It was over Christmas four years ago that after years of wrangling, the UK and EU announced a deal whereby the UK would leave the EU single market and customs union.
With four years post-Brexit trading now in place, large industry in particular either side of the Irish Sea has made the necessary investment in people and technology to enable trading to continue with the new layer of bureaucracy.
This isn’t as achievable for small businesses and, as a result, many artisan British food exporters have ceased exporting altogether, as the bureaucracy of health certification and customs documentation simply isn’t viable for small quantities and hauliers aren’t interested in groupage to the extent that they were for the single market.
Border controls
Border checks have been introduced on a phased basis and, indeed, in the case of Irish exports to Britain through Holyhead, facilities are yet to be completed.
Elsewhere at British ports, the government has deferred sanitary and phyto-sanitary inspections on multiple occasions and in the case of highly perishable products such as cut flowers, there have been multiple difficulties.
In Northern Ireland, managing the dual role of being part of the UK and EU single market has brought logistical problems alongside the political sensitivities associated with being physically separate from the rest of the UK.
Again, it is small business that is affected the most and in many cases suppliers from Britain have decided shipping to Northern Ireland isn’t worth the hassle.
From a farming perspective, veterinary medicine access remains an issue to be solved - there is a temporary derogation in place at present, but the long-term solution needs to be sorted.
New government
Much has been made of the change in government in the UK in 2024. There is a widely held perception that the Labour Party, now in power, is more EU-orientated than its predecessors.
However, while ministers speak of resetting the relationship with the EU, the reality is that the current government has ruled out rejoining the single market and customs union, just as its predecessor did.
A special veterinary agreement has been mooted and if it was in place, it would remove much of the logistical difficulties in doing business between the UK and EU, including supplying Northern Ireland from Britain.
Again, while the mood music has been positive, there was little indication of progress as 2024 came to a close.
One outworking of Brexit that has come into effect is the trade deals the UK made with Australia and New Zealand. Australia has shipped 15,000 tonnes of lamb to the UK without tariff for the first time, taking full advantage of a slump in UK production.
Beef exports have also increased, but from a very low base.
Given the tight supply situation in the latter part of 2024 for both beef and lamb, Irish processors weren’t affected, but who knows in future if there is an abundance of supply from both the UK and Ireland competing alongside Australian product for shelf space.
Overall, it would be a struggle to point to a tangible benefit of Brexit four years on though that may happen in 2025 when Donald Trump returns as US president.
In the meantime, large traders have adapted and found a way to accommodate the increased bureaucracy, smaller businesses have had to opt out of the export business.