A new IT system is causing problems for UK traders and delaying goods from crossing the English Channel. The system, introduced post-Brexit, came into effect on the 1st of January, with new rules stating that all EU imports must be processed using the GVMS (Goods Vehicle Movement Service.)
However, hauliers have reported multiple issues with the GVMS, resulting in cargo not clearing and freight left waiting due to ‘red tape.’ Problems with the service include reference codes for shipments not being accepted and shipments not loading correctly onto the system. Some companies have had freight waiting to enter the UK since New Year’s Day. Among those affected is Japanese car manufacturer, Honda, who have had cargo delayed due to problems with the new IT system.
Brexit Hurdles Affecting Trading
The new IT system, GMVS is one of the multiple new trade hurdles that have been introduced as a result of Brexit. It is the latest in a line of new regulations and systems that importers have had to get to grips with in order to move their goods between the EU and the UK.
The Centre for European Reform says that due to Brexit, trade between the UK and the EU is currently 15.7% lower than it would have been otherwise. This makes the current problems at the border even more of a worry for UK traders who are already facing numerous barriers to moving their goods.
However, in a statement in The Times, HMRC, said that the issues were affecting only a small number of users and that they were to be expected “as traders and hauliers adjust to the new controls.” HMRC added that the issues were being addressed.
Honda is one of the companies affected by the problems with the new IT system. It had goods held up at the UK border due to incorrect coding, however, the shipment has since been released and in a statement, Honda referred to the issues as “teething problems” and “not unexpected.”
Other businesses have been less positive about the problems and have reported a lack of communication or support for those experiencing issues and have spoken of drivers stuck at ports with shipments of goods unable to get into the UK.
Though freight activity is currently low, this is – in part – due to the season, with trading typically lower at this time of the year and volumes through the Port of Dover are similar to recent years. Volumes are expected to begin increasing over the next few weeks, which will paint a more accurate picture of how the new, post-Brexit systems will perform.
Haulage Solutions From Hawley Logistics
So, whether you need something moved by sea, air or land, Hawley Logistics can help. Our team of experts will help you navigate the challenges of getting your goods from A to B and are always on hand to deal with any issues that might arise.
We’ve been in the business of sea freight shipping since we first started out as ‘Hawley Exports’ and during that time, we’ve become experts in the logistics & documentation associated with all types of freight and haulage. This includes navigating customs on your behalf, to facilitate clearance at UK ports. Here at Hawley Logistics, we keep ourselves up-to-date and informed about changes to import and export systems and services so we can anticipate potential problems before they arise and ensure a smooth and timely passage for your goods.