Impacted supply chains
IMPACTED SUPPLY CHAINS
Five different types of supply chains can be identified along which ACP horticultural exports to existing EU28 markets take place, with a ‘No Deal’ or ‘Hard’ Brexit having different effects depending on which type of supply chain is being used.
Two main categories of supply chains and 5 sub-categories explored further.
- Direct exports to the UK with the product staying in the UK (SC1);
- Direct exports to the EU27 with the product staying in the EU27 (SC2).
- Triangular supply chains serving the UK market via initial points of landing in EU27 member states (SC3);
- Triangular supply chains serving a EU27 market via initial points of landing in the UK (mainly serving markets in the Republic of Ireland but not EU27 member states (SC4);
- UK ‘Land Bridge’ supply chains, whereby products are landed in a country in mainland Europe and transit the UK to serve markets in the Republic of Ireland (SC5).
Concerning ACP horticulture and floriculture exports the most serious concerns arise regarding the functionning of SC3 supply chains for those serving the UK market via initial points of landing in a mainland European EU member state, primarily the Netherlands, Belgium and France.
It is important for individual ACP horticultural exporters to identify along which type of supply chain their exports to the UK or a EU27 market take place, in order to make a full assessment of the possible implications of a ‘No Deal’ or ‘Hard’ Brexit on the functioning of their current export supply chain.