Trade levels between Ireland and Britain to 'normalise' this year, industry group claims 

'Depth and respect of relationships, consumer preferences, market knowledge, geo-cultural synergies, trust in supply chains that have grown over decades will not be eroded because of Brexit', says British-Irish Chamber of Commerce

The British-Irish Chamber of Commerce has predicted a recovery in trade between the two countries.

Normal volumes of trade between Ireland and Britain should return later this year, with predictions of a further deterioration being “considerably overstated”, the British-Irish Chamber of Commerce has said.

Its upbeat outlook comes just days after latest CSO data shows exports and imports between Ireland and Britain took a hammering in the first three months of the year due to Brexit disruptions.

“The depth and respect of relationships, consumer preferences, market knowledge, geo-cultural synergies, trust in supply chains that have grown over decades will not be eroded because of Brexit,” British-Irish Chamber director general John McGrane said.

“There is a determination and will from Irish businesses to overcome the hurdles as they know the importance and significance of exporting to the UK market,” he said.

CSO figures this week showed Irish exports to Britain fell 3% year-on-year in the first three months of the year while imports from Britain slumped by 48%.

Seasonally adjusted goods trade surplus falls in March.https://t.co/i4K9prE4qq #CSOIreland #Ireland #Trade #IrishTrade #Exports #Imports #Businessstatistics #IrishBusiness #BusinessNews #Brexit pic.twitter.com/R8Of5zBdyj

— Central Statistics Office Ireland (@CSOIreland) May 19, 2021

But, the British-Irish Chamber and BDO said the 13% year-on-year rise in exports to Britain, seen in March, alone point to an improvement.

“Expanding to the UK is a natural progression for many Irish firms, and in particular our agri-food sector. The taste of UK consumers for Irish products is strong; in fact Ireland’s food and drink exports have grown to €4.3bn since the Brexit referendum. Whilst businesses may have to adapt to new processes, there is strong demand for Irish goods and services,” said Mr McGrane.

“The fall-off in trade in the first quarter of 2021 was expected, with many businesses stockpiling in anticipation of disruption which naturally creates a future deficit. When combined with the closure of the UK and Irish retail and hospitality sectors for most of the year, the drop in imports and exports does not paint the full picture," said BDO's Carol Lynch.