Keogh’s Crisps will look to other markets following US tariffs hike, says founder

The introduction of tariffs on European exports to the United States will “burn bridges around the world” for US companies, giving Irish business an opportunity to take advantage of the uncertainty the economic measure will cause, the head of Keogh’s Crisps has said.

The founder and managing director of Keogh’s Crisps, Tom Keogh, said exports to the United States make up about 15 per cent of its volume. He said the US market had been “growing quite fast” for the company in recent months.

Mr Keogh said recent price inflation in the US had led to food being “very expensive” in comparison with historic prices in recent years. This inflation has made Irish companies such as Keogh’s Crisps more competitive with domestic products in the US market and would lessen the impact of the tariffs on his company, he said.

The managing director of the north Dublin business said US consumers are now purchasing his products at a comparatively cheaper price due to supply prices having been set with retailers in previous years when the dollar was weaker.

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“The reality is that my customers on that side of the water are buying our products a lot cheaper today than they were back then,” he said. “That difference means there is definitely room for negotiation with my customer base to see how they will actually go and fund these tariff increases.”

Mr Keogh said the tariffs have “the potential to slow down the growth” his company is having in the US market but pointed to another 20 markets that the business operates in.

“We’re experiencing growth in other markets as well,” said Mr Keogh. The tariffs mean “we can redouble our focus on those markets now too”.

Keogh’s Crisps has recently opened supply lines to Australia and Japan, which he described as “very promising” markets with “large room for growth”.

He also said there were opportunities with Canadian retailers who, looking to shift supply lines away from traditional partners in the US due to trade tariffs, have started to contact Irish companies as potential suppliers of goods.

“Since the talk of US tariffs came into play, the Canadian market has started to look very interesting. We’ve had inquiries from Canadian companies looking to Ireland to source product. There is uncertainty across the global supply chain, and as every business owner knows, with uncertainty comes opportunity.”