The government’s Trade Strategy, released this month, demonstrates their ambition to support exporters by simplifying the export process through digital cross border trading, saving significant time and money as a consequence. This strategy builds on the Electronic Trade Documents Act 2023 which gives legal recognition to electronic trade documents such as bills of lading, bills of exchange, and warehouse receipts. This is a major step forward for UK businesses, particularly helping SMEs engaged in international trade.
How digital processes benefit exporters:
· Faster Trade Flows – Digital documents can be transferred instantly, accelerating payment cycles and customs processes.
· Lower Costs – Reduced reliance on couriers and paper processing saves time and money.
· Improved Resilience – Electronic documents reduce friction during supply chain disruptions.
· Global Competitiveness – The UK is leading the G7 in enabling digital trade; local firms now have a global advantage.
Below is an exert from page 71 of the government’s Trade Strategy https://assets.publishing.service.gov.uk/media/685c17d24cd6b0316870984b/uk_trade_strategy_print.pdf :
“As announced in the Industrial Strategy, we will work across government to deliver a set of related pilots to accelerate the adoption of ETDs by making sure that government and traders alike harness digitalisation to speed up and simplify process:
- We will work with businesses to establish model business-to-business Digital Trade Corridors with leading European Markets. The new Digital Trade Corridor pilot initiative will explore ways to help businesses use electronic trade paperwork in international trade transactions, and show how using ETDs can streamline business processes.
- A new SME Capability Programme will support SMEs in harnessing the benefits of digitalisation and staying competitive in an increasingly digital world. The programme will work alongside the Digital Trade Corridor pilot, using its insights to help SMEs work through barriers preventing their adopting ETDs and implement solutions within their supply chain”
Both DBT and the International Chamber of Commerce (ICC) estimate that if companies adopted electronic trade documents it would add £224 billion to the UK economy annually (circa 10% of GDP) https://iccwbo.uk/icc-united-kingdom-unveils-ambitious-growth-plan/.
Boex is working with the ICC to get companies trading digitally and as part of this process we’re inviting 3 or 4 MTA member companies to be part of a Pilot study to see first hand how adopting digital trade documents will save them time and money in the export process. There is no cost to participate in the Pilot and we believe participants will see significant benefits.
For more information on seeing the benefits of switching to digital cross-border trading, please contact [email protected]