Post-Brexit Trade Transformation: IOTA’s TLIP Enhances EU-UK Logistics
James Ding Jun 21, 2024 04:23
The Trade and Logistics Information Pipeline (TLIP) leverages IOTA technology to streamline post-Brexit trade between the EU and UK by facilitating real-time data sharing.
The Trade and Logistics Information Pipeline (TLIP), utilizing IOTA technology, aims to streamline EU-UK trade by enabling real-time data sharing and reducing administrative overhead, according to the IOTA Foundation Blog.
The Role of IOTA's TLIP Technology in the UK
Post-Brexit, the UK faced an increase in administrative and regulatory requirements for moving goods between the UK and the EU. The UK's Electronic Trade Documents Act and the EU's Entry & Exit System aim to digitize trade processes. In this context, TLIP, an IOTA-based digital infrastructure, provides an ideal solution to improve the flow and efficiency of trade.
TLIP: Streamlining Trade Through Technology
TLIP uses IOTA to create a seamless digital network for managing trade information, reducing administrative overhead, and addressing challenges associated with multiple organizations and high document verification costs. A typical trade consignment can involve over 20 organizations, each incurring costs for data extraction and document verification. TLIP enables stakeholders to access and share consignment data seamlessly, reducing delays and the risk of non-compliance penalties.
Case Study: Poultry Consignments
In a pilot study involving poultry shipments from Poland to the UK, managed by the Institute of Export & International Trade and Mobius Technology, TLIP demonstrated its benefits. Mobius handles subcontracts, creates export and import declarations, and monitors the physical movement of goods. TLIP's proactive approach ensures that all regulatory requirements are checked before goods reach the border, expediting the clearance process and reducing costly delays, especially for perishable goods.
How Mobius Uses TLIP
Mobius uses TLIP to send signals to border agencies, providing consignment details, route, timings, and monitoring temperature control and location. TLIP acts as a digital pipeline, collating consignment and transport information for each shipment, making it accessible to relevant stakeholders. This ensures interoperability and trust in the supply chain.
Benefit 1: Interoperability
TLIP facilitates interoperability between different IT systems used by transport and logistics companies. By using international data standards, TLIP allows documents and data to be shared, compared, and accessed by different parties along the supply chain, promoting consistency and administrative efficiency.
Benefit 2: Trust
TLIP ensures trust in both supply chain participants and the data itself. All participants are carefully audited and accredited, with credentials stored as Verifiable Credentials. This enables the provenance of documents and data to be easily checked, reducing the need for costly document checks by border authorities.
Collaboration with TETA
Mobius is a member of the Technology-Enabled Trading Alliance (TETA), which addresses complex trade issues related to the movement of goods across international borders. By working with TETA, TLIP benefits from real-world testing and implementation, ensuring practical and effective solutions for actual trading scenarios.
Next Steps
The TLIP-Mobius partnership will continue to develop the 'signals' concept and introduce new operational signals, including results from health inspections and environmental monitoring alerts. The pilot is scheduled to run until the end of September, with plans to develop the first commercial EU-UK road freight platform post-pilot.
Conclusion
As the UK navigates its post-Brexit trading relationship with the EU, technologies like TLIP play a crucial role. Jens Munch Lund-Nielsen, Head of Global Trade & Supply Chains at IOTA Foundation, stated, “By cutting through the complex web of international trade logistics, TLIP not only enhances operational efficiencies but also provides access to trusted supply chain data to support and even automate checks on compliance with evolving standards and regulations.”
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