Welcome to the December edition of Bord Bia's Ireland Market Foodservice Newsletter.   

 

This week the NPD Group published details of the Five Eating Out Trends that are likely to shape the UK out of home market in 2020.

 

According to Dominic Allport, Insights Director with The NPD Group, “In delivery, we see lots of anecdotal evidence that consumers want to see more effort on reducing packaging and that the channel itself must be as green as it can be from a carbon emissions standpoint. The brands that are challenging conventional foodservice formats, and blurring the lines between foodservice and retail, will continue to enjoy success. Operators that provide appetizing choices not just for meat eaters but for flexitarians, vegetarians and vegans will also thrive. The industry’s ability to innovate is also evident in the growing range of improved children’s menus, and in the popularity of the food hall model.”

 

General Industry News

Tourism Ireland reveals details of new marketing strategy for 2020-2022

www.hospitalityireland.com– 03.12.2019

Tourism Ireland has revealed details of a new marketing strategy for 2020-2022. The organisation is aiming to grow overseas tourism revenue and visitor numbers by 13% to €6.54 billion and by 7% to 12 million, respectively, by 2022. According to Tourism Ireland, latest estimates indicate that, by year end, revenue generated by international visitors in 2019 will be approximately €5.78 billion, which is 1.4% less than the figure for last year, with 11.17 million people having visited the island of Ireland.

Irish services sector rebounds in November, AIB index finds

www.irishtimes.com – 03.12.2019

The Irish services sector posted a strong rebound in November having almost fallen into contraction the previous month, according to a survey commissioned by AIB. The AIB Services Purchasing Managers Index (PMI) rose to 53.7 last month from October’s more than seven-year low of 50.6. Anything above 50 indicates that the sector is expanding. AIB chief economist Oliver Mangan indicated that the November rebound suggested that the October fall “was an aberration and that the Irish services sector is continuing to perform strongly”.

Strong Corporation Tax take leads to Exchequer surplus of €1.45 billion

www.rte.ie  – 03.12.2019

The Government will run a higher surplus in the public finances than forecast at budget time, based on higher levels of Corporation Tax. Minister for Finance Paschal Donohoe said this was part of preparations for what he called the "clear and present danger" that current high levels of Corporation Tax will not last. Exchequer returns published show a surplus of almost €1.45 billion in the first eleven months of the year - with the State taking in 2.7% more than was anticipated at the start of the year. Almost all of that - €1.41 billion - is accounted for by a stronger-than-expected take of Corporation Tax.

 

Quick Service Restaurant (QSR) & Pub Sector

McDonald's reportedly contributes €196m to the Irish economy per year

www.hospitalityireland.com – 27.11.2019

According to a report commissioned by McDonald's, the fast food chain contributes over €196 million to the Irish economy per year. McDonald's hired consultancy firm Development Economics to assess its economic impact, which includes wages, company profits and its contribution to the exchequer via taxes. The consultancy firm's findings are based on the fast food chain's 2017 numbers for Ireland. Development Economics found that McDonald's spent €53 million with Irish suppliers directly, with an additional €163 million worth of ingredients from Irish suppliers being exported to McDonald's outlets in other European countries.

www.rte.ie – 10.12.2019

Pub operator J D Wetherspoon said it would spend more than £200m to develop new pubs and hotels as well as to expand existing ones in the UK and Ireland, creating about 10,000 new jobs. The Watford-headquartered company said it will invest in major cities including Dublin, Galway, London, Edinburgh, Glasgow, Birmingham and Leeds. Wetherspoon operates 875 pubs and 58 hotels across the UK and Ireland and employs 44,000 staff.

 

Hotel & Restaurant Sector

Permission sought to develop 151-bedroom Moxy Hotel in Belfast

www.hospitality-ireland.com - 05.12.2019

Permission is being sought to construct a hotel on the site that was formerly occupied by the Nambarrie Tea factory in Belfast. According to The Belfast Telegraph, Propiteer Limited has filed a planning application for the development of "a seven-storey, 151-bedroom hotel building to be occupied by Moxy Hotel (part of the Marriott Hotel Group)" on the site.

72 jobs saved as PBR Restaurants exits examinership

www.fft.ie – 10.12.2019

PBR Restaurants Limited, which owns six outlets under the brand names FishShack Café, Ouzos and Kelly & Coopers, has successfully exited examinership, saving 72 jobs. It is understood that over 80% of the €700,000 owed to suppliers and creditors, including AIB, is being written off. Revenue and local authorities will receive more than €200,000 of the €300,000 owed in taxes and rates.  Under the scheme of arrangement, the operations at Blackrock and Dalkey are being disposed of and the investor will be focusing on the FishShack operations which include plans for further growth and expansion into new locations.

BaxterStorey to run Arnotts Christmas Café

www.fft.ie  - 03.12.2019

Independent caterer BaxterStorey Ireland has been confirmed as the operator of a pop-up Christmas café to run in Arnotts department store for the festive period.  The “Oh What Fun” pop-up café features festive treats for children and adults. The central theme of the pop-up café, which is located on Level 2, is that of fun and sharing, working with small Irish artisan suppliers for the whole family to enjoy. Suppliers engaged with the café include Arcane Chocolate, Dublin; Mallow Mia, Co. Donegal; and Ariosa Coffee, Co. Meath. BaxterStorey has been operating in Ireland since 2007, and current key clients include Ulster Bank, Kerry Group, and Dublin City Council.

 

Contract Catering & Route to Market

Rising star Mount Charles wins RTÉ catering contract

www.belfastlive.co.uk – 06.12.2019

Mount Charles, Ireland’s leading indigenous, support service provider has added RTÉ, Ireland's national public media organisation, to its burgeoning portfolio of high-profile clients including; Griffith College Dublin, Public Appointments Service, Ordinance Survey Ireland, Abbey Theatre, National Aquatic Centre and Custom House in Dublin. The seven-year contract will see the company deliver a high quality, bespoke food and beverage offering for 1,822 staff and clients at RTÉ’s Donnybrook campus, which includes RTÉ’s television and radio studios, as well as the Fair City set.  

BWG beefs up foodservice business with acquisition of Galway meat supplier

Irish Times– 28.11.2019

BWG, the owner of the Spar retail franchise in Ireland, has further beefed up its foodservice division with the acquisition of a Galway-based meat supplier to the hospitality industry for an undisclosed sum. Leo Crawford, Chief Executive of BWG, said the deal will help BWG expand its division that supplies the foodservice industry. BWG FoodService has grown rapidly in recent years and now accounts for about 10 per cent of the group’s €1.5 billion turnover. The division supplies about 10,000 outlets nationwide.