The 7.7 per cent reduction in the value of Irish food and drink exports last year will be reversed this year and the industry will return to overall growth, according to the chairman of the Irish food board, Bord Bia, Mr Philip Lynch.
In his chairman's statement in Bord Bia's annual report for 2001, Mr Lynch said total exports reached a value of €6.6 billion in a difficult year because of the foot-and-mouth crisis and a new BSE crisis on the Continent.
"With recovery in markets, the food and drinks industry will return to overall growth in 2002. Critical to continued success will be the maintenance of competitiveness in a cost-conscious environment," he said.
Mr Lynch said one of Bord Bia's most important services was to provide industry with information and intelligence on the marketplace, with particular emphasis on emerging consumer trends.
Bord Bia chief executive Mr Michael Duffy outlined the strategies adopted to cope with the crisis in 2001 and said one of the most successful of these initiatives was the European Meat Forum.
Independent evaluation of the impact of the event on the 360 delegates, which included 160 European beef buyers, showed that 73 per cent of the buyers expected to increase their levels of purchasing Irish beef by an average of 29 per cent.
Although beef production increased in 2001, exports were valued at €900 million, a decline of almost 40 per cent on 2000 levels due to a fall in the volume of exports of 34 per cent.
However, sheepmeat exports increased by more than 41 per cent to €260 million, with France taking 80 per cent of Irish exports, he said.
Mr Duffy said pigmeat exports increased in value to €330 million, an 18 per cent rise over 2000, and poultry meat exports, valued at €140 million, declined by 4 per cent.
The report highlighted the growth in prepared consumer foods, which accounted for 26 per cent of Ireland's total food and drinks exports.
There was a decline of 2.1 per cent in the value of dairy exports during the year but the beverages sector grew by 1 per cent in 2001 to a value of €880, despite the adverse affects in the last quarter on duty-free sales post-September 11th.
The board's total expenditure on marketing and promotional activities during the year was just more than €16 million.
