The value of our own production increases as the state of the world becomes more uncertain, writes Annamari Sipilä, a columnist at HS Vision.
One one of the best gifts i give is a plastic microwave dish.
The design of the plastic cup is elegant: the container has a spout, a lid and a hand-comfortable handle. The price was not bad either, ten pounds, or a little more in euros.
However, the real asset – and the reason for choosing a gift – was that the plastic container was made in Britain.
In Britain! The very idea is a bit cornish. Why in the world would everyday plastic containers be made in Britain in the 2020s? They come from China or elsewhere in Asia.
At the same time, the idea of a British microwave dish is fascinating, even exotic. After all, Kiposta can become an attraction for dinner invitations. London guests who have seen it all are not instantly spanked by an English bone china or Northern Irish linen, but wait until the hostess or host swings a microcar on the table:
“This is a rarity in our kitchen, a domestic plastic container.”
Hard to get better.
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In practice, it is difficult for non-Brexiters to favor domestic ones.
Britannian Following the EU referendum, some brexit supporters wanted to celebrate their victory by buying more domestic ones. Then survey However, the problem was that it was difficult to find (affordable) products made in the UK.
Opponents of Brexit laughed at the domestic passion. It was easy to set aside new evidence of how Brexitites lived in a time past the global division of labor.
Longing for domestic goods production also hit the ears of today’s British economic identity: the bulk of goods are made elsewhere, and Britain’s strength lies in services. This is also supported by the numbers. Services share is already 80 per cent of gross value added and 82 per cent of workers in Britain.
But but. The production of goods may not be fashionable, but it is not a small one.
Exports of goods still accounts for about 45 per cent of total UK exports. Factories of different varieties employ 2.7 million people. The range is wide, from cars and planes to electronics and pharmaceuticals. The more sophisticated and expensive, the better for businesses and the national economy.
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The pandemic and now the threat of war in Europe are blurring economic thinking.
In the economy, an unspoken order of values seems to be valid: the “finest” are digital services, silver financial and other special services, and bronze industrial business-to-business goods production. Physical consumer services, consumer goods, bulk and raw materials will be left at the points.
Attitudes however, may change.
The climate crisis and the loss of nature have already led some consumers to shed cheap imports from the other side of the world. In practice, it is difficult for non-Brexiters to favor domestic ones. Either there is no supply, or the price is wrong.
At least as much thought is ahead of companies and states. The pandemic and now the threat of war in Europe are blurring economic thinking.
Security of supply matters again. Researcher on security of supply and national preparedness from the perspective of Finland and the EU has recently written Tuomas Iso-Markku Foreign Policy Institute fresh in the publication.
Coronary pandemic taught that deliveries from the other side of the globe should not be relied upon. The queue of buyers is long when production and logistics are pounding. Respiratory protection and other personal protective equipment are not available by pressing the enter button. The shortage of chips, too, just goes on and on.
In the UK, on the other hand, Brexit offers domestic lessons with a continuous feed.
Few examples: Car exports The EU is in danger if Britain’s own production of electric batteries does not accelerate. The EU difference in food imports basically “liberated” – but British consumers don’t want to cheap food imported from far away, whose quality standards are lower than their own rules (ie EU rules).
Plastic of course, the microwave container is not the first thing a European consumer will miss during a global container shortage. There is time to wait for the Chinese.
However, the British plastic heap has more than a curiosity value. It’s a conversationalist at the dinner table.
What to do yourself and what to bring? Where does the line between healthy repatriation and protectionism go?
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