Optimism swept through international food lobbies last night despite ongoing concerns regarding the proposed timings of Boris Johnson’s trade plans.
The prime minister has said the UK will first prioritise deals with the EU and US before turning its attention to Japan, Australia and New Zealand.
Now with an unexpectedly large majority, Johnson is expected by international food lobbies to open up the country’s markets in more liberal trade agreements than might otherwise have been permitted.
“If your government has a healthy majority, they tend to move quite quickly on reforms…from our perspective that’s fine,” said Jeff Grant, Brexit representative for New Zealand’s red meat sector. “We think the more open the markets get in the UK and Europe the better.”
“We [expect to] see a more liberal attitude towards free trade agreements. If you had a thin majority that may not be the case.”
Donald Trump said on Twitter the UK was now free to strike a ”massive new Trade Deal” with the US that would be ”far bigger and more lucrative” than one with the EU.
Congratulations to Boris Johnson on his great WIN! Britain and the United States will now be free to strike a massive new Trade Deal after BREXIT. This deal has the potential to be far bigger and more lucrative than any deal that could be made with the E.U. Celebrate Boris!
— Donald J. Trump (@realDonaldTrump) December 13, 2019
US food producers welcomed the possibility for an open and expansive trade deal, but remain unsure of when negotiations will begin.
“There’s still no clarity on what the relationship is going to be between the UK and the US,” said Tom Vilsack, president and CEO of the US Dairy Export Council.
“It depends on the way the final negotiations take place [with the EU] for how much leeway the UK has in negotiating with the US.”
Johnson has proposed that negotiations will begin concurrently with the US and the EU next year, a move dismissed abroad.
“I really don’t know how they can negotiate with the US until they know what the rules of the game are with the EU,” said Vilsack. “The theory is the UK will try and trade them off against each other…but I think that is a prescription for stalemate.”
Dave Salmonsen, senior director at the influential American Farm Bureau Federation, agreed.
“The shape of that deal will go along way to determine the shape of a future US deal,” he said.
“But at least it now seems there’s a timetable. For the last few years there hasn’t been.”
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