DEAR SIR

Northern Irish farmers will be the hardest hit by the Brexit fallout given the sector’s dependence on EU customers, according to a leading economist.

In terms of agriculture, the Republic of Ireland itself accounts for about 33% of Northern Ireland’s goods exports, and most heavily in terms of agriculture. About 82% of farm income in Northern Ireland comes directly from the EU and from the Common Agricultural Policy (CAP) grants.

One of the key problems is the milk sector, given the huge investment producers and processors made to take advantage of ending milk quotas.

Every year, 600 million litres of milk produced in Northern Ireland are carried by tanker across the border and processed in the Republic. Of this,120 million litres is sold as liquid milk, which accounts for 25% of the Irish liquid milk supply. Because of potential tariffs and custom controls, Brexit will affect this trade.

It could also mean shifting southern Ireland’s milk production to winter supply and investments in processing facilities could be undermined.

If milk from Northern Ireland is not EU milk then, under origin labelling rules, it would be unacceptable to the rest of Europe.

Live animal movements could be affected by Brexit as every week around 10,000 pigs and 1,000 bovines move back and forth across the border as part of the normal slaughtering and processing activity.

This now operates unhindered because operators on both sides comply with EU rules on animal safety, animal health and welfare and traceability.

But once Brexit happens, Northern Ireland farmers and producers will not be covered by those rules.