Will the draft Brexit deal be good for UK agriculture?
The UK's Agriculture and Horticulture Development Board (AHDB) has assessed the draft withdrawal agreement between the UK and the EU, which was agreed last week.
It says that most in the UK will view an EU/UK Free Trade Agreement (FTAs) as positive for agriculture. It will minimise disruption to trade with the EU, important to many of its sectors.
This goes further than other FTAs as there are no tariffs or quantitative restrictions across all goods.
However, it warns that checks at the border will mean trade friction and increased costs to trade.
"Studies place the cost of this at between 3-8pc. In agriculture these costs will benefit farmers in sectors where we are net importers (eg. Pork, Beef, Dairy and Horticulture) but adversely affect exporting sectors (notably sheep)."
It says that the price to pay for the lack of restrictions on trade is ‘cooperation’ on regulation.
"At present these are completely aligned but post-Brexit the UK could start to make different regulatory decisions which might benefit our businesses.
"The EU might feel that a breakdown in cooperation has occurred if a change is made which provides an unfair advantage by creating an uneven playing field."