Food and Drink: UK Economy

Jim Shannon Excerpts

Wednesday 1st December 2021 Westminster Hall

[Jim Shannon (Strangford) (DUP)]

Thank you, Mr Davies, for letting me speak. I too thank the hon. Member for Carlisle (John Stevenson) for setting the scene on a subject that every one of us takes a great interest in. I am pleased to see the shadow Minister, the hon. Member for Cambridge (Daniel Zeichner), in his place. I am also pleased to see the Minister back in Westminster Hall; we seem to be here quite often—this is two days in a row—but, again, this is something we are both interested in. I was intrigued by the introduction from the hon. Member for Carlisle. He mentioned some of the products. I have to say that, in my house, not just for me but for my grandchildren, custard creams are top of the tree when it comes to biscuits. I usually dunk them in tea, but the children just eat them by the score. The more packets I bring in, the more they eat, so I think we are keeping the custard cream sector going in my constituency.

There has been much emphasis today on the creation of a more resilient food and drink system across the United Kingdom, especially after the consequences of the pandemic. The hospitality in particular sector has suffered incredible financial and personal losses. I know that that is nobody’s fault, by the way. It is not the Government’s fault; it was the pandemic, and the changes that it made, but it has affected the food and drink sector, especially the EU-UK economy.

In addition to the pandemic, other factors have had a negative impact on the food and drink industry, such as Brexit. The Northern Ireland protocol has had an horrendous impact on us in trying to get our products out and back in again. Our biggest trading partner is the UK mainland. The UK Food and Drink Federation says that the UK has lost over £2 billion in sales. We have been proven to be heavily reliant on the EU in the past in relation to food and drink; 28% of our food supplies come from the EU, and the UK’s ratio of food production to supply has dropped by 10% since the 1990s.

Northern Ireland food and drink is worth £5 billion per year. In 2019, just before the pandemic came in at the end of the year, we had an increase in Northern Ireland of 4% on the year before, to £5.77 billion, and some 25,000 jobs. Therefore, when it comes to the Northern Ireland economy, and particularly that of my constituency, the food and drink sector is massively important.

The UK food and drink sector involves 440,000 people, has a turnover of £104 billion and accounts for 20% of total UK manufacturing. I know that the Minister is well aware of the Red Tractor labelling, which was a proactive move by the Government that I was happy to support. I always like to see the Union flag on labels, not just because I am a Unionist but because it is my country and I am proud of it. I am proud of my Union flag and want to see it shown wherever it can be. We must, however, set some goals for the hospitality sector to regain what has been lost in the past year.

In 2019, UK food and drink exports exceeded all expectations, going to 220 countries worldwide. That was truly brilliant in trade. We should be proud of what we have done and, now that we are out of the EU, look to where that extra business is going to happen. In Northern Ireland, Brexit and the pandemic have led to a greater focus in the industry to ensure that, if something similar happened, we would be in a better position to respond. I believe that we can do so.

[Sir Greg Knight]

Does the hon. Member agree that, now that we are out of the EU, we can properly address issues such as deficiencies in food labelling?

[Jim Shannon]

I absolutely agree with the right hon. Gentleman. We are in a better position for that to happen.

A more localised approach to food production would be beneficial to our systems. On how we can do it better together here and in Northern Ireland, Scotland and Wales, Mash Direct, a company in my constituency, does significant work in the Strangford community and beyond, delivering to the UK mainland, the EU and the middle east.

I want to give right hon. and hon. Members a culinary experience of Strangford. We are lucky to have Lakeland Dairies, which produces some of the best milk in the world because the grass is sweeter—the Park Plaza hotel just across the way has its wee milk sachets to go in a coffee, so they have made it here. For the main course, there is the beef, lamb, pork or chicken from my constituency. It is not just that—alongside, you can have Mash Direct’s products, Willowbrook Foods’ products and Rich Sauces. You can have Portavogie prawns and Comber potatoes, which are both protected under the EU, and you can finish the meal with Glastry Farm ice cream. That is another company in my constituency that has done extremely well in food and drink. Then there is Rademon gin and Echlinville whiskey, local beers and all the cheeses you can have to finish up. Right hon. and hon. Members who want a culinary experience should come to Strangford because it has got everything. They could not go to any better place for a restaurant or a menu. All those things are in my constituency.

The importance of the hospitality sector goes beyond turnover. Our exports make a key contribution to overall industry growth. Greater understanding of industry performance often depends on Government reporting. I am confident that the Minister well understands the importance of that for us in Strangford and indeed for the whole of the United Kingdom.

Let us see all regions of the United Kingdom of Great Britain and Northern Ireland work and sell together across the world. I believe that the world is our oyster for selling things now that Brexit has been undertaken. Perhaps it is not entirely the same for us in Northern Ireland as it is for the rest of the UK, but we hope that we will shortly overcome that. We should grasp the opportunities for food and drink sales with both hands.