New UK-EU trade agreement signals fresh growth for UK food and drink sector

New rules which will impact food and beverage manufacturers across the UK have been commended by one of the sector’s leading experts.

The recently announced UK-EU trade agreement removes a series of regulatory and compliance hurdles that have hampered exports since Brexit.

The new framework, which aligns food safety and compliance rules between the UK and EU, is already being seen as a positive shift by industry leaders. It is forecast to add £9 billion to the UK economy by 2040, with a notable share coming from revitalised export potential in the food sector.

Ian Hart, business development director at adi Projects, a division of the Birmingham-based multidisciplinary engineering firm adi Group, welcomed the agreement as “a major step in the right direction” for British producers.

“The food industry has been heavily impacted by the complexity of post-Brexit trade rules, particularly smaller producers who were simply priced out of exporting,” said Hart. “This agreement strips out a lot of the bureaucracy and gives those businesses the confidence to look at the EU market again.”

Previously, UK-based food manufacturers were required to bring EU-accredited inspectors into their production sites to certify goods for export, an often impractical and costly requirement, especially for producers focused primarily on the domestic market. The new deal removes the need for this, enabling UK goods that meet domestic standards to be sold into the EU under harmonised conditions.

Hart added: “We’ve worked with clients who halted EU exports entirely, not because of lack of demand, but because the compliance burden was too high. Cheese is a classic example. You’ve got producers of traditional UK cheeses like Stilton, mature cheddar or Wensleydale that were effectively locked out of Europe.

“Because we integrate specialist engineering disciplines in-house and self-deliver turnkey projects, we can package hygienic line modifications and automation changes quickly without multi-contractor friction. This changes that.”

The relaxation of trade rules is also expected to have an impact on major retailers. With the new deal in place, UK-based suppliers may once again be able to stock shelves in continental stores, reinforcing domestic supply chains and opening the door to new investment.

Another area of concern – delays at border checks for perishable goods – also stands to improve. Routine inspections of animal and plant products, which often caused hold-ups and spoilage, will now be streamlined.

“Anything that makes it easier to move fresh food efficiently is a win. We’ve seen examples where delays at customs caused whole shipments to be written off. Harmonising standards means those products can move quicker, with less risk and less waste,” said Hart.

“On site we match that with commissioning and de-bottlenecking expertise, making sure we balance throughput and start-up readiness so perishable goods flow through plants efficiently.”

While the agreement also opens the UK to more imports from Europe, Hart sees the balance shifting back towards opportunity: “With compliance alignment removing one of the last major barriers to trade, we can expect UK food manufacturers – particularly those dealing in added-value products – to re-engage with the EU market in the coming months.

“In-house automation and machinery teams like ours help plants switch formats quickly and run smaller batches, which is ideal for premium products.”