UK exports hit record value, low volume

The UK food and drink sector achieved a landmark year in 2025, with export values climbing to a record £25.6bn, according to the latest Trade Snapshot from the Food and Drink Federation (FDF). However, the celebratory headline masks a complex reality: while the value of goods has risen, the actual volume of food and drink leaving the UK remains significantly lower than before the country left the European Union.

The annual report paints a picture of a resilient industry navigating a “global spirits hangover” of high costs and geopolitical friction. While export values grew by 4.8% year-on-year, total export volumes are still 27% lower than they were in 2019.

The Brexit Gap and the SPS lifeline

The struggle is most acute in trade with the European Union. EU food export volumes in 2025 remained nearly a third (31%) below 2019 levels. The FDF attributes this to the persistent “added complexity” of trading with the UK’s nearest neighbors.

All eyes are now on the Sanitary and Phytosanitary (SPS) Agreement, scheduled for mid-2027. The FDF is calling on the government to prioritize business preparation for this deal, which aims to slash red tape and certification hurdles. However, the Federation warned that “non-SPS” products—such as chocolate, biscuits, and breakfast cereals—have seen some of the steepest declines and will see limited benefits from the agreement, requiring more bespoke customs support.

Turbulence: US tariffs and Middle East conflict

The report highlights a volatile second half of 2025, dominated by shifting trade winds in the United States.

• • The tariff hit: following a strong start to the year, UK exports to the US plummeted by 8.9% in H2 2025 as a new tariff regime took hold.

  • Global redirection: US trade barriers have forced a global reshuffle; Chinese exports to the US fell by over 21%, leading to an 11.6% surge in Chinese food products entering the UK market as suppliers seek alternative destinations.

Adding to the uncertainty is the ongoing conflict in the Middle East. The FDF warned that manufacturers are already grappling with increased transport and logistics costs, which threaten to undermine the competitiveness of British products on the global stage.

Pockets of global growth

Despite the headwinds, British brands are finding success in “new frontier” markets. Following the UK’s accession to the CPTPP in late 2024, export volumes to the bloc rose by 7.8%. Significant growth was also recorded in:

• Indonesia: +52.0%
• Colombia: +153.7%
• India: +12.4%
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Imports also reached a historic high of £66.9bn, with non-EU countries like Brazil and Canada now accounting for nearly 31% of the UK’s food supply as manufacturers diversify their chains to avoid European bottlenecks.

A call for government investment

Karen Betts, chief executive of the FDF, praised the “high quality and innovation” of British products but warned that real growth remains “challenging” due to rising production costs and “behind the border” barriers.

The FDF is urging the government to back an ambitious plan to grow exports by £10bn over the next decade. Central to this is a request for a £2.6 million investment to replicate the successful SME export support models used in Scotland and Wales at a UK-wide level.

“The EU SPS agreement won’t be easy,” Betts warned. “Ensuring that every UK food and drink business understands the regulatory changes ahead is vital — whether they trade with the EU or not.”