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Scotland's food and drink exports secure £8.3m US contracts

Published: 7 Apr 2017 08:00
Part of:
Economy

North America contracts for Scottish gin, seafood and cheese.

First Minister Nicola Sturgeon has welcomed news that Scottish food and drink companies have secured £8m of export sales to North America.

Companies including Associated Seafoods, Eden Mill Distillery and Mara Seaweed have all secured contracts to sell their products in supermarkets and restaurants across the USA.

The news comes as it was announced that Scotland’s total food and drink exports to North America reached £1 billion in 2016, with the US topping food and drink export markets.

The First Minister welcomed the news during a food and drink showcase to over 100 North American buyers and industry influencers in New York today (6 April).

First Minister Nicola Sturgeon said:

“Scotland’s food and drink sector remains one of our strongest export markets and the latest figures show how important North American business is to our producers.

“The news that Scottish business is thriving and securing multi-million pound contracts is fantastic, and it is especially encouraging to see so many independent businesses doing so well.

“The links between Scotland and the USA have always been strong, and today’s announcement shows that they will continue for years to come.”

Dr Lena Wilson, Chief Executive of Scottish Enterprise, said: "Our Food & Drink industry is going from strength to strength and it is really encouraging to see continued export success in North America. We have been working with our Food & Drink partners across Scotland to open doors for companies with international ambitions. This Showcase demonstrates Scotland’s credentials as a ‘Land of Food & Drink’ – showcasing the best we have to offer, from our traditional Scotch whisky and salmon through to newer flavours on the global menu, such as small-batch gins, craft beers and artisan cheeses. It provides a strong platform to raise our profile in this key market and generate additional business for companies and income for Scotland.”

Background

The Scottish businesses projecting export success include:
• Associated Seafoods, which predicts its North American business to grow to £4-5 million over next 18 months, with opportunities in Canada progressing.
• Eden Mill Distillery, which began exports of its craft gins in August 2016, predicts £1.4 million worth of gin exports to the US over the next three years.
• Thanks to the new Scottish Dairy Brand - the key initiative from the Dairy Growth Board - Orkney Smoked cheddar has been launched with distributor partner Atalanta forecasting returns over next three years of £1.6 million.
• Mara forecast their newly-launched Mara Seaweed Butter will bring in an additional £300,000 of business by the end of 2017, with a further £500,000 from foodservice in 2018. Mara are confident that this, along with the launch of their existing seasoning range into the US retail sector and online later this Spring, will see Mara's export sales to the US grow by an additional 300 per cent in 2017.
• Scottish cheddar brand Mull of Kintyre, produced by First Milk, was the fastest growing cheddar in the US last year currently available in 33 US retailers.
• LoSalt is now sold in over 1,400 stores across USA, with annual sales growth of over 11 per cent – an amazing achievement for a relatively small family business based in East Kilbride.
• Mackays, is the number one UK brand of marmalades, preserves and curds in the US growing at nearly 11 per cent - beating the category average of 1.8 per cent growth. They have also recently secured a deal with Atalanta for their chutneys.
• Craft Brewers Innis & Gunn, who have won two Queens Awards for International Export, will reach a national distribution footprint this year and should see retail sales exceeding £6m.
• The Scottish Salmon Company has seen US sales double in the first three months of 2017.
• Scotland’s total food and drink exports to the US were valued at around £935.5 million last year, up £21 million on 2015. Canada has also seen growth with food and drink exports valued at around £94.8 million last year, up 2 per cent from 2015.
• As in previous years, Scotch whisky exports accounted for the majority of Scotland’s food and drink exports to North America, valued at £855.6 million in the US and £73.6 million in Canada.
• Scotland’s food exports to the US were valued at around £79.9 million in 2016, up 21 per cent from 2015. In 2016, the US ranked fourth in Scotland’s food exports markets. Scotland’s food exports to Canada were valued at around £21.2 million last year, up 34 per cent from 2015.

Images are available on www.flickr.com/firstministerofscotland