Food exports show green shoots of growth, as UK businesses target non-EU markets

Food export volumes were up 7.2% in the first half (H1) of 2025¹, according to the latest Trade Snapshot from The Food and Drink Federation (FDF). In the first six months of the year, the UK exported 4.5bn kg and 590m litres of food and drink to over 200 countries around the world. This increase follows a decline in food and drink exports last year. FDF is now calling on government to work with industry on ambitious targets to ensure exports continue to grow, given food and drink export volumes are still more than a tenth (13%) lower than 2023 levels.

The Trade Snapshot reveals that trade with the UK’s largest partner, the EU, showed steady growth of 4.2% in value terms compared to 2024. However, export growth was largely driven by trade with non-EU countries, which increased by more than a tenth (10.6%) compared to the first half of last year.

The US had a significant impact on the trade outlook in the first half of this year. Exports of food and drink to the US increased by 18.9%, to £1.4bn. This growth continued even after the additional 10% tariff took effect, reflecting the UK’s comparatively better deal in some categories of food and drink than some other nations.

Additionally, two years on from the signing of a trade deal with Australia-New Zealand, exports to New Zealand increased by almost a fifth (19.7%) in H1. India also saw 11.6% growth. A new trade deal with India, signed in July 2025 and expected to come into force in 2026, will help build on this trend, with a removal or reduction of high Indian tariffs on selected UK food and drink exports over the next decade.

While the report shows green shoots for export growth, this follows a year of flatlining exports. FDF is urging government to partner with industry to seize this trade growth and ensure it continues, turning these promising signs into a longer-term trend.

We want to work with government to set ambitious targets to grow overseas exports, and on a plan to maximise new global trade opportunities, while providing businesses with the support and guidance they need to take advantage of these – particularly smaller businesses who might be new to selling abroad. This is particularly important given the overall volatility of trade at the moment, and it would insulate UK manufacturers from any downturn.

For example, to help build export momentum, government can help more businesses to trade with countries most impacted by US tariffs and where the UK is already seeing strong growth, such as Mexico, Canada and China. Retaliatory measures introduced by these countries have led to notable declines in food and drink exports from the US to these markets, opening up export opportunities for UK suppliers.

US tariffs will continue to impact in the second half of the year. It’s vital that government works to reduce tariffs for products where the UK has ended up with a higher rate than the EU – like chocolate, ice cream and soft drinks – so that our manufacturers can remain competitive².

Across the rest of the world, a comprehensive trade agreement with the Gulf Cooperation Council (GCC) could also provide new customers for UK suppliers, with UK food and drink already seeing high demand in the region. Meanwhile, with exports to Turkey up 68.6% in H1, progressing an updated Free Trade Agreement could boost this further as well as diversifying the UK’s supply of products like hazelnuts, sweet potatoes, and olive oil.

A new SPS agreement with the EU will also help remove significant barriers to trade, including complicated and expensive checks and certification. Until the new agreement comes in, government can work to reduce border costs and avoid any unnecessary burden on businesses by providing a clear roadmap for businesses, with guidance and phased transition periods.

Balwinder Dhoot, Director of Growth and Sustainability, The Food and Drink Federation said:

“It’s positive to see an increase in export volumes compared with last year, and now we need to go further. Government and industry can work together to use this as a springboard to turbocharge export growth.

“We want to work with government to create a clear and ambitious target to boost the UK’s overseas food and drink sales, with a long-term plan to help us hit it. This could include improving access to global markets like Turkey and Mexico, ensuring the smooth implementation of an EU SPS agreement, bringing down US tariffs where they’re higher than those paid by the EU, and supporting businesses that want to trade with new markets. This would help give industry a much-needed boost, helping businesses to sell more world-class British food and drink around the globe.”

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Notes to Editors

Read the FDF’s H1 Trade Snapshot.

1. In H1 2025, the UK exported 4.5bn kg of food. In H1 2024, the UK exported 3.3bn kg of food.
2. UK tariff into US on chocolate: 20%, EU tariff into US on chocolate: 15%; UK tariff into US on soft drinks: 20%, EU tariff on soft drinks into US: 15%.

About FDF

The Food and Drink Federation (FDF) gives a voice to the food and drink manufacturing industry – the UK’s largest manufacturing sector. We contribute over £37 billion to the country's economy, supporting half a million jobs and driving growth at home and abroad. 

For further enquires please contact the FDF Press Office or contact 020 7420 7140