In the wake of Brexit, the complexities of EU-UK trade have surged, necessitating innovative solutions to manage the increased administrative and regulatory requirements. The Trade and Logistics Information Pipeline (TLIP), utilizing IOTA technology, emerges as a groundbreaking approach to enhance trade efficiency between the UK and the EU. By enabling real-time data sharing and reducing administrative overhead, TLIP stands to revolutionise the logistics and supply chain landscape.
Post-Brexit Trade Challenges
Since Brexit, the UK has faced significant administrative and regulatory hurdles in trading with the EU. The UK’s Electronic Trade Documents Act and the EU’s Entry & Exit System were introduced to digitize trade processes, but the challenges remain substantial. A typical trade consignment often involves over 20 organizations, each incurring costs for data extraction and document verification. These inefficiencies lead to delays and increased risk of non-compliance penalties, particularly affecting perishable goods.
Introducing TLIP : A Seamless Digital Network
TLIP leverages IOTA’s digital infrastructure to create a seamless network for managing trade information. This innovative pipeline reduces administrative overhead and addresses the complexities associated with multiple organizations and high document verification costs. By enabling stakeholders to access and share consignment data seamlessly, TLIP significantly reduces delays and the risk of non-compliance.
In a pilot study involving poultry shipments from Poland to the UK, managed by the Institute of Export & International Trade and Mobius Technology, TLIP’s benefits were clearly demonstrated. Mobius, responsible for handling subcontracts, creating export and import declarations, and monitoring the physical movement of goods, used TLIP to streamline these processes. TLIP’s proactive approach ensured that all regulatory requirements were met before the goods reached the border, expediting clearance and reducing costly delays.
How Mobius Uses TLIP
Mobius employs TLIP to send signals to border agencies, providing comprehensive consignment details, route information, timings, and monitoring temperature control and location. Acting as a digital pipeline, TLIP collates and disseminates consignment and transport information for each shipment, making it accessible to all relevant stakeholders. This ensures interoperability and trust within the supply chain.
Benefit 1: Interoperability
TLIP enhances interoperability between the various IT systems used by transport and logistics companies. By adhering to international data standards, TLIP allows documents and data to be shared, compared, and accessed by different parties along the supply chain. This promotes consistency and administrative efficiency, significantly reducing the time and cost associated with data management and document verification.
Benefit 2: Trust
Trust is a cornerstone of TLIP’s functionality. The platform ensures that all participants in the supply chain are carefully audited and accredited, with their credentials stored as Verifiable Credentials. This meticulous approach allows the provenance of documents and data to be easily verified. Thus reducing the need for costly and time-consuming document checks by border authorities. By fostering a trustworthy environment, TLIP enhances the overall reliability of the supply chain.
Collaboration with TETA
Mobius is a member of the Technology-Enabled Trading Alliance (TETA). It is a coalition that addresses complex trade issues related to the movement of goods across international borders. By collaborating with TETA, TLIP benefits from real-world testing and implementation. Thus ensuring practical and effective solutions for actual trading scenarios. This partnership enables TLIP to continuously refine its processes and adapt to the evolving needs of international trade.
Next Steps
The TLIP-Mobius partnership aims to further develop the ‘signals’ concept. By introducing new operational signals, including results from health inspections and environmental monitoring alerts. The pilot is scheduled to run until the end of September. Along with the plans to develop the first commercial EU-UK road freight platform post-pilot. This next phase will focus on expanding the capabilities of TLIP. While ensuring it meets the diverse needs of the logistics and supply chain industry.
Conclusion
As the UK navigates its post-Brexit trading relationship with the EU, technologies like TLIP play a crucial role in enhancing operational efficiencies. Additionally supporting compliance with evolving standards and regulations.
TLIP represents a significant leap forward in the digitisation of trade processes. It also offers robust solution to the challenges posed by post-Brexit trade. By leveraging IOTA technology, TLIP ensures a smoother, more efficient flow of goods between the UK and the EU. Thus fostering a more integrated and trustworthy supply chain ecosystem.
