NewCold plans for increased demand post-Brexit

NewCold, the frozen warehouse operator, is looking at possibilities for a new UK site in anticipation of the demand expected to be triggered by Brexit.

Country director Jon Miles said the movement of goods from central European hubs into the UK will become more complex, based on the likelihood that the UK will leave the customs union and the impact that will have on supply chains.

“Currently, it is possible for a food producer to store product in a warehouse close to the coast in Belgium or France and deliver directly into UK distribution centres within acceptable lead times.

“However, a recent study by Imperial College London has indicated that even an additional 2-minute stop at customs checkpoints could lead to the final 40 miles of the journey to the Channel Tunnel taking 5 hours. The time and risk associated with these increased journey times will mean that the most obvious solution is to store the products closer to the market in the UK.”