The United Kingdom has closed its borders to seed potatoes from the European Union since the beginning of July. This means that another destination has to be found for 25.000 to 30.000 tons of seed potatoes. In the meantime, the Netherlands, as the largest supplier, continues to insist on reopening the British market.
The British ban on potato seed potatoes from the EU is a direct consequence of Brexit. Unhindered market access, as existed before the United Kingdom left the EU, is only possible if the UK commits to the EU's phytosanitary rules. The latter is where the shoe pinches and so in response the UK has restricted the import of seed potatoes from the EU.
The Netherlands hit hardest
According to estimates from the Dutch Potato Organization (NAO), the EU exported 25.000 to 30.000 tonnes of seed potatoes to the UK annually. A large part of this is attributable to the Dutch trading houses. Although their sales to the UK have declined slightly in recent years, in 2020 they still exported more than 15.000 tons of seed potatoes. Conversely, it was estimated that a similar amount was imported from the UK into the EU every year.
"An end to the mutual import and export of potato seed potatoes as a result of Brexit is detrimental to trade and cultivation in both the EU and the UK," says Carola Schouten. With that responds the outgoing Minister of Agriculture, Nature and Food Quality (LNV) to questions from VVD MP Jan Klink. However, according to Schouten, maintaining mutual market access is mainly a consequence of a political choice. "It is not possible for the Netherlands to reach other agreements bilaterally with the UK based on European plant health regulations."
According to the minister, the solution must be found between the EU and the UK. "Both the European Commission and the UK are aware of the Netherlands' wish to find a solution to this situation. We recently once again reminded the European Commission of the importance of mutual market access for the seed potato market." The issue is on the agenda in Brussels this week.
At the mercy of politics
The potato sector in the UK is also hoping for a speedy recovery of trade flows. Otherwise the consequences could be dire, says Sandy McGowan of the British Potato Trade Association. Especially for a few dozen seed potato growers in Scotland. Annual seed potato exports from the UK to the EU – around 30.000 tonnes – would be worth around €16 million. McGowan hopes for individual agreements with the Netherlands if the EU and the UK cannot reach an agreement. "Technically it is quite possible to meet each other's conditions, but we are now at the mercy of politics," he said in an interview with BBC.
In the meantime, affected Dutch seed potato companies can contact RVO to limit the financial damage. For example, Brexit vouchers are available, which can be used to obtain advice about tapping into new markets. In addition, the possibilities are being explored to provide a Brexit-related internationalization program for affected companies from the Brexit Adjustment Reserve.