Creed to lead trade mission as EU and Japan slash tariffs

IRISH agri-businesses are hoping to tap into the growing demand for premium food products in Asia following an agreement between the EU and Japan to slash tariffs on much of their bilateral trade.

With a renewed focus on new markets following Brexit, both Japan and South Korea have been singled out as potential growth areas for Irish produce.

Agriculture Minister Michael Creed said it was a good time to bring food companies to the region following the Free Trade Agreements.

“I want to develop Ireland’s profile as a producer of safe, high-quality food. To do this effectively, you need to be in the marketplace, developing positive relationships with Japanese and South Korean buyers,” said Mr Creed, adding both were significant net importers of food products.

Mr Creed is leading a trade mission to both countries this week, with a delegation of around 40 mainly meat and dairy companies taking part.

Some of the companies travelling include ABP, Liffey Meats, and those hoping to expand their dairy foothold include Carbery Group, Dairygold, Ornua and Kerry Group. Others hoping to target the premium market include Butlers Chocolates and Jameson.

It follows a 50pc surge in Irish food exports to Japan and Korea over the past five years. Last year, food exports to the countries soared to €100m, with demand mainly for seafood, pigmeat, dairy and beef. Reduced tariffs following the Japan EU Economic Partnership Agreement and the EU Korea Free Trade Agreement is expected to improve export opportunities for these markets, according to Bord Bia.

Bord Bia CEO Tara McCarthy said both countries are major importers of agri-food worth over €60bn annually. “It is vital to develop relationships and establish contacts at government and business levels and educate them on Ireland’s offering,” said Ms McCarthy.

Over the next three years Bord Bia plans to target additional resources to support Irish exports to grow their slice of the market.

Bord Bia has pointed out the strong value of the Japanese beef market for prime cuts and high-value offals such as tongue. The Japanese market is just 40pc self-sufficient in beef.

EU farm body Copa-Cogeca has highlighted that exporters of meat and dairy as well as wines and specialty foods, which are currently all highly protected in Japan, will see the biggest windfall.

Irish food and drink exports to Japan stood at €56m in 2016, which is a 96pc rise since 2010. Trade missions have already taken place in the past year to China, Singapore, North Africa, the Gulf States, the US, Mexico and Vietnam.