"The impact of European Union tariffs and non-tariff barriers will mean that whatever the Irish Government and/or the European Union may do or not do, many businesses will no longer be able to export to the Irish market, leading to a major reduction in NI's exports to Ireland", the report states.
The 117-page report, which is an update on an action plan laid out in December 2018, warns that a no deal Brexit will be "highly disruptive".
He said people buying from the United Kingdom in the event of a no-deal Brexit is "the equivalent of buying product from a third country outside of the European Union, outside of our single market, where tariffs may apply, where diffierent tax rates may apply".
Tánaiste Simon Coveney insists the Government will prevent physical infrastructure on the border.
In the report's preface, committee chairman, Fine Gael TD Joe Carey, says that from the day of the Brexit referendum its members were concerned that the unintended outcome would be the risk that the border region would suffer "a loss of funding and support, with the possible return of a "hard border" with all that entails".
At least 40,000 jobs in Northern Ireland could be at risk in the event of a no-deal Brexit, a report has said.
"The imposition of tariff and non-tariff barriers, which is all but assured under a no-deal exit, will force significant numbers of businesses out of the export market while sales to Britain come under pressure from increased competition from foreign business under WTO rules".
"It will put political relationships on this island under a great deal of strain, in my view".
"It will make it more hard for the institutions of the Good Friday Agreement to function and it will be a fundamental disrupter to the all-island economy", he said.
Cabinet ministers are considering three memos on updating preparations for a no-deal Brexit.
The measures are contained in a report entitled "Brexit and the Border: The Impact on Rural Communities".
"(But) we are not going to put checks on the border or close to it", he told reporters in Dublin.