Scottish wholesalers raise no-deal Brexit concerns to PM Johnson

The Scottish Wholesale Association (SWA) has joined industry groups in taking the “unusual step” of making a direct plea to the prime minister regarding the trade situation with the EU after the end of Brexit transition period on 31 December.

The UK is still in talks with the European Union (EU) over a free trade deal with the bloc.

In a joint letter, 11 leading food, drink, seafood and farming organisations from Scotland warned Boris Johnson on the “perilous situation” the food and drink sector would face in the event of a no-deal.

Noting the damage caused by the COVID-19 pandemic, the letter added that the “fallout from a no deal would be catastrophic.”

Colin Smith, SWA chief executive said the trade association had ensured the letter stated that distributors were included within the businesses asked to be given a financial compensation package, where they encounter loses as a direct result of border or market disruption.

Other policy asks in the letter include a six-month “grace period” from the end of the transition period to allow businesses to adjust to the new rules, finalising operational arrangements for enabling the smooth passage for seafood consignments across the Channel and adding food and drink sector roles to the Scottish Shortage Occupation List and supporting seasonal and remote workers to facilitate the continuation of overseas labour where it is necessary to do so.

“Tariffs, border disruption for high value perishable goods, and certification costs are all far greater threats for the food and drink sector than they are for other sectors in the economy. And our food producers are extremely reliant on labour from the EU, such as the North East where over 70 per cent of the workforce in seafood processing are EU nationals,” the letter read.

“So, what we do in the next 60 days is critical to the survival of many food, drink, farming, fishing and seafood businesses, and the supply chain and jobs they support.”

The signatories to the letter are: Scotland Food &Drink; Food and Drink Federation Scotland; National Farmers’ Union Scotland; Quality Meat Scotland; Scottish Agricultural Organisation Society; Scottish Association of Meat Wholesalers, Scottish Bakers; Scottish Salmon Producers’ Organisation; Scottish Seafood Association; Seafood Scotland; and the Scottish Wholesale Association.