Trade barriers removed to boost business
DIT has helped remove 175 barriers to trade across 61 countries worldwide, opening new global markets for British exporters.
In the financial year 2019/2020, the Department for International Trade (DIT) has removed 175 trade barriers to trade across 61 countries worldwide, opening new global markets for British exporters.
British businesses can now export more freely and openly and invest in global markets.
Barriers include unnecessary, legal, regulatory, or administrative requirements. This includes labelling restrictions, out-of-date regulations, and licensing requirements.
Government analysis shows that liberalising market access barriers could boost British exports by £75bn per year.
Minister for International Trade, Ranil Jayawardena said:
This is fantastic news for British exporters. Fewer trade barriers mean British businesses in every corner of the country have a golden opportunity to realise their full potential.
As we take back control of our trade policy for the first time in almost fifty years, this shows how we can open and expand access to markets around the world, as we back businesses in pursuing their global ambitions.
This is even more crucial in the current economic climate, as more trade means more jobs, helping Britain bounce back.
Breaking down market access barriers makes it easier for British businesses to trade and invest across the world.
As well as negotiating new free trade agreements, DIT is taking a targeted approach to get rid of the trade barriers that are detrimental to British exports and investment. This will help to build closer trading relationships with the largest and fastest growing economies in the world.
Some of the barriers lifted over the past year include:
- Lifting of beef and lamb export ban to Japan which is worth an estimated £127 million over the first five years of access – approximately £75 million for beef and £52 million for lamb.
- Working with the Brazilian Government to make it easier for British fisherman to export products to Brazil, including Salmon.
- Removing the strict labelling rules on products to the UAE has allowed sports nutrition company, Grenade, to export to the UK’s largest export market in the Middle East.
- Overseas sales account for 20% of Grenade’s annual turnover, and online sales are up by 294%, as the company experiences its best year of e-commerce sales to date, having already surpassed 2019 sales. Highlighting the opportunities available to UK businesses in new markets.
Dominic Goudie, Head of International Trade, Food and Drink Federation, said:
British exports of food and drink are frequently constrained by market access barriers when entering overseas markets and we depend on the support of Government to help resolve these issues.
We welcome the Government’s continued commitment to driving export growth by addressing longstanding issues that restrict trade and encourage businesses to report any trade barriers they experience via the Government’s online service.
The recent success in addressing barriers that have prevented sales of high-quality British beef and lamb in Japan is great news for our producers. This will deliver significant new opportunities to grow British sales in Japan which is the world’s largest net importer of food and drink.
If your business is facing a trade barrier overseas, you can report it to us online at report a trade barrier service. The Department for International Trade now has over 4,000 trade experts based in the UK and across 109 different countries worldwide.
Notes to Editor
- Market Access wins are counted for financial year 2019/20 which runs from 01/04/2019 to 31/03/2020
- The methodology for the assessment of 175 barriers can be found in DIT’s 2020 annual report.
- The Digital Market Access Service (DMAS) is the internal government database of trade barriers facing UK businesses that enables closer collaboration across government in Whitehall and at overseas Posts to analyse and progress action to try and resolve them where feasible.
- DMAS is not a comprehensive repository of all market access issues facing UK exporters, and reporting rates vary widely across countries and regions. As such, aggregate figures should be interpreted as an indicative estimate based on a selective sample.
- The number of countries across which the 175 barriers have been resolved represents the number of different countries in which at least one entry was listed as being present on DMAS. It is subject to the same uncertainties and limitations as all DMAS statistics, as outlined above.
- A series of 2019 studies by the OECD simulated the percentage impacts on UK export demand resulting from substantial liberalisation of market access barriers by G20 countries. Applying these percentages to UK exports of goods and services in 2017, it is estimated that such liberalisation could boost UK exports by around £75bn per year.
- In July 2020, the UK Government launched an information campaign to supplement a programme of business engagement involving roundtables, email bulletins and webinars, all aimed at ensuring that those who need to act have the details they need and know where to find the information they need to prepare for changes. This campaign will run alongside our continued negotiations with the EU.
- To start preparing for changes to trading, businesses should visit GOV.UK/transition to find the information they need to take action. If businesses have questions, or can’t find the right information, they can use the enquiry service and one of our experts will respond. Information and advice for international opportunities for businesses can also be found on great.gov.uk
- To give businesses affected by coronavirus more time to prepare, the Government will be providing extensive support for businesses including: a three-phased approach for new border controls up until 1 July 2021; a new £50 million support package to boost the capacity of the customs intermediary sector; commitment to building new border facilities for carrying out customs checks.