FOB Chief Executive’s Weekly News for 4th October 2021

Dear All,

Detailed below is the Weekly News for 4th October.

FDF is undertaking a survey on the impact to the movement of food and drink between Great Britain and Northern Ireland. Details of the survey can be found below. I encourage you to complete the survey.

Have a good week.

Gordon Polson – Chief Executive

Barclays Economic Update: UK Gross Domestic Product (GDP) Increases 5.5% in q2’21

According to estimated data published by the Office for National Statistics (ONS), UK GDP increased 5.5% in q2’21, compared to a 19.6% decrease in q2’20. The upturn was driven by an increase in growth in the services sector. the level of GDP in q2’21 was 3.3% below the pre-pandemic level in q4’19.

Production output increased 1.0% in q2’21, mainly driven by a 1.8% increase in manufacturing. Food products, beverages & tobacco and machinery & equipment drove the increase in manufacturing output. However, output from transport equipment manufacturing decreased due to a microchips shortage.

In q2’21, services output increased 6.5%, which was 2.2% below the pre-pandemic level in q4’19. The output growth was driven by an increase in wholesale and retail trade, accommodation & food service activities, education and health. meanwhile, construction output increased 3.8% in q2’21, driven by an increase in infrastructure, new work and repair & maintenance.

 

Further support to ensure supplies of CO2

We would like to make you aware that Business Secretary, Kwasi Kwarteng, has temporarily exempted parts of the CO2 industry from competition law, in order to help provide further security of CO2 supplies to UK businesses.

Please find further detail in the press release on GOV.UK here.

Additional measures announced to support the food haulage industry

The UK Government has announced additional measures to help ensure the stability of the UK supply chain. Please find further detail on the measures Government is taking to ease temporary supply pressures in the food haulage industries in the press release on GOV.UK here.

Please also find guidance on the concession for temporary leave to allow employment as HGV fuel drivers

 

 

Northern Ireland Protocol To help with the current negotiations between the EU and the UK on the Northern Ireland Protocol, FDF is undertaking a survey on the impact to the movement of food and drink between the Great Britain and Northern Ireland. The survey can be found here: https://www.surveymonkey.co.uk/r/BRNS2X3

 

This survey should take no longer than five minutes to complete.

 

We encourage members to complete this survey. The data collected from this survey will help in our lobbying to the UK Government to make the processes for moving food and drink simpler between Great Britain and Northern Ireland. Contact Luke with any questions.

Plastic Packaging Tax

A new Plastic Packaging Tax comes into force on 1 April 2022.
Please find resources to:

Check if your plastic packaging is in scope of the Plastic Packaging Tax

 

 

Government response on genetic technologies

The Government response on genetic technologies has now been published and is available at GOV.UK. The response follows on from Defra’s consultation, which ran between January and March 2021, and a summary of stakeholder responses to the consultation can be found here.
Read more here on the use of gene editing technologies to be enabled to help better protect the environment. Please see our accompanying social media posts here and here.

 

Updated Animal Health Regulation FAQs available

We have updated the Animal Health Regulation (AHR) frequently asked questions, which are available in this attached document.
As a reminder the new AHR Export Health Certificates (EHCs) will need to be used from 15 January 2022 for goods moved to Northern Ireland or exported to the EU from GB. This includes EHCs for all products of animal origin, live animals, germinal products and composite products.
All existing and most of the new AHR EHCs are available and traders can decide which ones they wish to use until 15 January. A small number of new EHCs have been removed from EHC Online for now. This is because the EU will be amending some EHCs, and some are subject to ongoing discussions with the EU regarding GB’s disease freedom status.
The EU have recently published a new EHC for the re-export of certain EU origin POAO to the EU. We are working to provide guidance on this certificate and make it available for use by GB exporters.

 

New DIT support for exporters to Europe
DIT today announced the launch of a new one-stop shop support service for businesses exporting to Europe.

 

Plastic Packaging Tax Industry Working Group update
FDF’s Skye Oudemans attended the regular meeting of the Plastic Packaging Tax (PPT) Industry Working Group. Ahead of the meeting, HMRC had circulated some guidance which we have made available on our website: Please review this decision tree to check if your plastic packaging is in scope of the PPT and this guidance to check if you are liable and need to register for the PPT.  Work on the PPT is progressing and HMRC are aware of industry concern on timing and scale of action required. More detailed information will be circulated to the Packaging Task Force, please register for updates.

Ultra-Processed Foods and the ‘corruption’ of the UN Food Systems Summit webinar
Following the UN Food Systems Summit and the publication of the Soil Association report titled ‘Ultra Processed World’, The Soil Association held a webinar titled ‘Ultra-Processed Foods and the ‘corruption’ of the UN Food Systems Summit’. The webinar featured talks from speakers; Chris van Tulleken (presenter of ‘What are we feeding our kids?’ on BBC One), Vicky Sibson (First Steps Nutrition Trust), Courtney Scott (Food, Farming and Countryside Commission) and Jyoti Fernandes (Landworkers’ Alliance). Each speaker presented key recommendations for how governments should tackle the issue of ‘ultra-processed’ foods including; a recommendation for all foods that are UPFs be labelled as such with the extent and purpose of their processing, policy aimed at foods should focus on the foods themselves rather than nutrients – for example instead of a tax on sugar/salt a tax on UPFs, investment in fruit and veg production, community food systems and support for low income households. For FDF members more from, contact Fiyin.

 

FDF makes representation to Treasury ahead of Autumn Budget
The FDF has responded to HM Treasury’s call for representations ahead of the Budget, which will take place on Wednesday 27 October. Our submission outlines the challenges facing the food and drink supply chain, including the structural changes which have led to the recent labour market shortages, as well as the various government regulations that would place significant costs on the sector over the next few years. The FDF focused on four priority recommendations that would make a material difference to the food and drink sector and our ability to drive jobs and growth:

  1. A collaborative approach to the National Food Strategy
  2. Utilising skills to overcome labour shortages
  3. Review the gold-plated costs under Extended Producer Responsibility reform
  4. Rule out further taxation of food and drink

Transition of Diet, Obesity and Physical Activity teams from Public Health England to the Office for Health Improvement and Disparities
From today, 1 October, the diet, obesity and physical activity team of Public Health England moves to its new operational home, the Office for Health Improvement and Disparities (OHID). The core business remains unchanged including key work programmes currently underway.
The new organisation aims to put public health at the centre of government and using expert advice, data and evidence together with policy development and implementation, tackle the top preventable risk factors for poor health, including obesity caused by unhealthy diets and lack of physical activity, smoking and alcohol consumption. It aims to work across the health system to drive forward action on health disparities, including improving access to health services across the country, coordinated with government departments and stakeholders to address the wider drivers of good health, from employment to housing, education and the environment. Under the leadership of the Chief Medical Officer, Professor Chris Whitty, Dr Jeanelle de Gruchy newly appointed Deputy Chief Medical Officer for England will co-lead The OHID alongside Director General, Jonathan Marron.

Food Worth £365m Saved from Wastage by Large Food Businesses in the UK

According to the Food Waste Reduction Roadmap progress report 2021, 251,000 tonnes of food worth £365m was saved from being wasted by large food businesses in the UK. The report further highlighted that 670,000 tonnes of greenhouse gases (GHG) emissions had potentially been avoided and 145 million meals were redistributed by businesses committed to the roadmap.

The Food Waste Reduction Roadmap aims to help achieve the Sustainable Development Goals (SDGS) and Courtauld 2030 targets through UK food and drink businesses implementing a ‘target, measure, act’ approach. This move is expected to lead to an annual decrease in UK food wastage of 3.5 million tonnes in 2030, saving food worth £10bn a year.

The report also highlighted that the number of organisations committed to the roadmap increased to 314. The number of businesses implementing ‘target, measure, act’ approach increased 21%. additionally, 140 businesses reported a 17% y-o-y overall reduction in food waste, worth £365m, accounting to £1m per day.

 

Updated Animal Health Regulation FAQs available

We have updated the Animal Health Regulation (AHR) frequently asked ques

tions, which are available in this attached document.
As a reminder the new AHR Export Health Certificates (EHCs) will need to be used from 15 January 2022 for goods moved to Northern Ireland or exported to the EU from GB. This includes EHCs for all products of animal origin, live animals, germinal products and composite products.
All existing and most of the new AHR EHCs are available and traders can decide which ones they wish to use until 15 January. A small number of new EHCs have been removed from EHC Online for now. This is because the EU will be amending some EHCs, and some are subject to ongoing discussions with the EU regarding GB’s disease freedom status.
The EU have recently published a new EHC for the re-export of certain EU origin POAO to the EU. We are working to provide guidance on this certificate and make it available for use by GB exporters.

 

New timetable for introducing border controls

The Government has set out a new timetable for introducing full import controls for sanitary and phytosanitary (SPS) goods being imported from the EU to the UK.
The controls will now be phased in across 2022:
From 1 January 2022

  • The requirement for pre-notification of products of animal origin, animal by-products and high risk food not of animal origin which were due to be introduced on 1 October 2021, will now be introduced on 1 January 2022, along with pre-notification for lower risk plants and plant products.

From 1 July 2022

  • The new requirements for GB Export Health Certificates from EU exporters, which were due to be introduced on 1 October 2021, will now be introduced on 1 July 2022.
  • Phytosanitary certificates for lower risk plant produce, due to be introduced on 1 January 2022, will now be introduced on 1 July 2022.
  • Physical checks on SPS goods at Border Control Posts will now begin on 1 July 2022.

All current controls for live animals, POAO under safeguard measures and high priority plants and plant products remain unchanged.
In addition, the following customs controls will be phased in:

  • Full customs declarations and controls will be introduced on 1 January 2022 as previously announced.
  • Safety and Security declarations on imports will be required as of 1 July 2022 as opposed to 1 January 2022.

The new timeline allows importers, exporters and EU certifiers more time to prepare for the requirements and controls. It will ensure we reduce any anticipated disruption when these measures are introduced. Read more here.