Could Brexit hammer on-line auctioneers?
It has always been my intention to keep this blog entirely non-political. I’ll try to keep it this way, however there is an elephant in the room. Usually when I hear this cliche I get up to leave but it isn’t me this time.
Brexit. The gift that keeps giving ‘Benefits’ that nobody wants, and that has fallen firmly on our lap as people are now discovering they have to pay extra fees to import whisky from the UK, although this is happening both ways for UK citizens using European auction sites.
What alerted me to this was a tweet, in which a bidder from the Irish Republic won goods at an auction to the tune of £79. Plus fees, that’s going to be around €105. He now has to pay €94.25 in taxes and shipping charges, almost as much as the cost of the produce he won.
Sadly this isn’t the only case. Another WhiskyTwitter user from France had a similar had a similar surprise in an event that will no doubt have been repeated several times over.
You don’t have to be a genius to realise that quite simply people within Europe are going to stop using UK auction sites. While I do not believe that this will cause a big problem for the bigger auction sites, it may certainly cause issues for the smaller ones. But there are a couple of greater implications for UK auction users.
- Less people bidding in the auction could mean less demand for bottles. Less demand could mean falling prices. Ok for buyers, but poorer for sellers. Your little nest egg of bottles if they aren’t in demand may probably lose value.
- Less EU people using UK auction sites will potentially mean less chance of seeing rarer bottles.
I use a European auction site, whiskyauction.com. I’ve been very happy with the service and to be honest I’ll still use them as there is one or two bottles I still seek. But what is in the back of my mind is that I cannot bid as high as I might for a UK auction as the spectre of shipping charges is going to be always present at the back of my mind.
Brexit has been proven to have been a self inflicted shotgun blast to both feet as the realist so called ‘Remoaners’ have been sadly proved right. With US tariffs of 25% still hanging over the UK whisky industry, now is not a happy time. If lockdowns continue and the economy stutters, people are not going to have the money to invest or buy luxury goods such as whisky, compounding the problem. If there is a rush to sell to realise cash but no buyers, then there is a problem. However this could be the reset the secondary market needs. There is a glass lake creaking on shelves throughout the UK; will Brexit be the dam-busting bomb that deluges the market?
Time will tell.
Yours In Spirits
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