The United Kingdom’s Prime Minister, Boris Johnson, is working on a £500 million plan, nearly $610 million, to support farmers by purchasing slaughtered lambs and other livestock in the event of a no-deal Brexit.
According to the Business Insider article, many British farmers are heavily reliant on trade with the EU and would face very expensive tariffs in a no-deal scenario, meaning many could go out of business. BBC reports the farming industry in Wales is worth more than $7 billion to their economy supporting thousands of businesses, jobs, and farms. Government officials are working on a program that would see the government buy any lamb and beef, and some crops, at a set price replacing the EU’s Common Agricultural Policy, which subsidizes farmers.
It appears Johnson is taking one from President Trump’s book, and in very similar fashion, to ultimately help in an uneven trade situation. The difference is Trump’s payment plan did not include slaughter animals and Johnson’s plan removes an entire trade program. There are concerns about trade and economic impact with no-deal between the EU and UK but this could open the door for better trade relations between the U.S. and either entity moving forward.
Northern Ag Network