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Kent food and drink sector faces 'crisis' caused by Brexit, Covid, energy prices, staff and cost-of-living squeeze, warns Produced in Kent
05:00, 26 January 2023
updated: 15:53, 26 January 2023
Covid, Brexit and the soaring cost-of-living have pushed the county's local food and drink sector into a "crisis", a leading organisation says.
But by slightly adjusting our weekly shopping habits, we could all play a vital role in reversing its fortunes.
That's the key message from Produced in Kent, a membership association which champions local suppliers.
Explains Floortje Hoette, its chief executive: "The sector is facing a very challenging period and it needs all the support it can get from us.
"In 2020 it was Covid, supply chain disruption and staff shortages which led many to build up debts.
"Then in 2021 we had Brexit which led to a huge increase in paperwork both for importers and exporters and the cost of additional administration. There were transport issues, hold-ups at the border and additional staff pressures, most notably in the agricultural sector with seasonal labour.
"Last year we saw the continuation of energy price rises in gas, electricity and petrol. The war in Ukraine hiked them even further.
"All those problems led to an increase in production costs. Some are now calling that rise a 'cost of producing' crisis.
"And, of course, over the past year, many firms are starting to have to now having to pay off their Covid loans.
"It shows how the pressures bear on the production of food and drink. There's that on one side and then very weak demand due to the cost-of-living crisis."
Covid forced many firms to pivot and seek ways around the closure of the hospitality industry which many relied upon. They found success and a renewed gratitude from local people desperate for supplies.
But with the return to normality, so have our shopping habits.
Adds Ms Hoette: "I don't think anyone could have imagined this set of factors. But it's remarkable and I have deep respect for how the food and drink sector has continued to go - they had to step up.
"I want to celebrate that. I'm so incredibly proud of how strong that sector has proven to be."
The cost-of-living crisis has put a squeeze on family budgets like never before. The knock-on impact of goods and services has driven food costs up 16.8% during 2022, according to the Office for National Statistics. It's the sharpest rise since 1977.
And while, anecdotally at least, there's still a growing demand for local produce, the issue of price has never been more significant.
Buying local is all well and good, but the perception is it comes with a higher price tag.
Adds the Produced in Kent chief: "As consumers, there are, of course, people who struggle to put a meal on the table and that's a huge problem which needs to be addressed. There's a wider group who have to think very carefully on what to spend. But in that wider group there is still space for them to buy local and try to support the sector where they can.
"As consumers, we have to look at ourselves and ask if we do want high quality, fresh product with good welfare standards? If we do want to support sustainable business and care about the environment then we need to try and support local growers and producers where we can.
"We need to build in buying local where we can. I'm not saying it should be 100%, but let's say we start at 10%. That's not going to break the bank.
"And that offers a lot of support to the local sector, which is providing jobs, putting money straight back into the local economy, it looks after the countryside and local food and drink producers are very committed to being sustainable.
"Is it just about price or do we also care about businesses trying to do the right thing?
I think there is a perception that all local food is expensive - but that's not the case
"I think there is a perception that all local food is expensive - but that's not the case. There are plenty of ways you can buy local and not spend an awful lot of money.
"You can buy seasonal product, that's not expensive, and look at how you buy. Are you getting a big weekly shop from one of the supermarkets but then end up throwing part of that shop in the bin because it's going off, or do you buy just what you need when you need it?
"How do you handle the food, how do you look after leftovers. Do you cook from scratch?
"There are lots of ways where you can deal with food where you can save costs."
Produced in Kent says it is that educating of the consumer it is keen to address - both on its own and as part of broader ventures.
One of which is Food for England which represents regional food and drink producers. In November, it wrote to the Prime Minister and all MPs calling on more support for the sector.
Produced in Kent is also in talks about forming a countywide powerhouse to strengthen its arms when it comes to lobbying for support for the sector.
Meanwhile, it continues its consumer-facing campaign Don't Lose It - Use It! which warns that if we don't shop locally, many firms could go out of business as they face the tsunami of challenges.
Concludes Floortje Hoette: "It's a combination of stick and carrot. You need to show the good coming out of the sector and all the positives but also put it in front of people that where there are problems, they need to be addressed."
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