UK Australia trade deal ‘threat’ to Irish markets
IFA has warned that the new UK Australia Free Trade Deal will pose a threat to Irish markets and in particular to beef exports. File Picture.
The UK free trade deal with Australia - the first since Brexit - which is expected to pose a threat to Ireland and EU exporters has moved a step closer to completion after British Prime Minister Boris Johnson agreed the broad terms of the deal this morning.
The Irish Farmers’ Association (IFA) president, Tim Cullinan said the deal “sets a perilous precedent” and highlights the vulnerable position that Irish beef farmers now find themselves in.
He also said that IFA and the National Farmers’ Union (NFU) will hold a bilateral meeting on Thursday to discuss the implications of the deal.
“Apart from the extra checks that will apply following the trade agreement, the threat to our markets is the biggest fallout for Irish farmers from the vote nearly five years ago,” he added.
“It’s precisely the dangerous scenario that we have signalled following the Brexit vote in June, 2016.
“Trade deals between the UK and third countries have the potential to undermine what is a very important market for our beef exports.
“Farmers here and in the UK are committed to the highest standards and we are opposed to any trade deal that gives an opening to sub-standard food imports.”
Meanwhile, total beef exports last year were €1.9bn, with 44% going to the UK market.
“It’s our most valuable market, in terms of volume and price,” added Mr Cullinan.
“Any loss of shelf space would be very damaging for our livestock farmers, who are in a low-income sector.
Last month, Hugh Killen, the chief executive of Australian Agricultural Company, Australia’s largest integrated cattle and beef producer, forecast that beef exports could increase tenfold.
As reported in the Irish Examiner back in May, the threat to Irish and EU exporters as a result of the deal was made clear by the UK’s international trade secretary Liz Truss who highlighted how the trade deal would, after a very long transition period, allow Australia the same kind of access the EU already has to the UK market.
She said she had no doubts that British farmers will continue to thrive under the new deal, because they are already thriving even while the UK imports over 200,000 tonnes of beef from Europe - which is a much bigger producer than Australia.
Ms Truss also pointed out that beef from hormone-injected cattle will remain banned in the new Australia deal and highlighted how Australian lamb coming into the UK is currently more expensive than UK lamb.
