UK Food, Drink Export Volumes Rise in 2025 Despite US Tariffs

Why It Matters

The rebound shows the sector’s resilience to post‑Brexit friction and US tariffs, but the structural volume gap highlights ongoing trade challenges. Diversifying markets like India and CPTPP members is becoming critical for sustainable growth.

Key Takeaways

• Export volumes up 6% to 8.9 bn kg, 1.3 bn L
• Export value hits £25.6 bn ($33.8 bn), record high
• EU remains dominant, 62.5% of export value
• US tariffs cut shipments; overall US sales rose 3.6%
• Dairy drives growth; milk/cream up 22.5% in value

Pulse Analysis

The 2025 data underscore a cautious optimism for the UK food‑and‑drink sector. After years of post‑Brexit disruption, exporters managed a 6 % volume increase and broke the £25 bn barrier in value, signaling that market confidence is returning. However, the sector’s structural reset—volumes still 31 % below pre‑Brexit levels—means that growth is fragile and heavily dependent on a few key markets. The record‑high export value of £25.6 bn ($33.8 bn) reflects strong demand for premium products like dairy and whisky, even as overall shipment levels lag.

Geographic diversification is now a strategic imperative. While the EU remains the cornerstone, delivering £16 bn ($21.1 bn) in value, growth in non‑EU destinations is accelerating. Exports to India surged 12.4 % to £330.3 m ($435 m) following the UK‑India free‑trade agreement, and CPTPP members contributed a 7.8 % volume rise despite a modest 1.4 % value dip. The United States, hampered by a 10 % levy, saw an 8.6 % decline in the latter half of the year, yet total US sales still grew modestly, highlighting the need for targeted market‑building efforts.

On the import side, the UK recorded a record £66.9 bn ($88.3 bn) in food‑and‑drink purchases, driven largely by non‑EU suppliers whose share rose to 30.9 %. This shift reflects both supply‑chain realignment and the search for competitive pricing outside the EU bloc. With a new sanitary and phytosanitary agreement slated for mid‑2027, the UK aims to smooth trade friction and bolster both export and import stability. Companies that can navigate the evolving regulatory landscape while leveraging emerging trade deals will be best positioned to capture the next wave of growth.