BREXIT – Medical Devices and Clinical Consumables supply in 2020
In response to the Department of Health and Social Care Secretary’s recent communication entitled EU Exit – Medical Devices and Clinical Consumables supply in a 2020 ‘no deal’ scenario.
Spentex is fully prepared for Brexit. After the referendum in June 2016 we took the view that leave meant no deal and have taken that approach in ensuring a robust supply chain.
Regarding Brexit, many years ago we were hit hard by exchange rates and raw material cost increases. To ensure stability and quality of service and product, we took the decision to shorten our supply chain and focus on quality of products and value. We have long felt it is our duty as a UK firm to support other UK businesses keeping money and jobs in this country.
Out of the 234 suppliers and manufacturers we regularly use, all but six are UK based. The six who are EU based and have assured us that at worst 9 euros per order will be added on WTO rules, which gives us two areas over which no one has any control.
- The EURO exchange rate, which may mean a price increase or it may not. Nobody knows. Our company policy is to advise all customers of any changes in price before processing any orders, and to obtain agreement before delivering any order. This avoids any surprises, we believe in full transparency.
- The actions of the UK Government and HMRC should they choose to impose import tariffs on any items, goods or services.
We have no concerns about supplying orders. Like most small and medium size businesses, we have the flexibility to source products within our ISO9001 framework quickly and efficiently. Like people, business will always find a way to adapt, and I have spoken to our manufacturers, all of whom have increased stock levels and forward ordering to ensure stable prices at least until March 2019.
In my personal view I have no concerns about Brexit, the UK will always find a way. Necessity is the mother of invention (and commerce).
I hope this helps, and if you have any concerns or questions about our Brexit preparations, please do not hesitate to contact me.