A new report from Logistics UK has raised concerns over potential price increases and product shortages in the UK as a result of delays linked to the upcoming implementation of the European Entry and Exit System (EES). The group’s research, conducted in collaboration with independent analysts MDS Transmodal, outlines the potential economic impact of border delays along the Channel Short Straits route between Dover and Calais.
Kevin Green, Policy Director at Logistics UK, emphasised the importance of the Short Straits route to the UK’s supply chain, noting that it handles more than half of all goods transported in trailers and containers between the UK and the EU.
“Goods travelling across this route range from exports of Scottish seafood, fresh meat, and clothing to imports of fresh fruit, vegetables, and even cocoa. It is a critical part of the UK’s supply chain, and one that both businesses and consumers rely on every day,” Green explained
According to the report, the introduction of the new EES, which will require additional border checks for non-EU nationals entering the EU, could significantly disrupt trade. Logistics UK warns that delays caused by passenger processing could affect freight transport, with potentially costly consequences.
“We estimate that delays would cost £1,100 per truck, a cost which would have to be passed on to the end customer or consumer,” Green stated.
Even with shorter delays of 90 minutes for the 3.35 million HGVs that passed through the Short Straits in 2023, the economic impact could be substantial. The report estimates that such delays could cost the economy £400 million per year. Green noted that the logistics industry already operates on tight margins, making it difficult to absorb these additional costs.
Green also highlighted concerns about the timing of the EES implementation, which is set to occur in October when the UK depends heavily on imported fresh produce.
“This could cause supply shortages and rising prices for British consumers – if the produce arrives at all,” Green said.
He warned that EU hauliers may choose to avoid potential delays at the UK border by opting to work with European retailers instead, further reducing supply to the UK.
In addition to the EES, the UK is set to introduce new border controls on EU imports in October, including Safety and Security Declarations. Green expressed concern that these changes, combined with the EES checks, could lead to further congestion at key entry points.
“Adding border checks on imports to the delays caused by EES could have a disastrous impact on the UK’s supply chain,” he said.
Logistics UK is urging the UK government to accelerate diplomatic efforts with French and European counterparts to mitigate potential delays and ensure smooth border operations.