SSPO chief’s last words on Brexit

SCOTT Landsburgh, who retired as chief executive of the Scottish Salmon Producers Organisation this week, believes UK businesses can thrive beyond Brexit.
In a final interview, published today on the SSPO’s website, Landsburgh reflects on Brexit and future international trade, and the implications for Scottish salmon farmers.
‘The narrowness of the Brexit result is an important thing to consider as, to my mind, the decision to leave the EU does not give a mandate for a wholesale cutting of ties with the remainder of the bloc,’ he said.
‘And nor, in my opinion, would that be in any way a desirable outcome, particularly for business. British industry has adapted to our being in the EU and its earlier incarnations for over 40 years.
‘Our economy has pivoted towards the European Union in that time in many ways. Our respective economies are closely intertwined by commercial supply chains and over 40 per cent of UK exports go to the EU – a huge amount.
‘Coincidentally or not, a similar proportion of exports from the Scottish salmon industry also go to the EU.’
He said the salmon sector is perhaps ‘a good bellwether for UK exports’, with such a large amount of its exported produce going in the direction of the Continent.
‘We in the salmon farming sector are desperate to see continued frictionless trade with our European partners after we leave.
‘This is certainly not a given and the decisions we take now as a country, and the outcome of the negotiations between the EU and UK over the next year, will determine the health of our domestic economy way into the future.’
Of specific concern to the Scottish salmon sector is the speed of delivery to market ‘as potential new customs barriers and cross-border trade ‘friction’ loom as possibilities’.
‘Tariffs, too, are a major concern if a tariff-free comprehensive free trade agreement between the UK and EU is not agreed,’ said Landsburgh.
‘Then there are the key issues of EU workers in our industry. We wish to ensure their long-term status (and continued desire to remain the UK post-Brexit) and to ensure we are able to recruit the staff we need, from all over the world, to continue to grow our industry sustainably.’
He also noted that funding from current EU initiatives such as the EMFF and ERDF were very important to the industry and the communities it operates in.
But rather than worrying about these issues, it would be more sensible ‘to view the economic outlook in a different context and time frame occasionally’.
‘We should give some thought to how we turn Brexit in to a long-term success if we can. The way I see it, we can try to ‘protect the downside’ at the same time as looking for long-term opportunities for change.
‘In 10 years’ time, British businesses will have adapted to the changes. They will have to. New markets will no doubt have opened up and aggregate global economic growth, which is forecast by the European Commission itself to take place mainly outside the EU in the next two decades at least, will ensure that so long as we have goods and services that people want to buy, UK based businesses will continue to thrive.
‘Scottish salmon is one such good that people around the world increasingly want to buy. We are seeing fantastic levels of export growth in Taiwan, China, the USA and parts of the Middle East. This is despite not having free or preferential trade agreements with these markets.’
Landsburgh said he would like to see such agreements put in place, removing tariffs and ideally a number of non-tariff barriers in the process.
Meanwhile, re-engaging with the Commonwealth is another ‘unmissable opportunity’.
‘Not only are these countries longstanding allies with strong historical ties and many areas of common interest, they are, in many instances, high growth economies. We should discuss trade opportunities with them with great enthusiasm.’
‘Whether you voted Leave or Remain, whether you were ecstatic or crestfallen about the result, whether you loved the idea of the EU, and the UK’s place in it or not, life goes on and the commercial world will find ways of adapting and succeeding in a new trading environment. As it has done before amid greater and graver challenges.’