Brexit - What Can Your Life Science Lab Expect and How Should You Prepare?

Posted by: Carly - Marketing Manager at Amici

 

Brexit. Regardless of the outcome, Brexit is likely to affect various industries, at least for a short while, potentially for a long while.

So, what can your life science lab expect and how should you prepare?

If the UK leaves the EU or is left with a ‘No Deal Brexit’, there will be changes to how goods flow through customs. For example, some suppliers ship their goods through distributors in the UK. Post-Brexit, these suppliers will handle any customs queries or costs. However, any goods supplied directly to customers, will be the responsibility of the Purchasers.

We recommend you do the following as soon as possible to prepare for customs changes. It’s free and should only take a few minutes.

  1. Register for a EORI number to trade within the EU.
  2. Complete an application for TSP – Transitional Simplified Procedure to legally establish your office/business in the UK.

If you haven’t done so already, we also strongly recommend that you have a Brexit Contingency Plan in place to ensure there are no disruptions to your business post-Brexit. Some of our customers have been setting up buffer stock either on-site or with suppliers, as a safety measure.

Perishable Goods.

Some perishable products (such as antibodies, enzymes, cell lines, buffers and so on) are shipped on ice/gel packs to preserve their integrity. There may be a risk of goods perishing whilst being held at customs.

How can you prepare?
  • Identify what perishable products you buy, from what suppliers, and understand if they are flowing in from the EU.
  • Identify the shelf life of these goods and review if you have enough cold storage on-site to order larger quantities to provide contingency if needed.
What are suppliers doing to prepare?

We’re in close contact with our suppliers and we’re gathering data from our top suppliers to build a Brexit Picture. We know that;

  • Some manufacturers and distributors have said that they are increasing their UK warehouse space and increasing stock levels by 5-20%. It’s important to note that suppliers may not increase stock levels on all product ranges, so relying on a generic statement of increased stock levels could be risky as the products you purchase may not be covered.
  • Some suppliers will hold reserve stocks for customers, however, there could be a requirement to underwrite this stock. You should first understand if the goods you buy will be affected post-Brexit e.g. flowing through the EU, and then make an informed decision on the most appropriate stock hold option for your organisation.
  • Some suppliers have created caveats with new 2019 pricing that it may be subject to change post-Brexit due to unknown increased costs at customs and potential exchange rate losses.

If Amici can help, please do get in touch.