Cigarette stockpiling has surged ahead of Britain’s looming departure from the EU, transport and warehousing firm Clipper Logistics said on Thursday.
Chief executive Tony Mannix told the Evening Standard: “Brexit has created a shadow and a number of our customers are building up inventory to prepare in case there are any import problems after March 2019. Tobacco is one of the biggest sectors we have seen stockpiling so far. That includes cigarettes and vaping products.” He would not name which customers.
Mannix also pointed to higher demand from some UK clients to store more products in Europe to get to customers on the Continent faster.
Clipper Logistics, which works with retailers such as Asda and Asos, posted a 14.1% jump in first-half revenues to £227.9 million.
Pre-tax profits rose 16.9% to £9.3 million.
In the second-half to date, the firm has seen a jump in volumes from retailers that took part in the Black Friday shopping event.
