Experts warn of the dangers of no deal
WITH just seven months to go until Britain leaves the EU in March 2019, the future for retailers remains unclear.
The nature of the deal that the UK will agree with the EU continues to change on a daily basis and government assurances that there will be “adequate food” have been met with incredulity from across the retail sector.
The British Retail Consortium has warned that in the event of a no-deal Brexit, the movement of goods between the UK and EU would be severely impacted.
It described the current supply chain as “fragile”, and said that if no deal was reached there would be “non-tariff barriers”, that could lead to food rotting at ports and higher prices as the cost of importing goods increases.
Richard Pennycook, chairman of the BRC said: “Failure to achieve a smooth transition will create a lose-lose scenario for UK consumers and EU producers. Time is running out.”
European dairy cooperative Arla Foods has also predicted a no deal Brexit could see the availability of butter, yogurts and cheese become restricted.
It stressed that any deal reached should have frictionless customs arrangements and ready access to labour, or else consumers will face shortages, higher prices and a poorer quality of produce.
Ash Amirahmadi, UK managing director, Arla Foods UK said:
“We are calling on both sides in the negotiations to be pragmatic and sensible as they address the practicalities of Brexit.”
