‘New Zealand deal is a major threat to Welsh farmers’
FUW president: ‘Winners will clearly be NZ’
THE agreement of a trade deal with New Zealand shows a willingness by the UK Government to undermine UK farming and food security in return for negligible benefits to the economy, the Farmers’ Union of Wales has said.
The deal was struck between Prime Minister Boris Johnson and New Zealand Prime Minister Jacinda Ardern following 16 months of talks by the UK Department for International Trade negotiators.
UK-New Zealand worth £2.3bn last is expected to grow deal.
It’s hoped the deal will remove barriers to trade and make it easier for smaller businesses to break into the New Zealand market.
But FUW president Glyn Roberts said: “The UK Government’s own figures show that the economic benefits for the UK of this deal are microscopic. That’s not surprising given the population of New Zealand is lower than that of Scotland.
“The winners in this deal will clearly be New Zealand as it allows them to up their exports of food to the UK, representing a major threat to Welsh and GB farmers as well as to our food security.”
In year 1 the deal would allow a 30% increase in the amount of New Zealand lamb that can be imported to the UK duty free (ie without tariffs), with this figure rising to 44% after five years, followed by further increases and ultimately the removal of all limits trade year under was and the after 15 years.
Major increases in the amounts of beef, butter and cheese are also included in the deal.
“This deal, coupled with the Australian trade deal announced in June, leaves little doubt that the UK Government is intentionally or carelessly undermining UK agriculture, food production and food security.
“The removal of farm support and increase in red tape and regulations for UK farmers at the same time trade deals are being struck with countries with far lower regulatory standards adds to this impression.”
Mr Roberts said the FUW would continue to alert MPs and Members of the House of Lords to the dangers of the New Zealand and other trade deals, urging them to act in their constituents’ and our nations’ interests when it comes to decisions in Parliament.
NFU Cymru president John Davies said: ‘This agreement in principle with New Zealand follows an agreement in principle reached with Australia back in the summer.
“I view this latest announcement with great apprehension, and as further confirmation of the UK Government’s agenda of liberalising trade with some of the world’s largest agri-food exporters, an agenda which has the potential to seriously threaten Welsh farming in return for no tangible benefits that we can see.
“Back in June, NFU Cymru expressed its fears regarding the precedent that granting such generous market access terms to Australia for red meat and dairy would set.
“My fears have been confirmed as we see New Zealand secure similarly generous access to the UK market.
“There are
ahost of other large agricultural exporters who will be monitoring this latest development and will naturally insist on similar levels of access.
“With this announcement, the UK Government’s direction of travel is abundantly clear.
“It leaves me particularly worried about the cumulative impacts successive trade deals will have on Wales’ farmers, as slowly but surely the floodgates are thrown open to imports from all over the world.
“We need a detailed economic assessment from the UK Government of the predicted cumulative impact on Welsh agriculture of UK trade policy. However, if our financial viability is threatened, then the fabric of our rural communities will be threatened.”
Mr Davies’ final message was to Welsh Government, which is currently in the process of designing a new future support policy for Welsh agriculture. He added: “The trade deals with Australia and New Zealand mean potentially significant marketplace changes for Welsh agriculture.
“With Welsh Government set to take the Agriculture (Wales) Bill through the Senedd, there is an urgent need to look again at how agriculture policy can underpin sustainably produced, climate-friendly Welsh food and support rural communities.”