Three cheers for the UK-China deal on dairy
The opening of the China market has transformed dairy sectors in many parts of the world – New Zealand has been transformed into a dairy power that controls 30% of the global dairy market despite producing only 3% of the world’s milk. New Zealand has become a dairy power house because it has managed to take positions in the leading edges of the global supply chain for dairy.
The UK now has the opportunity to do the same, by connecting to global dairy supply chains and exporting more of its products to the Chinese market. This deal follows a deal to open up the China market to UK beef exports after a long ban.
These are significant achievements by the UK’s trade secretary, and his team are to be commended. China is a notoriously difficult market to crack, especially on regulatory issues, where the regulatory black box has proved impenetrable to many agricultural producers. DIT is right to pursue behind the border barriers like the Chinese dairy rules, and seek to reduce them for UK exporters.
Increased participation by the UK’s government officials in their own capacity, and not as part of EU delegations will increase our ability to knock down trade barriers and regulatory protection, increasing wealth for the UK’s farmers, businesses and consumers, and giving greater opportunities for the British people.