A number of the largest exporters of agricultural produce in the world have accused the EU of attempting to use Brexit to reduce their international trade commitments.

This follows the publication of the EU’s plans to divide up tariff rate quotas (TRQs) between the EU27 and the UK based on average import volumes from 2013 to 2015. New Zealand is one such country, with a large TRQ of almost 230,000t for sheepmeat. Currently, 50% of the utilised quota enters the UK. Under the proposal, the EU would keep a TRQ equal to 115,000t while the UK would take the other half.

Criticism

In a letter to the EU, the New Zealand government strongly criticised the proposal, saying: “After the withdrawal of the UK, the EU will remain the EU” and therefore there should be no change to existing agreements.

In the letter, it cites how the EU has used the same argument to resist any post-Brexit changes to international arrangements in areas such as services and government procurement. Brazil is hoping to increase its current TRQ allocation for beef and has also voiced opposition. It said any changes to present commitments would put in question the EU’s “reliability as a trade partner”.

European importers, as well as Australia, Canada, Uruguay, Argentina and Paraguay, have said they would find themselves seriously disadvantaged if the EU were to pursue the proposal.

EU trade negotiations update

Strong international opposition to EU’s Brexit proposal

The EU has issued a proposal to divide its tariff rate quotas with the UK post Brexit, but the plan has been met by strong opposition from large agri food exporting countries.