasks.  

FSB policy chair Tina McKenzie said: “Unlike big corporates, most small firms don’t have the specialised resources needed to deal with complex customs procedures, so they’re dependent on intermediaries. [But] Smaller businesses may also have to bear higher costs as they are unable to commit to large volumes and they are less able to reach fixed price agreements or to negotiate with couriers.”

Metro are at the forefront of automated customs brokerage solutions, simplifying and automating customs declarations for importers and exporters, with our CuDoS declaration platform and dedicated team of customs experts ready to support businesses of all types and sizes.

The CuDoS solution uses the latest artificial intelligence (AI), machine learning (ML) and automation capabilities to optimise the data capture and customs declaration processes, to create a compelling 20% reduction in headline costs and 25% increase in volumes.

Metro’s CuDoS is now achieving a SLA of 98% on two hour turnaround times, from customer submission/request through to document delivery, with 96% of declarations processed and submitted to HMRC within 30 minutes at a 99% processing accuracy.

The targeted business support provided by CuDoS reduces the cost of trade and is helping to unleash the export potential of small international traders as well as encouraging more businesses to sell overseas.

To learn how we can simplify and automate customs declarations for your businesses, please EMAIL Andy Fitchett to review the options.

Metro continues to invest in MVT and CuDoS innovation in 2023-2024, with more exciting releases planned.

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European division continues expansion

Five months ago European Director, Richard Gibbs, outlined his vision for Metro’s road freight and short sea services, in developing the business’ capability across the EU. Today, he updates us on his progress and next priorities.

“Since the start of the year we have been working very closely with our continental partners and carriers to add new ‘lanes’ to our transport network, extending the scope of our regular services, alongside our daily EU-wide FTL and LTL services.”

“At the same time we’ve been increasing our operational capacity, by growing the European team and adding new freight centres and groupage hubs in Leicester (Desford) and Manchester.”

“Service design has a been a primary point of focus, but so too has customs compliance solutions and advanced technology, to deliver visibility, control and supporting services.”

“The development of the CuDoS customs platform by our technical services team and the digitising of customs compliance has been a ‘game-changer’ for our customers and particularly those trading with Europe.”

“Using Artificial Intelligence and Machine Learning CuDos optimises data capture and customs declaration processes, with an SLA of 98% on turnaround times of under two hours and record turnaround speeds under 8 mins.”

“Since Brexit, the UK is considered as a third country and transactions with the EU are no longer intra-community, but considered as imports and exports, which means that VAT and duties need to be paid in the country of import, creating a trade barrier for many exporters.”

“Some EU importers are comfortable arranging import clearances and our standard T form services accommodate these movements, across single and multiple borders. However, some EU importers do not want to arrange import clearances, which is why we have created a range of options that allow UK exporters to complete transactions with their EU customers simply and seamlessly and even as if it were a domestic transaction.”

“The options are varied and can be adapted to suit specific transactions and customer relationships. They are listed below, but really require further explanation, which we will provide in a future post - or you can EMAIL me now.”

The Delivered Duty Paid or ‘DDP’ Incoterm means the exporter takes responsibility for the transport of the goods and customs formalities in the UK and EU, by becoming the ‘Importer of record” in France (or another member state) taking the burden away from your customer.

 - Regime 42 is for DDP transiting France for another EU destination. 

 - Regime 40 is for DDP shipments where the exporter has a French VAT number enabling clearance in France for free circulation in the EU.

 - DDP Light is where the consignee authorises their VAT number to be used as the importer of record but any duty is paid by the exporter. 

To learn more about our expanded European capability, including our CuDoS and EU/DDP solutions EMAIL Richard Gibbs. 

Inland Border Facility

FDF member update: UK border changes impact for food industry

The UK Government is finally planning to introduce new checks on food imports coming into the UK from this October, with new checks under its Border Target Operating Model (TOM) set to be phased in over the following year.

In April 2022, the UK government opted to delay the final phase of its planned border implementation covering sanitary and phytosanitary (SPS) goods moving from the EU to the UK.

In the period since then, the government has been working on the Target Operating Model, a long-term border plan aiming to balance the need for a secure border with the needs of business for a simple border system.

The draft plan for the Target Operating Model proposes a new approach to importing food and goods into the UK, split between customs changes that apply to all goods and goods that require SPS controls.

For goods that have SPS controls, there will be a new global risk-based approach with simplified and digitised health certificates, piloting trusted trader approaches.

The risk model will be dynamic, responding to changing health risks, with emergency safeguarding measures to allow an immediate response to emerging threats or outbreaks.

There will be reduced checks on medium and low risk products alongside simplified export health certificates and electronic phytosanitary certificates for the import of plants and plant products.

Trusted trader schemes will support biosecurity and food safety risk management on ‘trusted’ premises, with Authorised Operator Status focused on plants and plant products and Accredited Trusted Trader Scheme and Technology Assurance Scheme focsed on animal and animal by-products.

Subject to industry feedback, the Target Operating Model will be introduced in stages and businesses should begin work to prepare their supply chains.

From 31st October 2023:

 - Health Certificates and phytosanitary certificates required for medium risk animal and plant products from the EU.

From 31st January 2024:

 - Document and physical checks for medium risk animal, plants and plant products and high-risk food of non-animal origin from the EU.

 - Lower risk plants and plant products will no longer require pre-notification.

 - Inspections of high-risk plants and plant products will move to Border Control Posts or Control Points.

 - Trusted trader scheme pilots for animal products begin.

 - Plant and plant product Authorised Operator pilots begin.

From 31st October 2024:

 - Safety and Security declarations for EU imports.

 - UK Single Trade Window will remove duplication across different pre-arrival datasets.

Metro are at the forefront of customs brokerage solutions for the food and drink industry, with our automated CuDoS declaration platform and dedicated team of customs experts, reacting swiftly to any changes in the UK’s trading regimes.

To learn how we can simplify and automate customs declarations for your businesses, please EMAIL Andy Fitchett, Brokerage Manager, to review the options, or, for industry specific enquiries, EMAIL Matt Paxton-Rhodes who oversees our food and drink portfolio.

European roadmap to recovery

New EU emissions trading system for road transport

EU Member States formally adopted the new emissions trading system in road transport (ETS II) last month, but the road freight industry insist 2027 is “too soon to launch”, given the absence of refueling and EV charging infrastructure.

The Council of the EU in April, adopted a new emissions trading system for road transport (ETS II). The system will apply to road transport fuel suppliers starting 2027 unless oil and gas prices are exceptionally high and while the International Road Transport Union (IRU) welcomes the later date - having originally been set for 2024 - they think it is still too early.

Industry pundits believe that the EU’s decision reflects a lack of understanding of the make-up of the haulage sector. While larger road transport firms would adapt to meet the new system, over 70% of capacity comes from SME hauliers, who will see their slender margins squeezed to the point that business may no longer be profitable for them.

The IRU think that the compromise to launch ETS II in 2027 – compared to 2024, as initially supported in the European Parliament, or even 2025 and 2026, as first proposed by the European Commission – is significantly more realistic, given the expected pace of infrastructure and technological development.

The IRU argued throughout the legislative process that 2027 is too soon and are glad that the EU demonstrated some pragmatism, by not settling for an even earlier date, considering earlier proposals had unrealistic start dates or impractical distinctions between private and commercial vehicles.

The road transport sector’s call to charge carbon emissions as efficiently as possible is reflected in the text formally adopted by the Council. ETS II will generally supersede existing national schemes, unless national schemes set higher prices for allowances.

The IRU maintain that when it comes to decarbonisation, ETS II is not particularly effective and it is unlikely that the necessary conditions, such as EU-wide charging and refueling infrastructure, for a substantial transition to zero-emission heavy-duty vehicles, will be in place for years.

Metro’s European road transport solutions incorporate dedicated vehicles moving on set routes, with defined delivery deadlines, using GPS tracked trucks, to provide full transparency on transit schedules throughout the UK and mainland Europe.

Metro’s reliable services, specialised equipment and operational excellence, develop resilient road freight solutions for the most complex and demanding supply chains.

To explore the potential of our short-sea container, unaccompanied trailer and road transport services EMAIL Matt Paxton-Rhodes to begin a conversation.