FPJLive17-46WEB

NFU president Meurig Raymond spoke in the Politics and Business session at FPJ Live

The fresh produce industry should flag up its labour needs as low-skilled and seasonal to gain traction with government, the NFU president has said.

Referring to a need for low-skilled workers, rather than non-skilled, and emphasising that the workforce is required only for an average of 12 weeks a year may help push the debate forward with MPs, Meurig Raymond said.

Speaking at yesterday’s FPJ Live event, held at The Belfry and attended by leaders from across the produce industry, Raymond addressed the two biggest challenges he said the produce industry faces: Brexit and the general election.

“Of crucial importance to the issue of migration is the need for low-skilled workers to be recognised,” he said. “Up until now, high-skilled workers have been the priority, and we challenge why this is the case.”

Raymond said the NFU had attended a private meeting with UK’s representative to the EU, Sir Tim Barrow, in Brussels last week, who he said was receptive about the use of “low-skilled” workers. “We made a bit of traction with Sir Tim Barrow, who will be instrumental in the Brexit negotiations,” he added.

Raymond said both Brexit and the general election are creating uncertainty for produce businesses, and said he knows of “at least half a dozen businesses who have cancelled investment programmes” as a result. “This is not good news for the UK,” he said.

Speaking from the conference floor, NFU chief horticulture advisor, Hayley Campbell-Gibbons, said the industry has 'never had to put a big play on the fact our labour is here for three months”. “It’s not the same as immigration,” she said.

“There are tiers of visa that we’ve never had to look at before, but may now be more relevant. Also, there is the fact it is low-skilled, rather than high-skilled. I’m confident that we will get the labour supply we need – there are other options out there and we continue to explore them all.”

Raymond said Chancellor Philip Hammond has robotics “front of mind” as a solution to labour, but said the reply to that must be that automation requires heavy investment, and some firms have put investment on hold altogether.

West Midlands business confidence remains high

Businesses in the West Midlands expect turnovers to increase over the next 12 months, although there are concerns about import costs and skill gaps.

Speaking in the politics and business session at FPJ Live, policy advisor at the Birmingham Chamber of Commerce, Raj Kandola, gave the results of a quarterly business report of the region, which covered issues such as the impact of Brexit uncertainty, leaving the single market, and the customs union.

Almost half (42 per cent) of businesses said they expect import prices to go up, while recovery in the Eurozone and US markets meant British firms have more confidence to export, Kandola said.

“The skills gap needs to be at the heart of Brexit agenda. We are calling for access to both low and high-skilled workers, as well as a transformation in business rates,” he said.