The UK sheep sector has expressed 'serious concern' over the future of their sector after P&O Ferries announced major operational changes.
The firm sacked 800 staff on Thursday (17 March) without giving them any notice, replacing them with cheaper agency staff.
A spokesperson for the company said it was a "tough" decision but it would "not be a viable business" without the move.
Aside from passenger transportation, P&O Ferries is responsible for most overseas movement of animals and goods between Northern Ireland and Great Britain.
The ferry company is also the biggest shipper of breeding sheep from Great Britain to continental Europe.
But the firm warned that there would be no future for the business without significant change to the way in which it operates.
The National Sheep Association (NSA) has expressed 'serious concern' over the impact this could have on the movement of breeding sheep between GB and NI.
It is not yet clear how P&O's changes will be implemented, but in the short term the NSA fears this could create 'serious disruption' to the movement of sheep.
Brexit brought new controls for moving live animals into Europe. Currently, there is no Border Control Post (BCP) with live animal facilities on the other side of the channel.
This means British breeders have not been able to sustain what was a long standing and important trade for valuable UK livestock genetics.
Negotiations are ongoing about establishing such a facility, but the NSA said the news from P&O was "likely to create further uncertainty and delays".
The body's chief executive, Phil Stocker said: “The company has been the mainstay of shipping live breeding sheep between Britain and Europe, and between GB and Northern Ireland.
“The Northern Ireland protocols have allowed the continued movement of animals between GB and NI, but have imposed serious extra controls resulting in many sheep farmers in Northern Ireland feeling ‘cast adrift’."
He added: "It is not clear from the P&O statement what might happen immediately but this disruption will do nothing to allow farmers in NI to integrate with the wider UK industry.
“We await further details and hope that solutions can be found to prevent any immediate or short term disruption, and to provide confidence for plans for a live animal BCP to progress in time for this years breeding sales this summer.”
