Prepared Consumer Foods

Prepared consumer food (PCF) companies are particularly exposed to Brexit. The gross output of the Irish PCF sector is €4.5 billion, and €2.5 billion of that is exported. 65% of all PCF exports are to the UK

PCF companies have highlighted the following key issues of concern:

· Difficulty in sustaining existing low margin business in UK market

· Negative impact of a further weakening of sterling and possible tariffs

· Supply chain cost increases as a result of a UK exit from the customs union

· Uncertainty leading to deferral of investment in innovation and plant and equipment

Brexit: the challenges for the prepared consumer foods sector identifies four key priorities for the sector as negotiations progress to phase two (full details in attached pdf):

1. Free and unfettered access to the UK market for Irish business

2. An agreement that takes account of the special case of the all-island economy

3. Transitional agreements of sufficient length for businesses to plan and prepare for any new free trade agreement

4. Any arrangements to deal with the NI/ROI border should ensure strict adherence to EU regulations and EU customs duties for all products, in particular from third countries

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