Brexit Statement

18/12/2020 12:06:22

 

To our clients, 

Following recent reports that a free-trade deal will not be struck before the end of December 2020. As we near our Christmas shutdown period (25th December 2020- 4th January 2021), we wanted to offer confirmation of our current position and readiness for Brexit. 

To ensure that we are able to offer a a large selection of products to suit your requirements, we work with around 200 approved supplier factories across the world to supply our products to the high quality and ethical standards that we have set. 

Stock

A selection of our suppliers are UK based and do not have supply chains that rely on EU counterparts. Many of our UK based factories have invested in in holding additional stock of completed or component parts ready for branding and despatch to our usual lead-times. We have had confirmation from key suppliers that forward orders have been made to add to these large stock volumes and these are either in transit, or currently being manufactured in the Far-East. Provision of products if predicted to continue to un-effected going 2021 and beyond. 

Stock levels and availability for suppliers based within the EU will remain unaffected. 

In addition to this, we also have developed product lines that manufactured and branded here in the UK to ensure quicker lead-times, and a lesser negative impact on the environment thanks to limited transport. 

Branding

In line with holding stock, the vast majority of our supplier brand and finish completed products right here in the UK, so we do no foresee any negative impacts on this service. For bespoke or large projects, we are able to outsource the work to approved factories based in the Far-East.

Pricing

Whilst we are hopeful that a trade-deal can be met with our EU counterpart, in the case of a no-deal, we do have a small number of suppliers who will be affected by WTO Tariffs that could see a slight increasing in pricing of products due to freight and importing charges. Whilst we have done the preliminary work to identify those suppliers in out network, we have also identified key product lines from those suppliers, and worked to source alternative options from UK and Far-East based manufacturers. 

Lead Times

In the event of a no-deal Brexit, there are many reports predicting delays at customs entry points for good arriving from the EU into the UK, especially in early 2021. This congestion is also likely to effect shipments from outside of the EU. Coupled with Chinese New-Year, 12th February 2021, which also may bring a 2-4 week closure of Chinese factories, we are mindful of delays that may arise in early 2021.

In Conclusion

It is important to note that we have been working with our key suppliers for over 20 years and have developed excellent working relationships with our colleagues. We have a strict supplier management policy in place, and only work with suppliers who meet our standards for high quality, sustainable and ethical sourcing. From this, many of our suppliers have agreed to hold pricing, and we are working to look at new pricing structures to ensure that there is a minimal knock-on effect to you, our clients. 

Our expert account management team are here to work with you for your promotional merchandise needs, and qualify each and every enquiry to ensure that we can provide the best products to meet your needs, budget and deadlines. Getting this information is vital, as our sourcing team will work with our supply network to ensure we can provide the perfect product to suite your requirements. 

Working in partnership with our clients and suppliers to provide the best service and products remains our top priority, and our team are here to help you with all your promotional merchandise and clothing needs. We look forward to working wit you your your projects in 2021. 

Sincerely,

Team Allwag

 
 

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