Food & Drink Industry Sets Its Sights Abroad After Referendum

Many food and drink companies are using the pint half full philosophy at this present moment in time and are looking to broaden their horizons, using the opportunities thrown up by the referendum decision to leave the European Union to find new international trading partners.

Food & Drink Report 2017

Food & Drink Report 2017

The latest Food & Drink Report 2017 found that nearly 70% of companies are investing in finding and securing new international customers, this is compared to just 55% the year before. Over 40% are looking for new customers in the EU with just under 40% looking for new customers further afield.

Further good news in the report came in the news that 28% of food and drink companies were looking to export for the very first time in the next 5 years. The falling pound has certainly helped to secure new business overseas.

Challenges Ahead For The Food & Drink Industry

Although companies were striving to boost their export sales over the coming months and years there is no doubt that there are plenty of challenges ahead for them. Breaking new markets means dealing with lots of new regulatory issues and red tape and there are also various political influences that have to be negotiated through. But where there is a will there is a way and it is good to see so many UK firms forging ahead, looking to expand and grow their business to all parts of the world.

Speaking about the report Elena Paitra, Managing Director of Food, Beverages and Tobacco, Lloyds Bank Commercial Banking said: “Uncertainty surrounding last year’s EU Referendum vote had slowed down the UK food and drink industry’s aspirations in the short term. But, this year’s survey shows that while uncertainty remains, companies are moving on from Brexit and re-focusing efforts on achieving growth and increasing confidence.

“Buoyed by the depressed pound, many more firms are targeting growth overseas, with almost as many firms looking beyond the EU as within it.

“The cost of labour is by far the biggest challenge that the industry faces and firms are trying to mitigate these challenges by improving efficiency and productivity through cost cutting, upskilling of labour force and investing in R&D, innovation and automation.

“Last year was a record-breaking year for food and drink exports and firms seem optimistic that momentum will be maintained in 2017. The sector is gaining confidence and businesses are positive about job creation.” This quote was taken from the New Food Magazine

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