British exports saw strong growth in the third quarter as EU markets prepare for expansive UK trade deals, a new report has found.
According to membership organisation the Food and Drink Federation’s (FDF) new Trade Snapshot, exports in both EU and non-EU markets have increased “substantially” and are 23.2% higher than in Q3 2021.
Sales to the EU are reportedly up nearly 18% and are now approaching pre-pandemic levels.
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The FDF found that rising prices have been increasing the value of UK exports, and this can be attributed to soaring demand for quality British products like gin and cheese in the UAE, Singapore and India.
In the EU, food and drink exports have seen significant growth led by Italy (42%), Spain (52%) and the Netherlands (35%).
Non-EU markets set for new or improved trade deals with the UK also saw significant boost in exports, with the UAE (41%), Singapore (20%) and South Korea (35%) all seeing strong growth compared to 2021.
Additionally, imports from non-EU countries continue to increase – up 14% compared to 2021, and over 23% compared to pre-covid levels as businesses diversifying their sourcing of key inputs.
Exports also help to drive improved productivity and growth, “which is particularly important in these turbulent economic times,” the FDF said.
“We urge the UK Government to work with us to ensure the UK’s largest manufacturing sector takes advantage of its untapped global growth potential.”
Head of international trade at the the Food and Drink Federation, Dominic Goudie said: “These figures demonstrate that the appetite for British food and drink continues to grow around the world, with exports up in both EU and non-EU countries.”
He added: “Defra and the Department for International Trade are taking important steps to boost support available to our food and drink exporters.
“As set out in our recent trade and investment strategy, we are keen to work in close partnership with all UK governments to take forward practical recommendations utilising all of the tools in the UK’s trade policy to drive further growth in our sector,” Goudie said.
The news comes as the FDF found UK food and drink exports exceeded pre-COVID levels for the first time in the first six months of 2022.
