10 January 2008 – Irish food and drink exports maintained their upward trend in 2007, driven mainly by the dairy, prepared food and beverage industries, which made up 27%, 21% and 17% of the agri-food sector's exports, respectively, according to figures released by Bord Bia.
Dairy exports rose 13% to reach 2.36 billion euro on the back of high global prices for dairy products. This increase amounted to over 270 million euro and contributed 65% of the total rise in food and drink exports. Dairy exports to Asia accounted for one third of the increase in total exports.
Exports of beverages totalled 1.45 billion euro, up 5% on year. Growth was fuelled by strong Asian demand, with alcohol exports to Asia more than doubling during 2007. Strong growth was seen for cream liqueurs, whiskey and stout exports to China, whilst whiskey demand in Japan recovered from an earlier slump.
Prepared foods exports rose 6% to 1.815 billion euro. Stronger growth was to be found in the pizza, chocolate confectionery and frozen bakery categories.
Outlook for 2008 is good for all three sectors. Grain prices are set to remain high, enhancing the competitiveness of Ireland’s grass-based dairy industry. Similarly, expected price increases, which will be needed in order for food companies to absorb rising commodity prices, should support growth in the prepared food sector, whilst demand for beverages in developing regions is set to continue its upward trend and to provide good opportunities to the Irish beverage industry.