Daily Mirror (Northern Ireland)
BREXIT DRIVING US UP THE WALL
Freight group warns of ‘huge disruption’ to supply chain
There is a growing backlog of goods of all hues FTAI IN A LETTER TO THE TAOISEACH
AN Irish freight group yesterday warned of huge post-brexit disruption to supply chains in coming weeks as the impact of Britain leaving the EU takes hold.
The Freight Transport Association of Ireland wrote to Taoiseach Micheal Martin on Thursday warning him of empty supermarket shelves, job losses and rising prices unless the government assists the industry.
The letter, signed by FTAI general manager, Aidan Flynn, also said the industry was struggling to keep the flow of goods moving.
The group said: “There is a growing backlog of goods of all hues, from mechanical parts (car parts) to electrical household goods, furniture, clothing, food supplies, sitting in depots because there are not enough agents to process the declarations correctly.
“There are issues with the systems and with providing enough support and guidance on the new requirements to industry to make this work.
“The net result will be that companies operating on very tight margins will cease trading, creating unemployment, supply lines will disappear, and the consumer will be left with less supply and increased prices.”
The association said stockpiling prior to Christmas had masked some of the effect of Brexit so far.
The letter added: “The reality is that volumes are low, the profile of traffic is that unit loads of non-food products are clearing customs relatively easily and all this against a background of huge stockpiling pre-brexit. As the stockpile requires replenishment, the real challenge will come and that is why the current issues that our members have highlighted to us are a stark warning/ signal that there is inevitably going to be huge disruption with many knock-on effects to the supply chain.”
Also yesterday, Stormont Agriculture Minister Edwin Poots stood by claims he had been told by food suppliers they had concerns about the Irish Sea border’s effect on getting meals to schools and hospitals.
In a statement issued by his Department, the minister said: “During a meeting last week with NI retailers, concerns were raised regarding disruption to food supply in hospitality, schools, hospitals and prisons following the end of the three and six-month grace periods. “My officials have been working with traders, retailers, hauliers and Defra on a number of general and specific issues with regard to food for hospitals and schools, seeking mitigations.
“However, retailers have made clear to me that in the absence of mitigations being found, the end of three and six-month grace periods will present further issues.”