Consumer trust and green brand key to growing exports to Asia - new report
A new report by KPMG has said that for Ireland to continue its growth in exports to Asia, it must ensure consumer trust and grow awareness of its 'green' image.
Exports of Irish food and drink to Asia have more than quadrupled over the last seven years to reach €1.3bn, according to a new report by KPMG.
But its head of Agribusiness, David Meagher said the Irish sector will not succeed if we do not continue to invest in consumer trust.
Ireland, he said, must react to changing consumer trends and having historically directed our efforts towards satisfying the British consumer, we must now develop a deeper understanding of the specific tastes and preferences of Asian consumers so as to better cater to their markets.
Difficulties faced by the agri-food sector, he said, include the depth of key relationships, red tape and regulation, the physical distance from Ireland to China, the deficient insight into preferences of Asian consumer, the lack of scale and low meat profitability at a farm level.
He also said that other difficulties include the agri's sector dependence on direct payments and the dairy commodity product mix, as well as our cost competitiveness and exposure to global commodity pricing and access to finance.
The report also outlines a number of priorities for Ireland’s agri-food export sector to expand its position as a global supplier in satisfying the demand for quality, safe and nutritious food to rapidly growing consumer middle classes in Asia including:
- Consistently delivering world-class biosecurity
- Further developing awareness of ‘green’ brand in Asian countries
- Prioritising sustainable food production
- Signing high quality trade agreements with Asian customers
- Articulating a collective industry vision
- Investing time and resources in understanding Asian consumer trends
More than a quarter of all the meat produced worldwide is eaten in China and consumption rates are continuing to rise.