Scotland's red meat industry expects guidelines for Brexit
Businesses operating in Scottish red meat sector are still expecting some clarity on Brexit, even if they are confident that the crisis can be surpassed.
During the launch of Quality Meat Scotland’s new “Scottish Red Meat Industry Profile” Stuart Ashworth, Head of Economics Services, mentioned that investors don't have any clue yet about what the future looks like from this perspective.
"Without question, there is concern that businesses are treading water during this period of uncertainty when we still have little clarity about the implications of Brexit. Two years on and we are a little clearer on what Brexit may mean for our industry. We have no vision of what agricultural policy may look like and producers are still assimilating the changes introduced in the wake of the last CAP reform.
However, our industry has a great track record of resilience and adapting to change and there are welcome indications that businesses – including several processors – are investing and adapting to help future-proof their operations", said Mr Ashworth.
According to the data presented in the report, the total volume of meat produced in Scottish abattoirs during 2017 was down 3.9% compared with 2016, at around 212,100 tonnes. In total, 24 licensed red meat abattoirs operated in Scotland during 2017 generating a total turnover of GBP 892 million (€1 billion). This was up GBP 32 million (€36.5 million)year-on-year, by around 4%.
Total beef production is estimated to have fallen by 2.9% to 167,250 tonnes in 2017, as a decline in prime production was partially offset by higher cow beef production. In the sheep sector, less than half of the Scottish lamb crop was processed in Scotland and production fell by another 2.6% to 23,400 tonnes. Although capacity increased in the pig processing sector, fire damage at the largest Scottish abattoir limited production for three months, lowering annual output by more than 12% to 21,100 tonnes.
According to the report, England and Wales remained the largest market for Scottish processors in 2017, with almost two-thirds of all revenues being generated there, while exports outside the UK have barely reached GBP 80 million (€93.4 million).
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