Tariff stabilisation fund needed in “No Deal” Brexit

Food Drink Ireland, the Ibec group that represents the food and drink sector, has called for a tariff stabilisation fund to help agrifood exporters offset the impact of UK tariffs in the event of a ‘No-deal’ Brexit.

Responding to the announcement today from Michael Gove, Secretary of State for Environment, Food and Rural Affairs of the United Kingdom, that the UK will apply tariffs to food imports to protect British farmers in a no-deal scenario, FDI Director Paul Kelly said: “Direct and immediate support measures are needed to offset these tariffs. For the €4.5 billion of food and drink that Ireland exports to the UK, an additional €1.7 billion in tariffs could be placed by the UK.

“Tariffs are in effect a tax on trade and commerce. They would decimate much of Ireland’s agrifood exports to the UK. Tariffs flow back to central exchequers at national and EU level and must be recycled into a tariff stabilisation fund to offset serious damage to exports and job losses.”