Ireland's Dairy Industry in 2024
Ireland is renowned for its high-quality dairy products, supported by optimal farming conditions, including lush green pastures and a temperate climate. As of 2024, Ireland continues to be a crucial player in the global dairy market, with substantial production and export figures.
Dairy Cattle and Milk Production
Ireland maintains a herd of approximately 1.5 million dairy cattle, producing about 8.3 billion liters of milk annually. This level of production highlights Ireland's significant role in satisfying global dairy demands.
Milk Processing and Cheese Production
The country is equipped with advanced milk processing infrastructure, capable of handling around 7.9 billion liters of milk each year. The cheese production sector is notably strong, with an output of approximately 250,000 metric tons annually. Additionally, Ireland produces around 300,000 metric tons of milk powder and whey, indicating a diverse array of dairy products.
Key Dairy Enterprises
Leading companies in Ireland's dairy sector include Ornua, Kerry Dairy Ireland, Glanbia Ireland, and Dairygold. These companies are integral to various industry operations such as processing, marketing, exporting, and cheese production.
Export and Import of Dairy Products
Ireland exports about 1.4 billion liters of milk equivalent annually, targeting major markets in the EU, US, and Asia. The country’s dairy exports are valued at approximately €6 billion per year. On the import side, Ireland brings in around 100 million liters of milk equivalent annually, emphasizing its strong export orientation.
Recent Developments and Market Events
Key developments include the stabilization of raw milk prices after a surge in mid-2023, and the appointment of Cesar França as Global Foods Division Managing Director at Ornua. In January 2024, Kerry Dairy Ireland raised the milk payment to 53.5 cents per liter. Additionally, Lakeland Dairies set the milk price for July at 48.25c/l. Sustainability initiatives are underway, such as Greenhills Farm's partnership with Ørsted on a solar project. Challenges include potential economic impacts from losing the nitrates derogation, which could cost up to €1.5 billion.
Trade dynamics face pressure from a possible EU-US trade agreement, and import restrictions due to the bluetongue virus. Retail dynamics are shifting, with Lidl and Aldi's milk price wars impacting farmers' margins. The Irish Creamery Milk Suppliers’ Association has expressed concerns about these pricing changes. Technological advancements and sustainability efforts are ongoing, as seen in Danone's Wexford facility's transition to renewable energy and research on reducing methane emissions from livestock.
The Bord Bia audit underscores Ireland's commitment to high standards and sustainability, while the legal challenge regarding the nitrates derogation affects over 5,000 farmers. Market conditions have led to price reductions by Irish processors, including Kerry Dairy Ireland and Dairygold. Tírlan Co-op remains financially robust with low debt levels and record milk production.
Ireland's dairy exports reached €7.3 billion in 2025, driven by strong performances in Europe, the UK, and North America. The Irish Cattle Breeding Federation emphasizes data-driven breeding strategies for 2026. Animal Health Ireland collaborates on calf rearing practices, and Irish dairy farmers face financial strains due to producing milk below cost. The government has allocated over €157 million for its bovine tuberculosis action plan.
Danone has expanded its recall of infant formula products in Ireland due to contamination concerns. Irish dairy farmers are dealing with a €1.3 billion loss from milk price declines, impacting rural communities. The Irish government supports nearly 300,000 dairy beef calves through the Dairy Beef Welfare Scheme, highlighting its commitment to the sector.
Irish dairy processors face structural changes amid declining milk production. Ireland is preparing for a significant transition as milk production is projected to decrease by 5% between 2025 and 2030. The Irish dairy industry aims to maintain competitiveness through efficiency gains and strategic collaborations. Despite the projected decline, Ireland's grass-based, export-focused model is well-positioned for future growth.
Irish dairy farmers are expected to benefit from new EU regulations aimed at increasing transparency and creating a more balanced milk supply chain. Irish farmers have introduced a map detailing the locations of milk vending machines across the country. This initiative aims to enhance local dairy consumption and boost direct sales from farms to consumers, offering a convenient way to access fresh dairy products.
Ireland is one of the focus countries for International Farmers Day, providing a global exchange platform for farmers. This week, various marts in Ireland reported strong demand for freshly calved heifers, with several sales achieving premium prices.
The first of its kind wellbeing program in Ireland's dairy sector has been introduced by Kerry Dairy Ireland, offering a full Employee Assistance Programme (EAP) to its suppliers. The country is associated with Kerrygold's grass-fed Irish butter and culinary traditions, with Kerrygold's campaign emphasizing the use of Irish butter in various recipes. The Grass Silage Survey 2026 is open for dairy farmers across Ireland. The survey is crucial for gathering data on how grass silage is made and managed in Irish dairy farms.
A joint research program between New Zealand and Ireland has found lower methane emissions from grazing cows. Research supported by Irish organizations and University College Cork indicates lower methane emissions, which helps refine national inventory calculations. Both cooperatives aim to collaboratively enhance the dairy sector in Ireland.
Two of Ireland’s largest dairy co-operatives, Dale Farm and Aurivo, have decided not to proceed with their merger plans. The merger was initially explored by the Sligo-based Aurivo and Northern Ireland-based Dale Farm, aimed to create an entity with a combined milk pool of 1.5 billion litres.
Lidl Ireland has announced a reduction in the prices of its own-label milk and butter. Lidl Ireland's focus on supporting local producers is evident in its procurement activities, having surpassed €2 billion worth of products and services from Irish suppliers in 2025.
In Ireland, dairy farmers are raising concerns over recent reductions in milk and butter prices by supermarkets. Irish dairy farmers have expressed significant concerns regarding the recent price cuts on milk and butter by local supermarkets. These reductions have sparked a backlash among the farming community, who argue that such pricing strategies could severely impact their profit margins. The controversy arises from what farmers describe as 'loss leader' tactics, where supermarkets reduce prices to attract customers, potentially at the expense of suppliers. This situation has raised alarms within the Irish dairy sector, highlighting the precarious balance between consumer pricing and farmer sustainability.
Irish dairy cooperatives have successfully aligned with the new EU milk supply rules. The Irish dairy sector has confirmed its compliance with the new European Union milk supply regulations, ensuring that existing contracts remain largely unaffected. This alignment has eased previous concerns within the industry about potential major changes to cooperative agreements.
Ireland's government allocated €30 million towards the Shared Island Enterprise Scheme in February 2024. The Shared Island Enterprise Scheme aims to support sustainable enterprise across the island of Ireland.
Ireland is undergoing a transformation in its dairy industry, positioning itself as a significant force in the global nutrition market. The country's grass-fed dairy products are recognized globally for their quality, and Ireland produces more than 10% of the global supply of infant formula. This feature positions Ireland advantageously in the global market, where there is a growing demand for premium, grass-fed nutrition products.
Sainsbury's has committed £5 billion to farming investments in fresh produce, dairy, meat, and poultry across the UK and Ireland. Tirlán announced a €126 million investment in a new whey processing plant.
Modified: 2026/04/01
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