‘Heathrow performance is adding to UK’s logistical woes’

Not a day goes by without news of the latest crisis to beset the UK logistics sector. From an unexpected EU reset and abolition of the widely anticipated rollout of the Approved Operator Scheme, to regular reports of unacceptable delays at the border – never has there been a more challenging time for logistics operators.

The latest news to rock the industry is linked to Heathrow’s poor performance as an efficient hub airport. This is outlined by the Heathrow Reimagined campaign, which is calling on the Civil Aviation Authority to carry out a fundamental review into the airport’s regulatory model.

Hot on the heels of Heathrow failing to rank in the top 20 at this year’s World Airport Awards – yet still being one of the world’s most expensive airports – we are told plans are afoot to expand the airport with a £21bn third runway.

This defies all logic when we already know that it is cheaper to fly goods into Europe and transfer them via road to their end destination rather than face the hefty fees being charged at the UK’s largest airport. I am aware of a customer in Africa who categorically refuses to fly to the UK, preferring to shift 30 tonnes of product a week into Europe, incurring significant road miles in the process and ultimately, eating into the precious shelf life of perishable goods.

We are fast becoming a pariah, the destination that no overseas exporters wish to be associated with – and this is already being evidenced by the sparse supermarket shelves offering limited fresh produce (especially fruit). Product that has made it onto the shelves if often tainted with a short shelf-life, due to the extended hours spent in transit.

Combine the above with rising rates, rocketing energy bills, and the escalating cost associated with separating food waste from plastic – a cost which is not borne out by or even shared with the supermarkets – and it is plain to see that the supply of fresh produce into the UK is destined to suffer, resulting in further shortages.

Businesses once hailed as ‘essential workers’ during the pandemic are now faced with unprecedented chaos and yet more hurdles to overcome. The government’s persistent failure to respond to the Fresh Produce Consortium’s list of reasonable questions, following the decision to overturn the long-standing Brexit arrangements identified in the Border Target Operating Model, represents further uncertainty in the industry.

Companies that have been preparing for Brexit for over five years – who have invested in training, staffing and even (like ourselves) in the purchase of facilities capable of maintaining the seamless transfer of perishable goods – have been left high and dry. There is no sign of any compensation to address the huge amount of time and money that has been expended, only for the government to completely overturn the nation’s wishes.

The net result of this maelstrom of uncertainty will undoubtedly be the occurrence of food shortages, hand in hand with a hike in prices for fresh produce.

All this from a government that is spending taxpayers’ money on the Plan for Change, the world-first partnership between government and industry designed to tackle the obesity epidemic and reduce pressure on the NHS. As part of the government’s forthcoming 10 Year Health Plan, “large retailers, including supermarkets, will be set a new standard which will make the average shopping basket of goods sold slightly healthier”.

I have no problem with the scheme per se, but surely the push towards encouraging healthier eating habits – which of course includes the consumption of more fresh fruit and vegetables – should take into consideration the action required to ensure these products are on the shelf, at a reasonable and accessible price point.