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    Home»Business»Supermarkets call for EU-UK deal on plant and animal exports
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    Supermarkets call for EU-UK deal on plant and animal exports

    Press RoomBy Press RoomApril 17, 2025No Comments4 Mins Read
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    Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter.

    Some of Britain’s biggest supermarkets and food producers, including Marks and Spencer and J Sainsbury, have called on the EU to agree a deal with the UK government to help smooth exports of plant and animal products across the English Channel.

    The strong industry intervention in support of a “veterinary agreement” between London and Brussels comes as the two sides prepare for a summit on May 19 to “reset” trade and security ties that suffered as a result of Brexit. 

    In a letter seen by the Financial Times, 12 companies told Maroš Šefčovič, the EU commission vice-president in charge of Brexit negotiations, that “at a time when trading relationships around the world are being challenged, now feels like an opportune moment to solidify our economic partnership”.

    “Unnecessary red tape” since Brexit meant moving food and drink had become “significantly more expensive”, added the letter, which was also signed by retailers Morrisons, Lidl and Ocado as well as meat processors Cranswick and 2 Sisters.

    It comes ahead of May 1 local elections in England, where Nigel Farage’s pro-Brexit Reform UK party is predicted to mount a strong challenge to Sir Keir Starmer’s ruling Labour party.

    The government has committed to seeking a veterinary agreement with the EU to remove border red tape, including export health certificates and other paperwork, which the supermarket bosses said was adding significantly to their costs.

    Both the EU and UK have signalled their intention to conclude a veterinary — or sanitary and phytosanitary (SPS) — agreement. But Brussels has made clear it will have to involve “dynamic alignment” with EU laws, where the UK must automatically transpose EU laws on to its statute book.

    Lord David Frost, the Conservative peer who negotiated the original EU-UK trade agreement, this week accused ministers of preparing to “sell out” the UK’s right to independent self-government by striking a veterinary deal.

    “It’s increasingly obvious that Labour are going to sell out the country once again,” Frost told The Sun newspaper, following reports that the government was considering accepting the jurisdiction of the European Court of Justice over some elements of the deal.

    Industry is concerned that a strong showing by rightwing populist Reform in pro-Brexit areas could rattle Starmer’s administration and reduce ambition for the EU-UK reset, which will also address other politically sensitive areas such as migration and fishing rights.

    One industry executive said the letter was intended to “stiffen spines” on both sides as the political debate around the reset heated up, and make clear that there were “benefits for everyone” in doing a deal in terms of jobs, growth and food prices. 

    The EU accounted for more than 70 per cent of UK food and drink imports last year, worth £45bn, and 57 per cent of UK exports, worth £14bn.

    The food and drink industry has been among the hardest hit by Brexit. According to research published last month by the Food and Drinks Federation, UK food export volumes to the EU were down by 34.1 per cent last year compared with 2019, before Britain left the bloc.

    European food and drink imports to the UK rose 3.3 per cent last year compared with 2023, because European goods are subject to fewer checks on entering the UK than UK goods entering the bloc, the trade body found.

    The letter’s signatories said a deal to remove border frictions would boost economic growth and increase investment in the UK and EU.

    “It is ultimately the customers and communities we both aim to serve that suffer, as well as the farmers, growers, and workers in our supply chains across the UK and EU,” they wrote.

    The Cabinet Office said: “We welcome that major UK businesses support our manifesto commitment to negotiate an ambitious SPS agreement to put food on people’s tables more cheaply as part of our strategic alliance with the EU.”

    The European Commission declined to comment.

    Additional reporting by Laura Onita in London

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