UK braces for possible shortages of some foods as France closes border to trade new Covid strain

The travel ban, initially set at 48 hours, came when many countries, including Germany, Canada and Denmark, were able to refuse passengers from Britain after British officials said a new, more transmissible strain of the coronavirus was responsible for an increase of the number of cases in London and South East England. .

To stem the spread, officials in the UK imposed new restrictions in the most affected areas over the weekend, while curtailing plans to relax measures across the country before the Christmas season.

Denmark, the Netherlands and Belgium have already confirmed a small number of cases of the new coronavirus strain, called N501Y, which scientists believe may be as much as 70% more transmissible than established strains.

Officials from European countries gathered on Monday to discuss how to respond, while the UK government would hold an emergency meeting over concerns about shortages in some stores due to disruption at the border.

Concerns about the impact of the new coronavirus strain, as well as uncertainty over whether the UK and the European Union would agree a post-Brexit trade deal, weighed heavily on the British pound on Monday. The pound sterling fell 1.8% against the dollar and 1.1% against the euro, after falling a staggering 2.2% against the dollar, one of the largest declines since the market move in March .

While several countries imposed certain travel restrictions from Great Britain and elsewhere – such as mandatory quarantines – during the pandemic – it was always allowed for cargo to move freely in and out of the UK until Sunday evening.

Travel suspensions “can seriously disrupt the delivery of fresh Christmas products in the UK,” said Ian Wright, CEO of the UK trade group the Food & Drink Federation. “Continental truck drivers will not want to travel here if they are really afraid of being stranded.”

J Sainsbury PLC, the UK’s second largest supermarket chain, said there could be a shortage of lettuce, some vegetables and citrus fruits in the coming days if no solution can be found.

Following France’s move on Sunday, the port of Dover has asked freight and passenger customers not to travel to its terminals, one of the busiest in Britain. Dover is responsible for 20% of the total freight traffic between the UK and Continental Europe.

The British government warned of significant disruptions, while British media showed footage of long traffic jams invading southern English ports.

Eurotunnel,

which operates the railway tunnel connecting Great Britain and France has also discontinued all freight and passenger services.

In a statement, the French embassy in London said on Monday that European leaders would draft health protocols that would allow traffic to resume from the UK.

“Our priority: to protect our nationals and fellow citizens,” he said.

However, some companies – especially in the food and drink industry – said they had already felt the impact of the French movement as their goods are perishable.

‘This is a disaster … trucks loaded with hundreds of thousands of pounds [of shellfish] headed for Dover, ”Loch Fyne Seafarms Ltd., a Scottish fishing company, tweeted after the freight ban.

Delays in ports can also have major consequences outside of supermarket chains and the food supply. While many manufacturers have stocks of components that they can use for short periods of downtime, some companies are working on so-called just-in-time supply chains that closely coordinate the arrival of parts with assembly.

That includes volume auto makers on both sides of the channel.

Toyota Motor Corp

Oration, for example, was used to holding only four hours worth of parts at its UK car factory and relied on 50 trucks coming into Britain every day to build its cars. A three-week strike by French ferry crews in 2015 disrupted Toyota’s supply for two months, the company previously told lawmakers.

Jack Semple, secretary of the UK trade group, the Engineering and Machinery Alliance, said many manufacturers have stocks, but supply chains are so integrated with the rest of Europe that the current disruption is a major problem.

“Those concerns will quickly escalate if people think it will last longer than 48 hours,” he said.

Monday’s disruption comes at an already awkward time for UK ports, which were under pressure amidst Christmas supplies and the UK’s imminent departure from the European Union’s customs union on January 1, as well as disruption due to the pandemic.

A survey of UK hauliers released Monday by the Haulage Exchange, corresponding to loads and drivers, found that 96% of those polled said they were not ready for the transition and needed more clarity on what the border legislation will be. The UK and the EU are currently negotiating a possible trade deal, but the outcome is uncertain.

Write to Alistair MacDonald at [email protected]