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Business

Port reports over £40m in revenue for the first time in its history

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IN the Port of Milford Haven’s 65th year, revenues exceeded £40m for the first time; closing the year at £41.3m. Despite a slight fall in shipping numbers (to 1,909) and cargo (to 34.7m tonnes), the marine division remained busy, safely shepherding 58.7m gross tons of shipping in some of the world’s most challenging sea conditions. Healthy trading for the Port’s cargo handling, property, and hospitality and tourism divisions also highlighted the success of its long-term growth and diversification strategies, helping boost this year’s strong financial performance which saw profits rise to £4.1m.
The Port of Milford Haven’s solid financial position comes at a key time as it looks to the future. The Port’s strategic growth and investment plans focus on expanding its world-class pilotage capability, developing infrastructure to become a leading renewable energy hub, and developing its hospitality offering, creating opportunities for today’s communities and for future generations.
The Port’s investment in a new (first-in-class) pilot boat during the year is a key step in supporting its pilotage growth ambition. It emphasises the Port’s focus on ensuring continued delivery of a world-class service for Waterway customers, and for supporting new shipping traffic associated with the hydrocarbon and renewables sector as it transitions and grows. The Port’s renewables growth strategy took a significant step forward during the year with the completion of new infrastructure; the enlarged slipway and new laydown areas, office facilities and workboat pontoons were part of the £60m Pembroke Dock Marine* project, with funding through the Swansea Bay City Deal and the European Regional Development Fund. The Port’s third strategic focus, on the hospitality and tourism sector, saw a great return on its investment to build the Ty Hotel Milford Waterfront with a strong performance in 2023, laying the foundations for further diversification and investment in this sector.
Notwithstanding a successful overall year of trading, the fishing and ferry related elements of the business continue to struggle with declining performance as a result of reduced demand.
Chief Executive Tom Sawyer said, “2023 has been a stand-out year for us, with record turnover and increased profitability. In keeping with our trust port status, we’ll be reinvesting our profits back into the business. This will translate into jobs and opportunities for our communities long into the future. We also completed major infrastructure projects, but that’s just the start of our plans. As part of a key energy and shipping hub, we’ll keep investing to ensure we continue to meet industrial demand. And our decision to diversify into hospitality and tourism has gone from strength to strength, enhancing our financial stability but also adding to the types of opportunities our community can enjoy.”

He added “Every day, I see shining examples in our communities of how all this investment could help them realise their full potential. I am excited by the boundless opportunities ahead for us all.”

Business

‘Absolute chaos’ in food security presents high risk to consumers

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THE NEXT government must prioritise food safety, says expert who investigated horse meat scandal

The UK is desperately in need of a food security policy to protect consumers and safeguard legitimate businesses, says a leading food expert.

According to Chris Elliott, Professor of Food Safety and Microbiology at Queen’s University Belfast and founder of the Institute for Global Food Security, a series of threats to food security are converging to create “absolute chaos”.

Professor Elliott – who authored the government-commissioned report into the 2013 horse meat scandal – told the Chartered Trading Standards Institute (CTSI) Conference on 19 June that there is an urgent need for the UK’s next government to appoint a dedicated Food Minister and to implement a robust food security policy.

He also slammed “scandalous” cuts to Trading Standards resources as a major threat to food safety.

Regulatory divergence in the wake of Brexit, disruption to global supply chains caused by the war in Ukraine, the climate crisis and the rise of online food retail have created a challenging environment for businesses and an increasingly risky state of play for consumers.

Among Elliott’s concerns are the withdrawal of legitimate importers from the UK market – as a result of the increased costs and paperwork brought about Brexit – which is creating new opportunities for unscrupulous businesses and rogue traders to bring non-compliant and potentially unsafe foods into the country.

Elliott cited the disjointed approach to food regulation and monitoring as a key risk to consumers and legitimate businesses. He added that the government’s decision to scrap the LACoRS (Local Authorities Coordinators of Regulatory Services) system in 2010, combined with sweeping cuts to Trading Standards services, has dramatically undermined the UK’s ability to ensure that food entering the country, being sold in shops and online, and reaching consumers’ tables, is accurately described and safe to eat.

Professor Chris Elliott said: “I think the cutbacks in the Trading Standards workforce are the first problem; those people are really at the coalface and understand the problems that are going on. That, and the disjointed nature of food monitoring surveillance governance in the UK, is scandalous to be honest. 

“For the last 14 years, the Conservative government has basically said, it’s a free market, don’t worry about it, because the food industry will take care of everything. Don’t worry if we import more, because imports are cheaper. So there has been no policy whatsoever. The UK currently imports nearly 50% of all the food that we eat, so everything that happens in other parts of the world will impact us. 

“I know a company based in Spain who have taken the decision not to import anything into the UK anymore because it’s not a big enough market for them to deal with the amount of paperwork. If the good guys stop wanting to import stuff, the bad guys will step in, because the UK will be a much easier touch than Europe. 

“People are realising it’s now much easier to get food that is not of the same quality and standards into the UK, because we don’t have the same checks and measures, or the same network of exchange of information. There are lots of reports about dodgy meat turning up in Felixstowe, for example – and that’s just one of the consequences of becoming very isolated.

“There are also massive challenges out there because of our changing climate. That’s really driving some bad behaviours, even with good businesses. The overuse of pesticides and illegal pesticides, for example, is on the rise because producers are trying to deal with climate crisis situations and crop failures. 

“Ten years on from the horse meat scandal, the large mainstream food manufacturers and retailers are much better in terms of the monitoring processes and defence mechanisms they have in place. But in our food system, there are the large players, and then there are the small players, and then there’s online – which is the Wild West. We have found a huge amount of food fraud online. They can basically sell whatever they want. That’s what we’re up against.”

Jessica Merryfield, Head of Policy and Campaigns at CTSI, said: “Having safe food and a secure food supply chain is something we risk taking for granted but is fundamental to our health; we need safe food to survive as humans. The food supply chain and landscape has changed significantly, and will continue to do so, and those regulating the food chain need the resources to do so. This means having the legislative backing to allow officers to effectively deal with the challenges arising, but the rules are only as good as they are enforced; the decimation of qualified, skilled officers in this area needs to be reversed to allow this to happen.

“Without sufficient levels of officers working to ensure our food is produced and supplied to the highest levels of safety, effectively we are allowing decriminalisation by the back door. At CTSI, we are calling for the building back of Trading Standards services over the next four years, through funding of extra posts and apprenticeships. CTSI are also proud to announce that we are producing standalone module qualifications in feed and animal health, with a food one coming soon, to give local authorities and other stakeholders the opportunity to get staff trained quicker in these areas.”

Louise Hosking, Executive Director at the Chartered Institute for Environmental Health (CIEH), said: “Food security, standards and sustainability are interconnected. The vastly evolving UK landscape from Covid-19 to climate change has created new emerging risks that have created fragility within the food system.

CIEH’s 2024 manifesto outlines the need for the UK government to strategically deliver the National Food Strategy, with a mandate to ensure all policies related to food work together to deliver health and environmental benefits. At each stage of the food supply system, from food handling, preparation and delivery, environmental health professionals work to ensure that the UK’s has a stable and safe supply of food.

“In the lead up to the next general we urge the next UK government to create a fairer, more sustainable food system.”

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Business

40% of Welsh SMEs had to stop or pause business due to lack of financing

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MOST common activities that Welsh SMEs have been forced to pause include marketing, launching new products and production
15% of Welsh SMEs that looked to secure external finance were unable to access it
Biggest barriers in sourcing external finance were cost, not understanding the business and lack of flexibility with repayment terms
Over the next 12 months, Welsh SMEs believe sales, new product development, new market expansion and marketing will be areas of growth
With appropriate external finance, most SMEs believe they could grow their business by up to 29% in the next 12 months – significant increase from 19% in 2023

Two in five (40%) of Welsh small and medium sized enterprises (“SMEs”) have had to stop or pause an area of their business because of a lack of finance over the last couple of years. This is according to new research1 commissioned by Manx Financial Group PLC (AIM:MFX), the financial services group which includes, amongst other operating subsidiaries, Conister Bank Limited (“Conister”), Conister Finance & Leasing Limited and Blue Star Business Solutions Limited.

The most common activities that Welsh SMEs have been forced to pause or stop because of a lack of financing were include marketing, launching new products and production.

Manx Financial Group’s research showed that nearly a third (31%) of UK SMEs as a whole have paused an area of their activity and while this has decreased from 40%2 in 2023, one in ten SMEs that looked to secure external finance and/or capital were unable to access it. In Wales this number was 15%.

The most popular external finance options for Welsh SMEs were short-term business loans and secured loans. The survey also highlighted that the biggest barriers faced by Welsh SMEs in sourcing external finance and/or capital were that it was too expensive, they not understanding the business and there was a lack of flexibility with repayment terms.

Over the next 12 months, Welsh SMEs believe sales, new product development, new market expansion and marketing will be areas of growth.

The research showed that less UK businesses are anticipating stagnant growth over the next 12 months – just 25% this year compared to 27% in 2023 and 34%3 in 2022. Indeed, with appropriate external finance, most SMEs believe they could grow their business by up to 29% in the next 12 months, which is a significant increase from 19% in 2023.

Douglas Grant, Group CEO at Manx Financial Group PLC, commented: “Our research reveals a persistent challenge that SMEs continue to face: securing financing remains difficult. This limited access to finance poses serious risks for both SMEs and the broader UK economy, particularly in terms of growth during uncertain times when support is most needed. The economic impact is significant, as SMEs contribute to about half of all private sector turnover in the UK. Innovative solutions are urgently required to address this funding gap.

“As borrowing costs stay high, many businesses are experiencing their own financial crises. This financial constraint, coupled with a potentially unprecedented and volatile environment marked by ongoing geopolitical tensions, multiple elections, a tightening labour market, and persistent cost-of-living challenges, poses obstacles to the prospects of SMEs and national economic growth.

“Although some SMEs have mitigated risks by locking in fixed-rate debt, many others are now struggling with increasing costs without a financial cushion. Government intervention is crucial to support SMEs, which are vital to the UK economy and, for some time, we have been advocating for a permanent government-backed loan scheme tailored to different sectors and incorporating both traditional and non-traditional lenders. Such a permanent scheme has the potential to play a pivotal role in unlocking economic resurgence for numerous companies, thereby sustaining the overall economy—especially as in an uncertain economic environment like the one we see today.”

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Business

Food and drink sustainability conference first of its kind in Wales

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WALES’ first ever conference focusing on sustainability in the food and drink industry will be held on Wednesday 3 July 2024 at the All Nations Centre, Cardiff and will be open to all food and drink businesses and professionals in Wales.

The Food & Drink Wales Sustainability Conference, which is being delivered by the Welsh Government’s Food & Drink Wales Sustainability Cluster, in collaboration with the Food & Drink Wales Insight Programme, will help businesses improve their sustainability in areas that matter most to consumers.

Using an interactive mix of activities and networking opportunities, the event aims to increase business knowledge across market insights, consumer trends, and buyer Corporate Social Responsibility (CSR).

The event will also demonstrate how Welsh Government is working to enhance the environmental performance of the food and drink industry and to highlight the successes of businesses in improving their sustainability.

The conference will also offer the opportunity to take part in the Carbon Reduction Plan Pilot Programme, designed to support business baseline their carbon emissions and develop actionable carbon reduction plans.

Mark Grant, Food & Drink Wales Sustainability Cluster Lead, who is organising the conference, said: “We are thrilled to launch the first Sustainability Conference in Wales. We have many great speakers with extensive knowledge and experience in the industry joining us, so it promises to be a beneficial event for all food and drink businesses and professionals in Wales. It will be a great chance for the industry to come together at this unique event to discuss and tackle sustainability.”

Supporting and developing sustainable business practices across Wales’ agri-food industry is at the heart of the Food & Drink Wales Sustainability Cluster’s work. Launched in January 2020, it uses the triple helix approach of government, industry and academia working hand in hand to tackle common industry problems.

The Cluster has over 100 producer members, along with 60 government bodies, academic organisations and support organisations including Food Innovation Wales, AMRC Cymru, FareShare, Wrap Cymru, National Farmers’ Union (NFU), Farmers Union of Wales (FUW) and Hybu Cig Cymru (HCC).

Functioning as a central hub, the Cluster provides intelligence to businesses, becoming the eyes and ears of the industry, developing networks and industry expertise to help Wales become a world leader in sustainability.

The conference is bringing together experts, trade and policymakers to explore the latest consumer insight from Kantar, IGD and The Food People, whilst finding out why sustainability is important to food business and the trade more widely.

Guest speaker Fiona Powell, IGD Head of Sustainability said: “I am delighted to be a part of the Food & Drink Wales Sustainability Conference where I will give an overview of how sustainable packaging is evolving, with some key insights on the current progress of environmental labelling in the UK. This will give the SME delegates insight as to what they can be planning for within their own businesses over the medium term.”

To register for the Food & Drink Wales Sustainability Conference visit: https://www.eventbrite.co.uk/e/sustainability-conference-2024-cynhadledd-cynaliadwyedd-2024-tickets-918660226467?aff=oddtdtcreator

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