Smooth Brexit transition for fresh produce exporters

The United Kingdom (UK) has left the European Union (EU) and the transitional treaty expired on December 31. Many fresh produce companies have been faced with new rules for the export of products to the UK. It was very important to prepare in time. For this reason, we have made new developments around fresh produce software GreenCommerce, so that VAT-related matters can be processed correctly and export data is automatically sent to the Quality Control Bureau (KCB), customs agents, transporters and import brokers, without having to manually type it into their system. The extension to GreenCommerce saves the well-prepared exporters extra administration, time and costs.

Challenges for exporters
When the news about Brexit came out, it soon became clear that important measures had to be taken to be able to continue to guarantee sales to the UK and to process the administration correctly and quickly. Administrative work would increase enormously, especially in the field of communication with customs and the KCB. In order to pre-judge the UK exit and to help GreenCommerce customers make the transition, we did our research on time. Due to the software developments made after the research, exporters were able to start the year well prepared and they are getting used to the new working method.

Digital link with e-CertNL
From 1 January 2021, it is necessary that export data must first be digitally checked by the KCB. In order to support the electronic declaration of export data, a digital link with the KCB was previously developed within GreenCommerce, with which sales orders and sales order lines can be automatically submitted to the KCB and no retyping is required. GreenCommerce connects with e-CertNL. The extension to GreenCommerce saves fresh produce traders who export outside the EU a lot of time, extra administration and costs.

Well-prepared exporters
Exporters such as Quality Produce International (Q.P.I.), New Green, JNV Produce Marketing, Zijtwende, Bos Brothers, StC International have been managing internal and external business processes for years with GreenCommerce fresh produce software. They have now expanded the system in good time with the Export package, so that they could start well prepared in 2021. While a small proportion of these companies themselves declare to customs, the vast majority of exporters outsource this entirely to the transporter(s) they work with. Companies such as DLG DailyFresh Logistics, Freight Line Europe and H.Z. Logistics have a link with GreenCommerce. This allows them to receive the transport orders with the relevant data from the exporters via the Transportal. Due to Brexit, a development has been made to also share information about the "necessary for export" customs-related matters during the transport order. The customs service is used for this, whereby transporters can request the necessary data. If desired, the messages can also be sent directly to a customs agent. "We export a lot, including to the UK and here too we had to deal with extra handling. The new development makes it easier for us to work together with the transporters and it saves us a lot of time because not all data has to be entered manually", says Annemieke van den Ende (New Green). JNV Produce Marketing also did not want to take any risks, "We want to avoid logistics- and administrative delays, hence the Brexit-proof GreenCommerce solution in collaboration with our logistics partner DLG DailyFresh Logistics. It relieves the UK customer and us", says Johan Vrijland (Director at JNV Produce Marketing).

VAT administration
Brexit also has consequences for the administrative processing of VAT-related matters. Quality Produce International (Q.P.I.) has made use of the opportunity to respond to this. In collaboration, adjustments have been made to apply the correct VAT rates for purchase and sales orders and the associated invoice flow in the various countries. "We actively do business in several countries and recent changes to the system help us to efficiently and correctly settle VAT on transactions. Q.P.I. for example, as a UK importer, can now tax UK customers at the local VAT rate, says Maarten Leerdam (Head of Finance Q.P.I.).

More information?
Do you have a lot of trade contact with the UK? For more information about the Export package or other extensions to GreenCommerce, you can contact Remco Koornhof via remco@jem-id.nl or +31 174 - 64 26 22.