The report suggests that facilities, equipment, IT and product development are the key investment target areas over the next 12 months for UK food and beverage businesses, although certain barriers to growth remain, with over 40% of UK respondents predicting that raw materials will rise by 1-5%.
“There’s been a new wave of optimism across UK food and drink businesses, partly driven by export opportunities and partly due to improved consumer sentiment, which is increasing investment in the sector,” said Grant Thornton UK head of food and beverage Trefor Griffith.
“However, wider challenges remain for the sector, not just in terms of rising raw material prices, but also in managing the volatility in the price and supply of many key commodities, and ensuring the continuity of supply when product availability is short in the UK or globally.”
Grant Thornton identified that outside of Western Europe, China, Africa and South East Asia are the three main markets UK food and beverage firms are intending to enter over the next two years.
Source: Grant Thornton
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