Preparing your business for Brexit - Feb 2019 | NZTE
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Preparing your business for Brexit
Schedule
NZTE - 30 minutes
01 Nick Swallow (Trade Commissioner to United Kingdom and Ireland)
Ministry of Foreign Affairs and Trade – 5 minutes
02 Anna Cameron (Lead Advisor – Europe Division) and Michelle Slade (Principal
Advisor - Trade and Economic Group)
New Zealand Customs – 5 minutes
03 Brett Collett (Acting Manager)
Ministry for Primary Industries – 5 minutes
04 Rochelle Ferguson (Specialist Advisor) and Zoe Tame (Policy Analyst)
05 Q&A time – 15 minutes
Networking and Refreshments – 30 minutes
06
2
Brexit: Where we are now?
Almost three years since the referendum, what’s happened?
Negotiations
29 March 2017 14 November 2018
Negotiations + 2nd vote
29 March 2019
? 15 January 2019
3
Where to next?
Second Extending Article
Referendum 50
Revoke Article 50 General Election
Comprehensive
Agree Withdrawal Transition Period
FTA
Deal until Dec 2020
UK-EU
No-deal
However…. if nothing is agreed the default is a no-deal on 29 March We are at a political deadlock. With less than 45 days until the UK leaves the EU, the likelihood of a no-deal outcome is increasing. • The UK leaves the Customs Union and Single Market on 29 March 2019 as a ‘third country’ • There is no transition period • UK moves to trading under WTO rules • No change to EU – NZ tariffs
No-deal
The Government has
“recommended that
businesses now ensure
that they are prepared
and enact their own no-
deal plans.”
Philip Hammond,
Chancellor of the Exchequer
6
Immediate impact of a no-deal on the
trade journey
Additional customs
Introduction of tariffs
procedures and declarations
Delays at border Regulatory changes
7Beyond this…how might a no-deal
impact on your business?
Currency Contracts Data Talent
Packaging Terms of
Citizens Intellectual
and trade
Property
Labelling INCOTERMSNZ-UK Trade Continuity in a no-deal Signed on 21 January Mutual Recognition Agreement Will continue to allow products (including veterinary medicine) to be tested, inspected and certified in NZ before being exported to the UK, and vice versa and covers: • manufacturing practices for medicinal products • medical devices • telecommunications terminal equipment • low voltage equipment • electromagnetic compatibility • machinery, and • pressure equipment The Vet Agreement facilitates trade in animal related products (including meat and dairy) including through the recognition of equivalence in our respective regulatory approaches
What can you do to prepare?
Review your operations
Talk to your partners
Consider your people
Review your contracts
Packaging and Labelling
Consider regulations
10Where can you find further information?
brexit@nzte.govt.nz
11Ministry of Foreign Affairs and Trade
02
Anna Cameron (Lead Advisor – Europe Division)
and Michelle Slade (Principal Advisor – Trade and
Economic Group)
12Anna Cameron Lead Advisor Europe Division
Brexit Update
Brexit Trade Issues Update
New Zealand Customs
03
Brett Collett (Acting Manager)
16Customs’ preparations for a no-deal Brexit
To Date Future
• established a specialist Customs Counsellor role at the High • working with HMRC and UKBF, and
Commission in London European Commission and EU
countries, to better understand their
• worked with HM Revenue & Customs and UK Border Force to requirements (especially no-deal
ensure systems, processes and arrangements are in place to contingency planning)
limit disruption as much as possible to NZ exporters
• update website content and use
• published Brexit information on www.customs.govt.nz/brexit digital channels as required
and social media activity
• commence exporter engagement –
• assessed the benefits of negotiating a customs agreement exporters and industry
with the UK representatives
• prepared frequently asked questions for use by exporters – • work with HMRC on progressing a
available on website customs agreement
• worked with NZTE, MPI and MFAT so there is a coordinated • open the 0800 number and email
approach to communicating to/engaging with NZ exporters address for exporter’s Brexit
and industry associations enquiries
• worked with European Commission and EU countries re what
they are doing to prepare for Brexit 17Key points for NZ trade to UK and EU
• The UK and EU border agencies are preparing for no deal
• No major changes to Customs documents
• Importers have options to reduce congestion – eg duty deferral
• Low risk will still be low risk – UK focused on security, congestion
and revenue risk
• Transit and trans-shipment arrangements are being worked through
• Impact may differ for sea container, cross channel roll on/roll off,
air cargo
• Impact may differ by Port
• Customs working with agencies to get clarity
18What you can do to prepare
• Ensure you check the tariff rate for your goods into the UK and EU
eg look at the UK tariff finder on their website
• Ensure you understand any documentation requirements for
importing into the UK and EU – check with your customer and
forwarder
• Check with your forwarder on shipping routes and understand any
transit or transhipment requirements
• Check if your customer or forwarder is an Authorised Economic
Operator (AEO) – EU trade in particular
• If there is a delay – get facts and be clear why
• Keep an eye on delays or impacts at particular ports
• Keep informed – NZ government agency websites
www.customs.govt.nz/brexit
19Ministry for Primary Industries
04
Rochelle Ferguson (Specialist Advisor)
and Zoe Tame (Policy Analyst)
20MPI Response
International Directorate/Market Access: drawing on expertise from across the organisation. Working
closely with MFAT/Customs/NZTE.
Organics MPI Comns
Tariff quotas
Market Insights UK SPS
ERAS requirements
Fish certification WTO
UK trade Brussels
Technical Vet agreement dialogue
Geneva
advisory group MPI Legal
Stakeholder
Engagement with DEFRA London
engagementRegulatory Continuity
• Replication of Veterinary Agreement
• Health certificates and establishment listings
• Recognition of existing arrangements:
• Organics
• Fisheries certificationStakeholder Engagement
▪ Stakeholder engagement – Brexit Technical Advisory
Group with industry representatives from across the sector
▪ Export Regulatory Advice Service (ERAS)
▪ MPI Brexit webpage, LinkedIn, FacebookUK Engagement • London/Brussels MPI representation – • Advocacy • Engagement/relationship building • Seeking certainty around requirements • UK Trade Dialogue • SCIP Programme
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