Tillage farm incomes are likely to be less affected by Brexit than other agricultural sectors, according to Teagasc economist Fiona Thorne.

Fiona spoke with adviser Conor Callaghan at the recent Teagasc spring tillage webinar and explained that most Brexit income impacts relate to the subsidiary beef enterprise on tillage farms.

Under the Brexit Trade and Co-operation Agreement, no tariffs are in place between Britain and the EU.

However, the new trade deal may still affect tillage farms when it comes to inputs, particularly in the short term, she explained.

Fertiliser and crop protection products deemed to originate from Britain or pass through the landbridge could still be affected by non-tariff barriers (NTB) to trade. NTBs may affect both the cost and supply of the products.

Costs

Costs associated with NTBs include extra charges for customs clearance, costs of determining rules of origin, costs of sanitary and phytosanitary certificates and many more.

Fiona explained that while we don’t yet know the full extent of the cost implications of these NTBs, we do know that they will occur.

When it comes to supply, January has seen many issues with transportation as a result of insufficient documentation and notification, leading to significant delays.

While it is expected that these delays will reduce as the year goes on when traders become accustomed to the new rules, this will likely continue for the coming months.