Asoex expressed caution about future effects of ‘Brexit’

The president of the Association of Fruit Exporters of Chile (Asoex), Ronald Brown, has expressed caution about the future implications of the departure of the United Kingdom of the European Union, considering that “it is still premature to visualize the immediate effects of this decision for exports of Chilean fruit “.

However, Brown, who has said they are doing a detailed monitoring of the situation, said that if didn’t achieved a Free Trade Agreement (FTA) with the United Kingdom, to replace the current one with the EU, Chilean exports to that target market would suffer a loss of competitiveness.

According to Brown, “the measure taken by the United Kingdom should be less traumatic for exporters of fruit than for financial markets, because this country has a period of two years to leave the EU, sufficient period for the Direcon take out the relevant negotiations in order that the conditions of all exporters with that target market remain in the same condition that today”.

From Asoex it is following the fall of the pound sterling. A currency that on the night of June 23th fell by 8.2%, permanent decline that would impact on exports of Chilean goods to UK, who experience a loss of competitiveness.

Digits

According to figures of Asoex, exports of Chilean fresh fruit to Europe are approximately 600,000 tons per year, some of which also go to Britain. Direct exports of fruits from Chile to Britain are about 100 thousand tons per year. While England market ranks as the second destination of domestic exports of fruits within Europe.

The main Chilean fruits are sent to UK market are table grapes, apples, blueberries, kiwis and avocados.

Source: Asoex