Dáil debates

Thursday, 7 May 2020

5:35 pm

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael) | Oireachtas source

The level playing field conditions obviously apply in terms of GB and Northern Ireland. In the context of the protocol where there effectively is no request for any form of border infrastructure or checks between Northern Ireland and the Republic of Ireland that means food production in Northern Ireland must operate to the same standards as those in the Republic of Ireland. Otherwise one is creating a skewed market which producers here will be unable to stand over in respect of exports. Take the example of Lakeland Dairies. Almost 40% of its milk comes from Northern Ireland so we must maintain those standards and if we are going to sell that product across the EU as an EU product, those standards must be the same. That is understood.

On the broader level playing field issues in the context of the UK as a whole, that is a challenge for these negotiations. At present the UK is saying, "Forget it. We are not getting into a debate with you on a level playing field across all these sectors and an overarching governance infrastructure to ensure it is maintained". It is effectively refusing to engage on that and at the same time asking for facilitation in a trade deal.

That is why the two rounds of negotiations so far have essentially got nowhere. Let us wait to see whether that approach changes somewhat next week. I hope it will because the UK, Ireland and the rest of the EU could do with having some positivity and certainty come out of these negotiations given the pressures so many business are under in the Covid-19 environment. Whether that will change the politics of brinksmanship, I am not sure, but I hope it will.

It is important to state the UK has really been quite helpful regarding the land bridge. EU countries through which we gain access to the rest of the EU Single Market have also been very helpful. The UK has been willing to sign up to the international transport convention, which essentially allows us to seal a container in Dublin and drive it across the UK and on to France, the Netherlands or elsewhere without having to break the seal. In theory, at least, that is how it is supposed to work. The challenges, of course, will be associated with traffic jams or congestion on the Dover–Calais route, in particular. Trucks that have come from Ireland will end up getting caught in British haulier traffic if there are many checks required on the crossing, which is incredibly busy. Many are very concerned about that. They would be right to be concerned because the infrastructure required is simply not in place to facilitate significant customs, sanitary and phytosanitary checks. We have worked with the shipping sector to ensure sufficient capacity to switch some of the traffic that would have used the land bridge in the past, giving it direct ferry routes to France, Rotterdam and elsewhere. The most efficient and fastest way to get product to Ireland is undoubtedly using the UK as a land bridge. We will seek to continue to use it as best we can.

Incomes are down in agriculture, and this is linked to demand, confidence and market restrictions as a result of Covid-19. This is absolutely the case. Consider the example of fishing. Our biggest markets for Irish fish are France, the UK, Spain, Italy and China. When one thinks about how those countries have been impacted by Covid-19, one will begin to realise why there is such a challenge ahead for us in terms of rebuilding those markets. It is a little different for agriculture but not that different. Of course, we are considering how we can support these sectors to try to nurse them through this crisis and have them stronger on the other side.

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