In This Issue:
With strong social and cultural ties to the United States, the United Kingdom serves as an excellent export market opportunity for Michigan food and agricultural businesses. According to the US Census Bureau, Michigan food and agricultural exports to the United Kingdom totaled more than USD $11.9 million in 2019. Processed food products were the largest market segment, totaling over $3 million. In recent years, the UK market has seen a significant increase in demand for health and wellness-related food items, and Michigan businesses may find an ability to export to these growing market segments.
Although the United Kingdom represents the third-largest economy in Europe, agriculture production constitutes less than one percent of GDP in terms of gross-added value. This makes the United Kingdom highly receptive to import opportunities for consumer-oriented food and beverages, especially from the United States. The United Kingdom is the 11th largest market for U.S. consumer-oriented products, thanks in large part to the appeal of the same English language and popular affinity for U.S. products. Furthermore, the potential of a free trade agreement post-Brexit also makes the UK an attractive market for U.S. exporters.
Leading market opportunities exist in the organic, health, and free-trade markets. Products with good sales potential include processed products (health foods, snack foods, etc.), dried and processed fruit, fresh fruit and vegetables, and alcoholic beverages (craft beer, wine). Products with food additives or biotech ingredients face significant boundaries, due to tight restrictions from the EU’s European Commission.
If you are interested in this market, the 2020 USDA Trade Mission to the United Kingdom will take place September 14 - 17, 2020. In addition to one-on-one meetings with buyers, the event also provides pre-event custom product research – including market overview, importation analysis and more – as well as an education session on labeling and a market briefing by local USDA Foreign Agriculture Service. This trade mission comes at no cost to participants through Agricultural Trade Promotion Program (ATP) funding. Final registration deadline ends July 14, 2020.
Additional Information:
USDA FAS Exporter Guide to the United Kingdom
Food Export Webinar: Complying with the New EU Labeling Regulations
Sources: Data statistics and export numbers credited to USDA/FAS Exporter Guide to the United Kingdom (UK) and the US Census Bureau
Food Export has recently updated their Export Essentials Online* learning modules with the most up-to-date export information. Some of the updated modules:
- 2020 Incoterms [Module 6]
- Important Free Trade Agreement Updates – e.g., U.S.-Mexico-Canada Agreement (USMCA), U.S. Japan Trade Agreement (USJTA) [Module 4]
- HS Code Classification and Tariff Treatment [Module 2]
- New Step-by-Step Resource Guide for Preparing for Meetings with Foreign Buyers [Module 11]
- Updated Companion Guides for the Modules
There are 11 interactive modules that provide real-life examples for learning about exporting and resources available to help your company grow your business with overseas sales.
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Web-Based Learning
- Learn the steps to successful exporting from beginning to end
- Easy-to-understand explanations of concepts
- Course overview and process details upfront
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Go at Your Pace
- On demand training gives you flexibility
- Access from anywhere
- Section quizzes check learning
- Select courses matched to your level of expertise
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Companion Guides
- Companion guides provide reference documents
- Follow along with training transcripts
- Links to additional information
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*A Food Export account is required to access the Export Essentials Online
We're introducing a new series, 3 Steps to Maximize Foreign Buyer Meeting Success. For the next three issues we will share tips and tricks to get the most of your foreign buyer meetings. We are breaking it down into three basic sections: preparation, the meeting, and follow-up.
3 Steps to Maximize Foreign Buyer Meeting Success: The Meeting
Trade shows, buyers missions, and trade missions are important elements to securing export success. In the next few editions of the New Market Developer, we’ll share valuable tips and information about the process of engaging with foreign buyers. This edition will provide tips on the first step to success: meeting preparation. Approaching potential buyers being prepared and knowledgeable about what your brand can offer is key to delivering a perfect pitch.
Introduce yourself: Introduce yourself with your name and a smile. Proper introduction meeting etiquette around the world varies, it is beneficial if you take time to learn local etiquette. If you are travelling to a country for in-person meetings, review customs for that market, it is a sign of cultural respect many individuals appreciate.
Know your markets: When meeting buyers at an event, you will want to have a basic knowledge of markets you're interested in and some of the specifics that come with each market. For example, in Canada, most food export business is done through a broker, so an interested buyer from Canada may ask if you have a broker in Canada already. Food Export has a variety of webinars on specific markets designed to increase you export knowledge. Click here to view Food Export's list of recorded webinars.
Show you’re prepared: By bringing samples of your product and pricing sheets you prepared ahead of the meeting, you will show that you’ve done your homework for the event.
Wrapping up: Exchange business cards with the buyer, and write any notes on a separate sheet, not the business card! In many cultures it is considered rude to write on a business card, so preparing a “trade lead” form for taking notes can be helpful.
Trueline Foods, located in Kentwood, Michigan, increased their export sales by nearly ten times as a direct result of their participation in Food Export’s Export Advisor Program. The Food Export Advisor program is a year-long service which provides custom assistance from an experienced advisor to help small-to-medium sized food companies kick start or improve their exporting efforts.
Nancy Tuohy, owner of Trueline Foods, worked directly with a Food Export advisor in 2019 to create a consistent, systematic plan to help grow the company’s international sales. The advisor, along with guidance from MDARD’s International Marketing Program, helped Tuohy identify a number of trade events to effectively promote their products and connect with international buyers, including Food Export’s Midwest Buyers Mission and Trade Mission to China. “With the connections we have built over the past trade events, we were able to connect with JD International to establish our marketing channel on JD.com to market our products to
[Chinese] businesses and consumers,” said Tuohy.
Click here to read more
Webinar: Top Dog: Pet Food Exports Continue to Grow
May 13, 2020 | Online: Hosted by Food Export
*Food Export Account Required
Expo ANTAD
Oct 14-16, 2020 | Guadalajara, Mexico
SIAL Paris
Oct 18-22, 2020 | Paris, France
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