Danish Shipping has said that slow Brexit negotiations poses a risk to shipping companies as time for operational preparations post-Brexit becomes shorter as no deal was made between the European Union (EU) leaders at their meeting in Brussels on Friday.
Once again, Brexit was discussed among the EU leaders. The 27 remaining heads of EU states have agreed that progress has been made, but not enough to start negotiations on a future trade relationship.
Danish Shipping works with the European industry to help companies prepare for the day of Brexit.
“As the day of Brexit moves closer without knowing the future trade relationship, it becomes more and more difficult for shipping companies to prepare their commercial operations. Trade agreements require a long process, and this agreement will be no different. Instead of speculating what the relationship will look like, we are working to assist our members to map out and prepare for different scenarios from March 30, 2019,” Casper Andersen, Director EU affairs, Danish Shipping, commented.
Danish Shipping said that for shipping companies, a no deal-scenario will result in cargo waiting for several days for customs clearances, which will in turn cause queues as ports will be a bottleneck between EU and the UK.
As a consequence, fresh products are at risk of rotting while waiting for the paperwork to go through. Standards on environmental, safety and reporting issues will be unknown from day one as well, Danish added.
The October submit hasn't yielded sufficient progress to move on in negotiations and the next assessment of progress has therefore been postponed to December. The delay further shortens the timeline for preparations as March 29, 2019 is the scheduled date for the UK to leave the EU.