Union Calls for Government to Drop Tariff Proposals
Unilaterally lowering tariffs would result in greater access to foreign food produced at questionable standards
NFU Scotland submitted its response to the UK Government’s consultation on the future of UK tariffs yesterday (Thursday 5 March), in which it reinforced the message that any compromise on standards for products being imported would have serious consequences for Scottish agriculture.
In the submission, NFU Scotland made it clear that it is crucial that the applied tariffs are not unilaterally lowered in advance of trade talks. The UK’s 2019 temporary tariff schedule in the case of a no-deal BREXIT, which offered to reduce and remove tariffs, caused trade partners to halt negotiations on transitioning existing EU trade deals.
In the consultation submission, NFU Scotland has stated that any tariff reduction or removal should only be done as part of trade negotiations and in return for reciprocal concessions.
Speaking on the back of the Union’s submission, NFU Scotland President Andrew McCornick said: “Applied tariffs are of fundamental importance to Scottish agriculture and it is absolutely crucial that we want to keep tariffs at the current level.
“The high production standards to which we operate in Scotland do not come for free. It is the current tariffs that provide a level of protection to offset low price, low standard imports. They are the only tools allowed under World Trade Organisation rules to do that.
“That protection has been vital, helping protect farmers and crofters against the worst effects of global competition.
“Our industry is proud of the high standards it operates to, but these impose very significant additional costs. With WTO rules not allowing trade to be blocked to ensure a level playing field, it is only through the applied tariffs that any protection can be offered to our industry.”
“Scotland’s farmers and crofters produce food which is world renowned for quality and we do not want to have these efforts undermined by applied tariffs with lower standards.”
Notes to Editor
- As part of the EU, products imported into the UK have been subject to the EU’s system of tariffs. Those apply to all non-EU imports.
- Although the UK is no longer a Member State, tariffs cannot be changed until the end of 2020 and then can be kept as they are or be reduced.
- In early 2019, as part of its no-deal planning, the UK Government sent the World Trade Organisation a schedule of tariffs that stripped all protection from some agricultural products and reduced it on the rest.
- The reaction of countries the UK was talking to about future trade lost interest, knowing they would get what they wanted without giving ground.
- The consultation proposals were primarily concerned with ‘simplification’ but if carried forward would result in reduced tariffs on most agricultural products.
- Click here to view a copy of NFU Scotland’s submission. It can also be requested from media@nfus.org.uk
Ends
Contact Douglas Ross on 0131 472 4059
Author: Douglas Ross
Date Published: 06/03/2020
News Article No.: 21/20
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