Unwrapping the food industry

The UK food and drink sector is a great British success story. It is a high value manufacturing sector offering world class capabilities in areas of production, logistics, sales, marketing and innovation – which combine to create annual Gross Value Added of £21.8bn.

With the food security debate racing up the political agenda, it's worth remembering that a strong UK manufacturing base has a key strategic role in providing resilience in the food chain.

Food and drink manufacturers buy three-quarters of what UK farmers produce. Without us they would lack a ready market for their products and be less able to exploit their comparative advantage in the face of the challenges posed by climate change.

Did you know that:

  • Our sector is the UK's biggest manufacturing sector, employing 440,000 people directly and indirectly accounting for a further 1.2 million jobs in the food chain. That's the equivalent to almost 2,500 jobs in every Parliamentary constituency.
  • We are an incredibly diverse sector: there are 7,000 businesses – the overwhelming majority of which are small or medium-sized enterprises – together generating £72.8bn of turnover.
  • Our industry accounts for 15% of the UK's total manufacturing output and is the fourth largest food and drink manufacturing industry in Europe.
  • The UK industry is highly innovative – spending £350m on R&D and launching 8,000 new products every year.
  • Despite the credit crunch, our exports continue to grow. We export more than £9bn worth of food and non-alcoholic beverages every year – the majority processed in some way – with Europe a key destination for our products.

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