Irish Dairy Board opens plant in Algeria to boost North African sales

KERRYGOLD milk powder products may record a 4,000 tonnes sales boost with the opening yesterday of an Irish Dairy Board (IDB) premises in Oran, Algeria.

With its 35 million consumers, Algeria is already the IDB’s second largest market for cheese.

The new office will also be a critical base from which to extend the IDB’s footprint in North Africa — a market of almost 200 million consumers.

Opened by Agriculture Minister Simon Coveney and IDB chief executive Kevin Lane, the new plant has the capacity to pack 4,000 tonnes of Kerrygold product per annum.

Mr Lane said: “The Irish Dairy Board has been exporting to Algeria for almost 15 years. It has proven a stable and robust market that has grown consistently to become our second-largest market for cheese worldwide.

“Through strong commercial relationships with Algeria and by opening a representative office in Oran we are demonstrating our commitment to enhancing these relationships and expanding the Kerrygold brand range of dairy products,” he said.

“ This investment in Algeria is in line with our stated objective of growing the IDB’s presence in emerging markets, not least given the expected expansion of dairy output after the removal of milk quota restrictions in 2015.”

In 2010, exports of Irish dairy products to Algeria were valued at almost €38m. Algeria is an important market for Irish dairy products and has significant growth potential. It is a significant net importer of milk products, and dairy consumption is 3.5 billion kg/annum, and growing at a rate of 8% per annum.

Mr Coveney said: “I hope that in time the bridges that the iconic Kerrygold brand can build in this region will be a foundation for further trade development for Irish agri-food generally.”