The UK remains an “important player” for Ireland’s exports – but imports from Britain to Ireland have decreased by 20% over a 12-month period, triggered by a “notable weakening” in the food and drink trade from Britain to Ireland, according to professional services firm Grant Thornton.
Commenting on the matter, Jarlath O’Keefe, partner in indirect taxes at Grant Thornton Ireland, said:
‘”As Brexit continues to influence a decline in imports from Great Britain to Ireland, it is somewhat predictable that the latest CSO [Central Statistics Office] figures reveal that imports from Great Britain to Ireland decreased by 20% in April 2021 when compared with April 2020.
“This decrease has been triggered by a notable weakening in the food and drink trade from Great Britain to Ireland since the start of the year, given the increased customs controls, checks and costs on bringing such products into Ireland.
“Notwithstanding the decline in imports, the UK market remains an important player for Ireland’s exports – and this is evidenced by the fact that exports to Great Britain increased by 42% in April 2021 over April 2020.
“However, the previous over-reliance on the British market is no longer the case, given that exports to Great Britain accounted for 8% of overall exports from Ireland.”
This, O’Keefe said, “demonstrates that the Irish market is continually sourcing new markets for its products, which has been made possible due to the recent surge in e-commerce related business transactions”.