Red tape

Brexit led to £100 million in ‘lost’ salmon sales

Tavish Scott: held back by red tape

Brexit has cost Scotland up to £100 million a year in ‘lost’ salmon exports, MSPs will hear today.

Scottish salmon is the UK’s largest food export, but farming companies have faced increased red tape and costs triggered by the departure from the EU in January 2020.

In 2019, there were more than 53,000 tonnes of Scottish salmon exported to the bloc, with the figure falling to 44,000 tonnes in 2023.

Export values to the EU were only down 3% to £356 million because strong global demand drove up prices, but if the sector had maintained volumes at 2019 levels, then sales would have been above £430 million, says trade body Salmon Scotland. 

That means there has been a net ‘loss’ of around £75 million, or up to £100 million had the sector grown at the rate previously expected.

The Brexit impact has been mitigated by huge growth in other markets, particularly Asia and the US.

Overall international sales in 2023 were up from £578 million to £581 million (+0.5 per cent), including a 7 per cent increase to the US and 22 per cent to Asia.

However, with salmon increasingly popular in traditionally smaller European markets such as the Netherlands and Spain, smoother trade flow and new markets would open up the possibility of further economic growth – generating greater investment in the Scottish economy and more high-skilled Scottish jobs.

The Brexit impact of lost sales does not include the direct £3 million-a-year cost to farming companies because of the lack of an e-certification scheme.

Tavish Scott, chief executive of Salmon Scotland, will today address MSPs on the constitution, Europe, external affairs and culture committee as part of its inquiry into the EU-UK Trade and Cooperation Agreement (TCA) – which is up for review after the General Election.

Calling for the next UK Government to take urgent action, he will highlight the challenges of competition, border contols and veterinary agreements facing salmon farmers post-Brexit.

Speaking ahead of his committee appearance he said: “Scottish salmon is the UK’s largest food export and a major contributor to our economy, with demand rising at home and abroad.

“Despite soaring sales to Asia and the US, the EU is still the most significant region for our exports, accounting for more than 60% of international sales.

“The world-renowned quality of nutritious low-carbon Scottish salmon means that we could significantly grow markets such as Spain, Italy and the Netherlands.

“But Brexit red tape continues to hold back the potential of Scottish exports, despite the hard work and investment put in by farmers to address the issues.

“We need the next UK government – whatever formation it is – to ease the burden on exporters so that sectors like ours can sell more Scottish produce, delivering economic growth and creating jobs here at home.”

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