Poor harvest hits food and drink exports
The value of cereals exports fell by nearly one-third in 2012, with agricultural commodities bringing down total food export figures.
Total food and drink exports remained at almost exactly the same level as 2011, as drops in some commodities and locations were offset by growth in others, HMRC figures show.
Exports of food and non-alcoholic drinks fell back by only £4m on 2011 to £12.13bn in 2012, despite the poor weather ruining many crops and affecting livestock production.
The biggest falls were in agricultural commodities. Cereals exports fell 27.9% or £167m on 2011, with wheat falling 34.4% and barley 19.7%.
Total meat exports fell 6.4%, with beef falling 11.2% to £389m and lamb falling 5.9% to £354m. However, pork performed well, increasing by 10.5% to £189m and prepared meat increased by 0.8% to £210m.
Poultry mirrored the fall in meat exports, dropping by 6.9% to £286m.
Dairy products fell by an average of 5.9%, with fresh milk and cream falling by 14.8% and butter/spreads down 20.7%. However, cheese exports increased slightly to £407m – a rise of 0.6%.
The value of fruit and vegetable exports increased by 12.6% to £1.22bn.
Most of the progress was made in value-added products, such as chocolate, coffee and condiments. Out of the 20 food types most exported, these products made up eight of the nine products that were in growth, with an average increase of 3.7% on 2011.
Exports to EU27 countries fell by 1.4% but were balanced by an increase in non-EU exports of 4.6%, including a 35.2% increase in Saudi Arabia and a 24.9% increase in exports to the United Arab Emirates. However, non-EU markets are still only worth 24.1% of total exports, a 1.1% increase on 2011.
Ireland remained the top buyer of UK food and drinks, buying £2.98bn – an extra 1.7% than in 2011.
Food and drink exports have more than doubled in the past 10 years from £5.85bn in 2002.
The Food and Drink Federation’s economic and commercial services director, Steve Barnes, said the results were positive.
“Despite a very tough trading year, food and drink exports remain resilient. Last year’s poor UK harvest and the continued contraction of key EU markets have both had a significant effect on overall performance.
“Nevertheless, food and drink manufacturers have continued to make strong inroads abroad, travelling further afield to drive sales of great British-made products. At a time when other sectors are struggling to find demand overseas, this achievement should be applauded and encouraged.”
See Farmers Weekly‘s agricultural commodities export infographic to find out where our produce went in 2011.