Brexit Watch, May 18 2022, Catherine McBride
If the Governor of the Bank of England is worried about apocalyptic food prices, he might want to look at the UK’s tariffs and quotas that increase the price of our imported food. Apparently, he is worried about the increasing price of staples such as wheat and sunflower oil due to Russia’s invasion of the Ukraine, as being an ‘outside force’ and a ‘main driver of inflation’. Personally, I thought the massive increase in the money supply was the main driver of inflation. But if it is the wheat price, then here are some things that the Governor should know.
The UK imports on average about 1.8 million tonnes of tariff code 100099 Wheat and Meslin each year. The UK’s own wheat yields are usually weather dependent but this year the high cost of fertilizer will also play a part.
Canada is our largest wheat supplier, supplying on average 425,000 tonnes but it was able to step up last year and supply us with 532,000 tonnes when our own yields were low. After Canada our next largest suppliers are Germany (5yr Ave 277,000), Denmark (270,000 tonnes) France (238,000) and Romania (122,000).
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