Britain’s exit from the EU could have serious consequences for the EU member state as the German Farmers’ Association claimed up to 40 percent of the UK’s food comes from Berlin. Farmers in Germany are panicking over the future of the 4.5billion euro chunk of money coming from the UK, vice president of the association Walter Heidl said. He said regardless of whether Britain opts for a hard or soft Brexit, the fact the UK is leaving the EU is enough to put a colossal strain on the German economy – particularly its agricultural sector.
Mr Heidl said: “Brexit complicates trade and new costs arise. That would mean more time and money from everybody involved.”
He added that all foodstuffs, especially pork and poultry, but also milk, beef and cereal products, are expected to be affected by the Brexit trade barriers.
He said: “Brexit will result in products from other countries that have previously gone to the UK entering the rest of the European market.
“And pressure created by volume always creates price pressure.”
Talking about beef in particular, he added the possible conclusion of a bilateral trade agreement between the EU and the South American Mercosur countries would spell disaster for the market.
In reference to the UK’s departure from the bloc, he added: “The country was previously a net contributor to the European budget. The other member states now have to provide significantly more funds.
“You have to see how this fits in with the goal of continuing to pursue a sustainable agricultural policy.”
He claimed German farmers would receive compensation for high animal protection standards post-Brexit.
It comes as a political expert today claimed Angela Merkel’s Germany is paying the price for its stance on Europe before Brexit has even been pushed through.
Mrs Merkel’s impending departure from her leadership of Germany may create severe “political gridlock” for the country as Le Temps Paris Correspondent, Richard Werly, spoke to France24 about the “disunity and division” within the Chancellor’s government.
Mr Werly warned Germany may be set for the kind of political gridlock seen in recent years in places like Spain.
He said: “There is a sense of disunity and division within the government.
“But at the moment, I don’t believe any of the partners in the gross coalition would take profit from an early departure of Angela Merkel.
“Things are not yet settled, everybody is watching, the Conservatives, the Social Democrats, everybody is watching their back.
“They don’t really know what they can do.”
Mr Werly continued: “So I would suspect that 2020 will be a year of pause, politically speaking, for Germany.
“That will be the problem.
“Germany is paying today the price of 10 years of political defence.
“They have played in the defence.”
He added: “Angela Merkel has always played in the defence.
“Now you have leaders who are all on the offensive, whether it be Trump, be Johnson, be Macron.
“So Germany now needs to react, it cannot remain on the defensive line.”
Additional reporting by Monika Pallenberg.
Britain's exit from the EU could have serious consequences for the EU member state as the German Farmers' Association claimed up to 40 percent of the UK's food comes from Berlin. Farmers in Germany are panicking over the future of the 4.5billion euro chunk of money coming from the UK, vice president of the association Walter Heidl said.