Changes to delivery to ROI and Europe
Ensuring your orders to ROI and Europe continue to flow without delays
It was a great relief when the UK Government came to an agreement with the European Union which allowed the movement of goods between the UK and EU without tariffs or quotas.
However, as the UK is no longer a member of the EU there are some changes which have significant implications to shipping goods into the ROI and Europe. Hazchem was prepared for the additional paperwork requirements (e.g., commercial invoice with each shipment, country of origin etc.) but not the implications of additional costs and processes to the entities in Europe. There are two main considerations we need to make you aware of which are as follows:
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VAT on Goods
VAT is payable on goods imported to the state from outside the European Union (usually referred to as “Import VAT”). This is reclaimable by all VAT registered entities in Europe but will be payable to the carrier prior to delivery unless arrangements have been made with Hazchem and the Carrier to take advantage of the procedure of allowing for the postponement of paying ‘Import VAT’ at the point of entry to the EU. Please let us know if you would like to take advantage of this provision and we will make arrangements to get you registered with our carrier.
Hazchem have always zero rated export goods for VAT and will continue to do so providing we have the correct VAT number for the customer.
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Duty on Goods
Duty is payable if goods imported have a country of origin outside the EU and there is an agreed EU tariff on those goods from that country. Not all goods and/or countries will have duty applied due to the various reciprocal deals with the EU and other nations. For example, there is zero tariff on clothing imported from Pakistan.
We have two options with regards to handling duty costs:
- Hazchem can deliver DDP (duty paid) and we would need to agree an increase in the price to you to cover any duty payable.
- We can deliver DAP which means that you would need to clear any duty payable with the carrier, who is acting as the freight forwarder.
Hazchem is taking professional advice on these matters and will continue to work to mitigate the impact it has on our service to customers in the ROI and Europe. We are actively considering the option of opening an entity in Ireland if it provides the necessary benefits to our customers.
If you have or your company have any plans or preferred options for dealing with these issues, we will work with you to provide a solution which is simplest for you.