The Prime Minister said the Windsor Framework had “eliminated any sense of a boundary in the Irish Sea”. Photo: DAN KITWOOD/AFP
Supermarket executives are warning that Rishi Sunak's Brexit deal to unlock trade between the UK and Northern Ireland will not solve the problems businesses are facing. Spencer, ruled out the full use of the Green Lane Fast Track System when it comes into force in October due to the complexity and associated costs.
The system that underpins the Windsor Framework agreed earlier in this year by Prime Minister and European Commission President Ursula von der Leyen, allows goods to cross the Irish Sea without physical checks and minimal paperwork as long as they are labeled “not for the EU”.
However, insiders said that this would require changes in the packaging of thousands of products, that is, changes in production lines. As a result, many products will not be ready by October when the meat and dairy regulations go into effect.
While there will likely be changes to the packaging of more products in the future, in some cases the associated costs means that this will not happen at all.
Products without a label should remain in the “red zone”. lane”, that is, they will be subjected to a full customs check.
Andrew Opie, director of food products at the British Retail Consortium, said: “While retailers are working hard to be fully compliant by October, we are very concerned that unless the government quickly resolves issues such as labeling and other controls on moving to Northern Ireland, supermarkets will not be able to make the most of the green lane, causing inevitable disruption to their supply chains.”
Supermarkets have not yet received a complete list of goods that can go through the “green” and “green” lanes. according to industry sources, these are 'red bars'.
A source at one of the UK's biggest four supermarkets said: “Most retailers will probably have to use the red bar for some products to start with simply because of the requirements labeling, we don't yet know what they are in detail.”
The Windsor Framework Key Points
This raises new questions about whether Mr. Sunak's Windsor Framework deal was as successful as originally claimed. Announcing the deal earlier this year, the prime minister said it “removes any sense of a border in the Irish Sea.”
But supermarket and grocery bosses are increasingly concerned about what a divided system will look like. when it will be phased in.
A spokesman for M&S said: “The Windsor Framework is an important step forward for Northern Ireland, but the details, in particular labeling requirements, bring costs and complexity that will take time to fully implement.”
Nick Allen, the chief executive of the British Meat Processors Association, said: “Maybe not only retailers are starting to push for the red channel, but maybe we can see it in the restaurant sector as well.”
“It could be argued that some food service companies, McDonald's or anyone else might say, 'We don't want a restriction on delivering anything to Northern Ireland and not being able to travel south.'
Retail insiders have suggested that companies that sell in both Northern Ireland and the Republic of Ireland will face even more costs after the change, as they will have to produce both labeled and unlabeled packages.
One source suggested that this might require using different supply chains for two different destinations.
Another industry insider said there were additional complexities when it comes to products that were imported from the rest of the world and then shipped from the UK to Northern Ireland, which could be blocked on the green lane.
There was also confusion regarding the full scope of the labeling requirements for those products that remain in Northern Ireland.
As The Telegraph reported in May, the plans being discussed included requiring supermarkets to place labels stating that food cannot be sent to the EU, not only on individual food packages, but also on food boxes and on supermarket shelves.
A spokesman for Dairy UK said: “The Green Lane system should simplify the administrative processes required to send goods from the UK to Northern Ireland.”
However, they come with some problems, mainly labeling. on the packaging.
“There are still a few unresolved issues in this area, which creates some uncertainty. In light of this, some operators may choose to continue with the Red Lane they are already familiar with.”
A spokesman for the Department of Environment, Food and Industry, Department of Rural Affairs (DEFRA) said: “The Windsor framework addresses practical issues of old protocol and guarantee Northern Ireland's place in our Union.”
“We are actively engaging with businesses in Northern Ireland to help them prepare, including issuing detailed instructions and offering financial support.”
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