The UK government needs to stop hiding behind nebulous concepts such as equivalence and actually engage with what is needed to support exports across all sectors to our nearest large market. theguardian.com/business/2021/…
By now it should be obvious that Free Trade Agreements with the promise of zero tariffs do not of themselves provide a sufficient framework for supporting exports particularly of food and drink. Because of regulatory and customs checks, and much more besides.
There's also a deeper conversation to be had about the UK economy, given the loss of free trade and free movement. That's not to adopt a 'we're doomed' attitude, but to point out that change is inevitable. Is anyone in government planning for this beyond gimmicry?
The UK government is demonstrably still fighting the Brexit war, to attack the EU and please their Brexit ultra supporters. Meanwhile at an operational level companies are suffering, and yelling 'equivalence' at the EU doesn't help.
Time we changed the record and moved on as a country. But with the government playing the populist card and the opposition leader too afraid to touch the issue there's only a certain amount those of us who want to move on can do.
Business can help to move on. The work of the @UKTradeBusiness Commission involving MPs and business provides a good forum for raising the issues. But ultimately we need the political leadership. Until that happens our trade will suffer. /
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I'm not sufficiently expert on the steel industry to know whether we should or shouldn't have protections in place - the big point is that thanks to the absence of a trade strategy we have no coherent basis for making such a decision. A recurring theme. theguardian.com/business/2021/…
Similar issue on agriculture - many simplist claims on protectionism v free trade from government supporters, a reality of complex decisions with multiple factors from UK food protection to animal welfare and climate change, none apparently particularly well considered.
The biggest problem UK trade policy faces is a lack of understanding of a modern economy, and what the UK should build. An interconnected highly regulated modern economy being presided over by ministers who mostly think free trade equals lower tariffs, and regulations are bad.
The UK has been pushing something between equivalence and dynamic alignment for five years with the whole EU - essentially the less onerous responsibilities of the former combined with the market access of the latter. Or cakeism as it came to be known. Still, talk is good, and...
Every time I see a minister make a false reference to the ECJ like this one you wonder if a climbdown is in the air. The UK 'wins' no ECJ oversight that there was never going to be, and the EU graciously allows the kind of alignment always on offer that will reduce checks.
Ultimately for agricultural trade the equation is the EU has detailed rules and tough checks applied to all countries, but third countries able to build up trust in their food production systems can gain equivalence agreements and other easements. So a choice for the UK...
This week the UK and Australia signed a Free Trade Agreement while the EU and US signalled further their turn away from prioritising such deals. Why? Essentially FTAs have become too much effort for too little reward. My @BorderlexEditor latest borderlex.net/2021/06/16/per…
Recalling the old Ronseal advert, does what it says on the tin, Free Trade Agreements are the opposite. They can do a lot of useful things, but they don't deliver free trade. And the distorting effects of regulated trade meanwhile grow.
More detail on the UK-Australia deal has been released and the point becomes clearer. There is a lot there. But how much more trade will actually be facilitated as opposed to diverted from poorer countries (which could be quite an issue)? gov.uk/government/pub…
My twitter feed features many in the EU planning, indeed starting their travels and many in the UK lamenting their inability to do so.
We didn't use that vaccine head start did we?
Between the ridiculous statements of the lockdown sceptics, the inability to plan beyond the next headline from the government, and the puritanism of the Labour leadership, we probably never stood much of a chance.
The danger that the UK just becomes increasingly insular stares us in the face and we ignore it because we're too busy being insular over our remain v leave splits and plenty more besides.
This actually doesn't make any sense when you think about it. Of course positions are political, of course they can be changed. But they are also about many other things, including safety, internal EU trade, and global norms - of which EU processes are in line.
You can replace "EU view" with "global norm" here and get a better picture. Unfortunately the UK government, plus some very questionable advice, has decided there is a different form of equivalence available.
I have been given some very strong advice by experts in food trade that if the UK really wants to solve the sausage trade issue it should be putting in place processes to guarantee safety rather than just saying the EU is wrong. Prove it.
Got it! We solve the problem of GB food exports to Northern Ireland by not producing any food and importing it all from Australia instead...
My 'solution' makes nearly as much sense as most of the UK government sympathetic commentary on the Northern Ireland protocol or Australia deal...
But that's the thing with a populist simplist government - things are the right thing to do because it says they are the right thing to do. Consequences are for losers.