FOOD INDUSTRY HAS LEADING ROLE IN ECONOMIC RECOVERY

14th May 2009

The local food sector has a central role to play in the recovery of the Northern Ireland economy, according to Ulster Bank. The bank, which is the principal sponsor of the Balmoral Show, says that innovative, export-oriented food businesses can lead Northern Ireland's emergence from recession to future growth and success.

Henry Elvin, Ulster Bank's head of business banking, says that some of Northern Ireland's most innovative companies are in the food industry and that the Balmoral Show illustrates the sector's endeavour and creativity.

Mr Elvin was speaking at a special Ulster Bank-organised lunch today (Wednesday May 13) at the show, during which guests also heard from Minister for Enterprise, Trade and Investment, Arlene Foster, and Robert Watson, the chief executive of the Hilton Food Group.

Mr Elvin points out: "We at Ulster Bank have many of Northern Ireland's leading food businesses as clients and are committed to continuing to work closely with the sector to help it achieve as highly as it possibly can. Many farming and food companies are already benefiting from important support through our 250m business fund, support which is helping them to continue competing and succeeding."

"We see at first hand the innovation within Northern Ireland's food industry and strongly believe that it has the potential to become an even larger contributor to the local economy and an even bigger exporter. This can be achieved through innovation, increased competitiveness and strong customer-focus," he continues.

Mr Elvin points to Hilton Food Group, which has its roots in Northern Ireland, as an example of an innovative food company achieving highly internationally.

He says: "The Hilton Food Group increased sales and volumes in all markets last year and has outperformed other businesses of its scale on the London Stock Exchange by more than 100 per cent since being listed in May 2007. The company now employs 1,500 people and has a turnover of 730m. Its reputation is second to none and it leads the way in terms of its sourcing; its modern and efficient processing facilities; and its customer service."

"The company strives to reduce its processing costs with its customers every year and to have a more efficient supply chain than any of its competitors. It also continually updates and introduces new processes and technologies and continually evolves its products to meet and exceed customer needs," he points out.

Enterprise Minister Arlene Foster believes that food and drink processing has become a key dynamo in driving manufacturing in Northern Ireland.

Arlene Foster says: "Despite the huge financial challenges in today's global markets, the food industry is not only achieving for the Northern Ireland economy but is increasingly the key dynamo driving our manufacturing sector.

"While output in the local food, drink and tobacco sector here increased by 8.9% in 2008, Great Britain experienced a decrease of 3.3%. It also performed better than the broader manufacturing sector, which saw a fall in output of 6.3% over the same period.

"In addition, the number of people employed in the food, drink and tobacco sector has continued to grow, with around 19,220 jobs in the sector at December 2008, an increase of 2.9% over the year."

The Minister also took the opportunity to encourage more food and drink companies to take advantage of the support provided by Invest NI in their bid to grow and develop at home and in markets outside of Northern Ireland.

She said: "In the coming year, Invest NI will run more than 40 food buyer events, missions and exhibitions, broker at least 500 buyer/company meetings and invest substantially in R&D, innovation as well as capital and revenue projects. Now is the time for our food and drink industry to seize these opportunities and seek out growth and development both here at home and in markets around the world."

Ulster Bank is the principal sponsor of the Balmoral Show May 13-15. It has 92 branches in Northern Ireland in addition to 261 ATMs and 12 business centres.

Image:
Pictured at an Ulster Bank-organised lunch, at the Balmoral Show, are Robert Watson, OBE, Chief Executive Officer, Hilton Food Group plc; Enterprise Minister Arlene Foster and Henry Elvin, Ulster Bank's head of business banking.