Food and drink exports grew 4.4 per cent to a record £5.4 billion (€6.85 billion) last year, despite the collapse of beef exports to France, Italy and Egypt in the last quarter of the year, Bord Bia reported yesterday.
Exports of value-added prepared foods grew 7.7 per cent to more than £1.28 billion and constitute the third-largest food export category, while drinks, pigmeat and poultry all showed significant increases, the board's annual review shows.
And in the short term, Bord Bia's chief executive, Mr Michael Duffy, intends to increase the amount of food sold into the EU and develop a significant presence in the US.
Between now and 2006, the board will devote considerable resources to the expansion of its marketing information division, recovering its markets for beef, expanding its services to the consumer food sector - focusing on an underdeveloped European market - and encouraging the development of speciality foods in the small business sector. There will be a new emphasis on the Irish market itself.
Export volumes in the main meat categories were affected by a reduction in production last year, Mr Duffy reported, but returns from sheepmeat and pigmeat increased because of improved market prices. Beef sales were good up to October, the start of the latest European BSE scare.
"Beef had a particularly challenging year. However, overall, the sector maintained its position as a key Irish export at £1.1 billion. Ireland is well positioned to regain its markets for beef when consumer confidence recovers. The resilience of the industry, the quality of the Irish product and the actions being taken here will serve Ireland well in overcoming the current BSE crisis," he said.
Dairy products and ingredients were the single largest export category at £1.3 million. Exports of beverages, especially alcoholic drinks to the US, increased by more than 20 per cent to £630 million.
Pigmeat sales - to Britain mainly - the EU and Japan, were up 10 per cent and worth £220 million. Sheepmeat exports, mainly to France, were worth £145 million, an increase of nearly 6 per cent.
Edible horticulture and cereals - the bulk was mushroom exports to Britain - were worth £130 million, up 7.4 per cent while poultry exports grew by 13.6 per cent to £125 million. Live cattle exports increased by 6.7 per cent to £160 million.
Britain remains the largest market for food exporters, taking 37 per cent of product, EU countries take 31 per cent of the total and the remaining 32 per cent - mainly beef, dairy products and some pigmeat - are sold on world markets.
"We're just opening an office in Chicago so I hope that is good timing," said Mr Duffy. "Looking at the US market from the point of view of beef, it will take a lot of work to get Irish beef into the US market, but it's a massive market."
