Parallel trade permits post Brexit

Below is a summary of the latest guidance from the Health and Safety Executive regarding the trading of plant protection products under parallel permits following the UK’s departure from the EU:

Deal

Subject to ratification of an agreement, there would be an implementation period (IP) of a set duration, during which EU law would continue to apply to the UK.

The statutory requirements for authorisation of products to be marketed will remain unchanged during the Implementation Period.

Existing parallel trading permits for PPPs remain valid after exit day. HSE will continue to accept new applications for parallel trading permits until the end of the Implementation Period.

Depending on the exact terms of any future agreement it is possible that parallel trade between the EU and UK will continue after the implementation period. There may also be potential for parallel trade with other non-EU countries.

No Deal

The parallel trade permit system operates within the EU’s PPP regime. After exit, therefore, HSE will be unable to accept applications for new parallel trade permits or grant any further parallel trade permits.

Existing permits will remain valid for up to a maximum of 2 years from exit, or until their current expiry date if that is sooner.

At the time of writing HSE continue to accept new Parallel Permit applications however given the EU Regulations allow 55 days for processing an application there is now a greater risk that applications for parallel trade permits might not be able to be completed by 31 October 2019.

Summary

Under the UK Government’s preferred position of leaving the EU with a deal, all current parallel permits remain in place and it will be possible to apply for new permits during the Implementation Period. Under a ‘no deal’ Brexit permits will remain in place for 2 years provided their current expiry date is not sooner.

Clayton Plant Protection Update

Clayton Plant Protection has a hybrid business model marketing a wide range of generic, third party and parallel plant protection products in the UK and EU. Over the next 12-24 months Clayton’s range of generic products will increase rapidly with sales of such products anticipated to contribute 60% of turnover by 2021. Regardless of the outcome of Brexit we remain committed to our core UK market and expanding our sales in mainland Europe.

More information relating to Brexit can be found at https://www.hse.gov.uk/brexit/regulating-pesticides.htm