Martin Heydon (Kildare South, Fine Gael) | Oireachtas source

We long for the days when Brexit was the biggest challenge we faced. It was, and continues to be, a big challenge. We have to be aware of the medium-term challenges from the fallout from Brexit, particularly in the agri-food sector. The Deputy will be aware that the EU-UK Trade and Cooperation Agreement, TCA, maintained tariff-free access for all goods traded between the UK and the EU. This was a positive outcome of the negotiations, particularly in respect of trade in agricultural goods, as the imposition of tariffs on these goods would have added considerable costs for Irish exporters to the UK. However, as I have outlined, the full impacts of Brexit on the Irish agri-food sector are still evolving and have not been fully realised yet. For example, the UK Government's decision in April 2022 to defer the introduction of full import controls on EU products entering the UK to the end of 2023 - the fourth time these requirements have been postponed - continues to create ongoing uncertainty for Irish food exporters. Uncertainty also continues in respect of the implementation of the Northern Ireland protocol, due to the UK Government's legislative proposals which could result in it disapplying large parts of the protocol. The conclusion reached on this issue could therefore also have significant impacts on Irish and British agri-food supply chains.

The Government will continue to do everything that it can to ensure that the UK Government meets its international obligations and, in conjunction with the EU, delivers solutions which address the needs of all the people and businesses on the island of Ireland. It is worth noting that despite this ongoing uncertainty, Irish exports of agri-food products to the UK have remained resilient since the end of the transition period. The value of our exports to the UK in 2021 was up by €438 million, or 8.2%, compared to 2020; and by €291 million, or 5.3%, when compared to 2019 figures. This underlines the value of the extensive collaboration that has taken place between the Government and the agri-food sector in preparing for the new trading environment post-Brexit. However, we cannot be complacent. We will continue to monitor developments closely and to put in place the necessary support for the sector to meet any new challenges that arise. I continue to work on the area of new market development outside of our dependency on the UK market, which I will discuss further in my supplementary response.

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