Warning: How Brexit will hit agri-food
'Regulatory divergence' faces 90pc of economy
A stark new Brexit impact study has identified the agri-food sector as the industry to be the worst affected by Britain's decision to leave the European Union, the Sunday Independent can reveal.
The Government-commissioned report found that five key sectors of Irish industry will bear the brunt of Brexit, with beef, dairy and processed food companies being the most negatively affected.
It can also be revealed that Taoiseach Leo Varadkar is planning to nominate the former Ulster Farmers' Union President, Ian Marshall, to stand in the forthcoming Seanad by-election. Mr Marshall is being nominated for his expertise on how border farming communities will be impacted by Brexit but the move may also help repair relations with the DUP.
A Brexit boost for Ireland is due to be delivered in the coming days with successful talks expected to restore the power-sharing assembly in Northern Ireland.
Meanwhile, the Government's Brexit study also found the wholesale and retail sector, which includes restaurants and tourist accommodation, will see major job losses due to a significant drop in consumer demand.
The Department of Business, Enterprise and Innovation study, which was undertaken by the respected Copenhagen Economics consultancy service, also warned fewer British tourists will visit Ireland once the UK leaves the EU. Companies selling electronics also face major challenges if Britain leaving the EU results in significant differences in regulations in the area of electronic goods.
The pharmaceutical and chemicals companies will have to brace themselves for economic fallout from Brexit due to the size of the sector.
The aviation industry was also highlighted as facing dangers as air traffic rights and regulations between the EU and the UK will no longer be aligned after Brexit.