Monday 9 July 2012

From Farm to Fork -Ireland's Plan to Brand its Food and Drink Exports

Ireland’s food and drink exports are worth 8.9 billion euros, around 9% of all exported merchandise, and grew 25% in 2011. In an effort to ensure that they remain competitive the country is embarking on a project to sell Ireland’s produce as a premium brand with sustainability as its key selling point, and hard evidence to back up the claim.

Origin Green” is a voluntary scheme  embracing farmers, processors and food and drink manufacturers, run by Bord Bia the government body set up to promote growth in Irish food production. On signing up, participants commit to environmentally friendly actions like using less energy inputs, encouraging more biodiversity and minimising water use.

The idea of branding a country’s food output in order to achieve a premium price is original, ambitious and rather exciting. But will it work? 

Sceptics may say that the project is doomed to failure: that special interests will get in the way of uniting such a disparate band of players, and that it will be a hard sell to the independent minded farming community who must be engaged if the effort is to succeed given that sustainability starts on the farm.

These naysayers are probably adding that the sustainability bandwagon has rolled on and that in the current economic climate few consumers, the ultimate definers of what is worth a premium, are not prepared to shell out for such a nebulous benefit.
They could well be right of course, but here are a few reasons why the Irish approach might fly.

First, the impetus for the strategy comes from the top. The Irish Minister for Agriculture, Simon Coveney wants Ireland’s exports to grow and sees the way to do this as making Irish produce “Recognised globally as a trusted source of high quality, high value foods.”
Second, across the globe greenness and Ireland go hand in hand in the public’s mind. The Emerald Isle has a bigger opportunity than most to claim “greenness” as a point of difference and turn it into a strong reason for people to buy.

Third, the food and drink industry seems enthusiastic about the idea. Several heavy hitters have signed up to pilot the programme including ABP, Dawn Farm Foods, Kerry Group, Marine Harvest and Irish Distillers, and  Irish farmers are already engaged in projects designed to improve their environmental credentials. Since May 2011 Bord Bia has been monitoring the carbon footprint of all its quality mark beef farmers, checking around 500 farms per week. The dairy industry is next in line to take part in a similar programme.
Which leaves sustainability and whether it is a strong branding message. There is no doubt that consumers expect the companies they buy from to act with integrity, and this includes doing the right thing for the environment. Social media means that those who do not are quickly named and shamed. Thus major retailers, restaurant chains and manufacturers are driving the sustainability agenda, because they feel that this is what their customers expect of them. Bord Bia spoke to Marks and Spencer, McDonalds, Sainsbury and Unilever prior to finalising the Origin Green programme, and all confirmed that their suppliers are increasingly being required to adhere to sustainability criteria.



Whether sustainability can command a premium is difficult to say. But where the advantage might show itself is when a buyer looks at two products he is considering stocking, one Irish and one from elsewhere. All other things being equal he might well opt for the Irish version because of its sustainability credentials.
One wonders if countries on the British mainland would be able to develop and implement such a united, focussed approach to developing food and drink exports.


1 comment:

farmland investments said...

I for one think this is an absolutely fantastic idea. I am biased being well concerned with sustainability, but I still think this will leave a strong impression on people. Look at China for example - the population there is increasingly concerned with what they eat and they don't trust the local food suppliers. This is idea is spot if it can actually be implemented.