'Challenging year' for food exports

Food and drink exports from Ireland dropped by nearly 8% because of the BSE issue and the foot-and-mouth crisis, the Government reported today.

Board Bia said in its annual review that 2001 had been a ‘‘very challenging’’ year.

But it highlighted optimism for the new year, with increased sales abroad of beef and live cattle anticipated as key international markets reopen to Irish products.

Higher sheep meat prices are also expected following the end of the foot-and-mouth alert.

While beef and cattle exports were hit last year, there were increases in foreign sales of prepared foods, pig meat and horticulture items - including mushrooms where sales went up by 10%.

Bord Bia chairman Philip Lynch said the sector’s €6.6bn earnings, despite the difficulties that were confronted and a 7.7% drop, had been encouraging.

But he warned that companies would have to focus on quality production and competitiveness to make progress during 2002.