Annual British confectionery sales overseas are forecast to reach £1 billion by the year 2005. A new report by export marketing consultants Food From Britain (FFB) has revealed that an overall nine per cent growth has been sustained over the last decade.

Even with the strength of sterling causing a minor set-back in growth in 1997/98, The Sweet Report forecast that with the pound finally becoming more competitive (January to November 1998 - five per cent down against the French franc), exporters are expected to regain sustainable margins.

FFB believes that this will, in turn, attract more UK confectioners to target overseas business and put British confectionery back on track for its £1 billion benchmark.

Currently, UK confectionery exports are worth £600 million, which places the sector as one of the most successful exports after whisky. In tonnage terms, The Sweet Report reveals that British confectionery exports have nearly doubled since 1980, and now amounts to 271,000 tonnes per annum.

A Nestl Rowntree's spokesman said: "Since 1990 our confectionery exports have increased by 35 per cent, but have tailed off over the last few years, owing to the strength of the pound. In addition, along with our rivals, we were hit by the BSE situation.

"Nevertheless, given these latest FFB figures, we are still quite pleased with our performance. But an industry as large and diverse as ours can't afford to be complacent."

FFB estimates that the world consumption of sugar and chocolate confectionery is worth more than £60 billion, although most of the trading is confined to the most affluent markets in Europe, North America and South-East Asia.

British confectionery has a 12 per cent share of the £5 billion export business with its most-successful export markets in North America, France, Germany and The Netherlands.

The Sweet Report reveals that as markets get more affluent the trading patterns will expand further into regions such as Eastern Europe and Brazil and China.

Set to take advantage of international opportunities are some 66 British confectioners exhibiting in the British Pavilion at ISM, the premier trade event for the biscuit, cake, chocolate and confectionery industry in Cologne, Germany, between January 31-February 4, 1999.

According to Sweet Facts 1998, Nestl Rowntree's review of the confectionery business just published, sales of confectionery in the UK have hit record levels. Last year total sales increased by four per cent to more than £5.5 billion which means the average

Briton spends £1.78 on confectionery per week and consumers about 280 grams of it. Top selling confectionery brand for the 13th consecutive year was Kit Kat with sales of more than £220 million; Mars Bar lies in second place with sales of £160 million; and Cadbury's Dairy Milk in third.

Converted for the new archive on 30 June 2000. Some images and formatting may have been lost in the conversion.