NEW: Extraordinary examples just published by Govt re what will NOT qualify for tariff free trade under UK-EU FTA from Friday as result of “rules of origin”... specialist considerations as to the
1. Grating of cheese
2. Shelling of nuts
3. Assembly of a table
4. Eyes of a doll

Remember in a tariff and quota free deal, access to both markets is almost entirely determined by these rules of origin, essentially the determination that the products traded count as either British or EU, based on parts and/or processing... massively important for cars AND food

fairly confident I was the first broadcaster to do a report on rules of origin in 2017.. it matters. Retailers and producers will have to account for these rules in their supply chains from Friday. Guidance published today, 50 hrs ahead of time. Some red tape requirements delayed

So, let’s go through Government’s examples of immediate consequences of deal on hitherto free flow of trade between UK & EU... first

“if the only operation that is performed on (imported EU) cheese is grating in a manner that does not require special skills” - won’t qualify

2. this one is for nuts, frozen

Nuts from the EU can contribute towards something qualifying as made in Britain, and this for zero tariffs, only if sufficiently processed.

“All shelling of nuts is an insufficient process, even if machinery is used” as this is too “simple”

3. Legs of a wooden table

A wooden table that was assembled in the UK from non UK desktop and and leg “will not be considered originating in the UK” even if both were sourced from the EU as “bilateral cumulation could not apply”...

4. Eyes of a doll

If eyes of a doll made in Britain did not come from the UK or EU, then doll could not qualify for tariff free trade with EU. But if the eyes and all other non originating material in same tariff category were less than 10% of value, Govt would tolerate it.

Good q - technically these are tariff barriers, as in examples of wider issues where failure to prove eligibility (uk/eu origin) will attract actual tariffs. But red tape that goes with having to prove something thats never previously been necessary could be non tariff barrier

that was reply to question about PM’s ref to no non tariff barriers...

Anyway this is all from Govt new guidance, incl some initial easement on reporting, simplified procedures agreed in FTA, but it all does apply and will have to be tracked from Friday https://www.gov.uk/government/publications/rules-of-origin-for-goods-moving-between-the-uk-and-eu-from-1-january-2021

“If the only operation performed on the cheese is grating in a manner that does not require a special skill” or a specialist machine, then EU origin cheese remains that, and not British, under the deal and will attract tariffs... https://twitter.com/andrewatter/status/1344239632268087297