A new financial support package for Scottish fishing businesses that export to the EU has been announced by the UK Government.
Borders MP, John Lamont, recently called for a compensation scheme in the House of Commons due to issues faced by Berwickshire businesses.
Seafood exporters across the UK will receive government funding of up to £23 million, to support businesses which have been most adversely affected by having to adjust to new requirements for exporting.
This is in recognition of the unique circumstances of the fishing sector, which has had the most significant new requirements to adjust to, and for whom even a short delay can lead to goods perishing - at a time when the industry is facing lower market prices and demand due to the pandemic.
The fund will be targeted at fishing export businesses who can evidence a genuine loss in exporting fish and shellfish to the EU. Support will be available immediately and paid retrospectively to cover losses incurred since 1 January 2021. The scheme will be targeted at small and medium enterprises and the maximum claim available to individual operators will be £100,000.
The Marine Management Organisation will administer the scheme on behalf of exporters across the UK.
In addition to the funding, the UK Government is providing extra physical resources to support certification in Scottish export hubs. It comes after complaints from the Scottish Seafood Association that the Scottish Government did not have enough officials in place to deal with exports
Separately, the UK Government has also committed to providing a £100m fund to help modernise the fishing industry.
John Lamont MP said:
“I called for support to be put in place for seafood exporters who were not able to get their fish to market through no fault of their own. I am glad the UK Government has heeded these calls. It is important that this funding gets out to businesses as quickly as possible.
“I’ve been continuing to speak with ministers on a very regular basis since the start of the year to help find solutions to the issues facing the industry. This is a positive step.
“It is really important that businesses get more than just financial support as well. The UK Government has stepped in and provided physical resources at the export hubs in Scotland where the Scottish Government have not.”
Rachael Hamilton MSP added:
“The funding announcement of £23m from the UK Government is very much welcomed.
“I believe it is the first step in ensuring that the problems that have been experienced by exporters are ironed out.
“In addition to funding, I welcome the commitment that further support will be offered to businesses to help them adapt to new export processes.
“Defra and HMRC will be offering targeted and proactive support to fisheries exporters, which is important when time is of the essence with exporting fresh goods.
“Both the Scottish and UK Governments must now work constructively to avoid any more disruption to this precious industry”.