Brexit should have “no material long term adverse impact” on seafood giant Young’s, the board of the UK market leader has said.
Britain’s exit from the European Union is extensively covered in the firm’s end of year strategic report, with inflationary pressures on the price of fish in a no-deal scenario warned about for customers.
Supply prices could also be impacted by movements in exchange rates, with work with government and industry underlined.
The Grimsby-headquartered company has undertaken significant work with the 2,500 staff it employs – the vast majority in its home town – to establish the labour risk and encourage settlement of EU nationals, while also switching imports to northern quaysides to ease congestion fears on the valuable, but perishable supplies it relies on.
Writing on behalf of the board, director Timothy Busby said: “The company is exposed to a number of risks associated with Brexit if the UK leaves the European Union without a deal, including labour supply, import processes at the ports and duties and tariffs. In the event that a deal is done with the EU, the impact on the company should be limited to movements in foreign exchange rates.
“In terms of its people, the company has completed a full internal review of employee status across our estate. Over three quarters of our permanent and temporary workforce are UK nationals, and it is working closely with its EU nationals both to explain the situation, and proactively support their UK settlement.
“In anticipation of an issue at ports, the company has made some simple amendments to its supply chain so that containers can enter at quieter ports in the North fo England, and has put in place increased safety stocks.”
Young’s has slashed losses in the past year from more than GBP 39 million to GBPP 8 million, after growing turnover to GBP 545.9 million from GBP 523.3 million and earnings to GBP 23 million from GBP 19.8 million, as reported.
Author: David Laister /BusinessLive (Read the whole article here)