Jenny Creative Writer
Turn on the TV, turn up your radio or take a scroll through Facebook or Twitter and we guarantee, that at the moment, the main source of news is Brexit. On Friday 24th June, the votes were in and those who wanted ‘out’ had won. But what is Brexit, and what does it mean for the food industry?
With regards to the food industry, Brexit will have an impact, but will it be positive, negative or a little bit of both? Unlike our political parties, the food industry has prepared for either scenario, and now we are ‘out’, changes will have to be made if UK-based food manufacturers are to move forward and adapt to our new status.
Greencore, the largest Irish employer of people in the UK with 23 plants in Britain employing up to 15,000 people, were strong advocates of remaining in the EU, with their chief executive Patrick Coveney using his position to stress his views. As the results came in, their share prices slid as the market reacted, but they are adopting a positive approach as they have, in their own words, “a highly adaptive business that is well-used to mitigating the impact of complex and rapid changes in our markets.”
On the other side, Eurosceptic Tim Martin, chairman of JD Wetherspoon always wanted out. Martin believes the EU lacks the democratic powers it needs for success, and there’s no doubt he will be rejoicing at the EU referendum result.
In an interview with Business Insider UK, Martin set out his immediate expectations from a Brexit outcome and he sounds extremely positive: “I think if Japan and Germany, for example, can rise from the dust in a few years, Britain can. The UK’s position at the moment is one in great wealth, international trade, and historic democracy and [leaving the EU] will take the UK a great leap forward. We will improve financially, in business and wealth, and freedom if we leave the EU. There’s no need to be scared.”
Fishermen are also in a buoyant mood as many have been angry with the European management of fisheries for years, with the EU’s Common Fisheries Policy being at the heart of their dissatisfaction. Many feel the policy has given overseas fishermen the right to take as much fish as they like from our shores – before selling it back to us. But is the policy that simplistic, or does it actually help fishermen? Fish stocks have actually improved since 2002, with more sustainable fish being out there and the old problem of discarding unwanted fish is being phased out whilst quotas to ensure maximum yield are being set.
And yet, many UK fishermen want control over fish in ‘their’ waters without any EU fishing limits, despite the fact that most commercial species are highly mobile and move easily between ‘borders’. But even if fishermen do eventually prevent foreign boats from fishing in its waters, what will happen to their right to fish in the waters of our European neighbours?
British farmers, who have had their own issues with EU regulations and the Common Agricultural Policy, could have cause for concern too. Even though the EU needs us and will keep buying, The National Farmers’ Union fears a “period of uncertainty.” British farming is our largest manufacturing sector, and they want assurances from those in charge of our Brexit that British farming will remain profitable and competitive.
The restaurant and fast food industry is also worried. Why? Well, think of some of the servers at your favourite restaurant; there’s a high likelihood that many are European (28% of migrants from both the EU and worldwide work in food and beverage services*) attracted to the UK by good wages (by their European standards) and the chance to work in, and learn from, the restaurant industry.
The fact is Brexit is here and if you’re in the food business, you need to be prepared for changes. Whether these changes are more positive than negative remains to be seen, but taking the time to stay ahead of new developments and adapting accordingly is key. Let’s hope Brexit leaves a sweet, not bitter taste as more and more changes take place.
* Figures from The Migration Observatory
