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Manufacturing Focus: Food & Drink

The Food and Drink sector plays a core role within the UK manufacturing market-place representing 15% of manufacturing turnover and employing in excess of 500,000 people. The sector was affected least through the recent recession period and has recovered quickest demonstrating its resilience and significance in the UK.

Here are some of the industry's key success factors:

• Innovation- New Product Development is absolutely fundamental to the ongoing success of the sector with approximately 1500 - 2000 new products introduced each quarter, growth particularly within the Organic and Ready Meal product ranges.

• Exports- The UK food and non-alcoholic drink exports grew to approximately £6bn in the first half of 2011, a rise of 13% comparing to the same period in 2010.

• Training and Development- A strong focus is placed within the sector on developing the workforce to drive a culture of continuous improvement, skills retention and succession planning.

• Government Support- The importance of the sector is well documented and, as a result, the government have introduced a National Food and Drink policy focusing on encouraging growth. 

Equally, the Food and Drinks sector operates in a hugely challenging environment in terms of increasing cost and an accompanying key focus on healthy eating. Dramatic rises in the cost of many basic ingredients over the past two years coupled with energy price spikes are continuing to have a significant impact on the bottom line for producers and manufacturers. The industry is also increasingly in the spotlight as governments look to tackle public health issues such as obesity.

A recent quote from a key figure in the industry does, however, reflect a genuine advantage the sector has. "It has been a very tough year for anyone involved in industry ….but …..people do still have to eat".