BREXIT UPDATE – Aromantic UK

BREXIT UPDATE

Monday 11th Jan

European Customers - We are starting to ship again with DHL today which is great news. We will continue to monitor the situation to see how it develops but parcels are going out the the EU as of today.

 

Thursday 7th Jan

European Customers - Please note we are currently experiencing technical issues with shipping to EU countries with DHL, we are working as fast as we can to resolve these issues and will keep this page updated with any changes.  In the mean time smaller orders under 2kg and under £150 can be sent via Royal Mail without any issues. Also please note that we will likely need your EORI number which is often but not always (depending on the country you're registered in) the same as your VAT number in order to process the shipments.

 

Thursday 31st Dec 2020

Price Increase for Orders Placed from 1st January 2021

Despite the uncertainties surrounding Brexit and what all the fine print on the deal being discussed and approved will mean, we would like to provide as much clarity and certainty as we possibly can for all our valued customers and what this will mean for us all.

As we try to navigate this new year with the deal that has been agreed upon between the UK and the EU, there is still much to be determined in how the new rules will work and be applied. Currently, a deal has been made but that simply means there are no tariffs (as far as we know) on the goods we sell. However, there are still issues we will have to be dealing with, namely the following:

  • Requirements for a customs clearance on every shipment in and out of the EU. This will result in an estimated 200 million additional customs clearances per annum which has a knock-on effect on the cost due to the high workload on clearing agents.
  • There will also be additional paperwork requirements for shipping to our non-UK customers, and those in Northern Ireland.
  • It is expected that carriage costs will increase due to possible additional delays and checks at border controls.

In addition, outside of the Brexit negotiations, there will be cost fluctuations which Aromantic is experiencing. These include but are not limited to:

  • General transportation cost increases due to exceptionally high shipping volumes around the globe.
  • Cost increases as manufacturers and producers attempt to recover some of their cost changes through inefficiencies and shutdowns in 2020.
  • Additional investment in supply chain security, to ensure we can continue to provide our customers with stable supply sources through the increasingly challenging markets.
  • Currency fluctuations as the Pound Sterling has been under pressure with Brexit on the cards.

We have weathered 2020 with difficulty in terms of our various supply chains. Demand has increased with lead times becoming longer and longer due to the Pandemic. During this last year, we have seen several increases in pricing due to decreased supply availability vs increased demand, especially in plastic containers but also across many of our other raw materials. We have tried to absorb these as best as we can whilst keeping our pricing as competitive as possible for our customers but unfortunately this can no longer continue. Along with these costs and because of the new significant increased costs that will be occurring due to customs admin work for parcels, we have no option but to reluctantly increase our prices from the first of January 2021 by 5% across our range. We will constantly be reviewing the impact of Brexit across our range and if at any time we can bring costs down for our customers, we will.

For our customers in the EU, we would also like to take this opportunity to say that we will work with you as best as we can to help you through this transition to having to import our goods into the EU. We are looking at options of delivering the goods to you Duty Paid but that will not take effect until sometime in 2021.

This last year has been a great struggle for many people and the year to come will be another test for everyone to overcome but hopefully together, with a little bit of luck, patience and understanding, we can all get through it. We value all our customers, especially those over this last difficult year enabling us to keep our doors open and continue doing what we love.



What will be the impact on existing European Union Regulations such as Regulation 1223/2009 on cosmetic products?

EU Regulations rely on the principle of direct applicability. This means that, in contrast with EU Directives, they are directly implemented into UK law without the need for additional legislation from the UK Government and Parliament. Essentially they have immediate effect.

On the 30th March 2017 the government published details of its proposals for the "Great Repeal Bill" in a White Paper. The government has since introduced the European Union (Withdrawal) Bill to Parliament, as it is formally named, where it was read for the first time in July. If passed, it will end the primacy of EU law in the UK and incorporate all EU legislation into UK law. The plan is for it to be passed ahead of the UK's exit from the EU but to become law only when it actually leaves. The Bill will repeal the 1972 European Communities Act, which took Britain into the EU and meant that European law took precedence over laws passed in the British parliament. It will also end the jurisdiction of the European Court of Justice. Notably, all existing EU legislation will be copied across into domestic UK law to ensure a smooth transition on the day after Brexit.

What will be the legal and regulatory impact on my business post Brexit?

Whilst the UK Parliament will be free to "amend, repeal and improve" any laws as it sees necessary or fit, it will still be necessary to comply with EU law in order to continue to sell to the EU member states so the current regulations will still remain relevant to businesses doing so. Ensuring the continuity of EU rules and regulations is also meant to aid trade negotiations with the EU because the UK will already meet all of its product standards.