Bord Bia is increasing investment in the German food and beverage market as Irish exporters look outside the traditional UK market to build business.
The Irish Food Board said it has committed considerable time and resources to the German market to exploit its potential for Irish food and drink exporters. It is Ireland’s sixth largest export market for food and drink, with an estimated export value of €600 million for 2016.
Irish export performance in Germany to date for 2017 has been strong (up 24%), driven by increases in dairy and prepared foods. Significant increases have also been recorded for sheep meat (+14%), seafood (+26%), pig meat (+19%), edible horticulture (+25%) and beverages (+9%).
Responding to changes in the market following Brexit, Bord Bia will focus on boosting exports of lamb and beef as it creates two new German websites where consumers can engage with Irish farmers on their methods.
The board has renewed its focus on promoting Irish lamb in Germany, which traditionally has a low consumption per capita of lamb but with strong growth potential. The success of Irish lamb exports in recent years is said to be underpinned by promotional work done in market, including in-store retail promotions, tastings, retailer and foodservice customer trade fair support and brand building.
The German grocery retail market was worth €234 billion in 2016 and is forecast to be worth €259 billion by 2021, a growth rate of 10.5%.
Speaking at Anuga, where 34 Irish companies are currently exhibiting, Bord Bia CEO Tara McCarthy outlined the strategic importance of the Germany market.
Sustainably produced food is increasingly sought by German consumers and we are offering our customers a solution to this demand through our Origin Green programme
“It is a premium market, our sixth largest, with an estimated value of €600 million last year. Sustainably produced food is increasingly sought by German consumers and we are offering our customers a solution to this demand through our Origin Green programme.
“We are investing further in the market and we have identified a number of initiatives particular to the region to be funded under the recent Brexit allocation from the Department of Agriculture, Food and the Marine.”
She added: “We want to unlock opportunities by matching Irish suppliers to suitable retailer accounts and to enable growth for Irish food and drink companies and those German retailers. The research will deliver an understanding of private label in key retailers and focus on ten food categories.”
© FoodBev Media Ltd 2018