UK to implement labels on dairy products in Britain

UK – The UK government’s plan to implement mandatory “not for EU” labels on all dairy products sold across Britain has been postponed indefinitely following concerns from industry groups about the potential impact on producers and suppliers. 

Initially set to take effect in October 2023, the measure was intended as part of the “safeguarding the union” agreement, designed to prevent goods from circumventing EU controls through Northern Ireland, which shares an open border with the Republic of Ireland.

The dairy industry was particularly vocal in opposing the plan, citing potential chaos and financial burden. 

Dairy UK, a key industry body, alongside other organizations like the National Farmers’ Union and the Food and Drink Exporters Association, argued that the new labelling requirements would impose additional costs, estimated at up to £250 million per year, and result in higher product prices for consumers. 

In addition to increased costs, dairy businesses feared the administrative burden and logistical challenges of running two separate production lines for UK and EU markets, as the labelling would require different packaging for different regions.

Judith Bryans, CEO of Dairy UK, expressed relief at the postponement of the labelling scheme. 

She noted that the rushed implementation of new labels by October would have caused significant disruption for the dairy industry, adding unnecessary costs and operational headaches for producers who would have been forced to reformat packaging and adjust supply chains. 

Many businesses were caught in a state of uncertainty, with some already making costly changes to comply with the October deadline, while others hesitated due to the lack of clarity on whether the policy would proceed.

The plan was part of the Windsor framework, agreed upon with the EU in 2022, requiring meat and dairy products sent from Britain to Northern Ireland to carry the “not for EU” label to prevent goods from reaching the Republic of Ireland unchecked. 

However, the extension of this requirement to the broader UK market raised alarms across the dairy sector, as it would have affected all products sold in Britain.

Despite a consultation held earlier in 2023, businesses had been left in limbo, with no published results or clear communication from the government about the fate of the plan. 

Trade bodies criticized the consultation as a “glorified impact assessment,” accusing the government of having made up its mind without considering the industry’s input.

The UK government has now indicated that the policy will be reviewed, though no new timeline has been provided. 

The Department for Environment, Food and Rural Affairs (DEFRA) has committed to continuing discussions with businesses to protect the internal market and ensure the smooth flow of goods. 

The dairy sector, meanwhile, continues to call for a definitive end to the labelling requirement, or at least a delay that would allow businesses more time to prepare.

As the dairy industry awaits further clarity, the indefinite postponement of the “not for EU” labelling plan marks a temporary reprieve for producers who had feared significant operational disruptions and cost increases. 

However, the issue remains unresolved, and the industry will be closely monitoring future developments.

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