The Food and Drink Federation Scotland (FDF) has outlined a seven-point plan, which it claims, will support Scotland’s food and drink industry by helping it avoid further increases to the cost of food during the current economic pressures.
Writing to First Minister Nicola Sturgeon, FDF Scotland’s chief executive officer David Thomson said that inflation surrounding food and drink continues to rise, and that containing price-rises is becoming “impossible” for companies.
Thomson explained: “Food and drink inflation continues to soar – stretching hard pressed shoppers and putting strain on Scotland’s food and drink producers.
“The cost pressures facing the food and drink industry now mean containing the price rises is near-on impossible despite the best efforts from our companies.”
Pause action on HFSS
The FDF proposes to pause plans to restrict the promotion and marketing of food high in fat, salt or sugar (HFSS foods). Reported by the FDF, the Scottish government’s proposals will increase the cost of everyday food and drink, putting even more pressure on struggling Scottish families, and that smaller Scottish businesses will suffer as they use price promotions to attract shoppers to switch brands.
In the plan, the FDF also suggested stopping plans that will mean illegal littering increases the cost of food for everyone. As reported by the FDF, current UK proposals for Extended Producer Responsibility are going to add an extra £60 to the annual household shopping bill and this could be even higher in Scotland if the Scottish government decides that food and drink producers should be hit with a bill for the illegal behaviour of those who drop litter.
Invest in chemical recycling and carbon dioxide production
The FDF is also asking for investment in chemical recycling.According to the FDF, chemical recycling offers the potential to recycle a much broader range of plastic packaging materials than traditional recycling.
It said: “This will help to produce high quality materials to recycle and will be important as local authority kerbside collections begin to collect flexible plastics and film.”
The plan also states that the FDF wants investment in carbon dioxide production. The Federation explained: “There is ongoing concern within the food and drink sector on the supply and availability of carbon dioxide. This is used to carbonate drinks, to extend product shelf life, and to keep food fresh in transport.”
It said that investing in carbon dioxide production in Scotland will help the industry become more resilient and prevent future shortages.
Provide energy support and additional funding
As part of the plan, the FDF spoke of providing short-term energy support for food and drink. As fixed term contracts expire, energy bills are increasing in some cases by 400% to 500%. The FDF report states that some businesses need support to help them remain viable in the short term.
In the action plan, the FDF proposes providing longer-term funding to support food and drink productivity. The FDF said that providing longer-term funding to these projects will support the industry to become “more productive and resilient, enabling future growth.”
David Thomson said to allow future growth of Scotland’s food and drink business, the government must give support. He said: “The Scottish government must use its powers to take urgent action to help keep the cost of food down and to support Scotland’s vital food and drink businesses to get through these challenging times and ensure future growth.”
