The figures were revealed at a Scotland Food & Drink reception in the Scottish Parliament on Monday (Nov 18) by Iain Baxter, Chief Executive of Scotland Food & Drink.
Food and drink is Scotland’s third largest industry by value and adds a record £7 billion in gross value add (GVA) to the economy while employing about 123,000 people.
The increase in the industry’s value is driven by domestic and export growth as well as higher market prices due to inflationary pressure on input and energy costs.
Baxter said, “Ordinarily we’d be toasting the success of industry growth, but with the new figures, we’re cautiously optimistic rather than celebratory.
“This has been achieved during some incredibly challenging times including the fallout from Brexit, the war in Ukraine, the Middle East Crisis and the global pandemic.
"It shows how the power of perseverance, ambition, partnership and continued investment in one of Scotland’s most valuable and resilient industries can ensure sustainable growth.
“Recent times also remind us of what is at stake, with global competition intensifying, increasing costs and the challenges of sustainability, availability of labour and workforce development needs continuing to grow, and these figures show that the Scottish food and drink industry has remined resilient in recent years despite these challenges.
“Food price inflation has undoubtedly played a part in the growth of our sector’s value, but Scottish food and drink producers are under significant cost pressures arising from stubbornly high input costs."
Persistently high input costs, labour shortages, infrastructure gaps, international competition, regulatory pressures and the urgent need to transition to Net Zero all demand coordinated action – action that, through our partnership, we are committed to taking.
“I’m proud of the way our businesses have met challenge after challenge and ensured that food and drink remains one of Scotland’s greatest success stories.”
Scotland Food & Drink recently published a new policy report, Levers for Growth and Sustainability, which sets out practical, achievable steps that, with the right investment, can protect the industry and unlock billions more in additional annual sales.