FRANCE - French firms are beginning to panic about the prospect of a no-deal Brexit which they fear will bring about a “nightmare scenario” and hit their businesses where it hurts most. With just 49 days to go until the UK leaves the EU, some of the 30,000 companies across the English Channel who export to Britain are trying to be one step ahead of the expected chaos by taking contingency measures. Theresa May is due to fly into Dublin today to meet Ireland’s Taoiseach Leo Varadker to discuss the Irish backstop in an effort to thaw the Brexit stalemate.
Thierry Pouch, chief economist of France’s agriculture chambers of commerce, admitted the news from Brussels is “not good”, referring to the EU decision to stubbornly dig in its heels and refuse to renegotiate the Brexit deal. Mr Pouch said it is paving the way for a “nightmare scenario” which would see major EU exporters to Britain “shut out of the UK market if duties rise”.
He told the Telegraph: “Given recent events, everyone anticipates a hard Brexit, and in that case there is a lack of preparedness due to the fact that we don’t know what customs duties the UK will apply as a WTO member. There are indications that customs duties will be upwards of 30 percent on dairy products, beef and sugar, for example.”