Bracing for Brexit: The Impact on Regulation and Recalls Recalls may become far more complicated for businesses with potentially more risk for UK consumers in the wake of Brexit, according to the Q2 2016 ‘Recall Industry Spotlight’ Report recently released by Stericycle ExpertSOLUTIONS, the global leader in automotive and product recall solutions. he Recall Industry Spotlight, which focuses on noteworthy developments in the industry, highlights the uncertain future that UK businesses face in light of changing regulations. From pharmaceutical drugs and devices to food and automotives, British companies across industries await a resolution on future approval processes, labelling requirements and safety standards. “Regulatory uncertainty for UK businesses will continue while the dust settles around the Brexit vote,” said Farzad Henareh, european vice president at Stericycle ExpertSOLUTIONS. “EU leaders are clearly in favour of finalising the divorce quickly in order to restore confidence in the global marketplace. Many believe that the UK will in fact adopt EU-like regulations of its own to give UK businesses a better advantage in operating in the EU market, which makes up the UK’s largest export market. However, Stericycle’s report reveals that even if the UK’s regulatory framework remains the same the processes will inevitably change, putting additional pressure on any businesses facing product recalls in the future.
The report outlines the impact of the UK potentially being excluded from participating in the Rapid Alert System for dangerous non-food products (RAPEX) and the Rapid Alert System for Food and Feed (RASFF). Exclusion would mean that the UK could not take part in joint market surveillance actions that facilitate a coordinated, automatic approach to product safety concerns. The UK would require its own authority to issue safety alerts and lead product recalls, which would inevitably complicate the process and cause delays. That could leave potentially dangerous products on shelves and in consumers’ homes for longer than before, put further strain on businesses’ internal resources and potentially increase recall costs. “We’re advising UK businesses to develop their own Brexit strategies and prepare carefully for every possible scenario,” Henareh said. “Being proactive will help ensure they are in the best position when next steps are made clear.” For more details, download the Recall Industry Spotlight at http://www.stericycleexpertsolutions.co.uk/ thought-leadership/#recall
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