Dáil debates

Wednesday, 5 April 2017

Brexit: Statements (Resumed)

 

8:55 pm

Photo of Declan BreathnachDeclan Breathnach (Louth, Fianna Fail) | Oireachtas source

I pondered speaking on this historical mistake and thought for a title on my Brexit statement. I decided to call it "Breathnach ag caint faoi Bhreatimeacht". It is rather appropriate that history would record it as such.

Wednesday, 29 March 2017, when Article 50 was invoked, will in my view be remembered as May Day for obvious reasons. I believe the time for talk is over. Appropriate action needs to happen immediately, especially on the myriad sectoral issues that have been identified through the Ceann Comhairle's dialogue in the Mansion House, the two civic forums and their break-out groups as well as the need to soften the mitigating circumstances that these sectors have identified as problems. The Government needs to have a national response to Brexit which has not been seen thus far. This is a national event and we are not seeing a national response. I have called the response that is needed the "Fixit Focus".

Britain leaving the EU will present unprecedented political, economic and diplomatic challenges to Ireland. Fianna Fáil has been seeking to have a Minister for Brexit appointed. This should be done now and that Minister should remain in place through any future Cabinet reshuffle. I am satisfied that the response from the European Union recognises the Irish-British relationship. The draft EU document contains important reassurances on protecting peace and avoiding elements of a hard border. Today Michel Barnier in his European Commission speech stated:

For the borders, particularly in Ireland: as Gabriella Zimmer said, we will work towards arrangements that do not call into question the existing peace process and dialogue, particularly the Good Friday Agreement, whilst being compatible with Union law.

The House of Commons Exiting the European Union Committee published its report on the UK Government’s Brexit negotiating objectives this morning. That report also asserts that the UK and Irish economies are deeply integrated with more than £43 billion of annual trade between the UK and the Republic of Ireland. In the event of no UK-EU deal, the UK would revert to trading on WTO terms with the Republic of Ireland. The high tariffs that could be imposed on dairy and agricultural produce as a result would have an extremely serious impact on the agrifood industry on both sides of the Border. I am sure every Deputy in the House knows that 80% of the goods produced by individual firms in the agrifood sector are exported to the UK.

We know already that Brexit poses one of the biggest risks to our farming community, exports and agrifood jobs since the foundation of the State. At the end of the separation period in approximately two years’ time, the UK could, for example, impose tariffs which tend to be high for certain foods like dairy and beef. Meat is the food with the highest possible tariff at almost 50%. The UK could equally decouple itself from EU food standards, adding many new regulatory checks, delays and costs. It could remove tariffs from low cost regions such as South America, making it extremely difficult for Irish farmers and producers to compete. It could impose Border controls around Northern Ireland, making it harder, slower and more costly to move products and people from North and South.

Others have referred to Bord Bia's estimate that €570 million in trade has already been lost in 2016, with exports to the UK falling by 8%. The Irish Farmers Association has stated that beef farmers' income was down €150 million in 2016. Deputy Mattie McGrath referred to the mushroom industry. It was badly affected, with €7 million in exports and 130 jobs lost. IBEC has estimated that every 1% fall in sterling reduces Irish agrifood exports to the UK by 0.7%. It has also stated the euro climbing to 90p translates to a €700 million drop in Irish exports and potential job losses of 7,500. If parity of the euro and sterling occurs, IBEC has already told us that this could realise a loss of more than 75,000 jobs on this island. The seriousness of any currency fluctuations at this time cannot be understated.

The House of Commons report also stated that there is a particular concern in the Republic of Ireland about any return to customs checks at the Border with Northern Ireland because this would provide an opportunity and a focal point for those who wish to disrupt the peace process, not to mention the slowing of logistics and movement. I am happy that this report places a real emphasis on maintaining and building on the considerable progress made as a result of the peace process and the Good Friday Agreement.

They are hoping a mutually acceptable solution can be found. Objective 4 in the report is entitled Protecting our strong historic ties with Ireland and maintaining the common travel area. It is evident that the United Kingdom does not want a hard border and wishes to maintain its strong links to Ireland. However, this will be a matter for the other member states of the European Union to decide. Nevertheless, we need a proper, co-ordinated national response. Thus far, Government agencies have hired few new staff to deal with the fall-out. Bord Bia and IDA Ireland have hired a handful of staff to deal with Brexit, which is entirely inadequate. Much more needs to be done. The Government needs to have a strong voice at the negotiating table. We must secure an early agreement on the transition period and engagement in existing and new bilateral discussions.

Northern Ireland is the most exposed part of these islands in respect of Brexit, with no leadership to protect its interests. Northern Ireland needs to get its act together and return its power-sharing Government in order that it is in the best position to protect its interests in light of Brexit. As co-guarantors of the Good Friday Agreement, the Irish and British Governments must add greater impetus to reaching a solution to reactivate the Assembly before the deadline of 17 April set by the Secretary of State, Mr. James Brokenshire.

EU citizenship is a right protected by international treaties and one we must respect. As my party leader noted last night in his statement on Brexit, 1.8 million people in Northern Ireland will be entitled to claim EU citizenship. This is just one of many urgent issues the British Government appears unwilling to tackle. We need a proper response to the unique position of Northern Ireland and Border regions. This requires creative approaches to cross-Border health care arrangements, tourism, marketing, energy supply and education, to mention only a few areas. Creative joined-up thinking is required on how to solve Border related problems. We know a hard Border would be repulsive to everyone on both sides of the Brexit campaign.

The Border leaks at multiple points, as it did even in times of old. There are 38 Border crossings in my home county of Louth. It is important to note there are more crossings between North and South in this country than there are crossing points in parts of eastern Europe along the length of the European Union's boundary. We need to be careful about the potential for goods and illegal immigrants crossing the Border. As I have asked on numerous occasions, if the UK is no longer subject to EU food standards, what would stop cheap US hormone saturated beef imported into the UK, which contravenes EU health standards, being smuggled into the South? Such a scenario would not be in anyone's interest. It would damage the integrity of our excellent food standards and reputation and question our integrity regarding our green food supply to our valued markets.

It is evident that the challenge to peace and prosperity will have to be addressed and the period of negotiation ahead will define the future, North and South, for generations to come. While it will not be easy to come up with solutions, Prime Minister Theresa May’s priorities appear to be elsewhere and everywhere. She has not shown any real willingness to deal with the economic and social problems which confront us. She has been trying to sit on two stools. Ní féidir do thóin a bheidh i gach áit. In fact, she is using Ireland's negotiating skills with Europe while continuing to play high poker stakes with both islands' economies in an effort to create chinks in the united European Union arrangement. There are, however, good omens for a hybrid solution according to an article in the Belfast Telegraphtoday. I hope solutions can be found in a collaborative fashion, with a recognition that we all must survive in an all-Ireland, east-west and North-South economy.

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