Surge in Irish cross-border trade continued in March

A surge in cross-border trade in Ireland continued in March, official figures suggest.

Ireland's Central Statistics Office (CSO) figures show the value of goods exports from Northern Ireland (NI) to the Republic of Ireland rose by 62% from 176m euros to 285m euros.

For the entire first quarter of 2021, NI exports to the Republic were up 44% from 519m euros to 748m euros.

Exports from RoI to NI were up by 22% from 557m euros to 682m euros.

Since the NI Protocol began operating in January, it has become more difficult for businesses in either part of Ireland to import goods from Great Britain.

Northern Ireland has remained in the EU's single market for goods, which means that products arriving from Great Britain are subject to new checks and controls

Goods arriving from GB into the Republic of Ireland face similar processes.

However, goods trade across the Irish border remains as it was before Brexit, with no new checks and controls.

That appears to be prompting some businesses to source more products on the island of Ireland where they can, rather than from GB.

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Speaking to a Stormont committee on Wednesday, a senior official from the Department for the Economy said companies were showing increased interest in north-south trade and supply chains generally.

But Giulia Ni Dhulchaointigh said some businesses were facing "real ongoing difficulties" where supply chains could not be easily reorientated.

She said there was still a lot more work to be done to educate GB businesses on the new processes and systems for sending goods to NI.

Meanwhile, the figures from the CSO show that the value of GB goods exports to the Republic of Ireland fell by 48% or 2bn euros in the first quarter of 2021, compared to the same period last year.

Some of that fall may be down to pandemic-related factors rather than being a pure Brexit impact.

The month-on-month figures also point to an improving picture: Irish imports from GB were valued at 992m euros in March compared to 467m euros in January and 650m euros in February.

Earlier this month Gerry Harrihill, Ireland's director general of customs, said difficulties in getting British exports through Irish ports have eased.

He said that after suffering "performance degradation" the new customs IT system had been performing well since mid-March.

The figures also show the value of Irish goods exports to Great Britain in the first quarter was down by 3% (82m euros) compared to the same period last year.

Great Britain has not yet imposed full post-Brexit border controls so it is easier for EU companies to get goods into GB than vice-versa.

Statistics on trade between GB and Northern Ireland are only produced once a year so there is currently no solid statistical evidence on how the NI Protocol is impacting that relationship.