Lucinda Graham, the owner Galgorm Melts, said that five GB firms that previously supplied her have pulled out due to issues around the new rules.
Mrs Graham of Galgorm Melts said she has had “at least five businesses that I use pull out” of selling here.
“I purchased maybe 40% of my products here in Northern Ireland with my ingredients to make my products,” she added.
“But I do have to go to the GB mainland specifically for the biodegradable packaging that I use.”
However, Mrs Graham can no longer buy from her previous supplier, also a small sole trader, as they do not have an EU address.
“From a Northern Ireland perspective, if somebody is buying from a larger business, that larger business may have an EU address.
“A big manufacturing business, there’s more than more of a chance they would have a UK base or a French base. They already have a base in the EU, so they’re okay.
“It’s the likes of me who as a small business is trying to support another small business in GB.
“That small business handshake, this is completely gone, because small businesses don’t have the capital or the money to have another franchise somewhere else in the EU.”
The General Product Safety Regulations (GPSR) are new standards enforced for all consumer products sold in the EU.
Galgorm Melts sells fragence products
The rules do not apply to products like food, animal produce or antiques, but rather to new consumer goods.
While NI is not in the EU, due to the Windsor Framework, goods entering NI must meet GPSR standards.
Moreover, companies outside of the EU must have a “responsible economic operator established in either NI or the EU to fulfil certain compliance tasks”.
Companies selling into Northern Ireland must therefore supply authorities with a registered business address in an area where GPSR applies.
This address can belong to the business itself, an importer, a courier or another authorized legal representative.
Some NI enterprises that buy supplies from GB small businesses are finding their previous business methods interrupted.
Mrs Graham said that local government officials have been very helpful, but have themselves not been given the necessary information to aid businesses in the transition.
“I definitely think we need more help, and it should have been given before the day that it was implemented,” she added.
Alison Evans, who runs Zany Crafts said: “A lot of the supply chain sellers from GB are stopping or already stopped supplying.
“A lot of craft businesses use products only available in GB at a competitive price. Not available in southern Ireland or the EU and even if they are, they’re too expensive.
“I have become the responsible person for one of my main suppliers so that I can still get supplies and all the other sole traders, micro-businesses and hobbyists over here can still do what they love.
“The impact on the crafting sector is huge. Two online companies with over 35,000 followers have stopped supplying and a lot more smaller ones as well.”
Meanwhile, small businesses in GB have said that they cannot sell into NI as they are unable to navigate these and other requirements of GPSR.
Karen and Moose Allain run the Devon-based business World of Moose, which sells products based on Mr Allain’s art.
Karen Allain said: “We have reluctantly suspended sales to the EU and Northern Ireland.”
“As it stands it is not financially viable for us to engage an EU representative to allow us to satisfy the new requirements, we have already taken a substantial reduction in EU sales post Brexit.”
Mrs Allain says the time of year the rules have gone into effect has made it harder for small businesses to adapt to them: “Hopefully, this will be a temporary measure.”
“We will have time to do more research in January, but in the meantime, like many other small creative businesses, we are suspending trading and will take the financial hit to sales at our busiest time of the year.”
While the Northern Ireland Office liaises with businesses that contact them, the Department for Business and Trade (DBT) is the lead department for GPSR issues.
A DBT spokesperson said: “Small businesses are the backbone of our economy, and are therefore front and centre of this government’s growth mission.
“We have also been clear that we want to reset our relationship with the EU to make it easier for businesses to trade with Europe.
“We are supporting SMEs across the whole of the UK to get ready for GPSR and will be publishing more guidance shortly.
“We will keep this under review and continue to engage businesses to ensure they are supported to trade freely.”