6 September 2015

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Food and Drink Federation (FDF), Food & Drink Exporters Association (FDEA) and Open to Export launch Food & Drink Export Feature to help SMEs looking for exports support.

The value of UK food and non-alcoholic drink exports has dropped, reaching a total of £6bn in the first six months of the year – a fall of 5.3% on the same period in 2014.

The figures released by the Food and Drink Federation (FDF) show that the value of exports to the EU shrank by 7.5% in the first half of the year. The rise of Pound Sterling against the sharply depreciated Euro has made UK exports less competitive in key Eurozone markets.

Exports to non-EU markets continued to grow (+1%) and value added goods were up globally, with significant increases of exports of tomato ketchup (+£3m) and bread, pastry & cakes (+£7m). Confectionery exports to Canada were also up £7m.

Dairy exports saw losses of £157m on record highs in the same period last year, however exports remain above pre-2014 levels and exported volumes are up for both processed and unprocessed milk and cream. Similarly, fish and seafood exports lost £137m in value, largely as a result of a sharp fall in salmon exports.

To help food and drink companies crack the exporting journey and understand which markets offer the best growth opportunities in the current economic climate, FDF, Food & Drink Exporters Association (FDEA) and online export community Open to Export are launching The Food & Drink Export Feature on Monday 7 September.

A joint initiative between Open to Export, Government and industry, the Food & Drink Feature will run from 7 – 22 September. The initiative will include webinars, expert advice on currency issues, trade shows and niche markets, as well as case studies from successful exporters. Live webinars will include:

Ask the Experts - Live Currency Q&A - 9 September; Finding Your Niche - 16 September; Business Opportunities for British Companies in Australia, featuring Coles, one of Australia's largest supermarket chains - 22 September.

FDF's Economics & Commercial Services Director Steve Barnes commented:

“Food and drink has been bucking the trend when it comes to exports for years and the value of the sector's exports is still declining less than UK exports overall. However, we are starting to see the negative effect of exchange rates, particularly in Eurozone which remains the key destination for UK food and non-alcoholic drink exports.

“The good news is that volumes in many categories are still up and exports of value added goods to both EU and to non-EU countries are rising. Exports continue to be a key area of growth for food and drink companies and we hope that businesses will make use of the raft of free materials and expert advice during the upcoming Food & Drink Feature on Open to Export.”

Elsa Fairbanks, Director of the FDEA commented:

“Our latest export survey revealed that although the strength of sterling is a growing concern, FDEA members continue to see growth potential across Asia and the Middle East as well as established markets in North America and the EU. Success is coming both from traditional products like cheddar cheese (up £20 million globally) and innovative products in the health and wellbeing categories.”

Note to Editors:

1. The Food and Drink Federation (FDF) is the voice of the food and drink manufacturing industry – the UK's largest manufacturing sector.
2. View the full export report
3. Case studies are also available featuring successful British exporters
4. The Food & Drink Export Feature is running from 7 – 22 September on Open to Export to help food and drink businesses boost exports
5. Register online for the 'Business Opportunities for British Companies in Australia' webinar Open to Export website
6. Open to Export is the Government supported free, online community for UK companies looking to grow internationally. It brings together experts from across the private sector and Government agencies to help small and medium-sized UK businesses successfully enter international markets
7. FDF is also hosting 'How to successfully export in the Food & Drink Industry' event on 19 October to help SMEs crack the exporting journey.

For more Information contact:

FDF press office press.office@fdf.org.uk 020 7420 7140 / 7118.

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