Northern Ireland businesses confident of EU trade

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Northern Ireland businesses confident of EU trade

Black and green boxes of ventilation systems destined for Poland are piled high in a factory in Dunmurry on the edge of Belfast, each bearing the European energy label.

The EU member state is Brookvent's largest market despite the UK leaving the bloc and disputes over post-Brexit trading arrangements in Northern Ireland.

Northern Irish businesses still have a foot in the European single market, unlike the rest of the UK.

In a unique position, having a foot in both camps is a great competitive advantage, according to Brookvent's managing director Declan Gormley.

The Northern Ireland Protocol, designed to govern trade in the British province and recognise its special status, has been a thorn in the side of EU-UK relations since January.

The agreement is intended to avoid the return of a physical border with Ireland - a key part of the peace deal that ended violence over British rule in Northern Ireland in 1998.

In order to prevent unchecked goods entering the single market via EU member Ireland, checks were agreed on goods entering Northern Ireland from mainland Great Britain.

Pro-British unionist parties fear it drives a wedge between Northern Ireland and the rest of the UK and brings the republican goal of a united Ireland closer.

Northern Irish businesses exporting to the EU gives them an edge over their rivals in England, Scotland and Wales.

Gormley said that they had access to a market of over half a billion people.

He added that UK competitors are restricted to a domestic market of 70 million and have to go through administrative hoops to trade with the EU.

He said that is quite a significant advantage because we don't have those difficulties.

The position of Brookvent is not unique to the industry body Manufacturing NI, Stephen Kelly said 80 percent of the province's manufacturing sector backs the protocol.

Those who don't have EU trading links tend to bring goods back and forth from Great Britain to the Irish Sea.

There has been more paperwork for businesses since the UK's customs controls took effect on January 1 this year.

The UK government in Northern Ireland saw empty shelves and shortages initially, prompting the government in London to extend grace periods for certain products, such as food and medicines.

The opposition is clear around the port of Larne, one of the region's commercial gateways. Signs read No Irish Sea border and EU hands off Ulster Robin Mercer, who owns the Hillmount Garden Centre chain, said he now has to juggle 120 different forms just to get roses and potatoes from Great Britain.

He said that we have got good suppliers in Great Britain who have worked with us and are still working with us.

Other suppliers have thrown in the towel because of the increased red tape.

Since the UK, the plants that line Mercer's shelves are more likely to come from Ireland than the neighbouring island across the sea.

He says that the EU symbol is on them, pointing at a table of Rhododendrons. These are actually from Belgium. He said it would be nice to see the protocol gone but as London tries to persuade Brussels to renegotiate its terms, Mercer would settle for simpler rules.

Some 40 kilometres 25 miles away in Craigavon, forklift trucks methodically load 2,000 pallets of food into lorries at Derry Refrigerated Transport.

Since January, shipments to distribution centres across the island of Ireland have increased by a third due to higher demand from local supermarkets.

For years and years, supermarkets brought in fruit, vegetables, and other types of products from the rest of the UK, said Fiona Derry, joint managing director.

They realized the benefits of having the local supply chain in order to make sure that product was on the shelves. Derry's main problem is finding labour, as tighter post-Brexit immigration rules have made it harder to recruit European workers.

Kelly said sales to Ireland were up 60 percent as the region's economy bounces back from the coronaviruses epidemic.

The buyers have moved away from England, Scotland, Wales and have come to Northern Ireland instead, and that's hugely positive for us, he said.

He said there was no danger of cutting ties completely with a shared supply chain, history, culture, currency, legal system, and language.

The rest of the UK will continue to be an important centre of distribution for us.