Cian O'Callaghan (Dublin Bay North, Social Democrats) | Oireachtas source

I agree with the comment of a number of other Deputies that if a deal is not concluded now, from January there will be a need for one to be concluded. That aspect of this will not go away. There is no question that in the long run we will fail to have a trade agreement in place, with the economic damage that this would cause to the UK, EU and Ireland. There is no question but that it would be much better if a deal was put in place now.

It is welcome that a discussion of legal treaty texts is to begin and there are reports that the talks will intensify. It is also welcome that more than 70 British business groups have issued a statement effectively calling on their government to ensure that a deal is concluded and it is good to see that pressure coming from the UK. If we look at what is happening in the US, there is some cause for hope that the presidential election may well show that the tide is going out on the brinksmanship, bluster and buffoonery that have been the hallmarks of the UK Government’s approach to Brexit so far. The path to a deal is emerging.

If a no-trade-deal Brexit was to go ahead, exports of Irish food products to the UK could decline by approximately one third, according to the London School of Economics. Dairy exports from the EU to the UK could collapse by a staggering 94%. There is a significant amount at stake, therefore, for Ireland and beyond. It is essential that we support the sectors most affected, including our agrifood and dairy sectors. It is also essential that in the event of a no-trade-deal that we support people affected in Ireland in low-income households who would be least able to deal with a sharp increase in imported food prices. It is very important that that should be factored in. It is estimated that the average cost of living in the event of a no-trade-deal Brexit could increase by as much as €1,360 a year, which would impact significantly on low-income households.

On climate action, it is very welcome that the Government is supporting the ambitious EU target for a 55% reduction in emissions by 2030. It does not make any sense for us to do that at EU level if proper climate action targets are not tied into the trade deals that we agrees. That applies to Brexit with regard to the level playing field but also applies to the EU Mercosur trade deal. There are no sanctionable clauses within the EU-Mercosur trade deal treaty with regard to climate or environmental protections either for the Union or the South American countries. Given the destruction that is taking place on an ongoing basis in the Amazon rainforests, in particular, and given that the trade deal could in fact accelerate that destruction if there are not environmental and climate change protections, it is essential, especially at the European Council meeting in December when the climate action provisions will be discussed, that Ireland takes a strong stance on that to ensure that there are strong climate sanctionable clauses and environmental protections in that trade deal and, indeed, in respect of Brexit.

I acknowledge the work done by the Minister of State, Deputy Byrne, in standing up against the so-called LGBTI exclusion zones in Poland, and the work done by the Minister, Deputy Coveney, also. In terms of the budget and the recovery fund, it is key that at a European Union level that there are changes to the rule of law. We need to move away from the veto and move towards qualified majority voting, which is what the European Parliament has been pushing for. I ask the Minister of State and the Government to indicate if Ireland will support reforms on rule of law. The stance they have taken on the so-called LGBTI exclusion zones is very welcome but for that to be meaningful we have to have changes in the way rule of law is dealt with at a European Union level, particularly in respect of the way funding is used. I ask the Minister to address that issue when concluding.

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