The Department for Environment Food & Rural Affairs (Defra) secretary Liz Truss has warned that leaving the European Union would put the livelihoods of 10,000 sheep farmers in jeopardy.
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Based on figures from 2014, 40% of all UK produced lamb and mutton produced in the UK was sold in the EU. These sales accounted for £290m to the industry, more than a quarter of its £1.1bn income.
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UK sheep farmers heavily rely upon the single market, which accounts for 97% of all lamb and mutton exports. If the UK was to leave the EU following the referendum later this month, Truss warned that an additional cost of £155m could be added in export tariffs.
As a result, European buyers could turn to New Zealand and Australian lamb which would become the more attractive prospect.
Although Standard Wool doesn’t buy meat from UK farmers they do purchase wool and are concerned by the suggested implications that leaving the EU could have.
Quotas
Speaking to Farmers Weekly, Ms Truss said: “Outside the European Union, farmers could face quotas and tariffs as well as a red tape ‘double whammy’ of having to follow both UK and EU rules,” said Ms Truss.
“Less trade could result in significant price falls, damaging the incomes of the 10,000 sheep farmers who depend on it.
“This makes a vote to leave the EU a huge leap into the dark for our food and farming industry and threatens the livelihoods of thousands of British farmers.”
In a survey carried out by Farmers Weekly, it found that sheep farmers were among the most likely farmers to vote for the UK to stay in the EU. The reason for this is the EU farm subsidies that they benefit from, which can account for 60% of their income.
Counter
Ms Truss’ concerns were knocked back by farm minister George Eustice who believes that UK farmers would have nothing to fear in the UK left the EU. He said that free-trade agreements would be maintained and that the government would be able to spend the same amount of money – and possibly more – to support farming.
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