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Scottish food and drink brand sales rise

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  • Scottish food and drink brand sales rise

    24/06/2010

    Retail sales of Scottish food and drink brands across Scotland, England and Wales have increased by a massive 30 per cent during the past three years, increasing the value of sales by 425 million.

    In Scotland, sales of Scottish food and drink brands increased 22 per cent over the same period (May 2007 - May 2010), demonstrating Scotland's strength as a food and drink retailer in a highly competitive market.

    Announcing the figures at the Royal Highland Show, Rural Affairs and Environment Secretary, Richard Lochhead said:

    "Sales of Scottish food and drink are soaring on shop shelves across Scotland, England Wales as consumers flock to the Saltire. Despite a tough economic backdrop, sales of Scottish food and drink brands in these islands have risen to 1.83 billion.

    "Combined sales grew last year by eight per cent which, at a time of economic recession, demonstrates how vital a comprehensive plan of support and promotion can be."

    Mr Lochhead also announced grants of almost 4.2 million under the Food Processing, Marketing and Co-Operative (FPMC) Grants Scheme.

    "Scotland's reputation as a producer of high quality food and drink can sustain the industry during hard times. As the government, we will continue to support our rural industries in whatever way we can and build on the principles of 'Recipe for Success' - the next steps in our national food and drink policy.

    "One such way is providing financial support. For example, grants totalling 4.2 million announced today will fund 29 projects to enhance innovation and to improve Scottish products. The FPMC grants scheme has already allocated almost 20 million since it was set up, safeguarding more than 3000 jobs, to the great benefit of our rural sector.

    "Whether you grow, make, buy or sell Scottish food and drink there is a great opportunity still to make Scotland healthier, wealthier and more environmentally sustainable. We are building on the work of previous years and laying the foundations for future success.

    "I was particularly pleased to be able to support QMS's Scottish pork collaborative supply chain project that - with the support of Vion - will deliver substantial benefits to the wider Scottish pig industry," Mr Lochhead said.

    Statistics: The Food Processing, Marketing and Co-operation (FPMC) scheme is designed to promote sustainable and profitable food production throughout Scotland by ensuring that Scottish food manufacturers and retailers are equipped to respond to change. FPMC is open to anyone involved in the production chain, such as primary producers, processors, retailers, and food service operators, with the co-operation element supporting involvement with scientific research or academic institutions.

    Recipients from the latest round of grants said:

    John Forteith of Forteith Foodservice, Oban (awarded 251,618)

    "This is a very important investment that will enable us to significantly increase our capacity to cope with the fast growing demand for locally sourced meat products. We will continue to drive sales of Argyll hill lamb, Argyll pork and wild Argyll venison but, after the expansion has been completed, it will also enable us to handle the larger beef carcasses. It is very exciting times for us. Both caterers and retailers will now be able to obtain and benefit from the availability of local provenance."

    Steven Jack, Organic Potato Growers, Inverness (awarded 171,874)

    "This award is great news for OPG and our team. The support of the Scottish Government through the FPMC scheme is key to enabling small Scottish food processing businesses like OPG to progress up the supply chain. We aim to produce innovative and premium quality locally grown fresh produce to the retail sector.

    "This award provides our business with an opportunity to continue to invest in facilities and equipment to achieve these objectives.

    There is a big appetite from consumers for premium quality, local, Scottish products in our retail stores."

    This is the second year the Scottish Government Rural and Environment Research and Analysis Directorate (RERAD) has purchased and analysed sales data on Scottish Food and Drink brands from Kantar Worldpanel. This data shows retail sales of all Scottish food and drink brands significant enough to be registered with Kantar, the leading provider of consumer panels into shoppers' purchase and usage behaviour.

    May 2007 to May 2010

    In Great Britain, sales of Scottish food and drink brands over the period May 2007 to May 2010 grew by 30 per cent, an increase of 425 million. In Scotland, sales of Scottish food and drink brands over the period May 2007 to May 2010 grew by 22 per cent, an increase of 99 million.

    May 2009 to May 2010

    In Great Britain, sales of Scottish food and drink brands over the period May 2009 to May 2010 grew by 8 per cent, an increase of 128 million. In Scotland, sales of Scottish food and drink brands over the period May 2009 to May 2010 grew by less than 1 per cent, an increase of 2 million.

    FPMC: The Food Processing, Marketing and Co-operation (FPMC) Grant Scheme was launched in March 2008. The scheme is part of Scotland's Rural Development Programme and will run until 2013. The scheme is competitive and includes three elements:

    Capital Grants: Provides for assistance towards the construction of buildings and purchase of plant and equipment.

    Non-capital Grants: Provides for assistance with a range of projects including market research and consultancy, product development and consumer education material.

    Co-operation Grants: Provides for support to aid co-operation, collaboration and development within the food chain.

    The latest recipients are:

    Speyfruit Ltd, Elgin, Moray 184,400

    Grants Foods, Galston, Ayrshire 112,639

    Forteith Food Services, Oban, Argyll 251,618

    Wishaw Abattoir Ltd, Wishaw, Lanarkshire 170,022

    Murray T Mitchell, Laurencekirk, Kincardineshire 148,962

    Dundee Cold Stores Ltd, Dundee, Angus 587,960

    Scotch Premier Meat, Inverurie, Aberdeenshire 5,364 + 68,142

    Paterson Arran Ltd, Livingston, West Lothian 128,388

    Organic Potato Growers (Scotland) Ltd, Inverness 171,874

    Belcher Food Products Ltd, Prestwick, Ayrshire 236,638

    Macleans Bakery Benbecula Ltd, Western Isles 94,498

    Ella Drinks, Alloa, Clackmannanshire 126,950

    A K Stoddart, Broxburn, West Lothian 347,288

    Highland Fine Cheeses, Tain, Inverness-shire 150,046

    Thomas Thomson, Blairgowrie, Perthshire 78,768

    Shetland Cheese, Skeld, Shetland Islands 13,872

    Nairn's Oatcakes, Edinburgh 58,215

    R and K Drysdale, Cockburnspath, Beriwckshire 52,481

    Mackies, Westertown, Aberdeenshire 259,386

    Orkney Creamery, Kirkwall, Orkney 60,301

    Simpson (Buckie), Buckie, Morayshire 122,909

    Mackays, Arbroath 114,968

    Gordon McWilliam, Aberdeen 174,371

    Rannoch Smokery, Pitlochry, Perthshire 44,400

    Whitmuir Organics, West Linton 4,450

    Crantit Dairy, Kirkwall, Orkney 4,950

    Quality Meat Scotland 383,050

    Scotland Food and Drink, 48,425
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