A weak pound sterling, along with its exchange traded fund (ETF), has disappointed currency traders, but domestic exporters are delighted.
Food and drink companies are aiming at overseas markets in an attempt to exploit the weak pound sterling, reports Karen Peattie for The Sunday Herald.
A strong euro is just the opportunity for the food and drink industry in the United Kingdom to develop its businesses internationally. The industry is worth around $10.7 billion in Scotland, and exports account for around half that.
People in the industry want to develop their international clientele, but there is a need to understand new trends and to know what the emerging markets are.
Recent growth in companies like the Portsoy-based seafood supplier Gourmet’s Choice has been driven by exports. It has stated that exports to European nations were more fruitful due to a weaker pound.
- CurrencyShares British Pound Sterling Trust (FXB): down 4.3% in the last month
Read the disclaimer, as Tom Lydon is a board member of Rydex Funds.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Mr. Lydon serves as an independent trustee of certain mutual funds and ETFs that are managed by Guggenheim Investments; however, any opinions or forecasts expressed herein are solely those of Mr. Lydon and not those of Guggenheim Funds, Guggenheim Investments, Guggenheim Specialized Products, LLC or any of their affiliates. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.