Greater Birmingham Food & Drink

GRE ATER BIRMINGHAM FOOD AND DRINK MAKING IT HAPPEN

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The Greater Birmingham region is located in the very centre of the UK and anchored by Birmingham.

Home to one of the largest Food and Drink sectors in the UK and supported by an extensive supply chain, the region is home to many world class brands including Mondelez International, Coors and Bulmers alongside large numbers of smaller regional and local producers. Several cutting edge companies within the region are also leading innovation in new food technologies.

Business Birmingham, Invest Black Country and Solihull for Success are inward investment agencies working together to attract foreign direct investment and promote development in the area as part of the European Regional Development Fund (ERDF) City Region Project, on behalf of the Greater Birmingham and Solihull Local Enterprise Partnership (LEP) and the Black Country LEP. The region is going through an unprecedented period of transformation, and has been bucking national growth and development trends. Gross Added Value (GVA) growth in Birmingham outstripped that of any other equivalent city region in the UK. With record levels of infrastructure investment, increasing international recognition and countless opportunities for companies to thrive in the region, there has never been a better time to invest in Greater Birmingham.

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In Greater Birmingham, Food and Drink is the third largest manufacturing industry in terms of employment, and job growth has been particularly strong. More than 2,000 net new jobs have been created since 2009, representing growth of 32%. At the centre of the national motorway and rail networks, the region offers an unparalleled logistical position. A gateway to the European market, it offers particular opportunities as a European Headquarters (HQ) location for international organisations and companies in the supply chain which all benefit from the fact that 90% of the UK’s market is within four hours of the region.

THE FOOD & DRINK INDUSTRY INVESTS OVER

£1 BILLION A YEAR IN RESEARCH AND DEVELOPMENT

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NO 1

LOCATION IN THE COUNTRY FOR FOOD AND DRINK WHOLESALE

ACCESS TO A WORKFORCE OF

84,800

PEOPLE 9% INCREASE 2010 - 2013

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KEY

STRENGTHS

FOOD AND DRINK IN THE UK ■■

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At £76 billion, Food and Drink is the single largest manufacturing industry in the UK. Leading country for Food and Drink Manufacturing in Western Europe (percent of value added in manufacturing). £1 billion spent on UK Food and Drink research and development in 2014 according to the Food and Drink Federation.

An ideal strategic gateway to Europe and the number one choice for European headquarters, consistently attracting more headquarter operations than any other location.

FOOD AND DRINK IN GREATER BIRMINGHAM

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At the centre of the UK’s motorway and rail network, the region offers an unparalleled logistical position.

Supply chain companies can reach 12 major supermarket distribution companies within a 1 hour drive and virtually all distribution centres within 4 hours from a Greater Birmingham base making the region an optimum location to supply the UK supermarket distribution centres.

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The region provides access to 90% of the UK consumer market.

Home to one of the largest Food and Drink sectors in the UK and supported by an extensive supply chain of small and medium-sized enterprises (SMEs) and microbusinesses.

Greater Birmingham is at the heart of UK engineering and manufacturing, enabling direct access to talent, resources and research for Food and Drink production.

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TALENT ■■

The city of Birmingham is one of the biggest food and drink employers in the country.

Internationally recognised, food technology and manufacturing expertise within the region's universities which is the Food Innovation Facility at University College Birmingham is available for product and recipe development.

Home to Mondelez International's £17 million Global Centre of Excellence for Chocolate Research and Development which opened in 2012.

SPECIALISMS

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In the last 3 years (2012 – 2014) employment has expanded by 24% in the Greater Birmingham area and 15% in the West Midlands as a whole.

RESEARCH AND DEVELOPMENT

STRATEGIC LOCATION ■■

The region's universities produce multi-specialist graduates in this industry, and world-renowned food technology and manufacturing expertise is developed at the region's universities and through existing research and development activity.

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The breadth and depth of industry in Greater Birmingham has enabled many specialist Food and Drink companies to prosper, most notably a growing agglomeration around national suppliers of ethnic foods.

The region supports many specialist industries such as brewing, with many national and international producers based in the Black Country and the historic 'home of brewing' Burton-on-Trent.

The centre of the brewing industry is Burton-on-Trent where over 1,400 people work, double the number of the next highest location. Wolverhampton is the third-highest employer in the brewing industry (of any location).

A leading region for cider production, Birmingham is the thirdhighest employer in this industry and borders Herefordshire at the centre of the cider industry.

The region supports many niche and specialist Food and Drink industries for example, Wychavon in Worcestershire has more people employed in fruit and vegetable preserving (jam and pickles) than any location in the country.

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A DISTINCTIVE DRINK SECTOR In recent years, the region has experienced landmark investment and development in this sector, including US owned Kraft Foods’ acquisition of Cadbury (now part of Mondelez International) in 2009, the building of a new meat processing facility by Brunei Halal in 2013, the development of East End Foods manufacturing facility in 2011 and the continued expansion of Ishida's Japanese owned European head quarters in Birmingham since the 1990's.

The region's large organisations and companies are supported by a thriving cluster of SMEs and micro businesses. These firms have helped develop a strong environment for local and niche markets with the cluster consistently developing products in new areas of the market - notably the processing of; meat and poultry, Halal products and the production of ethnic and other specialist food products. This concentration of activity has led to a critical mass of skilled workers, particularly in skilled trades (butchers, bakers/flour confectioners and other specialist craft and technical roles) and plant and machinery operatives.

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FOOD AND The region is also home to Birmingham Wholesale Markets, a 21-acre complex which houses the largest combined wholesale markets in Europe serving the wider region together with parts of the East Midlands and Wales.

THERE IS SIGNIFICANT GROWTH POTENTIAL FOR THE FUTURE It is forecast that more than £314 million worth of additional economic benefit will be generated by firms in Birmingham over the next decade and nearly £1 billion worth of additional GVA will be generated across the Greater Birmingham area. Nearly 6,000 net new jobs will be created between now and 2025 in Birmingham and more than 9,000 net new jobs will be created in the Greater Birmingham area.

AN UNPARALLELED STRATEGIC LOCATION Centrally located, this map shows that Greater Birmingham is close to the major distribution hubs of national food and drink retailers.

Leeds

Liverpool

Sheffield

M1

M6

Stoke

Asda

Sainsbury’s

Nottingham

Sainsbury’s M1

Tesco M54

Aldi

Sainsbury’s

Greater Birmingham

M6

M69

Asda

Tesco

Sainsbury’s M5

Waitrose M1

M5

Cardiff

London

Bristol

Key HS2 Route Motorway

M5

Within 1.5 Hour Drive Within 2 Hour Drive Major food and drink distribution hubs

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“Birmingham is a great location for our business, particularly for transport links. With access to all major conurbations, we can deliver to all of our major clients�

Wade Lyn Cleone Foods

KEY COMPANIES

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MONDELEZ INTERNATIONAL Cadbury became part of the Mondelez International family in 2010 and two years later a new global research and development (R&D) centre opened in Bournville, Birmingham as part of a £17 million investment in the UK. The company chose to stay in the region to take advantage of the wealth of talent and skills available; creating a ‘Centre of Excellence’ that includes new innovation laboratories, a test plant facility and a collaboration kitchen to put new ideas to the test.

The Cadbury’s brand was founded by John Cadbury, who opened a grocers shop at 93 Bull Street, Birmingham, the manufacturing business was subsequently born in 1831 when he decided to start producing on a commercial scale and bought a four storey warehouse in nearby Crooked Lane.

His vision was shared by his brother Richard, and they began searching for a very special site for their new factory.

Bournville, in Birmingham, was chosen.

Some of the world's most iconic names in chocolate were and still are produced here, including the Dairy Milk bar.

EAST END FOODS Established in the Greater Birmingham region in 1972, East End Foods Plc has grown into one of the UK’s leading Asian food specialists with an annual turnover in excess of £180 million. With the surge of immigration in the 1950s and 1960s, the Wouhra brothers spotted a gap in the market with the growing demand and lack of availability for ethnic foods. They opened a small store in Wolverhampton stocking raw ingredients

and dried goods. The 1970s saw growing demand which led to a move to Birmingham to supply independent retailers, family-owned stores and a growing number of Indian restaurants. After the closure of the old HP Sauce site in 2007 in Aston, Birmingham, East End Foods purchased it and built a new cash and carry facility.

Today, with the product range containing over 30,000 lines supplied to over 3,500 retailers regionally and many more nationally, East End Foods not only caters for Greater Birmingham’s diverse ethnic population, but is now one of the largest importers of ethnic foods in the UK. It currently operates out of 600,000 sq ft of space across 4 depots in Birmingham and the Black Country and is one of the only companies in the UK to process, blend and grind their products in the UK.

ALLIED BAKERIES Allied Bakeries is the UK's second largest bakery supplier and owner of leading bread brand Kingsmill. In 2014, the company invested £25 million into its Greater Birmingham bakery in West Bromwich.

The investment has supported extensive refurbishment of the bread plant to create an innovative, modern and even more efficient bakery and marks one of the final projects of the organisation’s £210 million nationwide capital expenditure programme. The plant is benefitting from a new building, as well as the latest ingredient handling technology and electrical and mechanical improvements, delivering increased productivity and greater energy efficiency.

freshest bread possible, sustaining our position as supplier of choice. I am also proud to be part of a site that plays a key part in the Midlands community."

John Jackson Midlands Regional General Manager Allied Bakeries

SMALL BUSINESS FOCUS CLEONE FOODS Cleone Foods produces and distributes Jamaican patties under its registered trademark Island Delight brand. In existence since 1989, the company employs 50 people and has a turnover just short of £3 million.

The key driver of growth has been winning contracts with supermarkets – Cleone Foods supplies the UK’s major supermarkets such as Tesco, Sainsbury’s, ASDA, Morrisons, Co-operative, and supplies approximately 70% of all the patties made in the UK. Cleone Foods is looking to further expand the business over the next 3 years, generating £1 million of additional turnover. Aligned to this growth the company is to recruit an additional 15 people to their team of workers.

Access to labour is also a major benefit for Cleone Foods with four major universities, and several local and specialist colleges such as the University College Birmingham providing specialist courses in Food and Drink studies locally and the National Skills Academy providing excellent candidates across all disciplines.

“West Bromwich is part of our continuing drive to future-proof our business infrastructure and provide customers and consumers with the

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GHANIM INTERNATIONAL (BRUNEI HALAL)

MIDLAND FOOD GROUP

Brunei owned Ghanim International UK operates sales distribution and processing under its Brunei Halal brand.

Established in 2012, Brunei Halal is a high-value operation providing product development and testing, market research, procedures and logistics, all in line with the requirements of major multiples and major buyers. The company has ambitions to become the market leader within the fragmented halal market.

Midland Food group employs 250 staff and has sales in excess of £50 million. Supplying over 3,500 different products to over 2,500 individual customers from two sites; Willenhall in the West Midlands and Basingstoke in the south.

The British Retail Consortium (BRC) accredited pie factory produces 16,000 pies every day, making the Midland Food Group one of the largest specialist pie producers in the UK.

2 SISTERS FOOD GROUP Established in 1993, the 2 Sisters Food Group has grown to be one of the leading food manufacturing companies in Europe producing a third of all poultry products eaten every day in the UK. It has 49 manufacturing sites in the UK and Ireland, Holland and Poland. The group employs around 24,000 people and annual sales are now over £3 billion following the acquisitions of Northern Foods and Brookes Avana in 2011 and the Vion Poultry and Red Meat Businesses in 2013.

SEAFRESH GROUP Established in 2011, the organisation operates two companies within the region; Sea Farms Limited and Blue Earth Foods Limited, and employs 350 full-time staff.

Blue Earth Foods Limited is a chilled seafood supplier to large retailers such as Marks and Spencer’s, Tesco and Sainsbury’s whereas Sea Farms Limited supplies frozen products to the retail trade and to other regional businesses such as 2 Sisters Group.

Since the organisation was established, sales have grown at a rate of 25% to 30% a year. Within 3 years, production has soared from 35 packs in the first week of production, to half a million packs a week in 2014. Seafresh Group is currently transforming an existing building into another production site and has planning permission for further expansion.

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KTC EDIBLES KTC Edibles is the UK's largest private manufacturer and distributor of oils and fats for the cooking industry supplying over 250 million litres a year of high-quality cooking oils and fats to the food industry. KTC imports, packs and distributes a wide array of ethnic and mainstream food products to manufacturers, retailers and wholesalers throughout the United Kingdom and the rest of the world.

MOLSON COORS EUROPE Molson Coors Europe is the UK’s second largest brewer.

The business has over 7,300 employees and brewing operations in England, the Czech Republic, Hungary, Bulgaria, Romania, Croatia, Serbia and Montenegro. Molson Coors UK announced in 2014 that it is to invest a further £28 million in its Burton Brewery taking its total to £75 million and making it one of the biggest single capital investments in British brewing for decades.

The companies listed here are just a snapshot of the Food and Drink companies in the region.

For more information, please go to businessbirmingham.com/foodanddrink

,965 6 COMPANIES

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AT THE CENTRE OF THE UK’S RAIL AND MOTORWAY NETWORK

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FOOD HUB The Food Hub situated in the north of Birmingham, provides over 36 hectares of prime industrial land with excellent access to the UK’s motorway network.

The site is situated near the M6 motorway which runs from Birmingham to the north-west England and on the city’s local rail and bus routes.

OPPORTUNITY The Food Hub provides the opportunity to combine manufacturing, associated R&D, and distribution in a nationally attractive location for companies looking to locate at the heart of the UK’s Food and Drink sector.

The site is prepared for development, and already has the infrastructure in place to ensure good access.

Owned by IM Properties, the site has planning permission for light industry, general industry and storage and distribution uses. It offers the flexibility of accommodating a range of different sized units up to 70,000 sqm that could be used for production, processing, packaging and distribution. In total, the Food Hub could accommodate more than 140,000 sqm of new floorspace.

to Manchester & Scotland

M6 TOLL M6 M54 i54

M6 TOLL WALSALL

WOLVERHAMPTON

M6 M42

to Leeds

SANDWELL

M1

The Food Hub

to London

M6

DUDLEY

New Street

DELIVERY

M5

The City Council is working in partnership with IM Properties to develop an exciting opportunity for investors and strengthen the infrastructure for an important and growing sector.

Plans are well advanced to relocate the Birmingham Wholesale Markets to the Food Hub, which is due for completion in 2016.

M6

BIRMINGHAM

BHX

Birmingham Airport

UK Central SOLIHULL

M5 M42 M40 to Wales & Bristol

to London & South East

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SUPPORTING YOUR BUSINESS NEEDS

24%

INCREASE IN REGIONAL FOOD AND DRINK EMPLOYMENT 2012-2014

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Business Birmingham is the city's award winning inward investment programme, the link to establishing or growing a company’s presence in the region. It is the access point to Birmingham’s business networks and to the numerous benefits from the city’s strong enterprise culture. It strives to work with investing companies as a strategic partner to create relevant business solutions.

In addition, Business Birmingham has joined forces with private-sector partners across the business community to produce a business set-up package that offers an array of incentives and services designed to help businesses establish a presence in the region.

Our Business Catalyst Programme is designed to help inward investors with elements of support around property, recruitment, legal advice and profile-raising opportunities.

Invest Black Country is the inward investment organisation for the Dudley, Sandwell, Walsall and Wolverhampton areas, providing strategic leadership and identifying global opportunities to promote investment in and export from the Black Country. Invest Black Country works with businesses that are looking to expand or relocate and demonstrates why being in the Black Country makes business sense.

Through Invest Black Country, businesses can access a bespoke range of services from market intelligence, property support and supply chain development to access to finance and innovation opportunities that will help them as they land, grow and thrive in the Black Country.

Supported by a highly-qualified skills base and strong track record in high-value business activities, Solihull continues to draw interest from global corporations and small entrepreneurial businesses alike.

UK Central (UKC) is a unique concentration of strategic economic assets and infrastructure at the heart of the UK’s transport network.

Comprising of Birmingham Airport, the National Exhibition Centre and the planned HS2 interchange, UKC is already a key driver of the regional economy, attracting investment and creating jobs. The central location, connectivity opportunities and skilled workforce attract the investment that is already delivering economic growth rates over 150% higher than the national average.

INVEST BLACK COUNTRY

BUSINESS BIRMINGHAM invest@marketingbirmingham.com businessbirmingham.com/catalyst

w.langford@investblackcountry.com investblackcountry.com @invest_bc

SOLIHULL FOR SUCCESS Solihull Metropolitan Council business@solihull.gov.uk solihullforsuccess.com @solforsuccess

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HIGHLY SKILLED FOOD INDUSTRY LEADERS OF TOMORROW

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RESEARCH THE UNIVERSITY OF BIRMINGHAM The University of Birmingham is laying the foundations for brand new food programmes as part of the Food Advanced Training Partnership (Food ATP), a major scheme to ensure the agri-food industry has the key skills needed to meet the challenges posed by national and global food security. The partnership joins leading UK institutions in food and agricultural research with the food industry.

Birmingham’s Food team in the School of Chemical Engineering is developing the Food ATP programmes in conjunction with the University of Reading, funded by the Biotechnology and Biological Sciences Research Council (BBSRC), to develop skilled food industry leaders of tomorrow.

The University and its partners have developed formal postgraduate qualifications, and offer continuing professional development through taught modules, tailored programmes and active research. Academic qualifications will be jointly awarded by the Universities of Birmingham and Reading.

CAPABILITIES The Food ATP will allow industry professionals to integrate learning from across the food chain from primary production to consumers, by bringing together expertise in a unique training partnership. More than 20 industry partners from across the food industry including Mondelez International, Waitrose, British Sugar and Sainsbury’s are steering and shaping the training to ensure industry needs are met.

The group at the University of Birmingham is the largest of its type in any UK academic engineering department.

University College Birmingham (UCB) (formerly the Birmingham College of Food, Tourism & Creative Studies) is a recognised centre for food education excellence with a number of full time undergraduate courses: ■■

FOOD, HEALTH AND NUTRITION The design of food processes and microstructures is a major research activity at the University of Birmingham's Centre for Formulation Engineering. The themed areas focus on food, health and nutrition, product structure and function and food safety and hygiene. Research provided underpins support to the food industry and puts forward the new areas that are demanded by consumers and policy makers.

Bakery and Confectionery Technology FdSc

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Culinary Arts Management BA (Hons)

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Food and Consumer Management BSc (Hons) Food and Consumer Management BSc (Hons) Top-Up Food and Consumer Management FdSc

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THE FOOD AND DRINK SECTOR IN GRE ATER BIRMINGHAM

24% growth in Food and Drink employment over last 3 years

Heart of UK’s distribution network

6,965 food and drink companies in the region

12 major distribution centres within 1 hour

84,800 people employed in the food and drink sector

Second largest manufacturing industry in terms of employment

Access to 95% of the UK's arable farmland within 4 hours

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Access to 90% of the UK's consumer market within 4 hours

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Want to know how we can make Food and Drink happen?

Get in touch with our Invest Team quoting ‘Making it happen’ T: +44 (0)121 202 5022 E: invest@marketingbirmingham.com W: businessbirmingham.com Join in the conversation #Makingithappen business_bham BusinessBirmingham BusinessBirmingham To download a digital version of this brochure, please go to businessbirmingham.com/foodanddrink