Transports Mesguen chose Conex solutions to create a post-Brexit Customs activity

Since Brexit became a reality, Transports Mesguen, an SME located at the northern tip of Finistère, has been using Conex solutions for clearing goods en route or arriving from the United Kingdom. A highly strategic step in the Supply Chain, especially for food, live and ultra-fresh products.

A strategic challenge

To adapt to Brexit, the SME of 50 million euros at the head of a national fleet of 150 lorries created a whole new 6-declarant-strong department from scratch at the company headquarters in Saint-Pol-de-Léon. This new Customs department has been equipped and trained in the new regulatory obligations related to transporting goods to and from Great Britain, and in Conex's specialised software: the France and United Kingdom Customs solution, - Management of customs procedures on both sides of the Channel - and the EU ICS and S&S GB modules for processing security declarations.

This new declaration activity has become a profit justifyand a competitive asset for Transports Mesguen. But in reality, the project to internalize customs and security declarations was also strategic for the company: the United Kingdom's share of turnover is 25% of the 50-million-euro total. However, a significant part of the movements concern ultra-fresh food products, vegetables, poultry and seafood products. In this Supply Chain which delivers products on D+1 most of the time, outsourcing declarations to a third party could have penalised its reactivity.

Philip Gac, general manager in charge of financial and HR for the company, initiator of the project, explains:

“Entrusting customs declarations to a third party is possible on paper, but in practice, it multiplies the number intermediaries, communication difficulties, and the risk of delays…. In the world of ultra-fresh transport, when the goods must be delivered on D+1 (we are talking about live crustaceans, in particular), the Supply Chain cannot suffer the slightest delay, otherwise the goods may be lost! Above all, we did not want our lorries to be blocked at the borders upon arrival in England or France!”

It’s ancient history

Transports Mesguen has been developing transport services between the continent and the United Kingdom since the 1960s. But over the past thirty years, since 1993 with the United Kingdom’s entry into the European Union, import/export formalities had disappeared.

Until we heard talk of Brexit. As a result, on January 1^st, 2021, a department resurrected the service on brand new foundations: new regulations, new process, new team, new software... The context of political indecision and regulatory uncertainties surrounding the implementation of Brexit forced the SME to adapt, a push on the brakes then rapid acceleration, both in building up skills for its staff and for the implementation of software.

Conex has supported this Brexit project since the start, two years ago, and it is with the same determination that the two companies have worked on it, the editor adapting its software offering throughout the political negotiations and training the Transport Mesguen personnel.

Collaboration with Conex

March 2019, the decision to commit to the organisation of an internal customs clearance service for movements to and from the United Kingdom is taken. They will need teams and software and Philip Gac, who has taken the initiative to run the project, approaches Conex: “Conex is the market leader, its reliability has been confirmed to me by several freight forwarders that I know. The overall project already included enough uncertainties, I wanted security with regard to the IT solution to be chosen. And the first contacts with the teams went well from the start. In addition, Conex had the clear advantage of offering the CUSTOMS via conex™ software which is connected to UK Customs (CHIEF, CDS). Thus, the information about the goods that we transport for our customers is entered and/or interfaced only once, either on the French side or on the UK side to be sent to customs on both sides of the Channel; they appear mirrored in the Conex solution on either side of the border without additional work.”

Philip Gac estimates the need for 6 or 7 people for his customs team; but hiring, while Brexit is not yet a certainty, is a challenge. He then offered all the administrative staff the possibility of joining the future Customs department, which clearly meant training his staff in the new profession of customs declarant and, therefore, in the Conex tools. 8 people are on the starting blocks, this is enough to cover the needs of a service open from 7 a.m. to 10 p.m. 7 days a week. 3 people, including himself, start training in the spring of 2019, and will in turn train their future colleagues in the new department.

In parallel with the training, IT work is carried out to integrate the Conex tools into Mesguen's information system: this involves limiting manual entries by directly injecting the data already present in Mesguen's accounting and transactional tools into the heart of Conex interfaces. Philip Gac added: “This integration of Conex into our IT system went very well, and for our team it was really a condition for managing large volumes quickly and without the risk of error!

A thwarted launch schedule

Transports Mesguen is ready for Brexit and customs declarations. Except tha,t as we know, nothing is done on time, that one Brexit postponement follows another and that for the SME, they must remain on alert, careful not to forget anything that they had just learned but could not yet apply. So, they continue to train on fictitious datasets for two hours a week, while continuing their usual work as if nothing had happened...

Finally, September 2020, the approach of D-Day again becomes credible and imminent. They are back in pre-project mode: in September, two employees are seconded to the customs department on a half-time basis, then full-time in October. In mid-November, training sessions for processing customs declarations resume every day for all future declarants. The horizon line is getting closer. And on January 1^st, 2021, the very first customs clearance declaration in the new post-Brexit customs system is completed successfully. “It was a lorryload of Scottish crabs that was to go to Spain. Live produce, of great value, a cargo of at least 100,000 euros to be processed urgently of course, which Transports Mesguen inherited almost at the very last minute.”

The first weeks will be busy... Customers have not anticipated the new customs complexity, and are discovering on the job that Brexit has changed handling arrangements, that lorries are no longer allowed to cross the borders of England if customs formalities have not been completely cleared… Not to mention that live produce must also obtain health certificates.

Mesguen and its teams are in charge, recovering missing invoices, making dozens of calls to obtain missing information urgently, inputting and clearing customs with all their might... The first week will remain memorable, working from 8 a.m. to 2 am… In the end, the service is fully operational, Mesguen has set up a new activity based on Conex software, and developed its turnover, its teams have proven their ability to take on a memorable challenge and deliver!

About Transports Mesguen

For 70 years, the company has specialised in the road transport of foodstuffs (fruit, vegetables, seafood, etc.), fresh or frozen. It has a fleet of 85 refrigerated semi-trailer lorries. Among other things, Transports Mesguen ensures the transport of industrial products, with more than 75 semi-trailers. It also has several temperature-controlled storage warehouses. With multiple outgoing lines, it can respond quickly to calls in France and England. https://www.transports-mesguen.fr/

 PRESS CONTACT

AGENCE C3M - Michelle Amiard - michelle@agence-c3m.com

For each regulation, an adapted via conex™ software solution!

Always be one step ahead!

CONEX is a major player in the dematerialisation of customs and security information shared between import/export operators and customs authorities.

We offer businesses a full range of software and data processing solutions that make their organisations more agile. We cover all their interconnection needs with their customers, suppliers, partners and multiple customs authorities.
Faced with the complex regulations of international trade, companies need tools that ensure processing automation, data exchange traceability and security, and communication with third parties.

It is in this context that CONEX's activity has evolved over more than 35 years. Time is a force that has enabled us to acquire the recognition of customs administrations and international standardisation bodies as well as the confidence of many international Supply Chain actors.

Come and meet our team at the SITL trade fair, where you will have the opportunity to discover or rediscover our solutions. We will share information with you on the customs and security evolutions to come and the solutions we bring to the business problems that shippers and forwarders encounter on a daily basis.

To obtain your free badge, enter the code EXH69219 when making your request on the SITL website.

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The British government announced the postponement of the deadlines for certain procedures in the post-Brexit cross-border customs context, effective since January 1, 2021. The British customs administration had presented a timetable for the gradual introduction of controls on imports into Britain from the EU, so that businesses could prepare progressively.

This calendar has been revised. Safety and security declarations for imports will be required from the end of October 2024.

What does that mean?

Currently and since January 1^st, 2021, goods coming from third countries and destined for Great Britain must be subject to an entry summary declaration (ENS) which must be lodged in the GB S&S system. Goods from the EU benefited from an exemption until July 1, 2021 which was extended until January 1, 2022 and then until 31^st October 2024.

JANVIER 2021

EDITORIAL

Dear customers, dear partners,
The year 2020 has been such a challenge for us all, with Covid 19 as our ‘Sword of Damocles’... We also discovered the virtues of teleworking.This mark on our lifestyles, without being indelible, will leave traces in companies’ organisation and the relationships with employees. From the very first confinement, Conex was able to organise itself to allow it to ensure “business as usual” for our customers.
You have not had to endure any defect in the continuity of our services and have been able to continue your activity in full transparency. This proves that the notion of customer service is a priority for our teams. Given the epidemiological forecasts for 2021, we will have to keep this organisation going for a few more months to come.

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And we really needded Brexit of all that!

During this particularly troubled time, “Our English neighbours” (as it has been agreed to call them) continued to distance themselves from the European Union. We were required to adapt our tools to the new concept of the Smart Border, but not content with that, we decided to cross the Channel ourselves and pitch our tent among the British.

Transposing our national rules in the Anglo-Saxon fashion was not easy, given this period of change within the United Kingdom. Initially, HMRC (Her Majesty's Revenue and Customs) planned to change their existing IT system (CHIEF) to a more up-to-date system (CDS) of Dutch origin.

But that was before ... the decision in favour of Brexit.
With Brexit on the horizon, HMRC (belatedly) gave up starting with CDS and fell back on CHIEF, making a number of adjustments as they went along. We had to review hastily our development strategy, initially based solely on CDS, taking a 180° turn to make our solutions compatible with CHIEF. Different codifications, EDIFACT message structures, modified transmission technologies….

In short, rethink everything … Everyone to battle stations, with a deadline of 01/01/2021.

Here again, the notion of customer service has prevailed in our teams who have stepped up their efforts and gone the extra mile to allow those who entrusted us in the United Kingdom to be operational by D-Day.

CDS, CHIEF and ICS :
double word score

At the same time, the closer the fateful Brexit date approached, the more the acronym ICS (Import Control System) made people talk about it…. With ten years of experience in this security regulation, CONEX has been able to provide the entire chain with a solution designed according to the needs of each individual operator, whether carrier, forwarder or shipper. This solution is particularly suited to RoRo modes of transport, regardless of the point of entry in the European Union.

Collaborative Plateform on Blockchain background

Notwithstanding all this work, CONEX undertook and finalised a collaborative platform under the name of zen via conex™. It supports the collection of declarative data and documents, managing them in the form of an EDM (Electronic Document Management) with Blockchain technology contribution of course, a close link with the customs declarations produced through our software.

In addition to traceability of the evolution of each file, Zen via conex™ enables analysis to be performed through a set of KPIs, thus offering its users complete investigation freedom over its customs operations and data.

Thanks to variable geometry shareability, Zen via conex™ makes it possible to set up exchange and communication "clusters" of varying sizes.

We are now certain of our customers' interest in a product like this. Many of you have already opted for this solution which is ready and waiting for you to express your wishes in order to improve even further.

Last but not least

At the end of such major works in 2020, I would be remiss if I did not mention the EDI platform PASScom via conex™ which has had a makeover. This technological change took place behind the scenes without disrupting your business. However, it has allowed the complete renewal of our server park based on the latest technologies, and its relocation to ensure even better security conditions.

The year 2020 will go down in the history for Conex.

I hope that 2021 will allow our teams to slow down just a little.

Alban Gruson
Chief Executive Officer

Novembre 2020

EDITORIAL

In this back-to-school season, which requires our attention on all fronts at the same time, there is still one subject that we can anticipate: the arrival of Brexit … In all the time we’ve been talking about it, and even if there are still many questions pending in negotiations with the European Union, one thing is certain: private economic operators will have to become accustomed to making new declarations.
From 1st January 2021, a safety / security declaration will have to be carried out for goods coming from the United Kingdom to the European Union customs territory. We invite you to carry out a rapid check that you are ready to manage this turning point which will require us to live different relationships with our English cousins and to quickly take the necessary actions to comply. The countdown is approaching zero!
January 1st will also mark the return of customs formalities with the United Kingdom… CONEX is there to tell you everything you need to know to be operational from this important date! Don’t miss our WEBINARS ?

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Smart Border, launching on 1^st January for DELTA G, T and ICS:

Conex teams have been on deck for many months in order to anticipate the changes linked to Brexit and to facilitate your transmissions to the authorities. The return of customs formalities with the United Kingdom come into force on January 1^st, 2021 regardless of the outcome of negotiations … The CONEX solutions are ready to communicate with the BREXIT SI (Information System) for your French customs operations, transit and ICS (Import Control System), AND YOU?

Discover all the details in 2 minutes, ON VIDEO!

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Brexit, what’s at the end of the tunnel?

It’s a never-ending cycle. Four years have passed since the announcement, in the wake of the 2016 referendum, of the UK’s exit from the European Union. Brexit will come finally into effect on January 1st, 2021. Time is running out and the end of the year is going to be crucial. 

So where are we really?

EU heads of state and government met on October 15-16 at the EU summit to assess progress of the talks and possibly give the green light to open a final round of negotiations. Despite the British threat not to respect the withdrawal treaty and the infringement procedure initiated by the Commission against the United Kingdom on October 1, some European diplomats still dare to evoke “positive” negotiation dynamics.

Read the article

It's a never-ending cycle. Four years have passed since the announcement, in the wake of the 2016 referendum, of the UK's exit from the European Union. Brexit will come finally into effect on January 1st, 2021. Time is running out and the end of the year is going to be crucial.

So where are we really?

EU heads of state and government met on October 15-16 at the EU summit to assess progress of the talks and possibly give the green light to open a final round of negotiations. Despite the British threat not to respect the withdrawal treaty and the infringement procedure initiated by the Commission against the United Kingdom on October 1, some European diplomats still dare to evoke "positive" negotiation dynamics.

The British Prime Minister even believes it is possible that the two sides reach a compromise but stressed that "various issues remain to be resolved". "The European Union must understand that we are very serious about the need to control our own laws and our own regulations," he warned.

In fact, none of the last major obstacles, namely fishing rights, the rules of a “level playing field” in terms of competition and state aid, judicial and police cooperation as well as the means to settle disputes, has been overcome so far, as President Macron has pointed out.

Appearance of a new (virtual) border to take goods out of England

Without a deal between London and Brussels, the British government has estimated that 7,000 lorries could be stranded in Kent for up to two days before being allowed to cross the Channel. To remedy this disaster scenario, from January 1^st, drivers of heavy vehicles will need to obtain a permit to enter the County of Kent, in which the port of Dover is located. The objective: to avoid traffic jams linked to customs controls. In fact, this measure will create a kind of border inside the country!

Drivers of lorries over 7.5 tonnes will therefore have to prove that they have all the necessary papers to transport their goods to the continent before arriving in this south-eastern county. Drivers who are not up to date with their paperwork will be detected via automatic recognition of their license plate, and invited to turn back, not without being fined 300 pounds!

“This is not a forecast or prediction of what will happen but rather a stretching scenario.” Minister of State Michael Gove told Parliament. Thus today, it is estimated that only "30 to 60%" of trucks would arrive at the border having completed the necessary formalities for their goods. Without these formalities, it will be impossible for drivers to board ferries to the continent.

Claire Fournier - CONEX
International Development Manager