View from the AIC Brexit Progress Report


As the industry continues its preparation for Britain’s departure from the European Union, the Head of the Agricultural Industries Confederat ion’s Animal Feed Sector, George Perrott considers progress to date and some key challenges for the industry.


some regional differences. For instance, when it comes to wheat the UK can be fairly self-reliant as a whole. However, Northern Ireland, which is dominated by livestock and pasture, imports over 1 million tonnes annually. Therefore, understanding where and how borders operate will make a significant difference. AIC argues that effective and efficient trading regimes are


critical to minimising the loss of valuable nutrients from the whole food supply chain. While conscious of the ever more rapidly approaching Brexit


Our new, high profile, Defra Secretary of State Michael Gove has insisted that he is in ‘listening mode’. At AIC, in our dealings with Defra officials and other stakeholders, we interpreted that as meaning government is open to well thought out proposals, as opposed to demands from any part of the agri-food chain. AIC, through the committees that support the work of the animal


feed sector, has had two key tasks. First, to review the legal issues that Brexit presents. After all, for almost four decades, our industry has been subject to regulations devised in Brussels. Second, trying to get to grips with the extensive and complex trade flows that are a particular feature of our industry. Fully reviewing all the legislation and regulations that apply to the


feed industry, from specialist sectors such as fish feed to large-scale monogastric and ruminant farm animals, was a major task, and the whole industry owes a debt of gratitude to those from AIC Member companies who put in so much time and effort. If the UK is to continue trading feeds and feed materials with


the EU post-Brexit, the UK regulations will need to be well-aligned with those of the EU. This is not just a matter for the feed sector, but for the whole food chain involving livestock products. We need to be prepared to support the export of meat and dairy produce. To date, a number of points of detail have been identified


that could bring benefits to the industry operating outside EU regulations. Trade flows, the current focus of our work, is proving complex.


Our objective is to identify the volumes of feed and ingredients traded within the UK, within the EU and with third countries. This data will be vital to develop a range of scenarios should tariffs be applied under various trade deals – yet to be negotiated. Overall, 40% plus of the feed materials used to produce


compound feed in the UK is imported from EU and third countries. Given our relative deficit of high protein feeds, imports will be a feature of trade flows in the years ahead. We have also highlighted


deadlines, considerable discussion continues. At AIC, we are regularly meeting with government departments, especially the Food Standards Agency. We are also engaged with Defra and the Veterinary Medicines Directorate – all departments which will play important roles in the way Brexit affects the feed sector. Our approach to these meetings is to offer help and industry


support. The sector has far more expertise and understanding of the day to day practicalities of feeding livestock than officials whose expertise is in policy and legislation. The offer of assistance is a fundamental aspect of the approach


being taken across all sectors of AIC. It also applies across the eight areas of trade and advice encompassed by the Agri-Brexit Coalition, of which AIC is a founding member. There are two sides to any negotiation and Brexit is no different.


While we, as a UK industry wish to continue dealing with Europe, similarly Europe wishes to continue trading with us. Therefore, through FEFAC we are looking to ensure that both sides of the negotiations have a good grasp of the issues that need to be understood about our industry. FEFAC has established a Brexit Group, in which AIC plays an active part. We are also engaged via Coceral in similar exercises. Throughout all the discussions, the underpinning aim is to


ensure negotiating governments understand the likely impacts on the competitiveness of our industry which is a vital first step in delivering a healthy diet and a secure food supply. In the coming months,


AIC will continue keeping its members up to date with on- going discussions. There will also be assessments of likely impacts to provide the industry with early warning as hard facts start to emerge from the negotiations.


FEED COMPOUNDER SEPTEMBER/OCTOBER 2017 PAGE 19


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