Scots food and drink firms taking a bigger bite of export market

SCOTTISH firms are leading the charge overseas as figures published today reveal that the UK’s food and soft drink exports topped £12 billion for the first time last year.

A raft of food and drink producers north of the Border have reported growing international sales, including Fochabers-based soup and sauce maker Baxters, Aberlour-based biscuit and cake producer Walkers Shortbread and the Mackie’s of Scotland crisp joint venture between the ice cream giant and potato firm Taypack.

UK food and soft drink exports rose by 12 per cent last year, driven by a strong demand in emerging markets such as Eastern Europe and the Far East.

China entered the top 20 export destinations for the first time with a 55 per cent increase on 2010, partly due to changing tastes and an increasingly westernised diet.

Moodiesburn-based sausage skin maker Devro has noted a similar trend, with demand for its casings rising in emerging Asian markets.

South Korea increased its imports of British food and drink by 37 per cent, while Hong Kong was up by 41 per cent.

The Scotch whisky sector has also toasted growth in emerging markets in recent years.

News of the rising exports comes after Bill Black, a Scots-born senior vice-president at Swiss engineering firm ABB, told Scotland on Sunday this weekend that he will use his speech at tomorrow’s Scottish manufacturing conference in Dunblane to call for a “Made in Scotland” brand to help promote Scottish products to the growing middle classes in emerging markets such as China and India.

Flora McLean, director of the Scottish Food & Drink Federation (SFDF), said: “Scotland has one of the greatest food and drink larders in the world and it is pleasing to see that our products, along with those made by producers and manufacturers across the UK, are increasing in popularity across the globe.

“In spite of this coup for the food industry, there is still work to be done. SFDF, representing Scottish manufacturers, will continue to work with the UK government to help create the optimum conditions for food businesses to realise their potential in new and existing export markets. Food manufacturing is a priority industry in Scotland, making a significant and vital contribution to innovation, employment and sustainable economic growth.”

Established markets outside the European Union (EU) also performed well last year, with exports to the United States rising by 25 per cent.

In total, the EU accounted for 77 per cent of Britain’s food and drink exports, with Ireland remaining the top export destination, closely followed by France and the Netherlands.

Dutch interest in UK products increased by 30 per cent, a trend echoed by Belgium (30 per cent) and Germany (15 per cent).

Mackie’s at Taypack, the joint venture between the ice cream maker and the potato grower, said that exports accounted for about 10 per cent of its £2.5m turnover last year.

After pushing into North America, the company is now targeting £500,000 in sales in the US this year, with an order already coming in from Fresh ‘n’ Easy, Tesco’s US division.

Tim Gardiner, managing director of Mackie’s at Taypack said: “We consider an international approach to be vital to the continued growth of our brands.

“Early research with consumers in the US has been very encouraging – they like our products, our natural flavours and that we grow our own potatoes here in Scotland.”

America’s crisp market alone is worth £3bn a year.