FDBusiness.com

Survey Reveals Fragile UK Food Industry Confidence

 Breaking News
  • Orkla Acquires Leading Czech Frozen Vegetable Producer Through its wholly-owned subsidiary Hamé, Nordic food group Orkla has purchased Agrimex, a leading frozen vegetable producer in the Czech Republic. Hamé is a leading branded food company in the Czech Republic and Slovakia, and holds strong positions in the liver paté, ready meals, ketchup, jam, baby food and tinned vegetable categories. Through the acquisition [...]...
  • Change of Leadership at Alpro Bernard Deryckere, current CEO of Alpro who has been leading the company for the last 16 years, is stepping down and handing over management responsibility to Sven Lamote. Sven Lamote will be tasked to prepare the Alpro plant-based business for its next stage of growth as the company’s new General Manager, building on Bernard Deryckere’s [...]...
  • Ornua Expands into South Korea With Launch of Kerrygold Ornua, Ireland’s largest exporter of Irish dairy products, has announced a major product expansion into the South Korean market with the launch of Kerrygold butter. Kerrygold will be sold through major Korean retailers. Kerrygold dairy products, made from the milk of grass-fed cows, will bring a unique new offering to South Korean consumers. Korean consumers place a high [...]...
  • East Meets West – Taura Inspires Global Flavour Combinations at FIE Real fruit and vegetable pieces are the perfect way to combine eastern and western flavours, Taura Natural Ingredients will demonstrate at Food Ingredients Europe. With consumers seeking new taste sensations, and eastern flavours particularly sought after, Taura – part of Frutarom – offers a range of ways to help manufacturers satisfy adventurous palates. The company’s unique [...]...
  • Pots Showcase Dairy Delights Regional French dairy producer Duo Lozère has selected RPC Bebo Bouxwiller to supply the packaging for the company’s high quality organic yoghurts and fromage blanc. The stylish 125cc thermoformed polypropylene pots are lightweight and easy to handle, combining consumer convenience and ease of use with effective product protection and presentation. Newly-designed graphics, offset printed in a [...]...

Survey Reveals Fragile UK Food Industry Confidence

Survey Reveals Fragile UK Food Industry Confidence
October 25
09:00 2016

Concerns are mounting within the largest manufacturing sector in the UK – food and drink – and confidence is becoming more fragile, a survey of Food and Drink Federation (FDF) members reveals. The survey coincides with quarterly figures from UK retailers showing food sales at their highest levels since 2013, suggesting a disparity between business and consumer confidence levels.

Following the UK’s vote to leave the European Union (EU), a majority of food and drink companies responding to FDF’s survey report increased ingredient prices, a drop in product margins, and concerns for the future raised by their EU workforce. More than two thirds (69.5%) of respondents are less confident about the UK business environment, with only around one in ten (11.2%) more confident.

FDF is calling for an industrial strategy partnership with Government to support the development of food and drink manufacturing, a sector in which the UK has a competitive advantage.

Food and drink manufacturing supports 3.9 million jobs across the £108 billion UK food chain and employs 400,000 people directly. Of these, almost a third (29%) are non-UK EU nationals. A large majority (71%) of companies surveyed employing EU staff report their EU employees have expressed concerns about the Referendum outcome, with around one in 12 (8.7%) reporting that EU employees intend to leave the UK. FDF is calling for urgent assurances for the industry’s workforce from the EU that they will have leave to remain in the UK.

Ian Wright CBE, director general of FDF.

Ian Wright CBE, director general of FDF.

Food and drink producers face tough trading conditions, with three quarters of companies seeing ingredient prices increase largely as a result of the weak pound, with product margins falling for most survey respondents. This trend is expected by most companies to continue over the next 12 months. Urgent action from Government is needed to ensure essential imports of ingredients and raw materials from the EU and EU Free Trade Agreement (FTA) countries do not face tariffs or costly non-tariff barriers.

FDF’s survey results reflect the sentiment of one third of its full membership including micro, small, medium and large food and drink manufacturers.

Ian Wright CBE, Director General of the Food and Drink Federation, comments: “We share Government’s view that we need to make the best of Brexit. Food and drink industry confidence is low. Slower revenue growth, coupled with prolonged business uncertainty, is affecting the industry’s ability to invest.”

About Author

mike

mike

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • November 28, 2017Fi Europe
  • December 4, 2017Plastics and Paper in Contact with Foodstuffs 2017
  • January 8, 2018RAI Exhibition
  • January 16, 2018Sival Plant Production Trade Show
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements