Figures from the FDF show growth in food & drink exports from the UK continued during the last quarter, with the total amount 23.2% higher than in the third quarter of 2021. As well as strong exports to non-EU markets, sales to the EU were up nearly 18% and approaching pre-pandemic levels.
While rising prices have increased the value of UK exports, the data showed that volumes also continue to grow. This can be attributed to soaring demand for UK food & drink in certain EU member states and rapid growth further afield, including in the UAE, Singapore and India, driven by increasing demand for British products such as gin and cheese.
The FDF’s Trade Snapshot examines the latest developments in UK exports and imports of food & drink in the third quarter of 2022. Key findings include:
- Food & drink exports have seen significant growth in EU countries led by Italy (42%), Spain (52%) and the Netherlands (35%). Non-EU markets set for new or improved trade deals with the UK have also seen a significant boost in UK exports, with the UAE (41%), Singapore (20%) and South Korea (35%) all seeing strong growth compared to 2021.
- Rising demand for quality UK food & drink in Malaysia saw exports growing by 38% and the UK’s planned accession to CPTPP would support further growth by cutting tariffs facing UK exporters.
- The majority of top UK products have seen strong growth compared to 2021, with exports of gin and cheese up 41% and 40% respectively by value and 35% and 20% by volume.
- Imports from non-EU countries also continue to see strong growth, up 14% compared to 2021, and over 23% compared to pre-Covid levels as businesses diversify their sourcing of key inputs.
Exports to South Korea are showing strong growth as businesses benefit from preferential access via the continuity free trade agreement. An updated FTA is expected to boost UK exports even further, through simpler and more generous rules of origin and cutting the cost and burdens of trade documentation.
The Food and Drink Federation’s Head of International Trade, Dominic Goudie, said: “These figures demonstrate that the appetite for British food and drink continues to grow around the world, with exports up in both EU and non-EU countries. Defra and the Department for International Trade are taking important steps to boost support available to our food and drink exporters.
“As set out in our recent trade and investment strategy, we are keen to work in close partnership with all UK governments to take forward practical recommendations utilising all of the tools in the UK’s trade policy to drive further growth in our sector.”
NAM Implications:
- A clear endorsement of UK heritage brands.
- Apart from optimising their individual stories via continuous recounting…
- …it is key that brand owners deliver more than it says on the tin, every time…
- …to minimise the potential for rivals to grow at their expense.
- (the only source of growth for some)
