Ask the Collective
The questions independent drinks founders ask most — answered. Distilled from years of community knowledge so the good stuff never disappears in the feed again.
What duties and taxes apply when sending product samples to Latvia after Brexit?
When exporting samples from the UK to Latvia post-Brexit, the recipient will incur duty at their end. Latvia, as an EU member state, applies its own applicable taxes and alcohol duty on imported goods, just as the UK would charge duty on spirits imported here. The exact duties depend on the product category and Latvia's current rates. Members suggest obtaining the **Excise Duty EU.pdf** document (41 pages, available online) as a reference for understanding the framework. Key point: this is a cost borne by the recipient in their country, not a workaround—it's standard practice for any alcohol export to the EU. If you're trying to minimise costs for promotional samples, clarify with your Latvian contact upfront that they will be responsible for paying applicable import duty on receipt.
What is the Movement Guarantee process for drinks businesses, and what are the typical costs and requirements?
A Movement Guarantee (MG) is a surety bond arrangement that allows drinks businesses to move goods under duty suspension without paying duty upfront, saving significantly on transport costs. **The process and costs:** - The arrangement has two parts: an HMRC element (described as straightforward) and a surety bond from an insurance provider - **Aon** is the recommended broker; contact james.ellison@aon.co.uk. Members report typical costs around £1,000 per year (minimum policy fee) - Some businesses previously combined their Movement Guarantee with warehouse bonds but can now obtain an MG-only policy - Insurers will review your P&L and balance sheet as part of underwriting; underwriters may ask for increasing scrutiny during renewal periods **Security requirements:** - Some insurers request a cash deposit (one quoted £10k) held as security, though this is not always required—it depends on the underwriter's assessment of your business - Members advised checking with your specific underwriter on this point **Benefits:** - Saves a substantial amount in transport costs compared to paying duty immediately Members noted that requirements and questioning from underwriters can vary and may become stricter during renewal cycles.