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Beef / Lamb & Pig Price Tracker
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<blockquote data-quote="Frank-the-Wool" data-source="post: 6076730" data-attributes="member: 699"><p>Yes it is very confusing and I was presuming that if we become a Third country but are opting not to apply any Tariff on sheep meat then there will be none either way. However you are correct in your calculation as the notes from the NFU show below. This does show how important it is do have a bespoke deal or not leave the EU!</p><p>The statement about full tariff protection is rather irrelevant as we only import sheep meat from NZ and Australia. NZ presumably will continue tariff free under existing quota, Australia will be subject to tariff.</p><p></p><p>" Sheep meat: There will be full tariff protection for sheep meat sector. This means no additional market access and no reduction in the full external tariff of 12.8% + €171.3/100kg). To be clear existing market access concessions for countries such as New Zealand lamb will continue (the existing NZ quote equates to 114,000t)."</p><p></p><p>I copy below the information on Beef which would be of far greater concern. You will note that even the "experts" have included a warning about the accuracy of the information.</p><p></p><p>"Beef meat: The government has announced the creation of new autonomous Tariff Rate Quotas (TRQs) to manage import volumes of beef. A TRQ comprises two parts 1) a Tariff Rate and 2) a Quota (volume). The “in quota” Tariff Rate for beef will be zero and the volumes granted access (quota) to this zero duty rate is slightly lower than that which we currently see coming in duty free from the EU. The quota for “Fresh/ Chilled Beef” (0201 codes) will be 124,401t. The quota for “Frozen beef” (0202 codes) will be 56,217t and for processed beef (0210 + 1602 codes) the quota will be 50,042t. All together this would see duty free market access for around 230,000t, which leaves approximately NFU Briefing Although every effort has been made to ensure accuracy, neither the NFU nor the author can accept liability for errors and or omissions. © NFU The voice of British farming Page 2 95,000 tonnes of beef imports currently entering the UK market duty free from the EU, potentially subject to the new UK tariffs (depending on whether the trade is direct from ROI to NI). The quotas will be managed quarterly and on a first come first served basis. Further details of how importers will be able to access the quotas will be published shortly. Unfortunately, the quotas will be managed at the 4 digit code level. This means that fresh/ chilled carcase will be treated the same as fresh/chilled boneless cuts, potentially skewing the market resulting in a surge in boneless cuts entering our market. The out of quota duty for beef is significantly lower than that which the EU currently applies to 3rd county imports. For example the UK tariff for out of quota imports of fresh beef would be 6.8% +€93.3/100kg. This is compared to 12.8% + €176.8/100kg currently applied by virtue of EU membership."</p><p></p><p>On beef in simple terms having a lower tariff for out of quota beef imports means that this will come in at a lower price than at present into the EU.</p><p></p><p>While all this complication at present is irrelevant as we are not leaving yet, my concern would be that if we eventually do then these will be the starting points for any tariffs which will not be very pleasant for the livestock sector.</p></blockquote><p></p>
[QUOTE="Frank-the-Wool, post: 6076730, member: 699"] Yes it is very confusing and I was presuming that if we become a Third country but are opting not to apply any Tariff on sheep meat then there will be none either way. However you are correct in your calculation as the notes from the NFU show below. This does show how important it is do have a bespoke deal or not leave the EU! The statement about full tariff protection is rather irrelevant as we only import sheep meat from NZ and Australia. NZ presumably will continue tariff free under existing quota, Australia will be subject to tariff. " Sheep meat: There will be full tariff protection for sheep meat sector. This means no additional market access and no reduction in the full external tariff of 12.8% + €171.3/100kg). To be clear existing market access concessions for countries such as New Zealand lamb will continue (the existing NZ quote equates to 114,000t)." I copy below the information on Beef which would be of far greater concern. You will note that even the "experts" have included a warning about the accuracy of the information. "Beef meat: The government has announced the creation of new autonomous Tariff Rate Quotas (TRQs) to manage import volumes of beef. A TRQ comprises two parts 1) a Tariff Rate and 2) a Quota (volume). The “in quota” Tariff Rate for beef will be zero and the volumes granted access (quota) to this zero duty rate is slightly lower than that which we currently see coming in duty free from the EU. The quota for “Fresh/ Chilled Beef” (0201 codes) will be 124,401t. The quota for “Frozen beef” (0202 codes) will be 56,217t and for processed beef (0210 + 1602 codes) the quota will be 50,042t. All together this would see duty free market access for around 230,000t, which leaves approximately NFU Briefing Although every effort has been made to ensure accuracy, neither the NFU nor the author can accept liability for errors and or omissions. © NFU The voice of British farming Page 2 95,000 tonnes of beef imports currently entering the UK market duty free from the EU, potentially subject to the new UK tariffs (depending on whether the trade is direct from ROI to NI). The quotas will be managed quarterly and on a first come first served basis. Further details of how importers will be able to access the quotas will be published shortly. Unfortunately, the quotas will be managed at the 4 digit code level. This means that fresh/ chilled carcase will be treated the same as fresh/chilled boneless cuts, potentially skewing the market resulting in a surge in boneless cuts entering our market. The out of quota duty for beef is significantly lower than that which the EU currently applies to 3rd county imports. For example the UK tariff for out of quota imports of fresh beef would be 6.8% +€93.3/100kg. This is compared to 12.8% + €176.8/100kg currently applied by virtue of EU membership." On beef in simple terms having a lower tariff for out of quota beef imports means that this will come in at a lower price than at present into the EU. While all this complication at present is irrelevant as we are not leaving yet, my concern would be that if we eventually do then these will be the starting points for any tariffs which will not be very pleasant for the livestock sector. [/QUOTE]
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