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Flower price drops as flower duty suspended

Flower price drops as flower duty suspended

It’s been announced that following requests from UK companies and with the help of Union Fleurs, import duty will no longer be levied on flowers of non-EU origin going through the Dutch system.

The duty began when the UK left the EU, and established its own 0603 MFN tariff system for imports; 8% for fresh flowers and 10% for dried and other non-fresh flowers

In practice, most origins were exempted from import duties by various trade deals. However, flowers of non-EU origin traded through the EU were excluded from these deals because of the specific "rules of origin" agreed between the EU and the UK at the time of Brexit.

In other words, Colombian or Kenyan product – which would be excluded if they were sent directly into the UK, were suddenly liable for an 8% tariff because they had landed in The Netherlands and were being sold on.

As of today, the UK Government has declared a temporary suspension on import duties under code 0603 and which will run until 30-6-26.

However, the impact has been almost immediate with one wholesaler telling us “it is really good news and has been reflected in prices quite quickly” 

The suspension is a direct result of various applications by British-based companies for the "Duty suspension" program, in addition to the efforts of Union Fleurs, which made intensive efforts in recent years to bring the emerging issue to the attention of the British government.

Commenting on the move in their news portal Royal FloraHolland said “We are pleased with this temporary adjustment and know that VBN and VGB [Dutch trade bodies] will continue to work with industry representatives broadly from the sector to move the temporary suspension to permanent adjustment.

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