Stephen Donnelly (Wicklow, Fianna Fail)
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1609. To ask the Minister for Agriculture, Food and the Marine the threats identified by his Department with regard to the responsibilities of his Department as a result of no deal being reached in Brexit negotiations; and if he will make a statement on the matter. [26896/17]

Michael Creed (Cork North West, Fine Gael)
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On 2nd May, the Government published a comprehensive document on Ireland and the negotiations on the UK’s withdrawal from the European Union under Article 50 of the Treaty on European Union. This document sets out the approach of the Government to the forthcoming negotiations, following the successful campaign to have key Irish issues recognised in the EU negotiation position.

Following on from this publication, work is underway to prepare a further paper on economic implications of the Brexit challenge.  This will draw on the work to date across Departments, which will be developed to mitigate emerging sectoral challenges. These plans will build on ongoing cross-Government research, analysis and consultations with stakeholders, and will reflect the core economic themes of the Taoiseach's speech to the IIEA on 15 February last.  

Ireland’s economic interests lie firmly in a strong and well-functioning EU with continued and unfettered access to the single market. There is a lot of negotiation to be done around trading arrangements.  Our contingency work is examining all scenarios and we cannot pre-empt the outcome at this stage. We are not under any illusions about the complexity of these negotiations and are engaged in detailed planning to prepare for these.

My Department and its agencies have conducted a number of analyses on the potential impact a UK exit from the EU will have on Ireland’s agri-food sector.  These analyses range from initial and ongoing internal departmental assessments to published work by Teagasc and Bord Bia. This is an ongoing process, and will continue through extensive consultation with stakeholders via the Department's Stakeholder Consultative Committee and through the All-Island Civic Dialogue process, in respect of which I have already hosted five agri-food and fisheries sectoral dialogues.

While the main impact to date of the Brexit vote has been the effect of sterling volatility on those businesses that have a significant trading relationship with the UK, the medium to long term threats include the possible introduction of tariffs on trade between the EU and UK, potential divergences in regulations and standards between the EU and UK post-Brexit, and the implications of border controls and certification requirements. Failure to reach agreement on an exit or a transition period would most likely result in the application of WTO tariff schedules and this would have a very significant impact on the competitiveness of the Irish food offering in the UK. Difficult challenges also arise in relation to potentially restricted access to fishing grounds and resources; the freedom of the UK to negotiate trade agreements with third countries; border controls and certification which will most likely result in delays and additional costs; additional certification and sealing for products transiting through the UK en route to the EU.

I am very aware of these potential threats, but I remain very focused on supporting the agri-food industry through the challenges ahead. I will continue to consult with the industry as the negotiations develop, and press Ireland's case at European level for continued free access to the UK market, without tariffs and with minimal additional customs and administrative procedures, together with the minimisation of the risk from UK trade agreements with third countries. I will also seek to maintain Irish access to UK fishing grounds and protect Ireland's quota share for joint fish stocks.