UK grocers, fast food warn of major disruption from no-deal Brexit

Young journalists club

News ID: 34691
Publish Date: 18:40 - 28 January 2019
TEHRAN, Jan 28 - Britain's food security could be threatened if it leaves the EU without a deal and suffers an abrupt hit to trade with the bloc, a lobby group representing firms including Sainsbury's, Asda, McDonald's and KFC said on Monday.

UK grocers, fast food warn of major disruption from no-deal BrexitTEHRAN, Young Journalists Club (YJC) - Business leaders have expressed alarm at the prospect of chaos at ports if Britain does not agree on the terms of its withdrawal from the European Union, scheduled for March 29.

The British Retail Consortium (BRC) made its latest warning in a letter sent to lawmakers. It was also signed by the bosses of supermarket groups the Co-operative, Marks & Spencer, Lidl and Waitrose.

"While we have been working closely with our suppliers on contingency plans it is not possible to mitigate all the risks to our supply chains and we fear significant disruption in the short term as a result if there is no Brexit deal," the letter said.

"We are therefore asking you to work with your colleagues in Parliament urgently to find a solution that avoids the shock of a no-deal Brexit on 29 March and removes these risks for UK consumers."

The letter was published ahead of key Brexit votes in Parliament set for Tuesday.

It noted that nearly one third of the food eaten in the UK comes from the EU. The situation would be even more acute in March when British produce is out of season, with 90 percent of lettuces, 80 percent of tomatoes and 70 percent of soft fruit sourced from the EU at that time of year.

"As this produce is fresh and perishable, it needs to be moved quickly from farms to our stores," it said. "This complex, ‘just in time’ supply chain will be significantly disrupted in the event of no deal."

The BRC noted that even if the British government does not undertake checks on products at the border, there will still be major disruption at Calais as the French government has said it will enforce sanitary and customs checks on exports from the EU.

The BRC letter highlighted the UK government's own data suggesting freight trade between Calais and Dover may reduce by 87 percent against current levels as a result.

"For consumers, this will reduce the availability and shelf life of many products in our stores," it said.

The BRC also expressed concern about the pressure on food prices from higher transport costs, currency devaluation and tariffs.

Source: Reuters

Tags
uk ، brexit ، no-deal
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