Headache for Business: Tighter Border Controls and Their Potential Fallout
Trade organizations voice concerns over potential drawbacks of tightened customs regulations for commerce - Trade organizations issue caution on potential drawbacks of tighter trade border restrictions
Okay, buckle up, because we're diving into the nitty-gritty of the latest border control debate. The German Chamber of Industry and Commerce (DIHK) ain't taking this lying down, and neither should you.
Now, listen up. The DIHK's economist, Volker Treier, dropped a bomb on everyone's lunch table when he warned the "Handelsblatt" that even the Corona crisis has shown that restricted border traffic can smother the economy. In a nutshell, politics needs to make sure those important deliveries and cross-border trade run as smooth as the river Rhine.
You might be asking, "Why? What's the issue?" Well, here's the kicker: Stricter controls could slap companies with higher storage costs and make just-in-time deliveries as reliable as a one-legged cowboy at a rodeo. Yep, you heard that right. And you thought your job was tough!
Now, take note: Treier didn't mince words when he warned against stricter restrictions for cross-border commuters and service providers. He specifically pointed his finger at the regional retail trade, border gastronomy, and the care and health sector – industries that rely on free movement of goods and people like their lives (and wallets) depend on it.
The president of the German Association for Foreign Trade, Dirk Jandura, joined the chorus, calling for the controls to be time-limited. There's nothing illegal about wanting controls (if they're necessary to protect the population), but they should be temporary, he said, as sternly as a school principal.
The logistics industry is bracing themselves, relying on close cooperation with the Interior and Transport Ministries to prevent major problems. One idea on the table? Green Lanes for goods traffic, allowing trucks to slip through borders practically unscathed.
It's not all doom and gloom, though. Dobrindt, the CSU's Alexander Dobrindt, has announced that border controls will be "strengthened and refusals increased," but he also mentioned that stationary border controls are to be "only a temporary measure." So, it's a fight between progressive control and stability—a true tale of two cities!
But let's not forget the potential fallout. Stricter controls could lead to increased trade delays, higher costs, disruptions in cross-border trade, and even a decrease in trade volume. Worst of all, they might scare off businesses that fear increased bureaucracy and potential delays, undermining economic growth. Ouch!
So, fellow business associates, let's not let the border control debate sidetrack us from what really matters: keeping our economy thriving. Let's make our voices heard, stick together, and ride this storm out like the savvy business dynamos that we are!
- The German Chamber of Industry and Commerce (DIHK) is expressing concerns about the potential impact of tighter border controls on the economy, particularly in the EC countries.
- Economist Volker Treier from the DIHK has warned that stricter border traffic restrictions could lead to higher storage costs and jeopardize just-in-time deliveries, akin to managing a one-legged cowboy at a rodeo.
- Volker Treier has also highlighted the impact on industries like regional retail trade, border gastronomy, care, and health sectors that rely heavily on free movement of goods and people.
- Dirk Jandura, President of the German Association for Foreign Trade, has advocated for time-limited border controls, emphasizing the need for flexibility to avoid causing long-term damage to business and trade.
- The logistics industry is working closely with the Interior and Transport Ministries to implement solutions such as Green Lanes for goods traffic, to minimize disruptions and delays in cross-border trade.
