Agricultural Products, Food and Drink (Amendment) (EU Exit) Regulations 2020

Lord Gardiner of Kimble Excerpts

Wednesday 27th January 2021 Grand Committee

Moved by

[Lord Gardiner of Kimble]

That the Grand Committee do consider the Agricultural Products, Food and Drink (Amendment) (EU Exit) Regulations 2020.

Relevant document: 41st Report from the Secondary Legislation Scrutiny Committee

[The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord Gardiner of Kimble) (Con) [V]]

My Lords, I declare my farming interests as set out in the register. The content of this SI is reserved, but a draft version was shared with devolved Administrations for comment; only minor drafting points were raised, which we addressed in full. I make it clear that these regulations do not change our policy or make new policy; instead, they principally amend retained EU legislation to ensure that the relevant regulations operate in Great Britain.

The amendments made by this instrument primarily concern geographical indications, or GIs. They also include transitioning obligations in EU wines and spirits agreements and extend to trade between the UK and the EU in wine and organic products. GIs are a form of intellectual property protection for the names of food, drink and agricultural products with qualities attributable to the place where they are produced or to the traditional methods by which they are made.

Until the end of the transition period, we operated under the EU’s GI schemes. The EU and the UK have not included a section on GIs in the UK-EU Trade and Cooperation Agreement. This means that UK GIs which were on the EU register at the end of the transition period remain protected in the EU and vice versa, but there is no automatic protection for names registered after the end of the transition period. We have instead included a review clause which allows us to agree rules on the protection of GIs in future, should we so wish. The UK retains full autonomy over its own GI regimes.

As of 1 January, the UK has had an independent, fully functioning GI regime. As the competent authority, Defra manages the schemes with the devolved Administrations and handles domestic and international applications. Guidance on the application process is online. The schemes cover spirits, wines, aromatised wines, and food and agricultural products. Examples range from Wensleydale cheese to products such as native Shetland wool. There are many more; I am sure that many noble Lords have GIs of their own that are special to them.

This instrument amends existing GI regulations to ensure that they are fit for purpose and work as intended. It also allows the UK to use bridging arrangements to continue to protect GIs from countries where a trade deal was agreed but is not yet ratified, at the end of the transition period. This will ensure that GIs already protected in the UK do not lose their protection due to a long ratification process.

This instrument also adds an additional category of GI to ensure that the Japanese GI Kumamoto rush remains protected in the UK. This is a long-stemmed grass that is traditionally dried and woven into mats in the Kumamoto region of Japan. It can be grown only in that region. This was previously protected in the EU under the EU-Japan trade agreement, but it did not fit within any of the GI product categories which the UK inherited from the EU. The addition of this category provides a clear basis on which to continue to protect the GI under the UK-Japan agreement. This does not change our policy; we are simply correcting a deficiency in EU legislation.

On spirit drinks, this instrument provides for the ongoing protection of US product names, and Mexican names once transitioned in the UK, to reflect the transitional EU agreements. It also enables the retained EU spirit drinks regulations for GIs to function correctly in relation to protection and enforcement. For wines, this instrument amends retained EU regulations that provide a basis for protecting US wine names of origin in the UK to make them operable. In doing that, it also creates the necessary basis for enforcement in the UK.

This instrument also includes several non-GI provisions. It introduces a six-month easement on the new requirement for EU wines imported to the UK to be accompanied by a VI-1 certificate. This certificate provides information on the type and analytical composition of a wine. We worked with the wine trade to assess the impacts of this certification requirement on the industry. As a result, we have introduced this easement to minimise the potential for disruption to the UK market by allowing EU imports to arrive under the same commercial documents used while the UK was a member state. New and simplified certification arrangements are set out in the UK-EU Trade and Cooperation Agreement to cover movements of EU and UK origin wines.

On organics, we have extended our recognition of the EU and EEA states as equivalent and updated their list of control bodies. We have also ensured that organic products from the EU, EEA and Switzerland are able to continue to flow smoothly into Great Britain by providing a six-month easement on the requirement for certificates of inspection for such products.

The amendments made by this instrument are essential for a smooth transition. Without them, international obligations would not be met, retained EU legislation would not be operable and vital transitional provisions would not be in place. For those reasons, I commend the instrument to your Lordships. I beg to move.

--- Later in debate ---

[Lord Gardiner (Con) [V]]

Yet again, we have had a thought-provoking debate. In the time I have, I am not going to be able to address some of the more detailed and technical questions, but I shall write very fully on all outstanding points.

I thought the point made by the noble Lord, Lord Clark, at the very beginning about the importance of the protection of the public and, indeed, producers, was very important. I can certainly give the Government’s commitment to the GI system. It is a very important feature, and an indicator. All noble Lords have raised so many products, and I have no time to talk about them or many more, but the GI system plays an important role as an exemplar of our quality produce.

The noble Lord, Lord Jones, mentioned farmers who, in difficult weather are, thank goodness, producing food for the nation. All I would say is that our diet has become much more varied. Noble Lords have expressed the need for imports, and I agree with that, but may I plug the importance of eating seasonally as well? There are some very good UK products that I think are very satisfactory. We might think about that in terms of the point made by my noble friend Lady Wheatcroft about sustainability, which is about many of these things and how we work sustainably.

The other point raised by many noble Lords was about border issues. I am very conscious of that, which is why not a single day goes by, probably not a single hour, when officials at Defra and Ministers are not engaged with individual businesses. Rightly, people want to import and export between parts of the United Kingdom. No one could be more fervent in their view on that than me, and I say that particularly to the noble Lord, Lord Empey, and the noble Baroness, Lady Ritchie of Downpatrick. I will take back again the points that have been raised, as well as the points raised about the Lough Neagh eels and, obviously, jellied eels. I do not want to fall out with jellied eel consumers. I have a feeling that they have a very strong feeling about products such as Lough Neagh eels, so I take that very seriously indeed.

The noble Baroness, Lady Jones of Whitchurch, asked about time limits on bridging arrangements. There is no time limit on how long bridging arrangements last, but it would not be in the interests of either party to extend the bridging arrangements longer than necessary.

On the point of Kumamoto rush and the category, the reason why we came forward with the category was that it was very loose ended and we wanted to signify the importance of that rush in terms of the UK-Japan agreement, so I will take that back.

I should say to the noble Baroness, Lady Parminter, that I would be the first to say that we should keep the number of SIs to a direct purpose and try to co-ordinate them. Some of the provisions, including those on bridging arrangements, amending previous GI SIs, and others, were subject to negotiations concluding, so could not be raised earlier. I think that is a legitimate point.

The noble Baroness, Lady Jones of Whitchurch, asked about implementation of the trade and co-operation agreement on a piecemeal basis and whether the agreement needs to be phased in over separate pieces of legislation. Our view is that, when an agreement requires changes to legislation in a number of sectors, it is normal for these changes to be made within the relevant sectoral legislation. This ensures that those affected by them know where to find the rules, but it does not mean that implementation is unco-ordinated. That is very important.

One point that I made a note of was when my noble friend Lord Empey asked what the differences were in the compendium. All we are seeking to do is to make all parts of the United Kingdom trade freely, well and prosperously.

The noble Baroness, Lady Jones of Whitchurch, asked about the UK Organic Certifiers Group. We in Defra meet it fortnightly and, obviously, this instrument was discussed with the group. I can confirm that it agreed to the instrument.

The noble Baroness, Lady Ritchie, asked about consultations with the devolved Administrations, which have been and continue to be very dynamic. They attend the UK Organic Certifiers Group, and we regularly discuss in that forum ways in which to take the UK’s world-class standards to a further level. I will take back and write about the minor drafting points; I do not have them to hand.

I had a number of points about Northern Ireland. GB applications can now be made to the EU scheme, so long as they are first protected in GB, while Northern Ireland applications can be made directly to the EU schemes as well as to the GB schemes.

My noble friend Lord Kirkhope asked about EU GIs. The UK schemes welcome new applications from around the world as long as they are first protected as a GI in their own country of origin—there is more on that, which I shall write about to my noble friend.

The noble Lord, Lord German, asked about wine and the VI-1. The Wine and Spirit Trade Association welcomed our plans to issue an easement on the need for VI-1 certificates to accompany imports of wines from the EU, as set out in agreements. Similarly, it also welcomed the introduction of simplified VI-1 certification arrangements for the EU and UK.

There was a question on electronics. I absolutely agree that we need to find ways in which to ensure that anything that we can do digitally, we do in that way.

I should say, on eels, that nothing in this instrument prevents the sale of eels in the UK. As I have said, I shall look into that.

The USA wine trade agreement has been carried over and is in force to cover trade between the US and the UK. Again on the question of VI-1 requirement, which my noble friend Lady McIntosh and the noble Lord, Lord German, raised, we will be able to look critically at the laws that we have inherited through retained regulations to ensure that they remain fit for purpose. In due course, we will consider whether there is a case to revisit the requirement for VI-1 certification. The requirement was retained as indications were that the EU would require VI-1 forms to accompany UK exports. Furthermore, VI-1s are already established for imports of wines for other non-EU sources. We will look at that, and I shall come back to noble Lords with further details.

On the Northern Ireland protocol, NI producers will continue to apply to the EU schemes to have new products protected in Northern Ireland across the UK. To protect their new product names in GB, Northern Ireland producers will need to apply separately under the UK GI schemes, and I would of course encourage that.

I have to conclude soon. However, while on the subject of Northern Ireland, I can say to the noble Baroness, Lady Ritchie, that we have introduced an easement, as she knows. We are monitoring the situation and investigating all options to ensure smooth movements from GB to Northern Ireland.

I can take away many points from today’s debate. Frankly, in the time I have, I have not dealt with some of the technical points, but it may be better if I answer them in long form in letters. I am very conscious of some of the key points that have been made on some of the technical points on wines and other matters. However, I hope that this instrument commands support.

Motion agreed.