What’s driving EU food and beverage exports?

The UK is the largest export destination for EU foods, valued at £7.96bn ($10.14bn) in 2023. The most important export categories by value are fruit and vegetables (£13.2bn / $16.8bn), meat (£8.1bn / $10.3bn) and beverages (£7.6bn / $9.68bn).

There’s little surprise then that a survey carried out on behalf of the European Commission revealed the majority of British wholesalers, importers, producers and HORECA professionals state they would continue to import goods from the EU in the next 12 months*.

Respondents from the wine and dairy sectors in particular stated they were fully (100%) committed to sourcing additional SKUs from the EU in 2025, with importers of beer and spirits (80%), charcuterie and meat (80%) and bakery products (70%) also sharing this sentiment.

Quality, authenticity and sustainability are considered the top drivers of purchasing decisions across industry professionals, while aspects such as tradition, diversity, taste and safety are also important.

According to Andrew Crumpton, food industry expert and advisor to the EU’s More Than Only Food and Drink campaign, there is a certain amount of flux around what factors businesses are prioritizing when it comes to sourcing produce SKUs.

“Audience demographic will play a role here, and pricing remains a critical baseline, particularly during economic uncertainty,” he told us.

“That said, we do know that consumer are placing a great emphasis on quality, authentic ingredients that are sustainably-produced.

“This consumer sentiment is driving purchasing decisions and there is wider research which supports the findings of the EU survey.”

Crumpton said that in a survey conducted in early 2023, 31% of respondents stated that quality was more important now than 12 months ago – and 55.5% of respondents stated they sought out quality and safety marks most when making food purchases.

“More recently, a survey by YouGov showed that 42% of middle and higher income consumers find high quality products a critical factor when choosing a supermarket,” he added.

Key drivers defining authenticity for UK shoppers were being straightforward on delivering promises (57%); transparency within supply chains (41%); standing up for sustainability (39%); clear brand values (39%); and acting upon brand values (32%), according to research by Asendia quoted by Crumpton.

“There is growing evidence that sustainability is important in their purchasing decisions. In 2024, 64% of consumers surveyed ranked sustainability as a top three driver in at least one category - making it an important criteria in the purchasing decision,” he added, quoting Simon-Kucher insights data.

The role of EU quality labels

The latest EU survey among British food and beverage professionals also showed that businesses place a high degree of importance on labels such as Protected Designation of Origin (PDO), Protected Geographical Indication (PGI) and Organic.

Specifically, more than two thirds of respondents (66%) agreed that the EU quality labels are either ‘very important’ or ‘somewhat important’ when sourcing ingredients; and around two thirds also understand their meaning.

“The growth of organic is set to continue and the EU has a strong commitment to convert a quarter of its farmland to organic farming by 2030,” he added.

So what of the UK Geographical Indication (UK GI) scheme? “The UK uses the same Protected Designation of Origin (PDO) and Protected Geographical Indication (PGI) trademarks as the EU,” Crumpton explained.

“As with products protected within the EU, these schemes protect the intellectual property of food, drink and agricultural products with a geographical connection or that are made using traditional methods.

In short, the UK GI schemes protect registered product names when they are sold in Great Britain (England, Scotland and Wales); and the EU GI schemes protect registered products names when they are sold in Northern Ireland and the EU.

How are consumer trends influencing trade?

As for the most popular food and beverage categories based on consumer purchasing, Crumpton told us there’s demand across vegetables, fruit, meat and wine – with sustainable sourcing a running theme across most.

“Fresh berries, such as raspberries, have become increasingly popular, partly due to their health benefits,” he told us.

“Products like CauliShoots - entirely edible cauliflower stems - are gaining traction among consumers focused on zero-waste and sustainable eating.

“Sustainably-sourced meat, including grass-fed beef and free-range poultry, are in demand as consumers increasingly prioritize ethical and environmentally-friendly sourcing.

“While traditional wine imports have declined slightly, niche and sustainably-produced wines are becoming more appealing to discerning buyers.”

Asked what are the key considerations driving consumer purchases in the UK food and beverage space, Crumpton said there were three core factors.

• Health consciousness: Increasing awareness of healthy eating drives demand for fresh and nutrient-rich produce.
• Diversity in cuisine: UK consumers are becoming more experimental in their food choices.
• Sustainability: Ethical sourcing and reduced waste have become key considerations, influencing product choices in all categories.

“The EU remains competitive thanks to its scale, diversity and ability to meet the changing needs of consumers,” he added.

“Responding to key trends in conscious consumerism is driving interest in categories such as bakery, confectionery and wines.

“For instance, the growing interest in the benefits of fermented foods is met by many traditional EU baked goods, which have been made in Europe for centuries.

“These are gaining in popularity as they are considered by UK consumers to have health benefits due to the quality of the ingredients, longer fermentation process and the inclusion of ingredients considered to be gut-friendly.”

As for beverages, organic, biodynamic and wines from sustainable vineyards ‘are becoming the first choice for many wine drinkers,’ according to Crumpton.

The functional health agenda is also driving new product development in confectionery, said Katherine Shipley, confectionery advisor to the More Than Only Food & Drink campaign.

“Products with lower sugar or more natural sugars are gaining momentum, certainly in the natural sugar arena,” Shipley explained. “We are seeing gummies made with fruit juice without added sugar or sweeteners. This is paired with innovation in wellness confectionery, such as adding nutrients and vitamins.”

The EU also remains an important source for dairy for the UK. “As one of the world’s largest cheese importers, the UK’s appetite for dairy delights is not only enduring but also evolving. In the first quarter of 2024 alone, cheese imports from the EU reached 267,900 metric tons, marking a 4.9% increase compared to the same period in 2023,” Crumpton told us, citing AHDB data.

“Notably, imports from Greece, Spain, France, and Germany saw the largest growth, reflecting the UK’s expanding taste for diverse and authentic flavours.”

* The research was conducted as part of the launch of the EU’s More Than Only Food and Drink campaign. Interviews were conducted with 81 representatives from eight sectors of the UK food and beverage market, these being: Charcuterie and Meat, Wine, Beer and Spirits, Fruit and Vegetables, Bakery, Dairy and Cheese, Confectionery and Regulations and Policy.