Detailed Statistics

This web page provides you with details of the type of statistics covered in the report and which food sectors are covered. It also lists the sources of data the report was based on and includes samples of some of the most revealing tables of statistics. To access the full report download: Structure of the UK Food Industry: the Role Played by SMEs (pdf, 501kb).

Type of Statistics

This report provides a general overview about food and drink manufacturing in the UK (number of companies, size of sector in turnover, employment terms, geographic spread etc).

It is based on a desk top research exercise, where existing data were collected and reported. An overview of the structure of the UK food and drink manufacturing industry is given as follows:

  • Size (No. of businesses, employees, turnover) by region and total UK
  • Composition (by business sector and business size) by region and total UK
  • Any trends/changes in the above
  • Selected Market leaders, with major players within each segment listed separately
  • The role of branding and private label goods within segments
  • UK exporting activity

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Food Sectors

The information within the desk study sections of this report was obtained from a variety of published reports, the Office of National Statistics and Food from Britain. Some additional comments and contributions are added from within ADAS' own sources. See Sources of Data.

The specific markets covered in the report are:

  • Meat and meat products
  • Fish and fish products
  • Fruit and vegetables (processed only)
  • Dairy products, eggs, oils and fats
  • Bread, cakes, biscuits and cereals
  • Confectionery
  • Sauces and condiments
  • Soft drinks and hot beverages.

The information sources used for this report have focused on the retail market for food, rather than on the wholesale or catering markets. You can read a summary table of the segments within this report by size, by downloading the full report (pdf, 501kb)

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Sources of Data

Publications

  • Dominic Fenn (Ed.) (2006) Market Review – Food Industry Seventeenth Edition, Key Note Ltd. ISBN 1-84168-976-9.
  • Hollis et al (2003) Market Research Report on Quality Regional Food Businesses (unpublished). ADAS Consulting Ltd for DEFRA.
  • Emma Wiggin (Ed.) (2007) Market Assessment 2007 – Hot Beverages. Fourth Edition. Key Note Ltd. ISBN 978-1-84729-146-2.
  • Jane Griffiths (Ed.) (2006). Market Assessment 2006 Condiments and Sauces. Fourth Edition. Key Note Ltd. ISBN 1-84168-906-8.
  • Samantha Kidd (Ed.) (2007). Market Report Plus 2007 – Confectionery. 25th Edition. Key Note Ltd. ISBN 978-1-84729-081-6.
  • Anon, Statistical Framework Division. UK Business Activity, Size and Location – 2006 (September 2006). Office for National Statistics, HMSO. ISBN 1745-218.
  • Isla Gower (Ed.) (2006) Market Report 2006 Soft Drinks (Carbonated & Concentrated). Sixteenth Edition. ISBN 1-84168-969-6.

Websites

Bulletins and Speeches

  • Michael Thompson, Head of Communications and External Affairs, the Portman Group. Speech to The Duncan Society, Wednesday 4th July, 2007.
  • Anon. News Release.18th August 2006) Spending on eating out overtakes meals at home. National Statistics, UK Input-Output Analyses, 2006 Edition. ISSN 174107155
  • Market Watch by tns TM Retail Share Track. June 2007.

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Sample Tables

Table 1: UK Consumer Expenditure on Food by Sector at Current Prices (£m at rsp), 2001-2005
  2001 2002 2003 2004 2005
Meat and meat products 12,384 12,689 13,145 13,502 13,657
Fish and fish products 2,298 2,405 2,366 2,427 2,571
Fruit and vegetables 12,660 12,962 13,230 13,601 14,503
Dairy products, eggs, oils and fats 8,701 8,729 8,864 9,133 9,533
Bread, cakes, biscuits and cereals 8,702 9,066 9,139 9,410 9,687
Other foods 1,405 1,463 1,484 1,606 1,599
Total 46,150 47,314 48,228 49,679 51,550
% change year-on-year - 2.5 1.9 3.0 3.8

rsp – retail selling prices.
Note: excludes alcoholic drinks, all hot and cold beverages, and 'sugar and sweet products', defined by National Statistics as covering sugar, jams, marmalades, chocolate and confectionery.
Source: Consumer Trends, National Statistics website via Keynote 2006

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Table 2: Total Household Expenditure and the Share Taken by Expenditure on Food at Current Prices (£m at rsp), 2001-2005
  2001 2002 2003 2004 2005
Total household expenditure† (£m at rsp) 635,651 667,361 697,764 731,859 761,865
Expenditure on food‡ (£m at rsp) 46,150 47,314 48,228 49,679 51,550
Share taken by expenditure on food (%) 7.26 7.09 6.91 6.79 6.77

rsp – retail selling prices.
† – final consumption expenditure in the UK by resident and non-resident households.
‡ – as defined in this Review.
e – Key Note estimates, based on statistics for the first three quarters of the year.
Source: Consumer Trends, National Statistics website via Keynote 2006

Table 2 shows the increase in expenditure per household against the increase in expenditure on food, year on year. The table shows that the increase in expenditure on food as a proportion of the total household expenditure has declined slightly.

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Structure of Food Manufacturing Industry

Table 3: Key Financial Ratios for UK Manufacturers of Food Products and Beverages † (£000, % and £), 2004/2005
  Lower Median Upper
Turnover (£000) 311 7,091 30,460
Pre-tax profit (£000) -8 65 658
Pre-tax profit margin (%) -0.86 2.38 7.51
Turnover per employee (£) 65,669 121,704 220,426
Average remuneration per employee (£) 14,170 18,098 23,194
Working capital/turnover (%) 11.40 0.44 -7.83
Turnover/fixed assets (%) 2.79 4.39 7.28
Total debt/net worth (%) 171.43 62.67 14.32
Current ratio 0.60 1.00 1.66

† – based on 5,833 companies.
Source: ICC Plum database via Keynote 2006.

Table 3 demonstrates key financial ratios for lower, medium and upper sized manufacturers of Food Products and Beverages.

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Table 4 : Number of UK VAT-Based Enterprises in the Food-Manufacturing Industry, 2001-2005
Year No. of businesses
2001 7,015
2002 6,765
2003 6,695
2004 6,350
2005 6,310

Note: includes all companies manufacturing food, beverages or tobacco products.
Source: Business Monitor PA1003 – Size Analysis of UK Businesses/UK Business: Activity, Size and Location, National Statistics website.

Table 4 shows the number of UK VAT based businesses in food manufacturing in the UK. From 2001 to 2005 the number of businesses has decreased by 10%.

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Table 5 : Number of UK VAT-Based Enterprises in the Food-Manufacturing Industry by Turnover Sizeband (£000, number and %), 2005
Turnover (£000) Number of enterprises 2005* % of Total
1-49 600 9.5
50-99 800 12.7
100-249 1,300 20.6
250-499 840 13.3
500-999 640 10.1
1,000-4,999 1,125 17.8
5,000+ 1,005 15.9
Total 6,310 100.0 †

† – does not sum due to rounding.
Note: includes all companies manufacturing food, beverages or tobacco products.
Source: UK Business: Activity, Size and Location 2005, National Statistics website via Keynote 2006.

Table 5 shows the number of UK VAT based businesses in food manufacturing by turnover size band. The largest turnover size band is £100k- £249k who account for 20.6% of the market. The turnover bands can be grouped into small companies (£1k-£249k), medium companies (£250k - £999k) and large companies (over £1 million). Small companies make up 42.8% of the market, medium sized companies make up 23.4%, while large companies make up 33.7%.

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Table 6 : Number of Employee Jobs in the UK Agriculture, Fishing and Food-Manufacturing Sectors (000), June 2001-2005
  2001 2002 2003 2004 2005
Agriculture and fishing† 272 251 224 224 239
Manufacture of food, beverages and tobacco 482 466 458 446 435
Total 754 717 682 670 674

† – seasonally adjusted.
Source: Labour Market Trends, February 2006, National Statistics website via Keynote 2006.

Table 6 shows the number of jobs that are available in the manufacturing of food, beverages and tobacco compared to the agriculture and fishing industry between 2001 and 2005. During this period, for agriculture and fishing the number of jobs has reduced by 12% since 2001, while in food/beverage/tobacco manufacture jobs have decreased by 10% since 2001.

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More Information

Download the full report 'Structure of the UK Food Industry: the Role Played by SMEs', ADAS UK Ltd (pdf, 501kb)


Last reviewed: 26 Nov 2007