Thursday March 25, 2021
Bitter conclusion after Brexit
British exporters are struggling
Even if a trade deal between the EU and Great Britain was concluded at the last minute, problems remain for the island’s exporters. Meat products in particular are subject to strict rules.
Even around two and a half months after the final Brexit, British companies are still struggling with the new export rules. There are still significant barriers to trade with the European Union, notes a report published by a House of Lords committee in London.
“The Brexit trade agreement with the EU has prevented the nightmare of a ‘no deal’ for Great Britain, but there are still many unfinished points between the two sides,” said committee chairman Sandip Verma. Small and medium-sized companies in particular felt the pressure.
The report warned that controls on animal and vegetable products in particular could become permanent problems. Meat products and live shellfish are particularly badly affected.
Complicated VAT rules in EU
Great Britain left the EU internal market and the customs union on January 1, 2021, completing Brexit. Since then, UK exporters have to provide a health certificate for every animal and vegetable product for exports to the EU. There are also customs duties.
Several industries are complaining of a significant slump in their export business. “The trade and cooperation agreement should be seen as the beginning and not the end point of the UK’s new relationship with the EU,” said Verma. She said: “The government must take an ambitious approach to trade relations with the EU.” The EESC believes that “complex and diverse VAT rules” are one of the main challenges facing businesses in the EU.