Lords to Government: ‘Sort out groupage and parcel delays to EU’

The government must resolve groupage and parcel service issues to the EU after evidence showed that high rates and increased paperwork were threatening the profitability of SMEs, according to a Lords report.

The EU Goods sub-committee said higher haulage rates and issues with groupage and parcel delivery services were piling the pressure on food and agricultural produce exporters, especially smaller businesses.

It cited evidence from the Provision Trade Federation (PTF), who said: “UK exporters, unable or unwilling to pay these higher rates, or to risk delays to their own loads, are accordingly having to divert products to the domestic market, resulting in lower returns, or to reduce output, or both, adding to cumulative impacts on profitability.”

The committee report also highlighted problems with groupage, with paperwork for one consignment sometimes preventing a whole HGV from proceeding.

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