This is a subscriber-only article
The solution to post-Brexit trade with the EU is a customs partnership, along with the UK remaining aligned to the rules of the EU single market, a Westminster committee of MPs has been told.
Making the case to the NI affairs committee, the chief executive of the NI Meat Exporters’ Association (NIMEA) Conall Donnelly said that his members (who own meat plants across Britain and Ireland) believe it is the best solution to ensuring continued frictionless trade.
“It would remove and simplify the debate if it was done at UK level, not just in NI,” he said. Ultimately the industry here does not want any barriers put in place to their main market in Britain, but is also reliant on EU markets for carcase balance (selling parts of the carcase UK consumers don’t eat).
Donnelly was joined by the NI Director of Dairy UK, Dr Mike Johnston, who pointed out that a divergence in standards between the UK and EU after Brexit will cause the NI dairy industry problems.
“It will add cost and adversely affect the competitiveness of our product. Whatever model we choose must address this,” he said.
He highlighted the worst case scenario if there is any form of a hard Irish border after Brexit. With 30,000 tanker loads of raw milk crossing the border each year (around 30% of the total NI milk pool), he suggested that any delays could add £3.5m of cost. Add in another £4m for added bureaucracy, he put the bill at £8.5m.
If tariffs had to be applied it would add another 19p/l to the price of milk.
Trade
“It is very important that we have something in place that will allow trade to continue the way we are doing at the minute,” he told MPs.
When asked about the opportunities that Brexit might provide in accessing new and growing markets outside of the EU, Johnston was clear that the NI dairy industry is already targeting the likes of China, Indonesia, Thailand, Saudi Arabia and the UAE.
“At the moment, we are comfortable with the countries we have access to. We are seeing growth in exports and those markets are already open to us,” he pointed out.
Uncertainty
Among the other issues raised by the NI agri-food representatives were access to labour, the danger posed by cheap food imports and the need to continue with support to farmers after Brexit.
While the British government has confirmed that funding will remain to 2022, the argument made was that farming is a long term business, and more certainty is required.
Assuming funding is available, it should go to increasing productivity on farms, and ensuring the UK has a secure local food supply concluded Conall Donnelly.
No deal
Meanwhile, the EU council of ministers has warned member states to prepare for a no deal brexit, which would potentially have significant ramifications for the agri-food industry in NI.
SHARING OPTIONS: