The UK food manufacturing sector is set to see a 3-4% rise and reach a value of more than £113bn in the short to medium term, according to a new report from Research and Markets.
The food and drink manufacturing and processing industry (FDMP) is the single largest manufacturing sector in the UK, employing around 400,000 workers.
The report states that there are more than 8,000 companies in the FDMP sector, with 85% being classified as small businesses. The top five food manufacturing firms in the UK account for more than £30bn in turnover and the top 20 companies own and operate over 300 manufacturing sites across the country.
FDMP – key figures:
- Number of active UK food and drink manufacturers: 8,000
- Manufacturing sites and factories: 9,500
- Percentage growth in food and drink manufacturing industry: 3-4%
The report suggests that the growth is predominantly because of the investment in new machinery and manufacturing technologies.
Thanks to the investment in a new stock of manufacturing capabilities across the sector the reports states that output will rise by between three and five per cent over the coming years.
The report identifies the sectors with the most manufacturing sites as meat processing, dairy enterprise and bakery production. The areas with the highest number of food and meat production were the Scotland, the North West and Humberside.
Speaking about the report, researchers commented: “Over the past couple of years the FDMP has seen increased capital investment levels, reflecting the growing optimism in the wider economy.
“New projects were mainly focused on upgrading existing assets to achieve greater efficiencies, leading to higher outputs and lower costs.”