“The food and drink sector is an important player in the [economic] growth and recovery this country needs,” she added. The sector’s contribution would play “an important part in an export-lead recovery”.
Spelman expressed enthusiastic support for the shared vision, developed by the FDF and the government, to grow the UK’s food and drink manufacturing sector by 20% by 2020. “It is bold and ambitious. It’s the kind of ambition the country needs from the UK’s largest manufacturing sector.”
Export markets
Achieving the growth target would depend on securing new export markets; and ensuring that food and drink manufacturers attract and retain the skills and talent they need. Food scientists and engineers were identified as making a key contribution to growth.
“There are going to be huge opportunities for Britain’s food industry to supply an increasingly hungry world in coming years and sell high-quality products to emerging markets. That’s why, alongside manufacturers, we’re leading a range of strategies, focused on competitiveness, to drive economic growth,” said Spelman.
UK food and drink exports were 13% up at £5.8bn in the first half of this year. Exports to the EU climbed 12.6% to reach £4.4bn. Double digit growth was recorded in deliveries to three EU countries: The Netherlands (up by 27.8%), Germany (up by 26%) and Belgium (up by 48.5%).
FDF president Jim Moseley warned of fierce competition in food and drink export markets. “We are not alone in identifying the growth potential of export markets. We face aggressive, often state-backed competitors, in export markets that we consider as ours.”
‘World-leading industry’
But the food and drink manufacturing sector’s scale and high performance standards made it “a world-leading industry”, he added.
Moseley also highlighted the “shortage of talent” in key areas, which would need to be remedied to help the industry thrive in “the toughest of economic climates".
Commenting before the meeting, the FDF director general Melanie Leech said: “Research undertaken for the FDF by Grant Thornton has helped us identify the major opportunities and barriers to our growth. It is clear that our industry has formidable strengths: product quality, branding and our ability to innovate are among our key competitive advantages both in the domestic market and abroad.
“UK food and drink manufacturing companies already have an excellent track record in these areas and a high reputation for quality and we have used these as the base to develop our vision.”