The countdown to Brexit is on, with the month of the 海角视频’s withdrawal from Europe now upon us.
Issues have been highlighted by businesses since the referendum vote, and with the latest leave date now on the calendar, several key concerns remain.
With two of the six 海角视频 oil refineries on the South Humber Bank, one of the biggest issues should we face a No-Deal scenario is the unfair advantage it will grant to global producers.
Britain faces a 4.7 per cent tariff on fuel exports should we leave and face World Trade Organization rules, while the 海角视频 has established a 0 per cent import rate.
Both Total Lindsey Oil Refinery and Phillips 66 have made their views clear, and have lobbied through the 海角视频 Petroleum Industry Association.
Total, French-owned, has restructured significantly in recent years, having been put on the market previously, and a lack of a level playing field saw grave concerns for the North Killingholme site voiced in Westminster. It is seen as oil's equivalent of a cheap steel dump on the 海角视频, while security of supply as well as the economic impact the loss of any refinery would trigger have been hammered home.
Jean-Marc Durand, general manager, said Total Lindsey Oil Refinery is aligned with the position of 海角视频 Petroleum Industry Association and All Party Parliamentary Group on the 海角视频 Oil Refining Sector - calling for a think again by the Department for International Trade and reciprocal tariffs.
Mr Durand said: "We want to maintain a level playing field. We have concerns regarding the draft 'No Deal'” import tariffs, specifically to set import tariffs at 0 per cent whilst export tariffs are 4.7 per cent."
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It is united with neighbour US-owned Phillips 66, where lead executive Darren Cunningham has described it as a “competitive disadvantage” and a “negative headwind the industry doesn’t need”. Both are channeling lobbying through 海角视频PIA.
A spokesperson said: “With little more than four weeks until the 海角视频 potentially leaves the EU, 海角视频PIA has not been made aware of any announcements from the 海角视频 Government which would alleviate our strongly-held concerns about the impact of a ‘No Deal’ Brexit on the 海角视频’s refining sector.
“海角视频PIA continues to be significantly concerned about the threat to 海角视频 refineries as a result of the proposed temporary tariff schedule in the event of a ‘No Deal’ Brexit, with difficult decisions for companies a real possibility as a result.
“We remain worried about the mid-to-long-term effect on the competitiveness of 海角视频 refineries with 海角视频 exports facing a WTO tariff barrier while products from the EU and the rest of the world would be allowed to come into the 海角视频 tariff-free. Europe is a major export market for 海角视频 refineries, with over 40 per cent of petrol exports in 2018 going to the EU, and the government’s tariff schedule would put significant pressure on 海角视频 refiners by distorting competition between the 海角视频 and refineries elsewhere.
“In recent weeks we have witnessed more focus from within government on areas of concern to our sector, but we encourage ministers to continue to engage with our industry in order to avoid and mitigate any potential upheaval from a ‘No Deal’.”
At neighbouring Port of Immingham, lead figures – together with colleagues in Hull – are working closely with the Department for Transport to ensure the site remains operational, with emergency truck stops and even motorway holding areas in place should the worst fears of port congestion materialise.
As reported last week, port director Simon Bird said: “The government has said it wants to get a deal, and that’s great, but in the absence of a deal we don’t have any clarity and need to plan for the worst. What we hear is cargo coming into the 海角视频 is not going to have any more burdens in terms of checking, and in most cases customs duty and clearance will be done away from the port. That’s great news that cargo can be moved away.
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“It is the other way that concerns us, the linkage to Dutch and Belgian ports, and what the administration they bring in to the port will do to cargo back here.
“Until the politicians conclude what they are going to conclude we don’t know and that’s what this trade resilience is all about.
“We need clarity. We are all logistics professionals and experts, and once we understand what the law is we will accommodate the law in our operations. With the lack of clarity we can only plan for the worst.”
It is exports that are now at the top of the list when it comes to the seafood industry too. Action has been taken on imports, with European road travel for vital Norwegian supplies swapped for sailings from Sweden to the heart of the cluster.
Simon Dwyer is a senior figure on the Seafood Grimsby and Humber cluster board, as secretariat of the Grimsby Fish Merchants’ Association. He said: “The majority of medium to large processors have had Brexit on the radar for a long time and have been working towards any potential challenges around frictionless trade and labour in particular.
“On the face of it, in terms of raw material coming in to Grimsby for processing – fresh fish from Iceland and Norway – we are not envisaging any major issues, unless there are issues with ships or trucks entering or leaving the port. Barring that, in terms of goods arriving and getting into the supply chain, we don’t see any issues.
“Companies are already switching routes. Norwegian cargo is coming from Gothenberg to Immingham, rather than through five or six countries to then cross on the Calais to Dover.
“The biggest concern is exports from the region into France. It isn’t a significant volume but companies are doing it and are going to be a lot more work and documentation involved with export health certificates, catch certificates and additional charges. While there is to be a fast-track from Calais to Boulogne-sur-Mer every single truck and consignment will be checked at a border inspection post. Two to three trucks a day go from Grimsby, and will be arriving along with 25 to 30 from Scotland. We don’t know how it is going to pad out at the moment in terms of speed of customs clearance, the check itself and when it gets in the cross-docking and logistics hubs to be distributed to various destinations in France.
“There will be a hard cost that’s for sure, as it will be more onerous putting the paperwork together.”
Micro-business support is being developed, while the EU worker settlement scheme as been flagged up, with labour concerns signposted to legal experts.