This week sees the introduction of new government policy on the control of EU produce entering the UK, with warnings of delays, rising costs and fears for the ability of border posts to cope...

On Wednesday 31 January 2024, the Border Target Operating Model (BTOM) will be introduced by the UK Government.

European businesses exporting ‘medium risk’ plant and animal products (including milk, dairy products that contain raw milk, meat and meat products) to the UK will have to submit extra paperwork known as health certificates, with the introduction of physical checks, costing up to £43, coming into force from 30 April 2024. The scheme is designed to modernise the border and speed up controls.

From 31 January: New paperwork for EU businesses sending animal and plant products to the UK will be required

• Health certificates will only be required for medium and high risk foods, many of which are already produced in the UK.
• High risk items include live animals and eggs for hatching. Things like milk, cheese, fish and meat are classed as medium risk.

From 30 April: Physical sanitary and phytosanitary (SPS) checks will be carried out on these goods

• Prior to this, most items entering the UK from the EU have not required physical checks.
• Once the paperwork is done, the HGVs may be selected for inspection at Border Control while en route to the UK.
• Even if the produce is not diverted for inspection, a “Common User Charge” (entry charge) will be levied.

From 31 October: The new import system will be in place and several items will change from low to medium risk

• The government hopes the new import system, officially known as the Border Target Operating Model, will be in place from the end of October and paperwork will be required for all food items, not just those which are medium and high risk.
• And the number of items requiring physical checks will increase dramatically after an unexpected change from the Department for Food and Rural Affairs (DEFRA).
• On Thursday, Defra said many fruit and vegetable consignments from the EU will move from low risk to medium risk on 31 October.
• A government source said traders will get a minimum of 3 months’ notice to prepare for any changes.

Food industry bodies in Europe and the UK have warned of impending supply chain disruption as these new border rules are introduced for the first time since Brexit.

A shortage of vets to sign export health certificates on the continent, the failure to fully introduce a trusted trader scheme and continued lack of clarity about the application of some rules and regulations are likely to heighten the risk of disruption.

Karin Goodburn, director-general of the Chilled Food Association commented:

"The entire EHC (system) is based on stuff arriving on a slow boat from China, It is not designed for short shelf life and quick supply chains."

She added that her members were "deeply concerned" about the impact of border delays on perishable products where shelf life was critical to their value.

The introduction of the new border controls, with the physical inspection beginning from 1 April 2024, will see European companies facing challenges from these border controls for the first time since the EU-UK post-Brexit trade deal came into force in January 2021.

The government has delayed the introduction of the checks five times since 2021, but now says the border is essential to both deliver biosecurity and level the playing field for British businesses in its interactions with Europe.

The UK meat industry, which imports 50% of its pork from Europe, said it was particularly concerned about the lack of official vets licensed to sign off consignments in key markets such as Germany and Italy.

The Chilled Food Association went on to warn that UK health certificates do not always match industry requirements meaning that products such as liquid eggs mixed with sugar - a key ingredient for food businesses - will no longer be allowed to enter the UK.

In 2022, the UK imported more than 40,000 tonnes of liquid eggs from the EU, suggesting that food businesses will face shortages if the certificates are not amended.

The Chilled Food Associated commented:

“British food businesses producing, for example desserts, mayonnaise, sauces, baked goods, will have insufficient supply to continue to produce these and other foods using them,” 

Both EU and UK industries bodies have also warned that the new border paperwork and inspections will drive up costs for consumers. The government said last October that it estimated the paperwork would cost businesses £330mn a year and add 0.2% to inflation over three years. 

The government has still not announced the final cost to business for each border inspection, but said it could be up to £43 per individual consignment of a good, with a single lorry potentially containing multiple consignments.

For wholesalers and retailers who import products like cheeses and meat from the EU, costs are likely to rise, and they may see smaller EU exporters no longer selling their goods to UK retailers or distributors.

Adding to the confusion, the UK food department last week unexpectedly reclassified a range of fruit and vegetables from low to medium risk, meaning that produce such as apples, carrots and avocados will be subject to physical checks at the border alongside animal products. However, officials have not said when the checks will begin.

The Cabinet Office, which is responsible for implementing the new border, said it had consulted extensively with industry and was phasing in the extra controls progressively to give business time to adapt. They commented:

“The changes we’re bringing in will help keep the UK safe, while protecting our food supply chains and our agricultural sector from disease outbreaks that would cause significant economic harm.”

Which items will become more expensive?

The unexpected changes announced by Defra will apply to popular items such as peaches, strawberries, apples, peaches, pears, tomatoes, blueberries, grapes, and some vegetables such as sweet potatoes and carrots.

According to the FPC, the reclassification of fruit and vegetables means the “vast majority” of consignments from the EU will require extra paperwork.

The Institute of Export & International Trade said communication about these changes has been an issue for small and medium businesses and it will likely cause price increases.

Source: Speciality Food Magazine, The Guardian, ITV News.