Oireachtas Joint and Select Committees
Thursday, 9 March 2017
Joint Oireachtas Committee on Foreign Affairs and Trade, and Defence
Implications of Brexit for Irish Exports: Irish Exporters Association
9:00 am
Ms Nicola Byrne:
Lesser quality food was the next question. The UK has nine out of the ten poorest regions in the whole of the EU. That is quite an astounding statistic. And they are the ones Brexiting. We had actually been the key drivers in quality food going into the UK, which is why we succeeded. The advantage of having a sterling differential meant our food was competitive. If that sterling differential continues to drop, that food is no longer competitive. The UK market is not suddenly going to become job-rich. It will take a while for certain regions of the UK to crawl out of that unemployment and poverty, so the idea that we could up the cost of their food is unrealistic. Their cost of inflation, their low-cost jobs market and their minimum wage will not allow that to happen.
The next question about premium food was very good. That is what we produce. We have one of the few grass-fed beef herds in the world. New Zealand is the only other country that can lay claim to one. We have premium food.
One thing we are very good at is taking our premium food and branding it. This is only a tiny part of our exports but An Bord Bia is spectacularly good at this. If the Government put more money behind it we could be selling that premium beef and green beef around the world. At the moment the market is tight because we have been selling into supermarkets but there is an opportunity for premium food. Between the cost of living - if the UK economy plummets to a low-cost environment - and the tariffs there is no way our food will go in there. That is a big problem for our members, which will be shut down and much of the agricultural industry here will be shut down. I do not know the answer. That is a key concern.
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