Food and drink manufacturing is incredibly diverse, which is our sector’s greatest strength and greatest weakness. But there is one area where manufacturers are closely aligned. And that’s on the opportunity presented by Defra secretary Steve Reed’s ambitious new food strategy.
We’re very aware that past strategies have covered a variety of ground, and have often fallen short of their potential when it comes to implementation. That makes the need for a new, broad and comprehensive strategy all the greater now. It needs to address the issues we all know the food system is facing, with varied degrees of urgency, from food security to the environment, healthy diets and economic growth.
As we consider these challenges, there is no doubt in our mind they’d benefit from more consistent input and stronger co-ordination, from actors large and small. For instance, when we talk about food security, what do we need to address most urgently? Flooding, drought, energy security or something else? This sort of co-ordination and prioritisation is something only government is properly placed to do well.
We’re ready to play our part across all four areas of the strategy. We want the UK to have the most competitive, innovative and productive food and drink manufacturing sector in Europe.
We want to play an active and constructive role in making it easier for everyone to make healthier choices in what they eat and drink every day. We want to ensure our sector is contributing responsibly to the long-term sustainability of food and drink in the UK and more broadly.
We know these and other issues contribute to the food security that is critical to all our lives. And we believe it’s possible to find win-win solutions across our dynamic food and drink sector that stimulate growth, at the same time as improving diets and the environment.
Agility, not meetings
As government readies itself for action, we’re stressing two things that are critical for manufacturers in particular.
The first is agility. The world is moving fast and we need to keep pace. Manufacturers want to work quickly and proactively with customers and suppliers to shape change through the food system. We agree on 80% of what needs to be done – something the Food & Drink Sector Council has demonstrated.
So we’re urging Defra not to spend too long in meetings and working groups, but to work with us on specific programmes where we can start to deliver change. We want to try local pilots, for example to nudge consumers towards food that’s healthier, but where we’d need the support of local councils.
£14bn productivity opportunity
The second is growth. Amid all the pressures on businesses, from increased National Insurance costs to looming EPR bills and ongoing border costs, there is a significant growth opportunity too.
To be precise, there’s a £14bn productivity opportunity, which the FDF has quantified with Newton in our Future Factory report. With labour and skills shortages persisting, the case for investment in more automation, digitisation and nascent AI is compelling. We want to work with government now, and quickly, to adjust regulation and make the changes that would unleash the right investment in companies large and small.
There is real opportunity to be seized here and we’re delighted the government is grasping the nettle. A huge advance under the new strategy would be to see Defra working hand in hand with the Departments for Business and Trade; Science, Innovation and Technology; and the Health Department, as well as seamlessly with industry.
The prize on offer is significant: growth in a food system that works in sync and for the benefit of everyone. It’s there for the taking. We’re ready. I hope the government is too.
Karen Betts is the CEO of the Food and Drink Federation
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