Exports and imports of UK food and drink with non-EU countries have jumped up beyond pre-pandemic levels for the first time, according to new figures from the Food and Drink Federation (FDF).
The FDF’s Trade Snapshot for the first quarter of 2022 found:
- Food and drink imports over 13% higher than in 2019, while exports to major markets including the USA, Australia, Canada, Japan and the UAE exceeded pre-pandemic levels.
- Canada is a key source of ingredients used by UK manufacturers, with imports rising 5%, while exports to the country saw particularly strong growth, up 26% on pre-pandemic levels.
- Exports to India are up more than 25% compared to pre-pandemic levels, and they remain a large import partner – particularly for agricultural goods – accounting for £172.5m.
With the UK-Japan trade agreement coming into force in 2021, and others on the horizon including Australia and New Zealand, FDF said it expects even further growth in food and drink exports. Both Canada and India are currently in negotiations with the UK Government over ambitious free trade deals and represent major export opportunities. The FDF added that India’s rapidly growing middle class presents major opportunities for UK exporters, as demand is booming in the country in the health, organic, fortified, and ready-to-eat packaged food sector.
The report added that a key priority for the sector remains “improving the implementation of the UK-EU trade agreement”.
Dominic Goudie, the Food and Drink Federation’s Head of International Trade, said: “Trade plays a key role in boosting the UK economy, with high exports ensuring food and drink companies can thrive and imports offering shoppers in the UK a wide range of quality products at prices they can afford. This is particularly important now, at a time of soaring costs to businesses and consumers, that the UK utilises trade as deflationary weapon.”
NAM Implications:
- Key for suppliers to compare their imports/exports to these stats.
- …if only to ensure that fair shares are being achieved.
- (but also to focus on potential Strengths & Weaknesses)
- Finally, pragmatists may choose to add in EU stats for a complete picture.
