UK farmers are experiencing significant price drops for livestock due to new trade deals following Brexit. Liz Webster, who operates a farm in Wiltshire, reported a loss of about £400 per animal for her beef cattle, which typically sell for £2,000 to £3,000. This decline is attributed to an influx of cheaper meat from Australia, resulting from trade agreements made after the UK left the European Union, according to The Guardian.
Key Details
The impact of these trade deals is reflected in broader statistics. A study published last year indicated that farmed exports to the EU, the largest market for UK agricultural products, have decreased by nearly half in volume and 35% in value. Specific sectors have also seen declines, with poultry exports down 38%, beef by 24%, lamb by 14%, and dairy by 16%, as reported by the National Farmers' Union.
Farmers are contending with rising costs for feed, energy, and fertilizer, further exacerbating their financial challenges. Tom Bradshaw, president of the NFU, noted that while Brexit's impact is significant, it is difficult to isolate it from other global challenges such as the COVID-19 pandemic and geopolitical tensions. He emphasized that the consequences of Brexit are not immediate but rather a gradual erosion of the farming sector.
Background
The rising costs and declining prices have also affected consumers, with estimates suggesting Brexit has added £7 billion to food prices in the UK. Webster warned,
If it continues, British food will disappear, unless it’s niche, appealing to a particular wealthy market.
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Sources: theguardian.com, theguardian.com.
The decline in livestock prices could lead to higher consumer food prices and reduced availability of British-produced meat in supermarkets. The agricultural sector is likely to face ongoing pressure as trade dynamics continue to evolve post-Brexit. Watch for upcoming reports on agricultural export performance and government responses to the challenges faced by farmers.