Following a thorough review, the British International Freight Association (BIFA) have issued a revised and expanded edition of their Standard Trading Conditions (STCs), which will come into effect from 1 January 2026.
BIFA is a trade association that sets out the industry terms – known as Standard Trading Conditions – between the vast majority of UK freight forwarders and their customers. As a longstanding member of BIFA, these are the contractual terms under which we operate here at Baxter Freight when moving goods or acting as a Customs Agent on behalf of our customers.
In this article, we break down what you need to know about these forthcoming changes without the jargon.
Why have BIFA updated their terms?
BIFA’s new Standard Trading Conditions – known as the 2025 edition – will replace the current 2021 version.
BIFA was prompted to update its terms due to major shifts in UK trading procedures and increasingly complex global market conditions, including but not limited to the UK’s exit from the EU.
Several years down the line, Brexit continues to add complexity to the movement of goods between the UK and Europe. There are now significantly more customs formalities, and increased potential for delays. Partnering with a reliable freight forwarder with customs expertise is key to navigating these changes and avoiding costly mistakes.
Adapting to significant changes in EU and international markets
The BIFA 2025 Terms aim to reflect the realities of today’s complex trading landscape and are being rolled out to provide a fair and balanced contractual agreement between freight forwarders and their customers. Ultimately, the updated Terms provide greater clarity on the role and responsibilities of freight forwarders and their customers, with a view to keeping goods moving efficiently whilst managing risks and minimising costs for all parties.
How are BIFA’s STCs changing?
Having gone through an in-depth review and consultation period, this latest update has seen the biggest changes to BIFA’s STCs since 1989.
Key changes to BIFA 2025 Terms include:
- Clearer wording: Many clauses have been rewritten to be easier to understand and reduce ambiguity. The meaning of certain words has also been redefined. For example, the definition of “Customer” has been broadened and applies “regardless of whether that Person is required to make payment to the Company.”
- Customs compliance: There’s now a stronger emphasis on the customer providing accurate and complete data, especially for customs entries. If incorrect details are supplied, any resulting costs or penalties may be chargeable. It’s therefore vital to appoint a partner who can guide you through the complexities of customs procedures and ensure you meet the right requirements. Looking for an Authorised Economic Operator (AEO) with Customs Simplification (AEOC) accreditation is a great place to start.
- Departure and delivery dates: According to clause 25, there’s no liability for freight forwarders to adhere to exact departure and delivery dates. Unfortunately, there are many reasons why deliveries might be delayed, so it’s always wise to allow more time for your shipments if you’re moving time-sensitive goods.
- Liability limits: Compensation caps and exclusions have been clarified, and customers are responsible for putting their own cargo insurance in place. Freight forwarders can still insure cargo on your behalf; however, you must explicitly request this in writing if you would like this service to be included.
- Claims deadlines: Time limits for notifying and pursuing claims have been changed. The 2025 STCs allow the customer up to 9 months to proceed with legal action for claims, including for loss, damage or misdelivery of cargo.
- Lien and disposal of goods: Liens will now apply to goods regardless of where the goods are located, and the notice period to advise a customer that goods may be sold has been reduced to 7 days. However, an immediate right to sell or dispose of goods may apply “where charges incurred to rent or storage are likely to exceed the likely sale of value.” An example of this would be any items within groupage loads or perishable goods.
- Jurisdiction: Instead of multiple versions of the STCs for England, Wales, Scotland and Northern Ireland, there is now only one version of the STCs, which is governed by English law. All claims will be heard in English courts, unless the BIFA member, i.e. the freight forwarder, wishes to commence proceedings in another jurisdiction. This can only be applied if the BIFA member or their customer is based there, and not the other way around.
For a full summary of the key changes, please refer to the BIFA website here.
What you need to do
As previously mentioned, the 2025 BIFA Terms will come into effect from Thursday, 1 January 2026. Whilst we have summarised some of the key changes to be aware of, this article does not constitute legal advice. We therefore recommend that you take the time to review these changes for yourself or seek independent legal advice. Here are our recommendations:
- Do your own research – we recommend familiarising yourself with your revised rights and obligations ahead of the changes coming into effect on 1 January 2026. The new BIFA 2025 STCs are now available to view here.
- Prepare the correct paperwork – ensuring your paperwork is accurate and correct will help you to prevent any issues such as delays and fines. Partnering with a reliable freight forwarder with comprehensive supply chain and customs expertise will help you to get this right the first time. At Baxter Freight, our team of in-house customs experts are here to guide you through the complexities of customs procedures, and are AEO accredited in customs simplification (AEOC), as well as safety and security (AEOS).
- Complete a new Direct Representation form – if you’re involved in UK imports or exports, you will need to provide an updated Direct Representation form to allow your Customs Agent to handle any customs requirements on your behalf. If you’re an existing customer of Baxter Freight, you can download a blank copy of our direct rep form below and email this to your Account Manager directly or by emailing hello@baxterfreight.com.
Download a blank copy of our Direct Representation form here –
https://baxterfreight.com/wp-content/uploads/2025/10/Direct-rep-form-blank-BIFA-2025.docx
What this means for our customers
From 1 January 2026, our services will be subject to the new BIFA 2025 terms, and all contracts and documentation will be updated to reflect this. Whilst these changes will not radically impact the way we work with you, we do recommend familiarising yourself with these as soon as possible.
You will also need to complete a new Direct Representation form if you would like us to act as your direct customs agent. The instructions to complete this can be found above.
If you have any further questions or need support, we will be more than happy to discuss this with you. However, you may also wish to contact BIFA directly or seek your own independent legal advice.
Need more information?
If you have any questions about this update or if you’re interested in working with us, please do not hesitate to contact us. With years of experience, our Solutions Architects are here to help you navigate all your supply chain needs with ease.
