Dáil debates

Thursday, 21 January 2021

Brexit (Foreign Affairs): Statements

 

2:55 pm

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

There were some good questions. On the Deputy's example of the Leitrim company that, effectively, wants to bulk import because of the difficulties with individual consignments and is seeking banking facilities for that, she might send me the details and I will try to be helpful if I can. I do not want to over-promise in respect of our relationship with banks but I would be surprised if flexibility did not come from banks in respect of companies that are clearly viable but that are having temporary difficulties with importing linked to new Brexit arrangements.

On public procurement, it is important to say part of this deal guarantees that EU companies, such as Irish companies, should be able to tender and compete for business in the UK, as is also the case on a reciprocal basis for UK companies competing for business throughout the EU on the basis of equivalence.

As for protections around the level playing field, of course we need to watch this closely. There are strong protections in the Northern Ireland protocol in respect of fair competition, particularly in the food and agrifood sector on the island of Ireland, to protect the all-island economy and to ensure that the de factoextension of the EU Single Market for goods that applies to Northern Ireland under the protocol operates on a level playing field. Moreover, there are broader questions around the EU's relationship with the UK, with constant assessing and measuring of whether there is a level playing field for business. If there is not, clear mechanisms in the trade and co-operation agreement, TCA, that involve arbitration and follow-on actions can be triggered if necessary.

I know Aurivo reasonably well and it is a great company. It is true that about 20% of its milk pool comes from the North. I have been raising this issue for eight months with the EU side. I am trying to protect an all-island economy and food producers in Northern Ireland as well as south of the Border in the context of benefiting from EU trade deals. The only way I can see this issue being resolved, unless someone has a better idea, is if the individual trade deals are amended to incorporate Northern Ireland as well as EU product.

Under country of origin rules, it is clear that milk originating and produced in Northern Ireland is Northern Ireland milk and therefore UK milk, not EU milk, even though it is produced to the same standards as EU milk under the protocol. The way to do this is by minor amendments to individual trade deals, which will take some time. It is certainly possible but it is a laborious process and not easy to resolve.

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