The Oireachtas agriculture committee has recommended stepping up preparations for customs posts and allocating funding to assist farmers and food businesses as the chances of a no-deal Brexit increase.
In a report published this Wednesday, TDs and senators recommend that: "Ireland’s customs posts can be sufficiently staffed before 29 March 2019, particularly in the event that a no-deal scenario materialises."
They also recommend that "physical customs infrastructure be developed to ensure that there is no disruption to the smooth flow of goods".
Funding
In their submissions to the committee, farming and processing organisations pointed out that the impact of Brexit is set to coincide with the implementation of a reformed and reduced CAP. The committee acknowledged these concerns and recommended a series of financial measures including:
The use of Exchequer funds to supplement proposed cuts to the CAP budget.Seeking EU approval to relax state aid rules and increase support to sectors exposed to Brexit. Schemes selected for their ability to deliver value for money should "guarantee the survival of certain sectors, particularly those which generate economic activity in disadvantaged regions". Additional assitance should be limited to the post-Brexit transition and not become a "long-term subvention to sectors which may no longer be economically viable".Establishing a Brexit Mitigation Fund to allocate resources for these measures.Tariffs and taxes
The committee also called for "contingency planning" in case a hard Brexit results in international tariffs applying to trade between Ireland and the UK, as well as changes in the VAT regime and disruption to so-called "land bridge" transport routes from Ireland to the continent across the UK.
A further drop in the value of sterling was also discussed, with the committee warning it may have "a detrimental effect on the competitiveness of Irish agri food and fisheries products".
On tariffs, Teagasc warned the TDs and senators that Ireland would find itself on the same footing as Brazil and New Zealand when exporting food products to the UK if no withdrawal agreement is ratified.
The Oireachtas agriculture committee has recommended stepping up preparations for customs posts and allocating funding to assist farmers and food businesses as the chances of a no-deal Brexit increase.
In a report published this Wednesday, TDs and senators recommend that: "Ireland’s customs posts can be sufficiently staffed before 29 March 2019, particularly in the event that a no-deal scenario materialises."
They also recommend that "physical customs infrastructure be developed to ensure that there is no disruption to the smooth flow of goods".
Funding
In their submissions to the committee, farming and processing organisations pointed out that the impact of Brexit is set to coincide with the implementation of a reformed and reduced CAP. The committee acknowledged these concerns and recommended a series of financial measures including:
The use of Exchequer funds to supplement proposed cuts to the CAP budget.Seeking EU approval to relax state aid rules and increase support to sectors exposed to Brexit. Schemes selected for their ability to deliver value for money should "guarantee the survival of certain sectors, particularly those which generate economic activity in disadvantaged regions". Additional assitance should be limited to the post-Brexit transition and not become a "long-term subvention to sectors which may no longer be economically viable".Establishing a Brexit Mitigation Fund to allocate resources for these measures.Tariffs and taxes
The committee also called for "contingency planning" in case a hard Brexit results in international tariffs applying to trade between Ireland and the UK, as well as changes in the VAT regime and disruption to so-called "land bridge" transport routes from Ireland to the continent across the UK.
A further drop in the value of sterling was also discussed, with the committee warning it may have "a detrimental effect on the competitiveness of Irish agri food and fisheries products".
On tariffs, Teagasc warned the TDs and senators that Ireland would find itself on the same footing as Brazil and New Zealand when exporting food products to the UK if no withdrawal agreement is ratified.
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