We welcome the agreement reached last Sunday between the UK and the EU on the text of the Withdrawal Agreement and also on political declaration on the future relationship. Since the commencement of negotiations in 2017 we have argued for ambition on four key issues: reciprocal protection of geographical indications (GI), the continuity of third country free trade agreements, the avoidance of a hard border on the island of Ireland and for a meaningful transition period.
On geographical indications the EU and the UK have agreed that those recognised under EU law will be granted the same level of protection in UK law without the need for re-examination. Looking towards the future EU/UK relationship the commitment has been made to continue to privilege the production of high quality products with guaranteed provenance.
Avoiding a hard border on the island of Ireland has proved a difficult issue on which to compromise. However, assurances have been made that should the future relationship fail to match the initial level of ambition the UK will remain in a single customs territory with the EU, with Northern Ireland remaining regulatory aligned with the EU.
The spirits industry is pleased that room has been found to allow for the extension of the transition period, during which the regulatory relationship between the EU and UK will remain largely unchanged, in order to avoid a cliff-edge scenario at all cost. Transition will be extendable once to the latest 31 December 2022.
Only on the continuity of third country agreements is clarity still lacking, with the EU noting only that it will notify its partners that the UK should be treated as a Member State. The spirits industry appreciate that clarity on this issue is reliant on the legal certainty provided by the ratification of the Withdrawal Agreement. Indeed, clarity is not certainty. Despite the achievement of the negotiators in concluding a text, the Withdrawal Agreement must now surmount political hurdles, not least the UK Parliament’s ‘Meaningful Vote’. Our industry needs to know these positive provisions can concretely be relied upon and that a no-deal scenario is averted.
As the withdrawal processes enters its final phase the spirits industry calls on politicians to expedite the ratification processes in both the UK and the EU, and to ensure the forthcoming future EU-UK relationship negotiations are as transparent as the ones on the Withdrawal. spiritsEUROPE, as representative of a sector supporting ambition in trade relationships, stands ready to collaborate with negotiators to ensure a robust EU/UK partnership is established securing tariff-free trade, fair competition and maintaining consumer confidence.
