Dairy products 'may become luxuries' after UK leaves EU
Everyday dairy products such as butter, yoghurt and cheese could become luxury items in Britain after Brexit, with price rises being caused by the slightest delay in the journey from farm to table, a report by the London School of Economics finds.
The LSE research, commissioned by the company behind Lurpak, Anchor and Arla brands, also found that speciality cheeses could become scarce after Brexit, with escalating costs whatever the outcome of the exit negotiations.
Ash Amirahmadi, the UK managing director of Arla Foods, said: “Our dependence on imported dairy products means that disruption to the supply chain will have a big impact. Most likely we would see shortages of products and a sharp rise in prices, turning everyday staples like butter, yoghurts, cheese and infant formula, into occasional luxuries. Speciality cheeses, where there are currently limited options for production, may become very scarce.”
The LSE report comes a year to the day after the government was warned that it was “sleepwalking” into a post-Brexit future of insecure, unsafe and increasingly expensive food supplies.
Britain’s food production deficit has been put in the spotlight after repeated warnings that the country needs to rely less on imports to feed the population.
Britain does not produce enough milk to keep up with demand, creating a dependency on the EU, including on dairy-surplus countries such as Ireland, Germany, France, Belgium and Denmark for everyday items such as cheddar cheese and butter.